Kenyan pay-as-you-go solar provider M-KOPA Solar has taken a new direction by allowing customers to purchase home improvement and technology products through its mobile payments platform.
M-KOPA Solar raised a total of US$31.45 million in funding last year – making it one of the best-funded startups in Africa according to Disrupt Africa’s African Tech Startups Funding Report 2015.
The startup has begun 2016 by announcing it has so far sold 40,000 home-improvement and technology products. The new collection of products – which includes lights, energy-efficient cooking stoves, smartphones and water tanks – is only available for households who have successfully completed the payment plan on their solar home systems.
“Delivering the promise of a better future for our customers is at the heart of what we do. It is great that customers with a responsible payment history can use their solar home systems to access practical products that help them get ahead,” said Jesse Moore, chief executive officer (CEO and co-founder at M-KOPA.
Daily payments are KES50 (US$0.50), the same as the solar home system installments, while mobile payment plans – of varying lengths, depending on the product value – are managed through the control panel on the solar home systems.
“Most M-KOPA households have per capita income of less than KES200 (US$2) per day. This makes it hard to save up to buy life improving products like fuel-efficient stoves. It is also hard to access loans from financial institutions. But with a good credit history M-KOPA makes it easy to upgrade your life. We are trusted to offer a range of practical and affordable products,” said Moore.
Energy-saving stoves have been the highest seller to date, while smartphones are also proving popular.
