Covid sees intense mobile commerce innovations targeting micro consumers

The onset of the pandemic and its effects like the lockdown has seen an increase in innovations in mobile commerce targeting especially the massive consumer market at the lower and mid-tier of the digital space.

One of these mobile commerce innovations is Copia which believes the East African Community with nearly 200 million consumers presents a strong base.

Copia is  service  targeting the African mass consumer market, as well as the unbanked and unconnected consumers who live in hard-to-reach areas, where formal retail does not access today.

Today, Copia’s mobile commerce platform combines with a digitally enabled, locally-based network of intermediaries who operate as ordering and delivery points for products.

After an order is placed, Copia sends an SMS order confirmation to both the agent and the customer and in two days, Copia delivers the products to the agent for customer pick up.

Consumers can then pay for purchases through cash or mobile money solutions.

A statement issued by Copia, indicates that “Low internet penetration, poor road network and infrastructure deficit were among the hindrances identified to forestall m-commerce success in its early days in Africa. While internet penetration is growing fast and driving online activities among the people in Africa, the road infrastructure needed to get items delivered at sub-hub locations are not growing at commensurate proportion.”

“Though m-commerce brands like the market leader, Copia are tackling consumer issues and have the potential to turn a previously underserved population into globally empowered consumers.”

John Walugembe, the Executive Director at the Federation of Small and Medium Enterprises in Uganda describes Copia as a game changer.

“It will help a lot of businesses to ease their operations. There are no marketing costs but also easier access in reaching the last mile customer. You don’t even have to maintain a physical shopping space. We only hope that vendors do not send consumers goods that do not meet their specific requirements, “Walugembe says.

Copia is just one example, amongst other giant companies in Africa, of how agent powered businesses are embracing the same business model to provide quality products and services but at very affordable consumer prices.

These companies are extending retail services to small towns and remote populations, where there is a limited choice of goods or services available.

Grace Zahura, a businesswoman in Kikuubo, says that congestion within the Central Business District and the increased need to comply with social distancing as a standard operating procedure against the Covid-19 will motivate her into use of such mobile commerce platforms.

“Increasingly we are sending our retailers goods of their choice for onward selling in the suburbs through boda bodas but sometimes other products are brought back because their earlier choices could not have been clear. With a digital commerce platform such as this one, life will get easier,” Zahura observes.

In July 2021, Copia expanded its operations into the Ugandan market, in what is seen as a major expansion drive to bring their services to millions of Ugandans.

“With digital commerce, margins of error in choice, quality and volumes of items being sourced are always very narrow if any. Not many consumers are returning goods that they have procured via online or digital platforms. Copia could deal with the cost of movement for the goods or service, which is a key incentive for consumers and will be good to go,” says Bob Muganga, a digital expert.

According to the digital commerce service provider, the timing is fortunate for Ugandans given the vast need for Copia’s mobile commerce service, deemed an essential business that can continue to operate day and night despite the worsening pandemic.

“People can access all the goods they need to run their households while remaining safe and healthy, a way from large towns and markets.”