TechInAfrica – There’s a growing trend in online purchasing and sale of products in Kenya. Even though only 1 % of Kenyan buy goods online, the number seems to grow as more Kenyans are now moving to digital.
According to Jumia’s statistics, 10% of smartphones are done online. Despite their lack of trust in online purchasing, they bought smartphones online which can be translated that the country is digitalizing. That 10 % of Kenyans bought a smartphone online can also mean that the e-commerce sector in Kenya is growing.
Out of the 1.2 billion population in Africa, 455 million of them are active internet users. According to Jumia, its e-commerce website was visited by approximately 100 million people last year. In spite of the high numbers, only 4 million of them are transacted.
“Kenyans are willing to buy online but the only challenge is that there are not enough sellers who have their products on E-Commerce websites. We (E-Commerce sellers) need to co-create and get our products online so that we can serve these customers,” said Sam Chappatte, Managing Director of Jumia Kenya, spoke at the E-Power Forum. He is certain that the e-commerce sector in Kenya is potential for growth.
Furthermore, Chappate encouraged Kenyan manufacturers and entrepreneurs to sell their products only so that they can reach larger customers. This effort is supported by Jumia’s plan to open hubs outside Nairobi, thus, SMEs are able to put their products online and entrepreneurs can eventually venture into e-commerce.
Another benefit to getting from e-commerce is that online products are actually way cheaper than those at a physical shop. While you need to put extra capital in setting up a shop, in e-commerce you just need a warehouse to store your goods/products. Moreover, e-commerce websites are usually providing deals and discounts for the growing market and they are reduced as the e-commerce play a more significant player in the market.