Jumia has opened up its logistics arm to external clients for deliveries in a bid expected to help it cuts its operational costs and grow its revenues.
Jumia has one of the largest logistics networks in Kenya, which it uses to support e-commerce & express Jumia Food deliveries. By opening up its technology, expertise, and logistics to third parties, Jumia aims to help grow the e-commerce industry in the country and across Africa at large.
“Businesses across the country are re-examining their costs, especially during COVID-19. For many, logistics is a major cost driver & headache to manage. At the request of our partners, we are opening up our logistics arm for B2B & B2C deliveries – with the hope that we can provide a better quality of service, at lower cost”, said Jumia Kenya CEO, Sam Chappatte.
These services include Next Day delivery to all major cities, Same Day delivery in Nairobi & cash on delivery services at competitive prices.
Jumia’s logistics network is a collaboration of dozens of logistics entrepreneurs across the country including small players, individuals, firms and big players like POSTA and Wells Fargo with thousands of bikes, vans and hundreds of pick up stations.
“This move is good news for these partners – as it will drive more volume through our network & to them.” added Chappatte.
The service will cater for business-to-customer (B2C) and business-to-business (B2B) type deliveries. Customers will have the option of dropping off their parcels at Jumia drop off centers in Nairobi or have the company collect from their locations.
Jumia recently launched Jumia Advertising Services, its online platform to brands and corporate organizations in Kenya to use for advertising.
According to the company’s CEO, Sam Chappatte, the platform is expected to help brands to reach highly targeted segments, right at the moment of purchase.
“20% of active internet users in Kenya are on Jumia each month. We know our customers well – what they shop, how much they spend, etc – and can use this to present relevant adverts to them. This can enable our customers to discover relevant products & services, and will become a powerful digital marketing channel for advertisers,” said Jumia Kenya CEO, Sam Chappatte.
The firm also appointed Kenneth Oyolla as its Chief Commercial Officer (CCO) to drive commercial success. Oyolla has worked with IPS Group Limited, Unilever, Nokia, Microsoft and Multichoice among others.
The firm also launched JumiaPay to facilitate the payments of online transactions for Jumia’s ecosystem. JumiaPay will also be giving loans to its vendors.
“We have piloted this program over the last months, and believe the service is relevant for both medium & large businesses to reach fragmented customers, or for smaller businesses or individuals to do social commerce selling – instagram, facebook, etc”, concluded Chappatte.
Businesses interested in Jumia Logistics Services can visit the website & register interest at the bottom of the page. New clients will benefit from Free first 10 deliveries within Nairobi to test the service during Jumia Anniversary.
Jumia is set to announce its 8th anniversary-themed: Jumia na Jamii,Stronger Together slated to hold from June 22nd till July 5th, 2020.