Kirsten Fairfield (left) and her children, Aidan and Jessica, enjoy playground time with Paula Harrington and her kids, Samuel and William.
Kirsten Fairfield (left) and her children, Aidan and Jessica, enjoy playground time with Paula Harrington and her kids, Samuel and William.
Kirsten Fairfield (left) and her children, Aidan and Jessica, enjoy playground time with Paula Harrington and her kids, Samuel and William.
Kirsten Fairfield (left) and her children, Aidan and Jessica, enjoy playground time with Paula Harrington and her kids, Samuel and William.

Savvy mums build web empires


Alice Haine
  • English
  • Arabic

Kirsten Fairfield and her friend and business partner, Paula Harrington, lead busy lives. Not only are they both mothers of two young children, but they are also the founders of bubsboutique.com, an online store they set up in 2009 for babies and children under five.

The Dubai-based expatriates juggle their home-grown business around the needs of their children, relying on nap times and evenings to catch up on e-mails and get ahead on deliveries.

While the concept of "mumpreneurs" - women using their newfound knowledge of motherhood to launch a child-centric business - has been around for sometime in the UAE, online mother, baby and child stores have not.

Which is why the British business owners of BubsBoutique were surprised by the sudden flurry of online store launches catering to their niche market.

"At first, we looked at all the new competitors and thought, 'Oh my'," says Mrs Fairfield, the mother of Jessica, aged three, and Aidan, one, who moved to the UAE with her husband, a commercial manager, in 2007. "But it has made us stronger and we've worked so much harder. The more sites there are, the more likely people are to shop online because people always shop around, so it's not a bad thing."

Among the new launches in the UAE's mother, baby and child segment this year is 6ambabies.com, an online store specialising in organic clothing and accessories for newborns and under threes that went live last month, and blushandbloom.com, which focuses on the needs of pregnant women as well as offering newborn baby products.

But one thing is clear; all the women behind these ventures launched their sites because they spotted a gap in the market and felt the rise of e-commerce offered them a business model they could work around other commitments in their lives.

"Many women start up their own business after they have children as a way to make their schedules more flexible," says Karima Berkani, a research analyst at Euromonitor International. "How likely their business is to succeed or fail depends on a number of variables. However, baby and children's products have proven recession proof in the UAE. While consumers may trade down or limit spending on food and clothing purchases for themselves, they are unlikely to cut spending on their children.

"Total internet retailing in the UAE is expected to grow 14 per cent in 2011 to reach Dh833 million and new mothers know better than anyone which baby products are available in the UAE and because they are also using these products, are able to offer advice."

This was certainly the case for the women behind BubsBoutique.

"We both had six-month-old children and were both keen to go back to work, but part-time jobs weren't freely available," says Mrs Fairfield, a former PR executive. "So when we received an e-mail from another online store that was closing up and selling their stock, we went to have a look."

The duo invested Dh60,000 in their venture, selling only 10 brands to begin with and renting bigger villas to store their merchandise rather than a warehouse to keep costs down.

"We launched when the market was in turmoil, so we were very conservative," says Mrs Harrington, the mother of Samuel, three and William, 14 months, who moved to the UAE in 2007 with her banker husband. "That's probably why it took us so long to grow our customer base because we couldn't afford to advertise."

Today, the entrepreneurs sell more than 50 brands, stock 700 products and have seen their sales revenue increase by 54 per cent since last year. But they admit launching an e-commerce venture in such a small retail market does not guarantee big bucks as the pair reinvest all their profits back into their business and are yet to take a wage.

"We put in 40-hour weeks each, are available 24 hours a day to take phone calls and often work on weekends to ensure orders get out on time. And we are not earning anywhere near what we did before," says Mrs Harrington, a former HR executive. "There are times when you think, 'should we go back to work?' But we can see the potential. With so many websites starting up, people are obviously thinking, 'Oh, that looks easy', and you can throw a tonne of cash at something, but you have to work so hard to get it back and there are weeks when I spend hardly any quality time with my boys."

Jenny Haddad is the founder of dubaibabies.com, the first online baby store to launch in the UAE in 2006. The mother of Maya, aged four, and Max, two, launched her business before she had children because she wanted a gift service that would wrap and deliver presents to her friends giving birth. And she agrees that running an online venture is hard work.

"You can't just do it within school hours. If you're going to do it and do it properly, then that means time away from the kids. Some mums do go into things a bit blindly thinking, 'I can make it fit', but it takes over."

For Mrs Haddad, a former events manager and air hostess who moved to the UAE in 2003, where she met her husband, a hotelier, watching so many other similar concepts launch has been interesting.

"I used to spend a lot of time worrying about what they're doing, but now I just get on with what I'm doing," she says. "I need to be aware of how many sites are launching, but I'm more concerned about keeping my clients happy."

Although some of the smaller ventures such as 6ambabies, Blush and Bloom and BubsBoutique are either run solely by their founders or a small team, the most recent - and perhaps high-profile operation to hit the market - is mumzworld.com.

The brainchild of Mona Ataya, the founding partner and chief executive, the Dubai-based bilingual shopping portal acts as a shopfront for hundreds of brands and sells more than 15,000 items.

But while the other online concepts in existence are largely privately funded, Ms Ataya, who has lived in the UAE since 2000 and is also one of the founders of the online job portal bayt.com, had the backing of Bayt's investors to launch her enterprise.

As a result, her portal offers consumers a search and compare option as well as an instant chat with the company's customer service team and expert online forums - something Mrs Ataya believes makes her different from the other e-commerce models in her segment.

"I don't feel we have the competition because no one has the same platform as ours. Our platform is the largest selection of mother, baby and child products in the region. So if you've shopped on Mumzworld, you've shopped everywhere."

Mrs Ataya, a Lebanese-American and mother to seven-year-old twins, Sufian and Tareq, and Yousef, four, decided to set up the company after returning to work from an extended maternity leave.

Her inspiration came from her own struggle to find the products she needed for her children, forcing her to ship everything from the US and UK.

And by teaming up with Bayt, she was able to turn her idea into reality in just six months because she had access to the company's business development team and her own staff of 22 for data-entry and customer service.

As a result, Mrs Ataya has big plans. "Mumzworld can and will become a giant for e-commerce shopping and will change the playing field. We're going to be the one-stop destination for everything mother, baby and child - whether it's buying or finding out information and once that's achieved, I can rest and focus on other things."

But starting small can pay off, too.

Mrs Haddad's DubaiBabies business has expanded from a single site to three, with AbuDhabiBabies and SaudiBabies launching last year. She also has a kiosk in Mercato Mall in Dubai and this year opened her first stand-alone retail store in Dubai's Town Centre.

"We're growing it from a group perspective and that's starting to generate something proper, whereas one little website didn't," she says.

"If I shut it down now, that would make a sizeable difference to the family income. We don't have an investor behind us, so when you're looking at what we invested, it would be tragic if we stopped it."

Although Mrs Haddad has expanded from online into retail, retailers such as Just Kidding have done the opposite: launching an online baby store in 2009 to complement their two retail outlets in Dubai.

"At the time, there was a gap in the market and the online store would service the GCC region without the physical start-up costs of franchising across the region," says Annemarie Retera, a mother of two who is from Holland and founded the company in 2004 with her husband, Ben Boenk.

"There has been a definite increase in new sites, they are not direct competition for us as they do not have the product range which we carry.

"The physical store is naturally more successful because people will always want to touch, feel and see demonstrations on big-ticket items. But because we have the actual store, we can stock everything from strollers, car seats, high chairs, furniture and accessories and offer it all online - no one else is able to compete with our range."

With competition in this market at an all-time high, it begs the question who will survive in the long term.

"Yes, it's a lot cheaper to set up a website than a retail store, but it's not actually that big a market and I don't think we can all succeed," says Mrs Haddad. "You need a unique starting point."

But Blush and Bloom's Loretta Kiss, an Australian who launched her site in May this year because she felt there was too much emphasis on the baby and child and not enough on the pregnant mother, believes there is room for all the sites in the UAE.

"Competition is healthy for business as ultimately it ensures our customers have a wide selection of products that are fairly priced. It's the service and knowledge of these products that really makes a business stand out. Women are incredibly savvy shoppers and expect both good service and good staff knowledge regarding the products they are buying."

The Main Players

DubaiBabies

The UAE’s first online baby store, dubaibabies.com, abudhabibabies.com and saudibabies.com stock baby gifts and maternity, baby and toddler clothing and products. Delivery in the UAE costs Dh15 for orders less than Dh200 and is free for orders over Dh200

BubsBoutique

Selling products for pregnant mothers, newborns and children under five, bubsboutique.com offers organic high-end products. Delivery in the UAE costs Dh15 for orders less than Dh200 and is free for orders over Dh200

Mumzworld

The largest shopping site in the Middle East, mumzworld.com is a one-stop shop for everything related to mother, baby and child. Delivery in the UAE costs Dh23 for orders less than Dh200 and is free for orders above Dh200

JustKidding

An online family store offering JustKidding’s full range of strollers, car seats, high chairs, furniture, toys and accessories for babies and young children. The online store delivers free in Dubai

6amBabies

Catering to newborns and children under three, 6ambabies.com offers organic clothing, toys and accessory brands. Delivery in the UAE costs from Dh20 depending on the weight of your purchase

Blush and Bloom

Primarily an online maternity boutique, blushandbloom.com stocks everything from maternity wear to pregnancy accessories to gifts and accessories for newborns. Delivery in the UAE costs Dh20 for orders less than Dh250 and is free for orders over that amount

The biog

Favourite books: 'Ruth Bader Ginsburg: A Life' by Jane D. Mathews and ‘The Moment of Lift’ by Melinda Gates

Favourite travel destination: Greece, a blend of ancient history and captivating nature. It always has given me a sense of joy, endless possibilities, positive energy and wonderful people that make you feel at home.

Favourite pastime: travelling and experiencing different cultures across the globe.

Favourite quote: “In the future, there will be no female leaders. There will just be leaders” - Sheryl Sandberg, COO of Facebook.

Favourite Movie: Mona Lisa Smile 

Favourite Author: Kahlil Gibran

Favourite Artist: Meryl Streep

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Closing the loophole on sugary drinks

As The National reported last year, non-fizzy sugared drinks were not covered when the original tax was introduced in 2017. Sports drinks sold in supermarkets were found to contain, on average, 20 grams of sugar per 500ml bottle.

The non-fizzy drink AriZona Iced Tea contains 65 grams of sugar – about 16 teaspoons – per 680ml can. The average can costs about Dh6, which would rise to Dh9.

Drinks such as Starbucks Bottled Mocha Frappuccino contain 31g of sugar in 270ml, while Nescafe Mocha in a can contains 15.6g of sugar in a 240ml can.

Flavoured water, long-life fruit juice concentrates, pre-packaged sweetened coffee drinks fall under the ‘sweetened drink’ category
 

Not taxed:

Freshly squeezed fruit juices, ground coffee beans, tea leaves and pre-prepared flavoured milkshakes do not come under the ‘sweetened drink’ band.

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Price, base / as tested Dh222,500 / Dh296,870

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Transmission Seven-speed PDK

Power 300hp @ 6,500rpm

Torque 380hp @ 1,950rpm

Fuel economy, combined 6.9L / 100km

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Power: 650hp at 6,750rpm

Torque: 800Nm from 2,500-4,000rpm

Transmission: 8-speed dual-clutch auto

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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.”

Jiu-jitsu calendar of events for 2017-2018:

August 5:

Round-1 of the President’s Cup in Al Ain.

August 11-13:

Asian Championship in Vietnam.

September 8-9:

Ajman International.

September 16-17

Asian Indoor and Martial Arts Games, Ashgabat.

September 22-24:

IJJF Balkan Junior Open, Montenegro.

September 23-24:

Grand Slam Los Angeles.

September 29:

Round-1 Mother of The Nation Cup.

October 13-14:

Al Ain U18 International.

September 20-21:

Al Ain International.

November 3:

Round-2 Mother of The National Cup.

November 4:

Round-2 President’s Cup.

November 10-12:

Grand Slam Rio de Janeiro.

November 24-26:

World Championship, Columbia.

November 30:

World Beach Championship, Columbia.

December 8-9:

Dubai International.

December 23:

Round-3 President’s Cup, Sharjah.

January 12-13:

Grand Slam Abu Dhabi.

January 26-27:

Fujairah International.

February 3:

Round-4 President’s Cup, Al Dhafra.

February 16-17:

Ras Al Khaimah International.

February 23-24:

The Challenge Championship.

March 10-11:

Grand Slam London.

March 16:

Final Round – Mother of The Nation.

March 17:

Final Round – President’s Cup.