- September 21 2023
Struggling with record inflation, Nigeria’s Central Bank postpones meeting to decide interest rates
Nigeria’s Central Bank has postponed this month’s scheduled Monetary Policy Committee (MPC) meeting that will decide the nation’s interest rates For the first time in eight years, Nigeria’s Central Bank postponed the Monetary Policy Committee (MPC), to decide the nation’s interest rates temporarily. The MPC meeting is usually held every two months to decide interest rates. It was initially scheduled for Monday and Tuesday, September 25 and 26, 2023. A statement signed by the Director, Corporate Communications, Isa AbdulMumin, said a new date for the meeting will be communicated in due course. “We regret any inconvenience this change may cause our stakeholders and the general public,” the statement read on the central bank’s website. Have you got your tickets to TechCabal’s Moonshot Conference? Click here to do so now! Last week, President Bola Tinubu nominated Yemi Cardoso as Nigeria’s next CBN governor. Cardoso is expected to succeed Godwin Emefiele, whose suspension and dramatic removal still raise legal questions. Nonetheless, the Central Bank has struggled with price stability since Emefiele’s reign as CBN Governor. Nigeria’s inflation figures have now crossed an 18-year high with the current figures at 25.80%, driven by food prices. Emefiele’s reign has caused several analysts to question the bank’s independence especially with a last minute stunt of ex-bank chief to vie for the presidency. While Cardoso’s political affiliations maybe called into question, the decision to maintain or raise interest rates in response to mounting inflation has to be made very soon at the MPC meeting. The now postponed meeting is sure to raise eyebrows over how the leadership of the CBN would be managed, especially under Tinubu’s administration. Have you got your tickets to TechCabal’s Moonshot Conference? Click here to do so now!
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- September 21 2023
Exclusive: Inside Francis Dufay’s urgent plans to rescue Jumia, the struggling Amazon of Africa
Francis Dufay has spent most of his career working in e-commerce. But as CEO of Jumia Group, Africa’s most recognised e-commerce brand, he is facing his most challenging task ever. More than a decade after it set up shop, the online retailer Jumia is still hemorrhaging money with no timeline for profitability. In its most recent earnings report, Jumia lost $167 for every $100 it earned. While its revenue from the first six months of 2023 stood at $94.8 million, it lost $63.7 million. Although its losses have reduced compared to previous years, it’s still too high for comfort. Old claims of being the “Amazon of Africa” no longer hold much value as it struggles to stay relevant in its key markets. “Our economics was not sustainable as they may have been,” Dufay told TechCabal, referring to Jumia’s operating model over the last ten years. “The priorities needed to change.” Dufay has risen through the ranks at Jumia over the last decade after joining the company from McKinsey, the global consulting firm. Before being named CEO in November 2022, he oversaw Jumia’s business in nine countries while reporting to former co-CEOs Jeremy Hodara and Sacha Poignonnec. Both executives resigned late last year, walking away with severance packages worth $850,000 each, according to Jumia’s financial report. “Today, I’m managing 11 countries [and] I get to deal with a few more topics now, but it [my promotion] was not groundbreaking [or] a major transformation of my role because I was already overseeing the majority of the business at Jumia,” Dufay said. “So that helped me to make a relatively smooth transition and quickly get into the role. And I was able to make the right decisions extremely fast.” As chief executive, Dufay inherited a struggling business that is no longer growing, putting it at risk of running out of money in a little over a year. Dufay declined to speak about his predecessors’ performance and management decisions. Jumia’s biggest challenge at the moment is cutting costs. With less than $62 million cash left in the bank account, per its Q2 2023 reports, Jumia may struggle to cover its costs. It has also lost nearly a third of shoppers on its platform over the last year as the business takes drastic changes to survive. “In the past, the focus has been fully on growth, but in a very different context where funding across the world was abundant for growth companies, which enabled many companies not to worry too much about some of the aspects of the business,” Dufay shared. Jumia benefitted from this old reality, raising over $700 million as a startup. On two occasions, it extended its runway by selling equity on the capital market as a publicly traded company. These lifelines no longer exist because of rising interest rates in the US and an unfriendly stock market. Jumia has to adjust to this reality on its path to sustainability. “We are working hard to get the right cash utilization and cost structure so we do not need to go and beg the market for new capital,” Dufay explained. Since his appointment, Dufay has implemented painful cuts across the company, including laying off 900 or 20% of employees. He is also reining in some profligacy, including forcing 60% of its top management team to work from the African continent instead of an office in the United Arab Emirates to save costs. The move to Africa will also remind executives of the operational realities in the markets they serve. The cuts have also hit executive compensation, and Dufay is likely to earn much less than his predecessors, according to the company’s annual report. In 2021, former co-CEOs Hodara and Poignonnec each collected annual base salaries of nearly $480,000 and stock option incentives worth $4 million each. However, the new CEO’s base compensation is lower, hovering around $350,000 according to his annualized pay from December 2022. At least two of Jumia’s non-executive board members have also waived all or part of their hefty compensation packages in the last two years to help the company conserve cash. Last year, the company’s board members collectively earned $1.5 million in cash and stock compensation despite the company’s staggering losses. “Of course, I’m interested in my salary,” Dufay told TechCabal about his compensation. “What matters to me is that we get back on track on growth.” Promising early days Launched in 2012, Jumia started operations on the continent from Nigeria as the West African country’s economy was on the verge of a restart. Government reforms from a decade earlier laid the groundwork for economic growth. As commodities prices, such as crude oil, soared during the Arab Spring, international economists expected an economic boom that would usher in a new and larger middle class in Nigeria and across the continent. Nigeria, Jumia’s single biggest market today, was poised to benefit significantly from the new prosperity. Thanks to a fast-growing population, many of them young, and deepening broadband connectivity, the country’s consumer internet market size expanded even before the first 4G internet services rolled out in 2016. McKinsey predicted these upward economic trends would widen the middle-class population to 35 million by 2030. The phrase “Africa Rising” captured this optimism, which defined the era while skeptics, like Standard Bank, who questioned the lofty projections about a middle-class expansion, were ignored. Jumia Q2 2023 report: Active customers decline by 1 million as company slows losses Startup investors wanted to get in on the coming prosperity. Tiger Global made its entry, backing Jobberman and IrokoTV. Other investors wanted someone to guide them as they explored the unfamiliar Nigerian market. Along came the Samwer brothers, founders of Rocket Internet, a German venture studio that copied proven American business models and applied them in other markets. Rocket Internet hired the team of co-founders that built Jumia ‘s retail operations, while the Samwer trio attracted major financiers who drooled at the digital economy possibilities in the region. Jumia took off but so did Konga,
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- September 21 2023
iPhone 15 series price in Nigeria, Kenya & South Africa
The iPhone 15 has been greeted with mixed reactions since its unveiling at the recent Apple event. However, it doesn’t mean there aren’t people who’d still love to get the variations of the new smartphone from Apple. As such, if you’re in Nigeria, South Africa, or Kenya and are eager to get your hands on the new iPhone 15, you’re in the right place. In this article, we will explore the prime retail stores and locations, as listed by Apple, where you can purchase the highly anticipated iPhone 15 models in these three African countries. Not only will we guide you to the best retailers, but we’ll also provide insights into the likely price ranges, ensuring you’re well-prepared to make your iPhone 15 purchase. Before we delve fully in, we wrote a concise review of the latest iPhone 15, you should read it. Location and likely prices to get the iPhone 15 in Nigeria If you’re in Nigeria and looking to purchase the iPhone 15, it’ll be no hassle. Once it starts selling in Africa, there are several reputable retailers across the country where you can find this popular Apple device. 1. 9MOBILE outlets – e.g – Unit G085 – G090 & G103 – G 108, Tejuosho Shopping Complex Yaba, Lagos. 2.. GLO outlets – e.g Palms Mall – Address: Suite 44, Palms Shopping Mall, VI, Lagos. 3. KONGA – online or offline walk-in stores like 78 Bode Thomas Road, Lagos. 4. SLOT – e.g 5 Akerele St, Ifako, Gbagada, next to GTBank, Lagos. 5. FINET – e.g 14 Oshitelu Street, Ikeja, Lagos. 6. WESTGATE – e.g 17, Adepele Street, Computer Village, Ikeja, Lagos. 7. SPAR – e.g 19, Awosika Bus Stop, Opebi Road, Lagos. Prices to expect the iPhone 15 variations in Nigeria Storage and some other features of the new iPhone 15 models will be the major determination of the price variations apart from shipping costs, tax, exchange rate, and other import duty costs that may affect the phones’ prices as may be advertised by Apple. iPhone 15 prices: starting from about ₦900,000 iPhone 15 Plus prices: starting from ₦1,100,000 iPhone 15 Pro prices: starting from ₦1,300,000 iPhone 15 Pro Max prices: starting from ₦1,500,000 Location and likely prices to get the iPhone 15 in South Africa For our readers in South Africa, you may find the iPhone 15 in the following stores: 1. COMPUTER MANIA – Garstfontein Rd, & De Villebois Mareuil Dr, Pretoria. 2. INCREDIBLE CONNECTION – Shop 21B Hartbeespoort Village Mall, Magalies Blvd, Schoemansville, Pretoria. 3. VODASHOP VODACARE PORT ELIZABETH – Shop G5 The Bridge Shopping Centre, Port Elizabeth. 4. VODACOM 4U PAVILLION CNR OLIVE e.g – Shop 44 Diamond, Kimberley. Prices to expect the new iPhone variations in South Africa The potential prices of the iPhone 15 in South Africa start from as follows. iPhone 15 prices: starting from about R22173.52 iPhone 15 Plus prices: starting from R27100.96 iPhone 15 Pro prices: starting from R32028.41 iPhone 15 Pro Max prices: starting from R36955.86 Location and likely prices to get the new iPhone in Kenya Kenyan consumers can find the iPhone 15 at these stores/locations: 1. ANISUMA TRADERS – PARKSIDE TOWERS – Parkside Towers, Mombasa. 3. SALUTE I WORLD -e.g Capital C – Mombasa Road, Nairobi. 4. GLOBOEDGE – WATERFRONT MALL – Waterfront Mall, Karen Road, Nairobi. 5. ZETORT – HILTON – Hilton Nairobi, Nairobi. Prices to expect the iPhone 15 variations in Nigeria Many factors can affect the price of the iPhone 15 in Kenya. However, below are likely starting prices for each model: iPhone 15 prices: starting from about Ksh171935.36 iPhone 15 Plus prices: starting from Ksh210143.22 iPhone 15 Pro prices: starting from Ksh248351.08 iPhone 15 Pro Max prices: starting from Ksh286558.94
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- September 21 2023
SRD SASSA appeal status for new 2023 payments
The South African Social Security Agency (SASSA) provides crucial financial assistance to eligible citizens through the Social Relief of Distress (SRD) grant. However, sometimes applications are denied, leading applicants to consider appealing the decision. If you’ve submitted an SRD SASSA appeal recently (January-September 2023), you are advised to check your appeal status now. Here’s a comprehensive guide on how to check it. Meanwhile, if you use Postbank, read this as the bank recently confirmed all SRD SASSA funds disbursements. 1. Go to the SASSA appeal status check portal Open your web browser and go to the official SASSA website (https://srd.sassa.gov.za/appeals/appeal). This is the primary platform for accessing information related to SRD appeals. 2. Enter your details Once you’ve found the appeal status section, you’ll be prompted to enter your South African ID number, and cellphone number, and possibly, your appeal reference number. Ensure you enter these details accurately. 3. Check your SASSA SRD appeal status After entering your information, click on “Send Pin” The system will process your request and likely send you a verification code. Once it does, enter it. Afterwards, the current status of your SRD SASSA appeal should be on display. 4. Review the outcome The system will provide you with the appeal status, which could be one of the following: Approved: Your appeal has been successful, and you will receive the SRD grant. Denied: Unfortunately, your appeal was not successful, and you won’t receive the SRD grant. Pending: Your appeal is still being reviewed, and a decision has not been reached yet. 5. Contact SASSA for further assistance If your appeal status is “Pending” or you encounter any issues during the process, it’s advisable to contact SASSA directly. They can provide additional information and guidance on your specific case. 6. Keep a record Make sure to document your appeal status for future reference. This record can be helpful if you need to follow up with SASSA or if you have questions about your SRD grant. Final thoughts on the SRD SASSA appeal status check If your SRD SASSA South Africa appeal status still reads “Denied”, you may need to re-apply. But it’s advisable to reach out to SASSA to look via any of their verified channels for support. They will tell you what you need to do differently to make your SRD SASSA application successful.
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- September 21 2023
Fixit45 raises $1.9 million to expand into East Africa
Fixit45 expansion drive into East Africa has caused the startup to raise $1.9 million to provide quality automotive spare parts, vehicle repairs and maintenance services across the continent Fixit45, a Nigerian startup that provides automotive spare parts, vehicle repairs and maintenance services has secured $1.9 million pre-seed funding. The funding is a mix of equity and working capital. FixIt45 will use the investment to scale its business in Nigeria and expand into East Africa, particularly, Kenya and Uganda. The round was backed by Launch Africa Ventures, a VC investment firm, and featured participation from distinguished investors such as Soumobroto Ganguly and Dave Delucia, along with a diverse group of angel investors. Speaking on the fund round, Co-founder & COO of Fixit45, Pankaj Bohhra, said the funding represents a pivotal moment for Fixit45. “With this capital infusion, we are well-positioned to advance towards our expansion objectives,” Bohhra said. Have you got your tickets to TechCabal’s Moonshot Conference?Click here to do so now! Per data from the National Bureau of Statistics (NBS), Nigeria, with an estimated population of 200 million, boasts over 12 million registered vehicles, of which almost 90% are imported, representing a motorization rate of just 0.06 vehicles per person. Faced with the high costs of purchasing new or imported vehicles abroad, vehicle owners are poised to upgrade and repair their existing vehicles to enhance their mobility assets and trade-in value. FixIt45 plays in this market by providing high-quality repair and maintenance services. FixIt45 and its competitor Mecho Autotech were founded in the same year in 2021. However, FixIt45 says it has an impressive network of 300+ operational workshops spread across nine Nigerian cities, including Lagos, Abuja, Port Harcourt, and Jos, serving nearly 4,000 clients. It also leverages on a collaboration with 1,200 spare part dealers to tap into the African automotive industry predicted to reach $42.06 billion in 2027. The automotive startup is also intensifying efforts in spare parts distribution via its online-to-offline platform, xparts.africa. Co-Managing Partners at Launch Africa Ventures, Janade du Plessis and Zachariah George, said the Fixit45 team and seamless experience were the key factors in the decisions to back them. “We are impressed by their unwavering commitment to excellence, compliance, and accountability. We have every confidence that the company is well-prepared to achieve its ambitious goals,” they said. Have you got your tickets to TechCabal’s Moonshot Conference?Click here to do so now!
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- September 21 2023
TechCabal Daily-PayDay in talks to sell after $3million raise
In partnership with Share this newsletter: Lire en Français اقرأ هذا باللغة العربية Happy pre-Friday! It has been a really good year for Ebanx. Just one year after its debut in South Africa, Nigeria, and Kenya, the payment company has expanded to more African countries; Ivory Coast, Morocco, Senegal, Tanzania, Egypt, Ghana, Uganda, and Zambia. It also recently made its debut in the Asian market by launching in India. In today’s edition PayDay in talks to sell after $3million raise Chipper cash wants to verify users with AI Openserve confirms Sat-3 cable repair Google’s AI Bard gets new features The World Wide Web3 Event: Moonshot Conference Opportuinities Fintech PayDay in talks to sell after $3million raise Image source: TechCabal Nigerian fintech PayDay, after securing a $3 million seed funding round six months ago, is now in talks to be sold. What’s the gist? Per a member of PayDay’s management, the company was open to acquisition before its seed funding round which was led by Moniepoint. In March, a report speculated about Moniepoint acquiring PayDay, with a journalist privately predicting a three-month deal. According to an insider close to the situation, Moniepoint had expressed their intention to acquire PayDay contingent upon specific conditions or criteria that needed to be satisfied before proceeding with the acquisition. However, the deal remained in limbo, with sources suggesting that Moniepoint’s board was not enthusiastic about the acquisition. It’s possible that PayDay did not meet the required conditions for the deal to progress as initially anticipated. Despite Moniepoint pulling out of the deal, talks to sell the company are still ongoing. Nonetheless, negative publicity may also be hindering the company’s sale. A wave of bad press: In August, PayDay suspended customer accounts to recover funds lost to fraud. Per a source, the company did not disclose the losses until a prominent blog accused them of mishandling customer funds. Furthermore, some Nigerian employees claim their salaries were slashed in July—three months after the $3 million raise, while the CEO, Favour Ori, maintained a $15,000 monthly salary. These salary reductions coincided with the departure of key employees, including co-founder and COO Ogechi Obike. Zoom out: As the company continues discussions about a potential sale, sources disclose that Ori has reduced his involvement in the company and has been working full-time at GitHub, implying that PayDay was a side hustle. Get a working card from Moniepoint With the Moniepoint personal banking app, you get reliable payments every time and a card that always works. Enjoy seamless payments powered by the infrastructure that 1.5 million businesses trust. Download the app. AI Chipper Cash wants to verify users with AI Image source: Tenor In its latest move, the African cross-border payment company has launched Chipper ID, an AI-powered suite of verification services. The feature is aimed at solving Africa’s industry-wide customer onboarding and compliance issues. A 5-in-1 suite: The suite consists of five core product areas: facial verification, document verification, Liveness, an AI system that detects authentic users, a screening bot for comprehensive compliance and a back office portal hub. ICYMI: Chipper Cash is among the few African companies to reach unicorn status.Since its launch in 2018, the company has raised a combined $300 million while recording $100 million in revenue with five million registered users. While Chipper Cash might have experienced great highs, the startup has been in the news lately for its valuation cuts and layoffs. Chipper Cash has had multiple rounds of layoffs since December last year, with its latest round of layoffs in August affecting the COO. In the same month, the company cut its valuation by 70%. Zoom out: Chipper Cash’s new feature offers a new inroad into shielding African businesses from fraud arising from inauthentic users. The feature would also help reduce the KYC gap on the continent Internet Openserve confirms Sat-3 cable repair Image source: Zikoko Memes Openserve, South Africa’s Telkom subsidiary has confirmed that the broken SAT-3 subsea cable has been fully repaired. ICYMI Last month the subsea cable broke off the coast off the Democratic Republic of Congo due to two separate rock falls in the Congo Canyon submarine. The SAT-3 cable breakage was one of three major west coast undersea internet cables that were severed in the past month. The West Africa Cable System (WACS) and SAT-3 undersea cables snapped simultaneously. As a result of the cable breakage, South Africans experienced reduced internet speeds. With all three cables being repaired, South Africans will now enjoy normal internet connectivity. Zoom out: The recent cable breakages show the need to rethink internet connectivity on the continent away from the traditional subsea cable. While subsea cables have been the backbone of internet connectivity for decades, recent disruptions highlight the importance of exploring alternatives. AI Google releases new features for its AI chatbot Bard Image source: Imgflip On Tuesday, Google revealed new updates for its Bard chatbot. What are the updates? Google has updated its AI chatbot, Bard, with the ability to access and use Google’s full suite of tools, communicate in multiple languages, and perform fact-checking. These updates are the biggest to Bard since it was widely released to the public six months ago. Bard can now also draw on information from Google’s other services, such as YouTube, Maps, Flights, and Hotels. Furthermore, Google has also taken steps to address some of the concerns that have been raised about AI chatbots, such as their tendency to generate inaccurate information known as “hallucinations”. Bard now has a “double-check” button that allows users to evaluate the accuracy of its responses, and the company has said that it is constantly working to reduce hallucinations. Lastly, Bard now supports conversation sharing, enabling one user to share a chat with another, who can then expand on the conversation. Zoom out: Overall, the new updates to Bard make it a more powerful and versatile AI chatbot. It remains to be seen how widely adopted Bard will become, but it is clear that Google is investing heavily in this technology.
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- September 20 2023
Postbank confirms full SASSA SRD grant payments amid fraud attempts
It’s some great news for SRD SASSA beneficiaries using Postbank. In a recent statement posted on the official SASSA SRD handle on X (formerly known as Twitter), Postbank has officially confirmed that all outstanding SASSA grant payments to affected recipients, stemming from the system incident on the 5th and 6th of September, have been successfully disbursed. The complex task of rectifying these payments has been accomplished, ensuring that SASSA SRD Gold Card beneficiaries who were awaiting their grant can now access them seamlessly, be it through ATMs or participating retailers. For those social grant beneficiaries with further inquiries regarding their payments, Postbank extends its support channels: Phone Call: 0800 53 54 55 Email: Reach out via PBbalancingSaswitch@Postbank.co.za WhatsApp: Message at 073 806 1631 Fraud detection by the Postbank system by some SRD SASSA grant beneficiaries The bank also in the statement noted that some individuals have attempted to manipulate the system by seeking double payments, despite having already received their due funds. Postbank wants to make it abundantly clear that such fraudulent actions will not succeed due to the robustness and high-end encryption of their systems. However, they highlight that such actions not only hinder genuine beneficiaries but also contribute to the misconception that a significant number of SASSA beneficiaries remain unpaid. Postbank condemns this behaviour and vows to report it to law enforcement agencies, emphasising its commitment to ensuring that deserving beneficiaries receive the assistance they require. Final thoughts Postbank’s diligent efforts to rectify the SASSA grant payment issue demonstrate their unwavering commitment to serving the needs of South Africa’s most vulnerable citizens. With all outstanding payments now disbursed and safeguards in place against fraudulent activities, beneficiaries can rest assured that the system is working in their favour. Meanwhile beneficiaries of the SASSA SRD grant can use any bank to receive their grant. If you want to learn how to change your banking details, read this article here.
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- September 20 2023
Exclusive: Nigerian fintech PayDay is looking to sell the company six months after $3m raise
Months after raising $3 million, the Nigerian fintech PayDay is in talks and hopes to conclude a sale of the company soon. Six months after raising $3 million in a seed round led by Moniepoint, the Nigerian fintech startup Payday is actively speaking to buyers. Favour Ori, the startup’s CEO, confirmed that PayDay is entertaining conversations with potential acquirers. “Active conversations are being had with people who reached out and expressed interest in buying,” Favour told TechCabal. In March, one publication reported that Moniepoint was in discussions to buy Payday; a journalist at that publication said privately that the deal would be closed in three months. “Favour himself leaked the news,” One source close to the situation said. “Moniepoint had issued a letter of intent to acquire Payday, contingent upon specific performance benchmarks being met. It was a matter anticipated in the near future.” But by May, there was no update about the deal. A highly placed member of PayDay’s management said the company was open to being acquired before its seed round. Despite this openness to being bought, the Moniepoint deal did not go through, with one source claiming that Moniepoint’s board was not keen on the deal. One source at a VC with equity in Moniepoint claimed that they first heard about the potential acquisition of PayDay in the media. Despite Moniepoint pulling out of the deal, TechCabal confirmed that talks to sell the company are ongoing. A wave of bad press may have complicated attempts to sell the company. In August, PayDay acknowledged that it suspended access to customer accounts after it noticed some customers had lost funds to fraudulent activities. While an employee familiar with the matter refused to disclose how much was lost, they admitted that PayDay temporarily disabled access to several accounts to recover funds stolen by people who exploited a loophole in Payday’s infrastructure that enabled currency arbitrage. “The company didn’t publicly acknowledge that it had restricted accounts until a prominent blog accused the company of misappropriating customer funds,” a source told TechCabal. As the company pushed back on bad press, it also had to deal with internal issues. A contentious salary adjustment at PayDay Current and former employees said PayDay slashed salaries of some Nigerian staff in July—three months after the $3 million raise. “They told us that it was because the company wanted to be domiciled in Nigeria and was obligated to pay its resident employees in Naira,” a current employee said. While employees expected the Naira equivalent of their salaries to align with their dollar salaries, the actual amounts fell short, amounting to 30-50% reductions. The company said the cut was necessary to adjust the wages of employees in Nigeria to the regular pay for such roles in the country. A highly placed source claimed that less than 10 of the company’s 60 staff were affected and that PayDay planned to assign stock options to the employees as further compensation. PayDay employees told Techcabal that the stock options that were promised had not materialised. The displeasure of employees was complicated by the fact that Favour, who shuttled between Rwanda and the U.S maintained his monthly salary of $15,000. “I went months without a salary before we raised it,” Favour said. “After we did, I earned $15,000, but that has been slashed to reduce the burn rate.” Those salary reductions coincided with the exit of several employees, including co-founder and Chief Operating Officer (COO) Ogechi Obike. Obike’s exit note cited a misalignment of goals as the reason for her departure. Three current and former employees described meetings in which Obike and Favour argued. “During meetings, he provoked arguments, particularly when she proposed alternative approaches different from his own,” said a company insider. The same source claimed Obike was omitted from conference calls involving service providers, investors, and other stakeholders. A source at PayDay’s management denied these claims and said that Favour often had praise for Obike, and she left by mutual agreement. Favour Ori’s shiny object syndrome Sources say that many of Favour’s decisions often came out of the blues. “There were instances when we would wake up to discover upcoming features through Twitter, and even the product team had no prior knowledge of these developments,” one person said. “At times, he would suddenly take control of the company’s social media account to respond to customer complaints.” An employee insisted that Favour’s behaviour was typical of founders in the early stages and not necessarily odd or worrisome. Several people said that Favour had a pattern of hiring top talent from renowned startups, primarily through social media. Once he had recruited them, he rarely allowed them to implement their own ideas instead of compelling them to conform to his directives, effectively stifling their ability to apply their expertise. A member of PayDay’s management who asked not to be named pushed back on some of these claims; ”The team is dealing with a lot, and everyone is stressed, the source said. “I don’t know that anyone left because they were dissatisfied.” The impulsiveness of the company’s founder was sometimes costly. Some customers lost money while trying to create virtual cards, while others could not access their accounts. “All of this happened because Favour abruptly switched from our previous Mastercard provider to a new one, with minimal to no prior vetting. As soon as the switch happened, we were inundated with a wave of customer complaints,” said an employee to TechCabal. The company claims that it has refunded all the affected customers. Lately, Favour has reduced his involvement in the company. “He is no longer as active as he once was on the company’s Slack channel, except for a few occasions when he drops messages in the engineering channel,” a source told TechCabal. A source also disclosed that while he is occupied with attempts to sell the company, Favour has worked full-time at GitHub. “Early in the year, during a team hangout, Favour showed us his Github work ID when introducing himself, implying that Payday
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- September 20 2023
Adetutu Laditan on how creators can better drive growth on YouTube
There’s few people who absolutely love what they do and where they work, and Adetutu Laditan is one of them. The PR and advertising professional is in her ninth year working at Google, where she currently is a senior product manager for YouTube. Laditan describes herself as an artist at heart, which fits her role perfectly because she gets to interact with YouTube creators and design a platform that millions of creators use. Before YouTube, Laditan worked in media strategy and sales, which she believes were integral in getting her to better understand the role she’s in now. The core functions of her role now are supporting the creator ecosystem—which she refers to as the engine of the platform—and ensuring that more users keep enjoying the platform. For this edition of Centre Stage, I had a conversation with Laditan just after she had completed a run organised by her company. We discussed the different opportunities available to creators on YouTube and how they can better use the platform. Video content is just as valuable as written content AL: I love content and I love videos. I personally believe that I learn better from watching videos than from reading books or articles. For almost every book I want to read, there’s someone on YouTube who has done a summary I can watch and assimilate in thirty minutes. The power of video excites me, which is probably why I enjoy working with all the people who create this content I enjoy so much. I’m also focused on getting more users to enjoy the value of content that creators put out on our platform. This means that we’re constantly working to lower barriers to access like data costs by working with telcos to provide more affordable data for viewers. Challenges that African creators face when using video apps like YouTube AL: We live in a time where African creators can build a global audience and get their content to different parts of the world. We at YouTube are working on our algorithm to facilitate this but creators also have a large role to play. One challenge that they typically have is not being able to properly define their unique selling point(USP). What makes me stand out? The market is saturated and it’s easy to get drowned out, which is why it’s important to recognise why people will stick to your content for the long term. After discovering your USP, you need to find how to constantly reinvent yourself. This process requires you to look at the ecosystem first and ask yourself what you aspire to be. It could be anyone—local or international. After this, you want to find a creative approach that you own while also finding ways to innovate. The second thing is the skill set. The power of the mobile phone has enabled more people to become creators. However, there’s an aspect that entails acquiring the right skill set to ensure that you shoot your videos well. Your videos need to be shot from good angles, and the sound needs to be clear. It’s also important to optimise to be found and ensure that the algorithm works in your favour. This means using the right tags and keywords. Collaboration is key for creators looking to grow and monetise A lot of YouTube creators struggle with knowing how to monetise, and the first thing they need to learn is knowing how to collaborate. If you’re at a point as a creator where you’re not making as much money, or your content isn’t doing so well, there are multiple things you can do. You can collaborate with another creator who has a great following because what tends to happen is that their community could be part of your community which can increase your own following. Collaboration is key for creators because you have a potential audience everywhere. You should actively reach out to work with other brands and creators, always. There are several ways you can make money from content. One way is direct monetisation, like YouTube offers. You can also make money from brands, product placements etc. You can begin to create your own merchandise. There is all of that opportunity. This is sometimes a challenge for creators because it can be hard to understand the business of content. Before going on that journey, think of your strategy, phase it out into different steps that you need to take and then put a holistic plan to address employee growth. Startups can do more on YouTube AL: When people think about YouTube content, they often think it’s for an individual and all companies can do is pay for ads. We need to demystify what content is. Every startup should have a storytelling approach. You have to think of ways to educate and entertain your core audience in various ways. Think of your YouTube channel as your TV channel because that is essentially what it is. As a startup, you can share stories of your entrepreneurial journey. Tell the world how you started and how you’re doing. Give your CEO an opportunity to inspire others. Talk about some of the trends you’re seeing in the market. This is an opportunity to own your narrative and develop quality content which enhances your position in the market. Now, people know what you do, and who you are and they understand why you do what you do. Content helps you drive not just engagement, but connection. Another thing is that this is a cost-efficient approach. If you successfully build your YouTube channel, you are reducing the costs of marketing because you own the channel. Marketing is not cheap, and with marketing forms like TV and billboards, you cannot measure conversions to optimise in real-time. We need more women in content creation AL: I’m passionate about how we can get more female voices to create content. Right now a lot of women shy away from creating content in certain areas because they don’t want to be seen or
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- September 19 2023
Ivorian startup, Anka, raises $5 million pre-Series A round
Anka, an Ivorian e-commerce startup with the majority of its vendors in Nigeria and Kenya, has raised $5 million in equity and debt as an extension round. Anka, an Ivorian startup that operates three e-commerce products, has raised a pre-Series A extension round worth $5 million, after raising a $6.2 million pre-Series A round last year. This brings the total amount raised by Anka to $13.5 million. The round was led by the International Finance Corporation (IFC), with participation from Proparco and Bpifrance, an investment bank. Founded by Luc B. Perussault Diallo, Moulaye Taboure, and Kadry Diallo, the startup, previously known as Afrikrea (a marketplace for African clothes and art), rebranded into Anka and added a payment (Anka Pay) and shipping product (Anka Shipping) to the marketplace by partnering with DHL and Visa. According to Kadry Diallo, the co-founder and COO, the startup has grown from recording over 700,000 monthly visits and $35 million in transactions last year to recording over 1 million visits and $50 million now. This has helped the startup grow its gross revenue from €200,000 to €3.6 million in the same period. “We have grown in terms of community buyers and sellers since last year. The more our community grows, the more processes have to be efficient. That’s why we raised an extension to strengthen our processes and build teams too,” he said. The startup will use the funding to grow its sales, technical, and product teams as it looks to grow its vendor count from 20,000 to 100,000 by 2030. E-commerce platforms are helping African fashion makers access global markets This funding will further cement Anka’s position as the most funded startup in Cote d’Ivoire and continue the wave of increased investment in francophone Africa. “Abidjan is not only a hidden gem for African startups but for the African economy in general. We have a strong economy and great infrastructure that isn’t talked about much,” Moulaye Taboure, the co-founder and CEO at Anka, told TechCabal last year. Abidjan is a hidden gem—but for how long? Have you got your tickets to TechCabal’s Moonshot Conference? Click here to do so now!
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