Corporate News
Safaricom Business general manager Sylvia Mulinge (right), Virtual
City's chief executive John Waibochi (centre) and Safaricom Foundation
chairman Joseph Ogutu toast during the launch of M-Distributr on August
7, 2014. PHOTO | DIANA NGILA | NATION
By DAVID HERBLING
In Summary
- The retail supply service automates the distribution chain and allows payments for goods delivered via the Lipa Na M-Pesa service.
- Safaricom, in partnership with a local IT firm, Virtual City, Thursday launched the M-Distributr service targeting manufacturers and distributors of fast-moving consumer goods.
- M-Distributr is an Android mobile app.
Safaricom
has launched a mobile phone-based service that allows businesses to
place orders for supplies, raise invoices for deliveries, pay and
collect returns in real time, cutting the need for bulky paperwork.
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The retail supply service automates the distribution chain
and allows payments for goods delivered via the Lipa Na M-Pesa service.
Safaricom, in partnership with a local IT firm,
Virtual City, Thursday launched the M-Distributr service targeting
manufacturers and distributors of fast-moving consumer goods (FMCG) to
eliminate use of cash in the supply chain.
M-Distributr is an Android mobile app.
The Nairobi Securities Exchange-listed telecoms
firm is banking on the app to drive earnings from M-Pesa as well as
data, by connecting salespersons in the field to the office through the
Internet.
“This will definitely help grow M-Pesa and data,
while helping companies cut down by half the time spent on processing
transactions,” said Sylvia Mulinge, general manager in charge of
Safaricom Business.
“M-Distributr automates the sales force processes;
giving companies access to real time, accurate information on
transactions in the supply chain from the agent in the field,
distributors and manufacturers.”
Safaricom said it has already signed up companies such as PZ Cussons East Africa, Reckitt Benckiser, Vivo Energy, East Africa Breweries Limited (EABL), Unilever Kenya and meat processor Farmer’s Choice.
Ms Mulinge said Safaricom had enlisted all its
dealers countrywide to the platform, allowing them to make orders for
stock such as airtime and devices online, and make payment via M-Pesa.
A one-off set-up fee of up to Sh8,000 is charged
and monthly user charges for M-Distributr ranges from Sh2,500 to Sh4,000
depending on the bouquet selected. M-Distributr is the brainchild of
John Waibochi, the founder and CEO of Virtual City.
The techie won the $1 million Nokia Growth Economy
Venture Challenge to set up his IT firm which develops enterprise
software applications specialising in agribusiness and supply chain
solutions.
Safaricom’s M-Pesa raked in Sh26.56 billion in the year to March 2014.
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