At least 90 per cent of Kenyans have bought an item online for the past 5 years with 71 per cent of them willing to spend up to Sh50,000, this according to a recent e-Commerce study by e-ENSURES Limited.
Kenya leading the world in e-commerce uptake
This means that the country’s e-commerce sector has grown 9 folds in the past five years, faster than developed countries like USA whose annual e-commerce uptake now stands at a modest 14.5 per cent.
Youthful population fueling the growth
The study which sampled a total of 515 respondents shows that most online buyers in Kenya are below 40 years with those between 18-32 years accounting for a whopping 93 per cent.
With the country’s mean age currently standing at 19 year, it means that investors coming into the country must take e-commerce seriously
Kenyans with family obligations tend to shy away from online stores with statistics showing that only 22 per cent of those married purchasing online. Singles dominates the market at 78 per cent.
Lifestyle products dominate online purchase
According to the study, lifestyle products take huge chunk of items bought online with electronic taking a majority of 45 per cent. Clothes and travel related products accounts for 20 and 10 per cent of total online purchase in Kenya respectively
Of the electronic goods purchased, smart phones accounts for 71 per cent while computers and TVs represents 11 and 10 per cent respectively. Others are music system at 4 per cent while cameras are the least at 3 per cent.
The study revealed that more Kenyans shop Tecno and Samsung phones online t than any other brand. According to the study, 29 per cent of smart phone online buyers prefer Teco, while 28 per cent of them go for Samsung. Apple and Nokia are the least at 9 and 6 per cent respectively.
Which e-commerce platforms do Kenyans use?
Jumia and Kilimal dominates the country’s e-commerce sector, with the two commanding 72 per cent of total e-commerce traffic.
However, takes the largest share with 50 per cent of total respondents having bought an item on the platform. Kilimal, which was launched in Kenya less than 5 months ago commands 22 per cent of the total traffic.
Why they shop online
Key factors driving Kenyans to online shops are prices, convenience and quality. In the study, 39 per cent termed best prices as a major incentive that send them to e-shop while 21 per cent of them are enticed by reviews.
Those who turn to online for shopping convenience are 18 per cent while 17 per cent of online shoppers in Kenya like to compare prices.
The study indicated that 90 per cent of Kenyans go online first, before visiting actual shops.
Mode of payment
Furthermore cash on delivery is the most preferred mode of payment amongst online shoppers. This mode of payment is liked by 48 per cent of online buyers while 42 per cent pay using M-Pesa service.
Debt card and online banking are the least modes of payment at 7 and 4 per cent respectively.
Those stats in the first paragraph are questionable.m