Do you guys think we have another space for a Jumia competitor?
The field is wide-open. They have a slight headstart thats all.
great
Absolutely. Anyone with good money can conquer this market just by focusing 40% of their efforts on customer service. Eliminate fraud in their system. Do physical checks of retailers to ensure they’re well stocked. Make sure stringent vetting is done to these selling on the site, make the seller acceptance process quite formal to include site visits. Just ensure all the sellers on the site are 100% genuine, a seller gets a certain number of complaints and they’re off the site. Don’t get greedy and choose to maintain say 1000 credible honest retailers than 10,000 retailers who you can’t manage.
Awesome, getting verified retailers will be the most important thing, then timely delivery.
Hey can I get a 1/4" by 5" by 24" mahogany plank sent to my house for my DIY project? See what I mean? A lot of things not available on these sites already. There is a lot of space for another competitor. We need like 6 more competitors
Sure the competition is more than you may think
What we need is more regular businesses establishing online presence. The one thing that enables most Kenyan businesses to keep making abnormal profits is lack of price discovery on the part of customers. I was once shopping for a generator at Nakumatt but decided to first check with the dealer just a few minutes away.To my surprise, what Nakumatt was selling at 40K I got for 30K from the dealer.
Jumia is a loss making company, na hizo pesa zote wamemwaga? I don’t think it’s feasible.
hizo dimensions zimekataa mdau but I get what you’re trying to say.
hata mimi nashindwa anatengeneza nini
Jumia has spent billions to market itself.
It is one of the biggest advertisers in Kenya.
It has invested in warehouses, offices, delivery cars and bikes etc.
Still, it makes losses.
Kilimall might be number 2, but its not even close to Jumia. I suspect something like a 5% market share.
Online shopping on a big scale is not for everyone. You need very big pockets.
But if you select a single product category, you stand a better chance. Avechi does that with phones.
Hell yes. A competitor with excellent customer service will beat Jumia and Killimal hands down.
Big pockets are needed, but as you have said they have spent billions to capture the market share and reduce prices for the buyer to a bare minimum, like amazon. I think for a starter with modest means that model would be suicidal.So yes it’s better to deal with a niche
even Amazon never made a single profit for almost 20 years. The biggest competitor could be safaricom’s masoko. Given their financial muscle, they need to be doing better
Masoko might be one of the biggest winners in this market for 2 reasons.
1.They have the financial muscle.
2.They have a strong agency infrastructure which can double as pick up points for the goods.
oh and lastly they have Sendy which they can /will use for logistics