Namibian logistics start-up making strides

Jabu, a Windhoek-based business-to-business tech start-up that aims to empower the informal market of Southern Africa, recently announced a N$236,4 million Series A investment, led by Tiger Global, into the business. This comes after the company secured a N$50.6 million investment in 2021. This substantial push allows the e-commerce company to continue its impressive growth and expansion.

As great as that sounds, you might find yourself asking, “what does Jabu actually do?” Jabu offers a revolutionary platform on which shop owners across Southern Africa can easily order, source and stock their products. In short, the company offers a solution for both ends of the logistics chain. It connects leading brands with a large and wide-ranging network of retailers on the subcontinent. Through their app and logistics operations, Jabu sells fast-moving consumer goods (FMCG) and operates the last mile of distribution. While at the other end, small retailers, bakeries and bars can easily order and source their stock through Jabu’s app and e-commerce solutions allowing business owners to save money and even receive free sameday delivery. Where in the past these retailers had to take time out of running their businesses to source, purchase and find a way to transport the products they sell, they can now simply use their mobile phones and the Jabu app.

The company in particular aims to provide an easy techbased solution for the informal sector and small businesses in undeveloped areas to order, stock and receive supplies.

Jabu was founded by David Akinin in 2020 in an effort to fix Namibia’s inefficient and struggling supply chain and distribution to small retailers. Since then the company has grown into a large platform that connects over 6 000 retailers to local and international suppliers such as Namibia Breweries Limited, Bokomo, Coca-Cola and Namib Mills. It currently operates in five Southern African countries with its Namibian arm operating a fleet of vehicles along with eight distribution centres.

Jabu is able to sell products at good prices. According to the company, they can do that because they negotiate with the various brands as well as reduce their own margins to assist shop owners.

The next step for the company is to solve payment and cash issues currently faced by their customers, by engaging the Bank of Namibia and the Bank of Zambia to launch a payment wallet as a stand-alone product.