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Kenyan ecommerce to register growth as data costs cuts creak out

Tuesday 1 September 2015 09:37 CET | News

Kenyan deputy president William Ruto has stressed that electronic data-related costs should be lowered in order to develop ecommerce operations in Kenya.

He has also claimed that mobile firms should reduce the cost of data bundles and that, while the cost of mobile phones has gone down, the cost of data has increased, itnewsafrica.com reports. The implementation of lower costs of data is welcome to the 99% of Kenyans browsing the internet via smartphones according to Communications Authority of Kenya Q3 2014/2015 statistics report, the source cites.

In 2014, Jumia Kenya increased sales by 900% after being in business since 2013. This success was to a large extent attributed to the Jumia mobile shopping applications that allows customers to browse, add items to cart and make payments from their smartphones which is among the company’s major strategy in the ecommerce takeover.

There are also players like OLX, Kaymu, Jovago, Hellofood, Lamudi and Easy Taxi who have tapped online to boost business operations. According to Parinaz Firozi, MD, Jumia Kenya, customers who use their mobile phones visit the website three times as often as those who use desktops and laptops. Still, Firozi notes that high cost of mobile data discourages would be customers from surfing the internet on mobile and making purchases, the source cites.


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Keywords: Kenya, ecommerce, online sales, merchants, Customers, growth, increase, fintech, regulation, Africa, internet
Categories: Payments & Commerce
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Countries: World
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