Online retailer Sky.Garden has relaunched following a Kshs 250 million buyout by the Lipa Later Group.
The Lipa Later Group-backed investment in Sky.Garden has revamped its platform to introduce new features in it’s Ecosystem and aspires to connect 100,000 merchants in the next year.
The relaunch coincides with the rapid expansion of e-commerce markets in Kenya and other African countries, driven by factors such as increased internet penetration and more affordable data costs.
By The Numbers
Globally, social commerce is expected to grow three times as fast as traditional commerce to $1.2 trillion by 2025, up from $492 billion currently. Growth is predicted to be driven primarily by Gen Z and Millennial social media users, accounting for 62% of global social commerce spend by 2025. Social commerce is poised to take a large chunk of the e-commerce market as consumers gravitate to shopping on social apps.
Growing internet access is expected to boost the African e-commerce market in the upcoming years. By 2030, the internet penetration in the region will reach an average of nearly 70%, according to Euromonitor — a considerable jump from 45% in 2023. Most of the access revolution is due to mobile connectivity with 83% of the African population currently covered by a mobile broadband network, according to GSMA.
Digging Deeper
Sky Gardens is also introducing products such as Sky.Tickets, Sky. Logistics, Sky. Commerce, and Sky.Wallet. Sky.Wallet will offer tailored solutions, empowering merchants with access to financing, real-time transaction monitoring, direct bill payments (including utility bills and salaries), seamless deposits and withdrawals to Mpesa or Bank, and the ability to open a bank account.
What They’re Saying
On his part Lipa Later, Group CEO Eric Muli emphasized that this investment is set to have a twofold impact, empowering both businesses and customers. “Our group vision is to be a commerce catalyst for businesses and communities across Africa. We firmly believe that local ownership and operation are essential in understanding the needs of our people, contributing to the prosperity of our nation, and forging a true connection with our community. This local insight has empowered us to bring the vast world of e-commerce closer to Kenyans while simultaneously creating opportunities for local entrepreneurs and merchants to thrive.”
Juliet Wanjiru, Head of E-commerce Sky.Garden said, ‘Today marks a significant milestone in the evolution of Sky.Garden, as we embark on a transformative journey to enhance and broaden our offerings for both merchants and customer communities.’
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