Arabian Automobiles’ Hussam Baghdadi on driving customer-centric innovation

Hussam Baghdadi, senior director at Arabian Automobiles Company (AAC), spoke to Gulf Business about how the company is navigating a competitive UAE automotive market. From digital-first buying journeys and flexible ownership models to data-driven insights and emerging mobility trends, Baghdadi shares how Arabian Automobiles is redefining customer experience and staying ahead of evolving consumer expectations.

Here are excerpts from the conversation.

How is AAC adapting to shifting consumer expectations in the UAE, especially with the rise of digital-first car buying journeys and demand for greater transparency in the purchase process?

Customer-centricity remains a core pillar of our strategy. Rather than responding to changes, we aim to anticipate and shape them, especially as the UAE consumer becomes increasingly digital-first.

This approach has driven a comprehensive transformation across our retail and service ecosystem.

We’ve focused heavily on e-commerce enablement and digital campaign integration, ensuring customers can engage, explore, and act seamlessly across digital platforms.

Our AWR Connect app allows customers to manage their entire ownership experience, from booking services and tracking delivery to accessing aftersales support, all via a single interface.

Our Customer Experience Division has undergone a full digital transformation to enhance operational efficiency, reduce wait times, and increase service productivity.

Looking ahead, advanced technologies such as AI-powered concierge services and dynamic inventory systems, driven by predictive analytics, are helping us personalise the customer journey, optimise stock allocation, and provide seamless online-to-offline experiences.

Our goal is clear: a frictionless, transparent, and connected experience that consistently exceeds expectations.

With Dubai investing heavily in transforming its automotive ecosystem, how is the company aligning its strategies to stay ahead in areas like aftersales innovation, mobility services, and customer experience?

Dubai’s vision for a future-ready automotive ecosystem is one we actively support. We focus on placing the customer at the heart of every decision and delivering value throughout the ownership journey.

Our aftersales initiatives include real-time service booking, seasonal maintenance programmes, proactive service alerts, and pick-up and drop-off services during peak periods.

State-of-the-art facilities are continuously upgraded with interactive screens and advanced systems, creating faster and more intuitive service experiences.

We are also expanding our parts business digitally and developing a new platform to enhance speed, transparency, and flexibility.

Our mobility services are evolving with flexible lease offerings, bundled packages, and digital tools to empower customers.

By connecting sales, aftersales, and mobility services, we aim to deliver a seamless and future-forward experience reflecting Dubai’s momentum as a hub for smart, sustainable mobility.

Given the ongoing recovery from global supply chain disruptions, how is AAC managing inventory planning, vehicle availability, and delivery timelines?

The UAE benefits from world-class infrastructure and advanced customs systems, keeping supply chains efficient.

Our proactive planning and forecasting, developed with global OEM partners, help manage inventory effectively and maintain availability across our network.

Early container bookings, diversified shipping routes, and strong supplier relationships allow us to respond to global challenges with minimal disruption.

The upcoming Parts Distribution Center (PDC) will further streamline planning, optimse inventory, and maximise order fulfillment, reinforcing the high standards of service Arabian Automobiles is known for.

Dubai’s economic stability across logistics, tourism, real estate, and finance supports sustainable automotive growth.

With car ownership in the UAE evolving beyond just new vehicle purchases, how is AAC addressing the growing demand for used cars, flexible financing, and lease-to-own options?

Customer-centricity drives every offering. Our ‘Rent to Own’ and ‘Lease to Own’ campaigns provide convenient, cost-effective pathways to vehicle ownership, particularly across Nissan and INFINITI models.

Flexible financing is a core pillar, supported by leading banks offering competitive EMI plans, deferred payments, and streamlined approvals.

Our NXT brand ensures used cars meet strict inspection and certification standards, emphasising quality, safety, and reliability.

Together, these initiatives demonstrate a commitment to modern, adaptive mobility solutions across all stages of the ownership journey.

How do you see customer preferences shifting between buying new vs. used vehicles, and what insights has AAC gathered about what today’s buyer prioritises most — price, warranty, tech, or convenience?

Customers today are empowered, research-driven, and increasingly open to alternative ownership pathways. While new vehicles appeal to those seeking innovations and design, the used car segment is growing due to value, flexibility, and reassurance.

Key factors shaping this shift include price sensitivity, value consciousness, and confidence in certified pre-owned programmes.

Convenience has emerged as a decisive driver, with transparent, secure digital transactions making the buying and selling process simpler. Investments in rigorous inspection, flexible financing, trade-ins, and predictive analytics ensure inventory aligns with demand.

Price, flexibility, warranty, aftersales support, technology, and convenience are now all key differentiators across new and used segments.

Given the UAE’s diverse and competitive automotive market, what consumer trends have surprised you the most in recent years, and how is AAC using data to adapt and stay ahead of expectations?

A defining trend is growing consumer appetite for innovation and design-led experiences. UAE customers increasingly seek vehicles with advanced technology, intelligent safety, electrified powertrains, and contemporary aesthetics.

Younger, tech-savvy drivers view vehicles as extensions of their lifestyle.

Demand for smart mobility, intuitive infotainment, and sustainable engineering is rising. Data and analytics play a central role in demand forecasting, inventory optimisation, and personalised offers.

Every touchpoint — from showroom layout to digital engagement — is informed by real-time data to ensure relevance. Sustainable mobility adoption continues to grow, supported by national policies and infrastructure investments.

Staying competitive in 2025 means embedding these priorities across the value chain in alignment with evolving customer expectations.

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