Abdul Hamid has sold cassette tapes, vinyl and CDs from his shop Al Balad Audio Cassettes, since 1986. Jeffrey E Biteng / The National.
Abdul Hamid has sold cassette tapes, vinyl and CDs from his shop Al Balad Audio Cassettes, since 1986. Jeffrey E Biteng / The National.

Press rewind: why cassettes are still king for one Abu Dhabi shopkeeper



In a quiet part of the Madinat Zayed shopping centre sits one of the few remaining cassette shops in Abu Dhabi. Hundreds of tapes line its shelves, Arab singers stare down from posters on the walls and behind the counter sits shop owner Abdul Hamid.

Al Balad Audio Cassettes has been serving discerning customers for more than 30 years, despite the format being overtaken by CDs, then MP3s and now online streaming services such as Spotify. Here, classic tapes from icons of Arab music such as Egyptian singer Umm Kulthum and Lebanon’s Fairuz sit beside newer artists such as Emirati Hussain Al Jassmi.

Hamid, who is from the UAE, opened the store in 1986 in Abu Dhabi’s labyrinthine old souq. Built in the 1970s between Hamdan and Khalifa streets, most of the souq was gutted by a fire in 2003 and shut down. Hamid then moved to the Madinat Zayed centre and tells me that about 80 per cent of the traders did the same.

Today’s shopping centre has the atmosphere of a covered market and, along with the gold centre, its small shops offer an eclectic mix of jewellery, tailoring, abayas, kanduras, electronics, watches, mobile phones and perfumes.

As we discuss the move, he points out the other traders who moved with him. “This one, that one – all these shops came from the souq. Here, business is better,” he says, pointing to his neighbours.

Every cassette in Al Balad is a time capsule: faces of Arab artists long-forgotten gaze from the covers and the artwork signifies a time and place that no longer exists. Many were produced years ago by labels such as Saudi Arabia’s Rotana and Kuwait’s Romco.

Hamid points out some of the top-sellers as he walks around the shop – Emirati artists Mehad Hamad; Ahlam; and Fayez Al Saeed, while Saudi Arabian musician Rashed Al Majed also sells well. There are also racks of CDs, some vinyl and a handful of English tapes by the likes of Texas, boyband Five and rapper Ja Rule.

Hamid charges just Dh10 for a cassette; CDs go for about Dh30. And while he shifts more CDs than tapes these days, he still manages to sell up to 100 cassettes a week. Business has fallen over the past two years, Hamid tells me, but about 40 to 50 people visit his shop every day.

For me, there’s a certain nostalgia when browsing the shelves of this store; some of the first albums I bought in the early 1990s were on cassette, and somewhere in cold storage in my parents’ house is an old Sony Walkman.

Older analogue formats such as vinyl and to a lesser extent, cassettes, have made a return over the past few years. Now there’s even an International Cassette Store Day. And while the memories of getting tape mangled in cassette decks and using a pencil to wind the reel are enough to put most of us off ever using the format again, some like buying the physical product; prefer the cassette sound; their collectability; and links to underground music scenes.

While there used to be dozens of cassette shops across Abu Dhabi, today there are only a few left: besides Al Balad, Shan Radio Centre, another former old souq trader, operates from a small kiosk on Hamdan Street, and Andalib Recording sells cassettes from its shop off Muroor and Dihan Street.

A lot of Hamid’s customers, who come from across the Middle East and even include some Europeans, still have tape decks in their cars. Some from Al Gharbia, Abu Dhabi’s Western Region, go far out of their way to come to the shop.

“Many come from towns such as Ghayathi and Liwa. In these towns they use either cassettes or USB connections as CDs skip too much when you are driving across the desert.

“Many Omanis come through via Al Ain and they also like cassettes. I have customers from many Gulf countries who only own decks. Some buy them for decor – to remember the old days. Others because CDs will scratch and cassettes can have a long life.”

Sadly Al Balad won’t be selling tapes for ever. Hamid explains that his prized cassettes come from older stock that he purchased back in 2011 and there is no new supply. “I’ve only about 7,000 or 8,000 left. When these are finished, I’ll keep selling CDs.” Fans of bygone days and sounds should get down there quick.

John Dennehy is deputy editor of The Review.

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”