World Economic Forum: Kenyan startup company is going global
Updated 16:55, 09-Jul-2019
The world has become more connected due to technology, and moving goods from place to place is now much easier. A Kenyan startup, Sendy, is doing just that for fast-moving consumer goods and E-commerce companies. CGTN's Peninah Karibe tells us more.
PENINAH KARIBE NAIROBI, KENYA "Technology has transformed the way we do business. With companies such as Uber and in the case of Kenya, Mpesa, the mobile money transaction app, it is now increasingly easy to do business. And joining the fray is Sendy, a Kenyan startup company that moves goods across East Africa. How does it work? Very simple."
Download the Sendy app, key in location of the pick up and destination of the goods, choose the vehicle you prefer and make your payments.
All this is coordinated from here, Sendy headquarters in the heart of Nairobi, Kenya, from motorcycles, to pickups, vans or trucks, depending on the size of your load, it will be delivered.
MESHACK ALLOYS CEO, SENDY "So this started in 2015 and the need was when you look around especially in terms of transport providers in the region they are small and fragmented so they own like 1 to 5 vehicles and there's no single company that has a huge fleet across the region so this is super super inefficient and makes it very difficult for fast-moving consumer goods companies to be able to transact with them. So we saw the need of consolidating this service providers instead of going by the roadside to actually be able to transact with them we bring them online and get that information to the customers, these fast-moving consumer goods companies and the E-commerce companies in order to be able to transact with them."
They started with motorcycles and as trust amongst their customers grew, they added other means of transport such as containers.
PENINAH KARIBE NAIROBI, KENYA "It's the first startup of it's kind in this region, Sendy has taken advantage of the big East African market and is now venturing into West Africa. It just recently opened up an office in Nigeria. As the company scales up across the continent, its staff diversity too has grown attracting talent from across the globe."
MESHACK ALLOYS CEO, SENDY "The challenge has been getting good talent that can be able to adopt this new business model that we are running, getting data engineers, getting data analysts, including engineers to build the company coz we are a technology company. We don't own any of the assets. So basically, our asset is building the technology to bring that efficiency so that has been a huge challenge."
Their services have been packaged to favour their customers with insurance cover for the goods and a tracking service that allows the client to monitor the movement of their goods regardless of which country they are in. As for competition, Sendy says it is not too worried about that.
MESHACK ALLOYS CEO, SENDY "Our competitors, the market is huge. This is a 200-billion-dollar market across Africa. If you look at East Africa, it's a 15 billion dollar market, it's still pretty pretty huge. And our competitors are basically the guys who sit at the roadside who wouldn't want to join our platform so it's a challenge for us to make sure we are building the incentives and value to make them join our platform."
Developments around the continent, such as the opening of borders between countries as is being effected by the Africa Continental Free Trade Area, can only present new opportunities. Meshack and his team see the continent and world as a playground, and technology has enabled them to play.