Kenya: Kapu digitizes the informal consumer and retail sector

By : Adoni Conrad Quenum

Date : mercredi, 29 mars 2023 12:20

The solution was launched by a former Jumia Kenya executive and some of his colleagues. It aims to lower the cost of living. 

Kapu is a business-to-customer platform developed by a Kenyan start-up. It allows users to shop online at lower prices. The startup was founded in 2022 by Sam Chappatte, a former executive vice president of unicorn Jumia, to help African consumers reduce living costs and save $1 billion over the next 10 years.

People spending like 40 to 50% of their household income on the grocery basket is a big problem for society, but it is also a huge opportunity … The reason we started Kapu is that we think there is a more relevant model of e-commerce that can be built to target the grocery basket, which is the biggest portion of spending for the vast majority of consumers. And if by using technology we can bring efficiency then we can have a tremendous impact on society for consumers and businesses,” Sam Chappate told Techcrunch in 2022.  

To be more effective, the solution has introduced a variety of technologies for order placing. First, users can place orders on its web platform. Apart from the web platform, they can also place orders through its Android app or on Whatsapp. To place orders through the web platform or the Android app, users need to create accounts. 

With its 1,500 relay points in Nairobi, the startup delivers orders the next day.  “Customers receive a notification from Kapu and also from the agents, to go pick up their goods. Many agents also deliver to consumers’ homes,” said Chappate.

The startup is not yet covering the entire Kenyan capital but, it already claims some 1 million orders and $300,000 saved by customers. Its app has already been downloaded more than 5,000 times according to Play Store data. After raising $8 million in December 2022, it hopes to cover all of Nairobi before entering other Kenyan cities.  

Adoni Conrad Quenum

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