Al-Futtaim Group: A Titan of Trade and Innovation in the GCC

The Al-Futtaim Group was established in the 1930s, and it was between the 1940s and 1950s that the group really started to flourish and eventually grow into a fully integrated commercial, industrial, and services organization. Due to customer satisfaction needs and the requirements of markets, the group diversified its activities and eventually separated into two entities in 2000. Abdulla Al-Futtaim started with the operation of the automotive and retail businesses while his cousin, Majid Al-Futtaim, began the property development business that later merged to be known as the Majid Al Futtaim Group. This strategic division paved the way for the two companies to grow and flourish individually in different markets.

The Al-Futtaim Group has over 44,000 employees working through eight different divisions: Automotive and Tasjeel, Electronics and Home Appliance, Insurance, Services, Real Estate, Retail, Industries, and Overseas Markets. Such diversified networking enables the group to stay technologically advanced in a number of fields and thus improve its ability to adapt and innovate in such a fast-changing environment. The group ranked one of the Middle East’s Top 100 Arab Family Businesses according to Forbes, third on the list, proof that it had stayed robust and been a market leader, as far back as September 2022.

One of the remarkable divisions of Al-Futtaim is Al Futtaim Motors, which was founded back in 1955. Al Futtaim Motors is the sole distributor of Toyota, Lexus, Hino trucks, and Toyota Material Handling equipment. The company has played a crucial role in the history of car growth. Due to its excellent quality in terms of its service, the company has gained excellent customer satisfaction, which makes it one of the household names among car fanatics and even regular drivers up until today.

The Al-Futtaim Group has made tremendous inroads in retailing through the acquisition of marquee brands. In April 2008, it acquired 88% of Robinsons & Co. In furtherance, the group has the rights to franchise IKEA in the UAE, Qatar, Egypt, and Oman, having multiple stores, all catering to various customer needs through quality furniture and home goods. Another brand in the Al-Futtaim stable is Ace Hardware, which opened its first store in Dubai in 1991. Today, it trades in six locations across the UAE – it is synonymous with quality home improvement products and exceptional customer service. Each store meets global Ace standards and is certified under ‘Ace Helpful’ to better serve the customer.

The group also explored consumer electronics through Plug Ins, while Orient, which was set up in 1982, has become the largest insurance company in the UAE in terms of financial capital. Orient has clearly gained the confidence of its customers and stands proud as one of the most reliable insurance companies.

Al-Futtaim Group successfully introduced international brands in the region like Toys “R” Us. Since opening the first Toys “R” Us store in the UAE in 1995, the company has rapidly grown its business to 19 stores in various Middle Eastern countries. The continuous growth under the intense competition shows that the company is able to prove sustainability and the ability to grow in a competitive market. In a move that underpins portfolio expansion, Al-Futtaim has acquired franchise rights for Marks and Spencer in Hong Kong and Macau.

The rich history of the Al-Futtaim Group coupled with prudent expansion and their commitment to quality has positioned them at the forefront in many industries dominated in the Middle East. “Innovation, quality, and customer satisfaction” remain deeply imbedded in the minds of the people while maintaining its position with the standard of excellence, day by day, in the region.