Based in Nigeria, One Kiosk is a startup that is leveraging geo-location and machine learning to link owners local retail outlet with potential customers
These days, owning a physical store is not enough to drive sales of products and services, especially when targeted customers cannot locate you. Giving that this is a persisting problem with a majority of businesses and online vendors in Nigeria, One Kiosk seems to have found a way around this.
Founded in 2019, One Kiosk’s main target are the informal retailers and “mom-and-pop stores”. The Startup helps in contacting online users based on location while providing them with sales data which enables them to access credit lines from partner financial institutions.
Downloading the One Kiosk app; users can, thereby, locate all every retail store easily without having to ask around. Not just that, users will have the opportunity to search by category. for instance, if a user is in need of grocery or electronic appliances, there is a filter option that allows you to locate a store that sells a specific product.
According to a reliable source, the digital platform was successfully built on a combined experience from major players in the industry including Stanbic IBTC, Andela and Proville, and” hopes to become a leading e-commerce solution by targeting excluded areas of retail.”
Speaking about the platform, One Kiosk’s Chief Executive Officer (CEO), Adeshina Adewumi, said that, “the informal retail space has been left out of the value chain of e-commerce in Africa for too long.
“But previous e-commerce models did not fill the infrastructural gaps in Nigeria and Africa. This has led to the shutdown of most e-commerce solutions in the past.” Adewumi added.
While One Kiosk is considerably the future of e-commerce, the startup has been able to onboard no fewer than 14,000 merchants barely a year since it launched in July 2019. The platform have also seen an overall transaction valued at approximately US$50,000. Currently, the startup has left the shore of Lagos which used to be its primary focus, to expand to other States in Nigeria.
“Our system has been deployed from day one to scale into any country with little modifications…as of today any vendor from any part of the world can list on our platform. The only issue would be around settlement since we currently only accept a settlement for Nigerian banks. We however look forward to penetrating South Africa, Ghana, Egypt and Kenya within the next 3-5 years.” Adewumi explained.
Making money on the platform does not require any mathematical explanation as it is simple and transparent; according to the startup, profits are made through commissions on transactions that take place through its platform, although the company is reportedly planning to introduce a subscription plan once it fully populates its merchant base.
“The merchants who wish to appear top based on each location they own a store would have to pay a premium monthly fee, in addition to other data we would provide them to position their stores and inventories,” Adewumi said.
Also worthy of note is that the startup, until now is yet to receive any form of funding from investors, although, it claimed to be in talks with a couple of potential investors considering that the business model has been proven to some extent. Of course, due to the stigmatization against the e-commerce sector in general, funding the startup may pose a bit of challenge, however, Adewumi is hopeful of what may.
“Once they hear “e-commerce” they instantly block you off. However, most VCs who at first refused to hear us have now begun to engage once they get to understand how this model works,” he said.