Nigeria’s Koumia.com has launched a rebate system for online shoppers aiming at rewarding online shoppers with cashback every time they visit and shop from favourite online retailers.
Founded by Abdel Aziz and his friends Patrick and Ahmed, Koumia.com aims to conquer the Nigerian market before expanding across Africa at the moment as ecommerce grows. The platform aims to generate its revenue for referring a user to a partner’s site say Konga or Jumia or DealDey who in turn pay a percentage commission to Koumia for referring customers.
Koumia doesn’t eat all the commission, it takes part of it to shoppers as a cashback for shopping through the platform, becoming the first to do so in Nigeria paying for the loyalty of customers.
Koumia doesn’t hold its own stock but aggregates products from partnering Nigerian online retailers to its website. It’s major challenge we think will be when this retailers launch their ow loyalty programmes with cashback earnings.
Because Koumia redirects shoppers to its partner retailers, it would need to build up traffic to increase its sales and commisions. A majorit of this retailers have massive marketing budgets and are more popular than Kouma and if they launch cashback loyalty earnings Koumia would easily run out of business. It would be so easy for Jumia or Konga to pay loyalty earnings via their My Jumia or My Konga dashboards.