Jumia and Watu Credit Partner to Make Smartphones Affordable in Kenya

Addressing Smartphone Affordability in Kenya

The efforts to make smartphones more affordable in Kenya have taken a major step forward with a recent partnership between Jumia, Africa’s leading e-commerce platform, and Watu Credit, a pan-African financing company. This collaboration aims to provide flexible payment options to Kenyans, opening up access to premium smartphones that were previously out of reach for many. Customers can now spread the cost of their smartphone purchases through daily, weekly, or monthly installment plans via mobile money, significantly lowering the barriers to ownership.

A Smart Blend of Technology and Credit Solutions

This innovative initiative incorporates Watu Credit’s IoT-enabled lending model, ensuring sustainable credit practices while empowering buyers. Under this system, if repayments are missed, the smartphone is locked, incentivizing responsible borrowing. Since 2022, Watu Credit has financed nearly two million devices in Kenya, and this partnership will further boost smartphone adoption by making popular premium brands, like Samsung, accessible to a wider audience.

Bridging Kenya’s Digital Divide

With smartphone penetration nearing 80% in Kenya, a significant portion of the population still relies on low-end devices because of cost constraints. This new program addresses that challenge. Reliable smartphones can play a transformative role in income generation, education, healthcare access, and digital literacy. For small entrepreneurs, students, gig workers, and families, owning a smartphone means greater participation in Kenya’s rapidly growing digital economy. By enabling more people to own premium devices, Jumia and Watu Credit are not just selling smartphones – they are empowering communities and narrowing the country’s digital divide.

Expanding Access Through Agent-Assisted and Online Options

The partnership between Jumia and Watu Credit represents a long-term strategy to enhance affordability and convenience in smartphone access. Initially, the payment plan program will be available through agent-assisted purchases, helping customers smoothly transition into this innovative model. However, plans are already in place to roll out a fully online process, making it easier for users to select a device, complete a digital know-your-customer (KYC) process, and have their chosen smartphone delivered directly to their doorstep. This approach ensures widespread adoption and greater convenience in Kenya’s fast-paced digital landscape.

Unlocking a Profitable Market

In addition to its social impact, the Buy-Now-Pay-Later (BNPL) program offers tremendous potential for market growth. Companies like Jumia and Watu Credit are tapping into an expansive and profitable segment of the Kenyan market, where cost-effective financing options can attract first-time smartphone buyers as well as those seeking an upgrade. This collaboration not only empowers Kenyan communities but also underscores the growing importance of technology in fostering economic inclusivity and business growth.