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The Halal tipping point and beyond
Examining emerging market and social opportunities
Shahed Amanullah, creator of zabihah.comand founder of Halalfire Media LLC
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About zabihah.com
Founded in 1999 in Silicon Valley, zabihah.com helps over five million people a year search from over 10,000 restaurants and markets and read from over 35,000 user reviews
WINNER
2008 Travel & Hospitality Award
World Halal Forum,Kuala Lumpur,
Malaysia
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PART 1:
The current state of theHalal marketplace
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Which Halal economy?
• There are qualitative differences between the Halal markets in the Muslim and non-Muslim worlds
• Each market has its own opportunities
• Both are reaching their own tipping points
• The Halal economy in the West, however, has the greatest prospects for economic and social benefit
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PART 2:
State of the Halal market in the West
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Get ready for a wild ride
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Growth of Muslim-run establishments is strong
0
2,250
4,500
6,750
9,000
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Number of outlets in US/CA/UK offering halal food or products
Source: zabihah.com
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Driving the Halal market
Halal Markets &
RestaurantsHalal
ConsumersHalal
DistributorsHalal
AuthoritiesHalal
Producers
With over 5 million queries a year, zabihah.com is the only significant
connection that the Halal industry has with consumers seeking Halal food
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Ease of use drives demand
Location of searches for Halal services from the iPhone (15% of all zabihah.com traffic) in an average day
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Mainstream businesses are seeing the opportunity
0
375
750
1,125
1,500
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Number of mainstream outlets in US/CA/UK offering halal SKUs
Source: zabihah.com
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Why is this happening?
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Revenue tipping point
New business from Muslim customers seeking Halal goods & services
Lost business from customers turned off from serving Muslim customers
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The good news:
• Mainstream entrants buy into the market opportunity
• Halal suppliers are meeting mainstream specs & quantity
• Most non-Muslim customers are indifferent
• Mainstream entry into the Halal market is still very tentative
• Still spooked by resistance from hostile customers
• The Halal “brand” can still be tainted by geopolitics
The bad news:
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Why is this important?
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The market opportunity
Up to 6 million Muslim consumersin North America
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The market opportunity
Up to 6 million Muslim consumersin North America
Up to 350 million overall consumersin North America
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PART 3:
Beyond the tipping point
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Modernization Modernization of production & supply chains has helped to increase the supply of quality Halal goods and services
Marketing Marketing will help to increase the demand for quality Halal goods and services among Muslims and non-Muslims alike
We are halfway there
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Marketing Halal:A fork in the road
Do we continue to market Halal solely through
values embraced only by Muslims?
Or should we incorporate
universal values that others can
appreciate?
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PART 4:
Bringing the benefits ofHalal principles to all
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Incorporate universal values
Organic One of the best ways to ensure a halal production chain (for meat in particular) is to go organic
Humane Halal requires humane treatment of animals (i.e. comforting before slaughter)
Financial Islamic economic principles stress social justice and absence of harm to the less fortunate
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Reinforce the Halal brand
• Incorporate universal themes in your Halal marketing materials
• Support mainstream companies when they take a risk on the Halal market
• Halal certifiers must make the case that Halal matters to non-Muslims, and certify for universal Islamic principles
• Move towards standardization of organic and socially responsible Halal certifications
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We are doing our part
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More than just money
• If we market it right, Halal can be seen by non-Muslims as a significant contributor to global society
• Non-Muslims can see Muslims promoting Halal values (social responsibility, stewardship of the earth, economic justice)
• This will counter the prevailing media narrative of Muslims only contributing violence and hatred to the world
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Thank you