Hookahs and business in Arabia. Interview with Zoltán von Zada

Hi Zoltan, I remember how we met in Berlin in 2017, you participated in the Hookah Battle Europe Cup and had a hookah lounge in Berlin.

Can you please tell your story how did you get into the hookah industry?

I got in contact with shisha first when I was 14, not proud to admit though. It just started a great interest and passion that I can’t exactly explain. It’s not only about smoking it’s a social activity, or taking your own time. So I was determined of course to have my future in this industry.

What was the name of your lounge in Berlin (and can you please send some pics)? When did you open it and how difficult it was? When and why you decided to close it ?

It was Rauch Labor – means smoke laboratory in German – I loved it but for personal reasons, mainly a called marriage with my fiancée changed my plans of living so o decided to leave Europe

What is your business now in Saudi Arabia / Bahrain / Kuwait? Do you work alone or with partner?

Currently I’m trading with hookah pipes and tobacco in Kuwait, and the kingdoms of Saudis Arabia and Bahrain, alone.

Didnt you thought to back to the hookah lounge business?

I’m definitely planning to get back to the project of “my own lounge” but the personal reasons I mentioned above, set me back in plans and also financially, so I’m waiting for the right moment [Next pic is some lounge from Saudi Arabia)

Lets talk about Saudi Arabia hookah market. Which hookah tobacco brands is possible to officially buy here (and which one not officially?)

The only few brands that are available are Waha, Fakher, Khaleej, all local – regional – productions. The reason is that tobacco has 200% customs tax plus other costs. Under the table nothing is really sold nowadays because Saudi Arabia has harsh regulations – for certain products being smuggled, the punishment is execution

How much hookah lounges in your country?  Is it allowed to smoke inside the room? 

There are definitely thousands, as I work together with the royal commission I can’t say exactly as most of these datas are classified, but definitely a great market, extremely underdeveloped compared to Europe. Indoors smoking is allowed of course.

How many hookah shops in your country? People buy more in physical shops or via online shops? Or even e-commerce from some other countries (UAE) ?

Shops are a bit more limited, but definitely enough, I’m mainly selling to them not to consumers. People mainly buy here personally, online trade isn’t working here properly for many reasons. One is that there’s no real post and addresses here, so delivery is an issue.

Which hookahs type are the most popular at the moment?

Mainly the classic Khalil Mamoon from Egypt, nice designs aren’t really spread yet

Do you have any kind of hookah communities (facebook groups, telegram chats) or instagram / youtube hookah bloggers?

Here it’s more tradition than trend, to my best knowledge there’s no fan base or Facebook group for shisha. Honestly though it’s a very closed culture and society, community and online and public life is something new and developing.

Do you see any changes on your market? And what is your forecast regarding your market?

Same as globally there’s some decline in smoking for health reasons, and the newly imposed taxation system also took some business. But I’m gonna be honest the taxation is still nothing compared to Europe, it’s just that we can’t work anymore with 1000% sales margin… still more than good business field, and this region will never stop smoking shisha till the end of times; just out of tradition

What is the differences of making business in Germany and in Saudi Arabia?

Business in the Middle East is all about knowing people and connections, they need trust, they need someone who knows them, public and personal relation is everything. Social media has definitely power but only for a short period when something is new. Loyalty is based on you as a person, and how much you understand each other with the local customers. Anything people know about western sales that has no power here. That’s why 99% of foreign brands even huge ones have a local sponsor, because he can market and sell it to the locals better. That of course increases the prices but the purchase power is huge here.

#Al Waha
#AlFakher
#hookahbattle
#Khaleej
#Khalil Mamoon

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