Glovo, the on-demand delivery company, is set to launch in Eldoret and Kisumu towns this month, as part of its strategy to serve all major towns in Kenya.
The firm has already partnered with KFC, Java and Naivas and Carrefour Supermarkets in these markets. The expansion in Kenya follows Glovo’s launch in Kampala, Uganda in October.
In a statement, Priscilla Muhiu, the General Manager for Glovo Kenya said: “We are very excited about the launches in Eldoret and Kisumu, which represents a key part of plan, to bring our world-class delivery service to as many potential users as possible.”
The expansion in Eldoret and Kisumu shows Glovo’s intent to link its customers to an ever-expanding portfolio of outlets.
Unlike SafeBoda which is majorly a transport app, Glovo is a lifestyle app with all urban services available easily through its application. Glovo offers services such as food delivery, groceries, pharmacy, desserts, courier and everything you can think of.
The firm has also launched its Q-Commerce arm that will see users buy anything and have it delivered to them quickly. Last year alone, Glovo raised an undisclosed amount from Softbank’s Vision Fund and another $300+ million in May and December for expansion. We believe the Kenya expansion is part of this play. This year, Glovo sold its Latin American operations to Delivery Hero for EUR 230 million ($272 million). With all the cash, Glovo aims to reach the critical mass in Kenya then think of profitability and cut its expenditure.
By going local, Glovo will spend much on customer education and awareness as well as customer acquisition. Training will also be a large part of its work and the firm might consider getting into partnerships for smartphones and data for its riders. Just last month Glovo added Ngong and Rongai towns to its routes.
To drive its local expansion, Glovo recently appointed Priscilla Muhiu as its new GM for Kenya taking over from William Benthall who was promoted to GM Sub-Saharan Africa.
