Status of E-Commerce in Kenya
The internet dramatically improved in the country after the landing of the submarine cables. Since then, entrepreneurs in the country have managed to acquire ideas and apply technological innovations in creating new products and services, as well as business models. The internet has also given way to business that are based on the internet, commonly referred to as internet-based or online companies, a name that is used for a company that conducts nearly all its business activities online, since these companies are also involved physical logistic systems. The convenience that comes with activities such as online shopping in the country have gone a long way in promoting e-commerce in Kenya. There has been a witnessed allure to customers that value the efficiency and ease of buying products and services online, including tickets and travel packages. Surveys conducted in the country confirm that the promotion of e-commerce in the country has been promoted by the ease of access to universal products and services, such as clothing/shoes/accessories, books, electronic equipment, cosmetic and nutrition supplies, tours/hotel reservations, among others. Additionally, online-shops and online transactions have had a great appeal with one-third of online consumes in the country preferring sites that also have traditional brick-and-mortar stores, as well as those that allow consumers to choose products from different online stores.
Models of E-Commerce Used in Kenya
There is a variety of models of e-commerce that are most common in Kenya. The first one includes Business-to-Business (B2B e-commerce), which refers to the full extension of activities that take place between two companies or organizations, and which stand out as the most common form of e-commerce. The second model is Business-to-Consumers (B2C e-commerce), which includes retailing transactions between businesses and individual shoppers. An example includes online retailers such as Target.com and Amazon direct. Another common model is the Consumer-to-Consumer (C2C e-commerce), which includes transactions between customers. The e-commerce website serves in facilitating the made transactions. Examples of auction sites used by consumers in the country includes OLX and Jumia. For the Customer-to-Business (C2B e-commerce) model, it allows customers to sell their products and services to businesses. Examples of sites that conduct C2B e-commerce includes Monster.com and Task Rabbit. Additionally, aside from the above models, e-governance has also been a critical aspect in the country, which is an umbrella term used in referring to transactions between the government and other entities, such as business, companies, organizations, and other governments. The revolution of e-commerce is far from over, and newer models and opportunities in the country are expected to arise as internet technologies continue to develop.