E-commerce platform Jumia has unveiled a groundbreaking report titled "E-Commerce in Rural Areas," shedding light on the transformative potential of online marketplaces in underserved rural regions.
The report emphasizes how e-commerce platforms can provide unparalleled opportunities by granting access to millions of products and generating employment opportunities.
According to the report, beauty, home (including furniture and bedding), phones and TV are the leading categories currently in demand among rural customers across Kenya.
The convenience of Jumia's platform, coupled with its competitive prices and wide range of products, emerged as the primary reason for rural consumers embracing online shopping.
Charles Ballard, CEO of Jumia Kenya, expressed his pride in bringing a modern and convenient shopping experience to customers in small Kenyan towns, granting them access to an extensive selection of products otherwise unavailable locally.
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"Jumia's development in peri-urban and rural areas of Kenya also demonstrates our commitment to driving economic growth and improving lives through the Internet," Ballard stated.
The report further emphasizes the pivotal role played by JForce, Jumia's extensive network of over 25,000 independent sales agents spread across the country.
These agents actively raise awareness within local communities, inform customers about Jumia's offers, and assist them in placing orders on the platform.
The presence of JForce agents has significantly contributed to the growth and adoption of e-commerce in rural areas, thereby fostering economic development.
These agents enjoy the freedom of being their own bosses and earn commissions based on their sales on the platform.
They also assist rural consumers in placing online orders, which are subsequently delivered within 2 to 4 days to local Pick-Up Stations, where customers can collect their purchases.
The head of logistics at Jumia Kenya, Chris Nyaga, has hailed the transformative power of e-commerce, emphasizing its ability to level the playing field for consumers across different regions.
"E-commerce enables all consumers to purchase products at the same price, regardless of whether they reside in Nairobi, Meru, or Lodwar. Over the years, delivery costs have substantially decreased, with the average delivery cost to rural areas now standing at approximately Sh300, depending on the item's size. Pick-Up Station deliveries have played a significant role in reducing prices and minimizing environmental impact," explained Nyaga,"
Moreover, Nyaga identified Eldoret, Nakuru, Kakamega, Kitale, and Kisumu as areas displaying the most promising consumer demand.
These regions are witnessing a rapid adoption of e-commerce, indicating the growing appetite for online shopping among both rural and peri-urban communities.
With a physical presence across the country through over 350 Pick-Up Stations, Jumia has expanded its network of rural Pick-Up Stations to cater to the needs of rural consumers effectively.
Collaborating with more than 45 local logistics partners, the company has ensured streamlined supply chain operations, enabling competitive and timely delivery options to these rural areas.
The report showcases Jumia's unwavering commitment to driving sustainable growth, empowering communities, creating job opportunities, and bridging inequality gaps.
By harnessing the power of e-commerce, Jumia continues to revolutionize the retail landscape in Kenya, especially in rural regions, where access to a wide range of products was once limited.