Kenya’s Sip simplifies drinks distribution in Nairobi

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Kenyan startup Sip is simplifying the distribution of alcoholic beverages in the country’s capital, and is eyeing growth in the B2B space.

Formed in November 2015, Sip has developed a host of mobile applications for clients in the insurance and real estate spaces, but is now focusing on its own products.

The first of these is Sip, an app that allows users to easily order alcoholic beverages and have them delivered to their door. Chief executive officer (CEO Peter Kanyoni said the pricing models of other online stores had made purchasing drinks online unattractive.

“Corporate events also lacked value for money as they have mostly been charged heavily due to their deep pockets. Sip offers very friendly prices for both drinks and the service rendered,” he said.

So far, clubs and hotels have been the startup’s target markets, allowing easy ordering in the event of sudden shortages. Kanyoni said Sip’s main competition are distributors that move huge volumes and have clients not accessible to it at this time.

However, the self-funded startup has seen strong uptake, with over 100 downloads since the app was launched little over one month ago.

“The majority of our business has come from people having private parties or going on road trips, and that has been good for business because our pricing model targets bulk buyers. We have also had three corporate events,” said Kanyoni.

The startup, which will launch a dedicated business app by the end of September, is currently only operating in Nairobi and its environs. Kanyoni said it plans to grow its product offering before it moves into other locations.

“We will first increase our service offering to deliver healthy foods and salads – Sip Health – and later offer the services in other major towns,” he said.

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Passionate about the vibrant tech startups scene in Africa, Tom can usually be found sniffing out the continent's most exciting new companies and entrepreneurs, funding rounds and any other developments within the growing ecosystem.

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