Home Business OLX Closes Shop in two Major African Markets, Kenya...

OLX Closes Shop in two Major African Markets, Kenya and Nigeria – Sites Unsustainable Business

Ever wondered how olx makes it’s money if at all everything is free? Well as it turns out, you might have not been alone. Once a one stop for anyone who wanted anything from anyone in Kenya is finally calling it quits at least from two major African markets; Kenya and Nigeria. OLX which allows visitors sell and buy stuff without asking for a commission like many platforms out there, mainly gets its revenue from contextual adverts as well as premium listings which are placed at strategic positions for more visibility to potential buyers.

OLX acquired a once popular e-commerce site “dealfish” back in 2012 with hope on capitalizing to the growing thirst for e-commerce solutions in the region. It prides in simplicity and reliability, something many platforms have struggled with. Other sites offering similar service include pigiame and dealkenya.

Verifiable information from the company indicate that staff have already been served with a termination notice starting in March while senior executives will leave somewhere in April. OLX model is abit complex with no clear ways of revenue generation unlike jumia which charges a commission from sellers for every product sold through their platform. In addition, jumia has more control on the type of ads put on their platform as most retailers usually need to first have a contract in place to be allowe on the platform.

LEAVE A COMMENT

Please enter your comment!
Please enter your name here

Itel unveils S16 series with a 6.6-inch display and 4000mAh battery during brand launch

Itel on a mission to boost its brand in Kenya and the continental Africa, has unveiled a range of devices in the...

TikTok, WeChat will be unavailable in the US app stores starting this Sunday 20th 2020

Looks like Trump is making good on his promise after all, after the US department of Commerce announced its intentions to restrict...

Expect PS5 in Kenya from November 2020, here is what you need to know before buying

Sony has finally put a price tag on its next gen gaming hardware – the Play Station 5, and we also know...

OPPO set to unveil OPPO Reno4 and OPPO Watch in Kenya, here is what you need to know

OPPO is planning to officially unveil the much anticipated Reno4 in Kenya on the 21st of September 2020. The launch event is...

How to transfer money from your I&M Bank account to MPESA using a USSD code on your phone

I&M Bank has a USSD service that allows customers to easily send money from their bank account to an MPESA registered user....

Apple unveils Apple watch series 6 with capability to measure blood oxygen level

Apple has officially announced its next sequel on the Apple watch lineup featuring a blood oxygen level measurement capability with design cues...

Global report by PwC shows digital factories taking lead in shaping manufacturing

A report by PwC has revealed how various industrial companies are investing in digital factories with a reported 6 percent having fully...

Huawei Y9a expected to launch in Kenya, packs a 64MP Quad-camera setup and a 6.63 display

Huawei mobile has announced its bringing the Y9a in Kenya, beefing-up it’s already popular lineup of the Y – series in the...