Sunday, April 28, 2024

The Growing Digital Market in Kenya

The second largest and second most populous continent in the world, Africa, is home to a country with incredibly rapid growth, Kenya. The country is at the very center of the digitalization and overall expansion of the continent.

Large powers in the world, often underestimate the African economy and the possibility of progress and advancements. However, countries like Kenya prove on a daily basis that growth and mass digitalization is possible. With proper management, it is becoming a market where Western countries need to invest more and help build a robust society for future economic growth.

Ostatech, IEC Telecom & Thuraya Bolster Digitalization in East Africa

Africa’s average internet penetration of 27% back in 2017, has now grown to 43.1% in 2022. According to Statista forecasts, there are around 565 million internet users in 2022, which is 6 times more than in 2010. And by 2025, it is predicted for this number to go as high as 700 million internet users.

With the installment of the TEAMS fiber-optic cable back in 2009 a new chapter began in Kenya. This provided improved, faster, and cheaper telecommunications access for Kenya’s citizens. The country did not waste any time taking advantage of the digital revolution.

In Kenya, there are 23.35 million internet users in 2022. According to Kepios, the number of internet users increased by 1.6 million between 2021 and 2022, which is +7.4%. By January 2022, there were 11.75 million social media users, a 6.8% increase between 2021 and 2022.

This number might seem high, but there are actually 58% of Kenya’s population that remains offline as of the beginning of 2022.

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Cheaper and easier internet access has enabled the utilization of mobile devices in Kenya. The usage of this resulted in rising digital services, such as online retailing and digital marketing. With this rapid growth, reputable international logistics and postal services were drawn into Kenya’s bigger cities: Nairobi, Mombasa, Nakuru, and Kisumu.

The rapid increase in incomes and the ever-growing population only added to the need for products and services. With this, the online presence of small and big businesses is getting larger by the day. Smaller businesses now have a more secure way of promoting their products and services via social media platforms and digital marketing, rather than traditional marketing outlets.

The Kenya Open Data Initiative opened a lot of doors to the advancement of the digital world. The opening of public data encouraged emerging entrepreneurs to develop new apps and businesses in the country. With that, digital services exploded. The digital service market was expected to grow from $2.34 billion to $5.15 billion in 2022. Led by PaaS offerings, the FinTech services, and the cloud computing market rose significantly.

Subsequently, people became more digitally literate and advanced. Now, even international companies look for outsourcing possibilities in Kenya. The country provides highly competitive freelancers and independent contractors that seemingly contribute to the digital service market. Gustav Andersson, Founder at AWISEE is employing talent in many regions, one of which is Kenya. Confident and satisfied with the employees, he is looking forward to sourcing talent further on and upgrading the digital experience to another level.

Kenya has moved forward from traditional marketing to the new modern, digital marketing, and with that, it gave rise to the data-driven insights and the progress that comes with it.

If you are interested in taking advantage of the tech and digital revolution in the country, make sure you set up a meeting with the digital experts at Awisee. The company would help in exploring new, maybe unfamiliar markets for your business and help you grow internationally.

 

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