Plenty of exciting young startups and brands that are perceived as ethical are emerging, thanks to a new wave of young entrepreneurs partaking in the Islamic economy. And the key to revolutionising the sector, it seems, is looking at ways to take Islamic brands into the wider global market, making them appeal to a wide range of demographics.
During the recent Global Islamic Economy Summit held in Dubai, a number of entrepreneurs appeared to discuss this trend.
Speaking about his latest venture Tajawal, an online segment of a large Saudi-based corporation, Muhammed Chbib explained that it has seen strong growth in net sales since it launched in January 2016, stating that the ability to overcome challenges was a significant part of its success.
“The single biggest challenge that we have is finding the right people with the right mindsets, which translates into the right behaviours. You can find people with certain technical skills but very, very few people in the region think big, think global,” he said. “The horizon of their vision ends at the border between Dubai and Sharjah. That’s something we needed to break. How did we do that? What we said is that we have a set of values, we have a vision and we have a mission.”
Highlighting the ethical drivers behind the launch of her brand Javara, one of Indonesia's leading purveyors of artisanal food products that aim to keep alive the country’s heritage of food biodiversity, indigenous wisdom and culinary tradition, Helianti Hilman said: “We were focused on the spirituality of food. If we look at how food has become so industrialised, so globalised, we see that it’s losing its meaning as a tool for community and for families. It’s losing its spirituality.
“So that was the mandate I had to start my company - to use food as a tool as diplomacy to continue the wisdom we have.”
Tina Memic, now running her own brand consultancy, described her pride at having worked with the region’s Bateel, saying that it was the only local brand that had managed to go global. She described what were the three ‘Ps’ –‘People, Product and Passion’.
YOUTH IS A DRIVER
Predicted to innovate Islamic economy are, naturally, the region’s youth. The growing millennial demographic is creating an emerging middle class which is increasing consumption, and by 2030, it is projected that the world’s Muslim population will reach 2.2 billion, with 29% of the global youth population being Muslim.
“This rising young group are embracing modernity and the digital age in all its forms, but are also staying true to their faith,” Shakeeb Saqlain, CEO of IslamicMarkets.com wrote earlier in October. “Opportunity for entrepreneurs therefore comes from making the most of this new affluent demographic by engaging with a contemporary Islamic consumer that is looking for modern products and services that still conform to Islamic principles.
“Additionally, entrepreneurs can benefit from the significant talent pool which has developed from rising numbers of this educated youth. In the MENA region, with the share of youth - aged 15 to 29 - reaching over 30% of the population, policymakers are turning towards developing entrepreneurial ecosystems to maximize the benefits of this demographic dividend.”
More focus also needs to be on people, explained Hashim Farooq, senior program manager at Microsoft, UAE.
“[We need to start] talking about what we have learnt rather than what we have done [to change the way we teach],” he said. “Kids must not have to spend their entire future behind a screen. We need to stop thinking about the economics that drive us to be very constrained in our lives; we need to start thinking about the people that we actually empower.”