The asset-backed facility will increase Tamara’s lending power and help the platform grow well beyond its current 20 million customers. Speaking about Tamara, the start-up has already created a niche in the Gulf region’s financial space, especially with buy-now-pay-later payment systems.

The start-up reached a valuation of USD 1 billion in late 2023 after a USD 340 million Series C funding round in which investors, including SNB Capital and Sanabil Investments, owned by Saudi Arabia’s sovereign wealth fund PIF, participated.

Fuelling Saudi’s Entrepreneurial Spirit

Tamara began its journey as a “Buy Now Pay Later” service before transforming into a full financial lifestyle platform. Now, in addition to supporting people’s daily lives by offering a fair, transparent, and Sharia-compliant payment experience (with no late fees), the start-up is partnering with businesses of all sizes — from local startups to global brands — to boost customer loyalty and drive growth through a frictionless payment journey.

Millions of users across Saudi Arabia, the UAE, Bahrain, and Kuwait trust Tamara to pay their way at SHEIN, IKEA, Farfetch, Jarir, Noon, and hundreds more.

Tamara’s rise to fame has been driven by its BNPL service. The fully Sharia-compliant “Pay Later” service allows users to shop now and pay later in instalments, with no late fees. Gulf residents can shop from over 26,000 stores and discover exclusive deals on their favourite brands.

Shoppers also get to take control of their money by tracking every payment, managing their plans, and paying over time in up to 24 months, all through one powerful app. To sweeten the deal further, the start-up charges absolutely no late fees on customer payments.

When it comes to giving its customers an all-around shopping experience, Tamara has put 26,000 brands under one roof, in addition to personalising exclusive deals for Gulf shoppers. Many of these stores offer exclusive offers and discounts to Tamara customers, primarily via the “Farah Discounts Programme.”

Let’s talk about Tamara’s “Buyer Protection Programme,” which ensures its customers’ shopping experiences remain in safe hands. If a customer doesn’t get their order on time, the start-up helps track it down or issues a refund if needed. If the buyer receives a defective product or one different from what was expected, or if the refund or cancellation request hasn’t been processed by the store, Tamara steps in to ensure things are sorted smoothly.

Promoting the concept of “healthy shopping,” Tamara’s credit score gives shoppers an understanding of how “creditworthy” they are (how likely they are to pay off their loans on time). The credit score gauges the risk in lending shoppers money. However, the good news is that early payments only boost and ultimately unlock higher spending power for shoppers.

Solutions For Partner Businesses As Well

“Tamara Business” has emerged as a seamless payment processing system built on simplicity. Since customers get to split their purchases into up to 24 months, partner businesses are paid upfront. Whether online, in-store, via QR, saved cards, Mada (the national payment scheme of Saudi Arabia), Apple Pay, or one-click flow, the start-up provides diverse payment options for businesses in the Kingdom to ensure customers and brands connect seamlessly.

Through Tamara, brands like Amazon, Shein, AliExpress, Pan Home, and IKEA have seen a 50% increase in average order value, 50% more repeat purchases, a 12% increase in customer acquisition rate, more than 15 times ROI (Return on Investment) on marketing spend, a 50% reduction in cash on delivery, a 20% reduction in refunds, and a 25% decrease in customer acquisition cost.

While businesses are accepting, processing, and settling every payment securely, they are also turning high-intent browsers into buyers with smart marketing tools and exclusive discounts, all through Tamara’s financial platform.

Through its advertisement service, Tamara is also helping brands grow and engage with their customers at scale. The start-up claims to have a pool of 11 million-plus high-intent shoppers (consumers actively looking to make a purchase, rather than just browsing or researching). Through Tamara’s digital platform, brands can engage with these customers at scale, with perks such as showcasing their brand through unique ad placements on Tamara’s app and a guaranteed 25% sales increase.

Tamara helps brands precisely target their campaigns to the right audience by leveraging advanced targeting tools to reach shoppers based on factors such as interests, purchase behaviour, and demographics. The ads are served to highly qualified leads, maximising businesses’ return on ad spend every single time.

The Revibe Success Story

Established in 2022, UAE-based Revibe set out to create trust in the Gulf region’s second-hand electronics market. The start-up’s vision was to create a reliable platform where customers could confidently purchase refurbished and pre-loved electronic devices.

Three years down the line, Revibe is now known for its dedication to fighting the menace of “electronic waste” by offering refurbished and pre-loved devices. By extending the lifespan of these gadgets, the start-up mitigates environmental impact and provides customers with budget-friendly options without compromising on quality, all while promoting the concept of tech accessibility for all.

However, the journey wasn’t smooth, as Revibe encountered the common obstacle of cart abandonment, particularly with high-value electronics, stemming from consumer hesitations. The start-up urgently needed an advertising solution to drive traffic, reduce cart abandonment, and increase brand recognition.

“Tamara Ads emerged as the ideal remedy for Revibe’s challenges. By utilising Farah Discounts, which focuses on discount-led promotions and targeted audience engagement, Revibe effectively reached potential customers while also elevating their brand profile. Premium placements on Tamara’s platform, including Sponsored Store spots and Sponsored Product listings, further boosted their visibility,” the start-up noted.

The collaboration between Revibe and Tamara yielded remarkable outcomes, including a 33% order uplift, a 54% reduction in cost per order, and more than three million app impressions.

The post Start-up of the Week: Tamara transforms Gulf shopping with BNPL & discounts appeared first on International Finance.

Legislators and economists aren’t the only ones noticing the ripples from these trade decisions. Consumers with predictable future needs, such as baby gear or seasonal equipment, are also feeling the impact, prompting many who might otherwise wait to make purchases sooner. In today’s climate, that choice is less about immediate necessity and more about hedging against volatility. Take, for example, a new parent. A car seat may not be required until early next year, but early signs of price increases, especially in the baby products category, are giving consumers reason to act now. These aren’t just anecdotal fears.

According to price-tracking data from Keepa, categories such as baby gear and tools have seen noticeable price upticks, between 2.5% and 5% in recent weeks. For many, that’s enough to make an early investment feel not just smart but essential.

Amazon CEO Andy Jassy hinted at this trend on a recent earnings call, noting signs of heightened buying in certain categories, which could reflect consumers stocking up ahead of anticipated price hikes.

Similarly, eBay has observed what could be pre-buying activity, though it hasn’t pinpointed the exact sectors. There’s a growing sense that waiting could come at a cost, and some shoppers are opting to act now rather than face steeper prices or worse, product shortages, later.

Yet, for every proactive buyer, others are taking a wait-and-see approach. For now, many consumers are still holding back, betting on the chance that tariffs could be rolled back or offset through future trade negotiations.

This split in behaviour reflects the deeper uncertainty underlying today’s consumer landscape. With conflicting signals from tech giants, price trackers, and retailers, shoppers are left in a bind. Do you risk overpaying later by waiting? Or do you risk buyer’s remorse and potential financial strain by acting now?

International Finance will explore the chaos of economic policy, shifting prices, and personal financial constraints, which require a clearer understanding of macro forces and individual risk tolerance. Because in today’s market, the price tag doesn’t just reflect what something costs; it reflects what you believe will happen next.

The anatomy of a price hike

While macroeconomic uncertainty sets the tone for consumer hesitation, what’s happening behind the scenes on e-commerce platforms like Amazon is equally telling. At the core of this unfolding drama is not just the impact of tariffs, but how online marketplaces, sellers, and consumers respond or exploit the system.

Andy Jassy has been keen to project confidence, stating that the platform has not seen prices surge “appreciably” so far. He points to Amazon’s massive supplier network and internal pricing controls as buffers against cost shocks.

The CEO emphasised Amazon’s “maniacal focus” on keeping prices low and competition high, noting that sellers are incentivised to hold prices steady to gain market share. But under the surface, pressure is building.

According to Jason Boyce, CEO of e-commerce strategy firm Avenue7Media, Amazon has quietly lifted its internal limits on price increases. Previously capped at modest weekly increments, the company allows certain sellers to raise prices by up to 10% per week. That’s five times the old threshold, an alarming signal that price surges may be coming fast and hard, especially in sensitive categories like industrial tools, electronics, and baby gear.

Compounding this is a surge in tariff evasion tactics. Dave Bryant, co-founder of EcomCrew, reports that some Asian factories are under-declaring shipment values to reduce import taxes. While technically illegal, these moves are growing more common, driven by competitive pressures and razor-thin margins.

It’s a cat-and-mouse game with regulators, one that skews the playing field and keeps some prices artificially low. Amazon’s official position is firm: sellers must comply with all applicable laws. But in practice, the scale of enforcement is murky at best.

What does this mean for shoppers? It suggests that categories with intense competition, such as home goods, cables, or generic electronics, might remain relatively stable due to cutthroat pricing wars. However, niche and boutique products, especially those dependent on single-source suppliers or smaller production runs, are already seeing steep climbs.

Keepa, a price-tracking firm, shows the real-time ripple effects. Between mid-April and early May, average prices rose across 24 of 27 Amazon product categories. Items like tools and baby products saw jumps of 2.5% to 5%, with more increases expected. That $200 Graco car seat might soon cost $220, or even $300 if tariffs double as projected.

And yet, the messaging from major platforms remains cautiously optimistic. Executives at Reddit, Amazon, Meta, Google, and Microsoft report that advertising spending is holding steady or even growing, a sign that companies don’t believe doomsday pricing will kill consumer appetite.

Reddit COO Jen Wong called it “mostly business as usual,” an attitude echoed across quarterly earnings reports.

Wall Street seems to agree. The markets are up, suggesting investors aren’t panicking over consumer pullback. But that optimism rests on shaky ground. Trump’s tariff approach remains fluid, and his recent remarks suggest unpredictability more than strategic clarity. Everything from baby monitors to industrial parts is in the crosshairs, including imports from countries that have never been traditional tariff targets.

Some companies are lobbying hard for exemptions. Baby monitor company Nanit, for instance, left China years ago and manufactures in Malaysia. It still faces a 10% tariff that could rise to 24% by July.

CEO Anushka Salinas, like many others, is weighing early purchases herself, opting to buy her child’s bed earlier than planned. She represents a growing segment of CEOs preparing to weather the storm not just through funding and margins, but through personal choice.

These individual stories reflect a broader consumer sentiment. It’s not just about saving money anymore. It’s about staying ahead of uncertainty. In this strange new retail environment, even everyday purchases feel like market moves. For consumers, the question isn’t merely “Can I afford this now?” but “Can I afford not to buy this now?”

What emerges from this confluence of price dynamics, policy volatility, and behavioural shifts is a chaotic new normal. Platforms like Amazon are no longer just digital storefronts; they’re battlefields where policy, profit, and panic intersect.

The real cost of an item is now tied to global trade policy, seller behaviour, enforcement loopholes, and your own appetite for risk.

Buying today is not just about convenience or savings; it serves as a hedge. This may be the most rational choice available in an economy filled with macroeconomic uncertainty.

Overlooked alternatives in the tariff equation

As headlines swirl with stories of tech CEOs and trade policy negotiations, one crucial voice is consistently left out of the conversation: the low-income consumer. For millions of Americans living paycheck to paycheck, the luxury of “buy now to save later” doesn’t exist.

When every dollar is stretched, the idea of pre-buying a car seat or stocking up on baby formula in anticipation of tariff-induced price hikes is not a viable option. These consumers, already vulnerable to inflation, will be the hardest hit when prices inevitably rise.

This silent demographic is disproportionately affected by even minor price shifts. A 2.5% price increase on a $200 item may be inconvenient to the middle class, but for someone relying on EBT or struggling to cover rent, it could mean the difference between securing a needed product and going without. The pressure isn’t just economic; it’s moral. Families will be forced to choose between safety, nutrition, and financial survival.

Compounding the problem is the lack of visibility into more affordable alternatives. The mainstream narrative is focused almost entirely on new, brand-name products, yet secondhand markets, rental options, and community-sharing models remain underutilised and underpromoted.

Platforms like Facebook Marketplace, GoodBuy Gear, and even local parenting groups offer viable options for many consumer needs, from strollers to baby monitors. Despite being lifelines for millions, these alternatives are rarely part of the media conversation or policy discourse.

There’s also a digital divide in how this information is accessed. Many lower-income families lack the time, bandwidth, or online literacy to hunt for and navigate these options effectively. Tech platforms and policymakers are missing a critical opportunity to democratise access to cost-saving resources by not integrating them more visibly into search results, e-commerce ecosystems, and public service campaigns.

Then there’s the matter of small and independent retailers, another overlooked casualty in the tariff debate.

While Amazon and Walmart can negotiate lower costs through massive volume and diversified supply chains, local shops and niche e-commerce businesses don’t have the same leverage. As tariffs push up import costs, these smaller sellers are more likely to fold or raise prices dramatically, further shrinking consumer choice and market diversity.

Ultimately, the current economic conversation is too narrow. It’s dominated by brand CEOs, Wall Street trends, and macro-level data while ignoring the real-time struggles of consumers and businesses on the margins. If we’re going to truly understand and respond to the evolving landscape of consumer pricing, we must widen our lens.

This means treating affordability as an equity issue, not just an economic one. It means lifting second-hand economies and local solutions with the same seriousness we apply to Amazon’s pricing algorithm. And it means recognising that the most vulnerable consumers can’t afford to play the waiting game. For them, the system isn’t just uncertain; it’s already broken.

Buy now or wait later isn’t just a question of price, but also values, access, and strategy. The consumer economy has entered a phase where basic purchases, whether a car seat or a kitchen appliance, carry the weight of geopolitical shifts and economic hedging. Shoppers must now ask: What can I control, and what can’t? How much volatility am I willing to absorb? And most critically, what matters more to me, short-term affordability or long-term risk?

In this emerging trend, to be a savvy consumer is to be a thoughtful one, not paranoid, not reactionary, but informed. While the future of tariffs may be uncertain, one thing is clear: Shopping has never required more foresight than it does right now.

The post Consumers race to beat tariff costs appeared first on International Finance.

Price rises slowed for the fifth month in a row in the four weeks to 6 August, the market research group Kantar reported.

Fraser McKevitt, the head of retail and consumer insight at Kantar, told the Guardian that the 2.2% point reduction in the pace of price rises was the second sharpest month-on-month fall in inflation it had recorded since 2008.

“Prices are still up year on year across every supermarket shelf, but consumers will have been relieved to see the cost of some staple goods starting to edge down compared with earlier in 2023. Shoppers paid 1.50 pounds for four pints of milk last month, down from 1.69 pounds in March, while the average cost of a litre of sunflower oil is now 2.19 pounds, 22 pence less than in the spring,” McKevitt said.

Shoppers have also continued to find ways to offset the impact of inflation on their household budgets by switching to supermarkets’ own-label products. Sales of own-label items rose 9.7% over the four-week period, compared with a 6.4% rise in branded products, Kantar data observed further.

The consumer group Which? has called on supermarkets to stock more of their cheapest own-label products in small local stores as it found that some branded food and drink products at supermarkets had more than doubled in price in 2022.

“Mr Kipling chocolate slices and Bakewell cake slices topped its price increase league with a 129.4% and 98% jump in a year. Yeo Valley yoghurts, Quaker porridge products and Tropicana orange juice also saw price rises of over 55%,” commented the Guardian report.

The hunt for better supermarket deals has reportedly boosted discounters like Aldi and Lidl, as these grocery chains have continued to take a bigger share of spending from their rivals, thus recording the fastest pace of growth in the market, according to Kantar.

“Aldi’s sales rose 21.2% and Lidl’s 19.8% in the 12 weeks to 6 August, compared with 9.5% at Tesco, the fastest growing of the traditional chains,” the market research group stated further.

Asda’s sales rose 7.7% over the four weeks, according to Kantar, a slight slowdown in growth from that reported in the previous month as inflation across the market eased.

However, Asda’s latest figures showed that sales, excluding fuel, had risen 9.6% in the three months to the end of June 2023, with growth across food, clothing and general merchandise helped by high levels of inflation.

Asda has also reduced the loss of shoppers to the discounters after updating its loyalty scheme and expanding to its own label range, led by its cut-price Essentials line, thereby reportedly driving 14.7% growth in own brand sales.

McKevitt said that as a result of such customer behavioural changes, the average increase in households’ weekly grocery shop was 5.13 pounds compared with 2022, well below the 11.27 pounds extra it would have been if they had continued buying exactly the same items as 12 months ago.

“Cool and wet weather meant shoppers switched away from traditional summer fare to more autumnal soups and roasting joints, sales of which rose 16% and 5%. The amount of ice cream sold slumped 30%, while soft drinks sales were nearly a fifth lower than 12 months ago when the UK was basking in hot, sunny weather. Halloumi, now popular at barbecues, was down by 27%,” the Guardian report stated.

The weather put a dampener on spending in supermarkets, with growth in groceries for eating at home slipping to 6.5% in the four weeks to 6 August from 10.4% a month before.

However, supermarket chain Morrisons has continued to struggle, with sales growth of just 2.3%, with only the online specialist Ocado and independent retailers faring worse.

Meanwhile, Bank of England Chief Economist Huw Pill has warned that prices in United Kingdom supermarkets may never fall back from their painfully high levels despite the plunge in international commodity markets.

The official also predicted that “substantial” falls on global food markets will eventually feed through to shoppers, though this may only slow the pace of increases in grocery bills rather than lead to an outright drop in the cost of products.

According to Pill, the increase in the cost of raw materials and basic food items should be traced to the Ukraine war fallouts.

“Some firms decided to sort of lock in their purchases of commodities in international markets in order to reduce that uncertainty, but potentially locked in at quite high levels of prices and they’re still passing that through the system into what ultimately we’re paying for in shops,” the BoE Chief Economist stated further, while predicting that price rises will begin to slow as those contracts come to an end and food sub-processors in the United Kingdom adjust to the end of supply disruption.

The post United Kingdom’s food inflation: All you need to know appeared first on International Finance.