Kenyans spend more than Sh10 billion in online shopping

Kenyans have spent more than Sh10 billion in online shopping in the last two years, a new survey shows.

According to a global marketing research firm AC Nielsen there is a big shift from buyers visiting the brick and mortar stores (buying over the counter) to shopping through online forums like OLX, Jumia and Facebook.

OLX Country Manager Peter Ndiang’ui says over two million people visit their online site every month to buy or sell everything from electronics to household items.

Studies have shown that most young people go online to either buy or sell unused products like laptops, home and office furniture, clothes, shoes, television sets, audio and video machines, phone accessories, books, CDs or DVDs, art collections among others.The fastest-moving goods on the OLX online platform are electronics, phones and home appliances.

The growing popularity of second-hand items has led to a decline in the value of unused items in homes in the past one year, making the owners head to online platforms to want to dispose them of.

A recent consumer research survey showed that there is a 37 per cent drop in the value of unused household items from Sh158 billion in 2014 to Sh115 billion this year.

Ndiang’ui says the increased Internet penetration has contributed to popularity of online marketing and shopping. “We connect buyers with sellers by providing a forum where everybody wins,” he says.

Young people are also increasingly using their smart phones to search the Internet, a factor which has also contributed to rise in online shopping.

Dennis Kiplagat and Jeremy Mwarandu, both university students, say they prefer selling and buying through online platforms. Kiplagat deals in second hand laptops while Mwarandu sells clothes.

“I specialise in girls’ stuff which I sell to university students. University students are crazy about fashion so anything trendy and affordable sells. This side hustle helps me pay my bills,” says Mwarandu who operates a clothes shop on Facebook and WhatsApp. Kiplagat on his part uses OLX to sell his merchandise.

“I buy used laptops on OLX and sell on the same platform. I have been in the business for close to two years. Within that period, I have sold between 50 to 60 laptops,” says Kiplagat.

Mr Ndiang’ui also reveals that more people are now marketing, buying and selling farm inputs, machinery and even livestock, which were traditionally sold in the market.

Sylvester Bett, a farmer, says he sells his cows online. For close to three years now, he has been using online platforms to search for interested buyers. This direct selling has enabled him eliminate brokers and increase his profits.

“I have sold a cow at Sh120,000 using online platforms. If I was to take it at a local market it would have fetched Sh80,000.Because of the vast market online, one gets several offers,” Bett says.