Haat Expands Into Retail Market With Paz Group Partnership
The delivery platform Haat is expanding into the retail market, with Paz Group's yellow stores and supermarkets expected to join the app. This strategic move follows Haat's recent 60 million NIS fundraising round.
The delivery company Haat is preparing for a dramatic expansion into the retail market. According to company sources, the yellow convenience store chain from the Paz Group is expected to join the platform—initially in Jaffa, Haifa, Givat Eiron, and Wadi Ara, and later in branches nationwide—alongside Paz Group supermarkets such as Super Yuda and Freshmarket. Currently, the app features small retailers and local shops. Connecting with a major national brand marks a new phase, transforming the platform from one focused primarily on restaurants and businesses in the Arab sector into a broader destination for daily shopping.
The Paz Group Strategic Move
The connection with Paz is particularly interesting given its bid to acquire Wolt Market. Paz is one of the two final contenders for the acquisition, offering approximately 250 million NIS each. This means that Haat's expected retail partner could simultaneously become the buyer of its competitor's supermarket operations. The Paz Group already operates on Wolt as well, meaning it could find itself in three roles at once: acquiring Wolt Market from Wolt, continuing to sell via the Wolt app, and strengthening competition against it through Haat. This illustrates that the relationship between retailers and platforms does not require choosing just one side, but allows for operating across multiple sales channels simultaneously.
Expansion and Growth
Haat, which originated in Umm al-Fahm and built extensive operations in the Arab sector, tailored its service to local realities. It developed mapping solutions for deliveries to homes without orderly addresses and enabled cash payments for customers who do not use digital payment methods. Thus, it successfully connected populations and businesses that remained outside the existing offerings. Now, it seeks to leverage this experience to expand beyond its established market.
The infrastructure developed by the company in the Arab sector may help it expand its retail offerings without starting from scratch. The existing customer relationships and delivery network are already in place, and the challenge is to add brands and products that will increase app usage frequency and penetrate the general sector. Haat, which started with nine restaurants and five couriers, has already reached about 3,000 restaurants and approximately 5,000 couriers. For Haat, integrating yellow will provide an opportunity to expand into new audiences and regions, as well as additional types of orders. In April, Haat completed a fundraising round of 60 million NIS at a post-money valuation of 310 million NIS. Among the investors are Israel Post and Leiman Schlussel.
