FB Pixel no scriptWith UAE launch, Lalamove bets its SME-first model can scale in the Gulf
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With UAE launch, Lalamove bets its SME-first model can scale in the Gulf

Written by Sudo Lim Published on   2 mins read

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The logistics platform joins a crowded field but aims to win on transparency, tech, and adaptable delivery services.

Lalamove, the on-demand logistics platform operated by Hong Kong–based Lalatech, has launched operations in the UAE, marking its first entry into the Middle East. The company now offers full service coverage in Dubai, with delivery drop-offs available in Sharjah and Abu Dhabi.

The expansion aligns with Lalamove’s longstanding strategy of serving small and medium-sized enterprises—a focus that dates back several years. SMEs account for a significant portion of the UAE’s GDP. “The UAE has long been a pivotal global trading and logistics hub, connecting Asia, Europe, and Africa,” said Paul Loo, chief operating officer of Lalamove. “By leveraging our advanced technology, we aim to empower SMEs and create earning opportunities for driver partners.”

Lalamove’s logistics model is built around instant matching, multi-stop delivery planning, and real-time tracking, offering businesses a streamlined approach to last-mile delivery. Its diverse vehicle types, ranging from cars to one- and three-ton pickup trucks, allows it to handle a variety of delivery needs while helping reduce logistics costs.

The launch is also part of a broader push to expand in high-growth markets. Before entering the UAE, Lalamove operated in 13 markets, including Hong Kong, mainland China, Singapore, Thailand, the Philippines, Indonesia, Vietnam, Malaysia, Mexico, Brazil, Bangladesh, the US, and, most recently, Japan.

Lalamove entered the Japanese market in early 2024, where a tightening labor supply and revised laws capping overtime for drivers created demand for more efficient delivery services. Lalamove responded by recruiting freelance drivers and applying its dynamic pricing model to offer flexible work opportunities while addressing the sector’s manpower shortfall.

Globally, Lalatech fulfilled 779 million orders in 2024, generating a gross transaction value (GTV) of USD 10.3 billion. The company reported 16.7 million average MAUs (monthly average users) among merchants and 1.7 million among carriers. It also held a 53.4% share of the closed-loop freight GTV market, a key segment of real-time, end-to-end delivery services.

In the UAE, Lalamove aims to position itself as a platform that supports flexible income streams for driver partners, echoing its approach in Japan. Features such as bonus incentives for completed missions, vehicle sticker promotions, and unlimited referral rewards are designed to attract and retain drivers. The platform enables them to arrange their schedules independently, offering greater transparency and control over earnings.

With this launch, Lalamove enters a market where demand for quick, reliable logistics solutions is growing alongside e-commerce. It joins other Chinese logistics players such as SF Express and Cainiao Network in tapping into the UAE’s role as a regional delivery hub. While the competitive landscape includes legacy providers like Aramex and newer gig-based entrants such as Fetchr, Lalamove’s history of adapting its model to local conditions could give it an edge in serving businesses across the region.

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