The Kenya Pilot Project

Kenya has one of the most vibrant e-commerce ecosystems in Africa and will serve as the perfect test market for Baw Bab’s disruptive business model.

The Kenya pilot project in Nairobi is an opportunity to demonstrate the capabilities of Baw Bab’s ecommerce marketplace platform in a market that has had a steady growth in their GDP and is representative of the other cities targeted for expansion.

In 2019, only 5% of business in Kenya is done online. By 2024, the Kenyan e-commerce market is expected to reach a volume of $2.0 billion.

Africa has a large userbase of mobile financial services, indicating opportunity for growth of e-commerce.

There are already 122 million active users of mobile financial services in Africa. Africa's region is currently responsible for an astonishing 45.6% of mobile money activity in the world—an estimate of at least $26.8 billion in transaction value in 2018 alone—excluding bank-operated solutions.

 

E-commerce is already popular among millennials, cities, and for certain products.

Data from Jumia Kenya from September 2019 shows that the largest group of e-commerce shoppers is 25-34 living in larger cities such as Nairobi. The top three products on e-commerce are; FMCG (Fast Moving Consumer Goods, like household items), Electronics, and Fashion.

 A pilot project is an excellent risk mitigation strategy to rapidly learn what is working, what is not and to make an adjustment based on the attainment of key performance indicators. A successful pilot will inform the refinement of our business strategy.