Sendy, a logistics solution provider, has rolled out a digital application dubbed Sendy Fulfilment to help small e-commerce businesses deliver consumers’ orders conveniently and at reduced cost.
Chirs Nyaga Sendy, Fulfilment General Manager, East Africa, noted that small digital enterprises find it costly to take goods to the consumer, saying sometimes the cost of transport is higher than the price of the item being delivered.
The platform, which was launched last month, is increasingly gaining traction and now boast more than 100 sellers. The firm has been making more than 100 deliveries daily.
Mr Nyaga said delivering some items ordered online make “little economic sense” and this forces the customer to pick it from seller’s premises.
“This is the problem we are now in to solve by providing that last mile service to these businesses at a cost-effective price,” says Mr Nyaga.
After the seller has uploaded their products on the app, which is available on playstore and appstore, the buyer will be able to make orders and thereafter the seller will then make a request for the consignment to be picked from them through the app. Sendy will then dispatch their riders to pick the consignment and take to their fulfilment facilities.
“We are charging the sellers 13 percent of the value of their items. This will cover the storage, picking, packing all the way to delivery,” he says.
The main fulfilment hub is on Waiyaki Way, Nairob, but there are other small centres, which will act as pickup and drop-off points. The centres are found at the city centre, Westlands, Ngong Road, Rongai, Thika, Mombasa Road, and Eastleigh.
“The items will be kept in our consignment stores. What is needed is the customer’s name, their phone number, and their delivery location to complete the order,” Mr Nyaga said.
“The seller will be able to track when a new order is made to when it is delivered to the customer. Orders completed and their history on a real time basis is also recorded.”
Once the buyer makes an order through the app, they automatically receive notification through email immediately the order is confirmed. They can then click on the sent link to view the status of their order. On the app, they can determine whether the order has been placed, delivery prepared and a rider has arrived to collect the order.
Mr Nyaga adds that the customer has a choice to request for delivery either at their doorstep, where they work, or at Sendy stations near them.
“They will then be able to track the rider digitally and not through calling them on phone. After delivery, the buyer can rate the experience or leave some comments,” he states.
Mr Nyaga estimates the market to be huge with at least 110,000 deliveries happening everyday in Nairobi.
Right now, he points out that they are concentrating on Nairobi, where the biggest chunk of the market currently is, but have also begun venturing into peripheral areas like Rongai and Thika.
Sendy targets to have rolled out the product to the rest of the country in the first quarter of next year where the small e-commerce businesses also have clients and are unable to fulfil their orders.
Mr Nyaga points out that Sendy will provide storage for the items within their consignment facilities then when orders come in, they are packed and delivered to the buyer without any reference to the seller.
He adds that the sellers currently have to pay for storage, and then when the order is received, they still have to figure out how that item will go from their stores to the buyer.
“But with us, what the seller needs to do is just generate the orders. Those with e-commerce sites have the option to integrate the same with Sendy so that they are also able to see the orders,” notes Mr Nyaga.
“It will address a lot of the issues they face so that they can focus on their real business, which is generating orders.”