Maria Montero

Nigeria’s Gloo.ng neglects consumer e-commerce, …

Nigerian startup Gloo.ng is shrinking consumers’ online retailing and turning to B2B e-procurement with Gloopro as its new name.

The Lagos-based company has called on him to forgo e-commerce grocery services, switching to a product that supplies large and medium-sized businesses with everything from desks to toilet paper.

According to Gloopro CEO DO Olusanya, Gloopro’s new platform will generate revenue on a monthly fee structure and a percentage on delivered goods.

Gloopro, which raised about $ 1 million in seed capital as Gloo.ng, is also in the process of ramping up its Series A round. The startup seeks to expand outside of Nigeria on that increase, “before the end of next year. “Olusanya told TechCrunch.

Gloopro’s move away from B2C comes as several notable consumer digital sales companies have failed to launch in Nigeria, the most populous nation in Africa with the largest number of online shoppers on the continent, according to a recent UNCTAD report.

The country is home to the continent’s first e-commerce startup unicorn, Jumia, and serves as an unofficial indicator of e-commerce startup activity in Africa.

Gloo.ng’s switch to B2B e-commerce was due to Nigeria’s economic slump in 2016 and a request from a client, according to Olusanya.

“When the recession hit it negatively affected all e-commerce consumers. We saw that it would take longer to achieve sustainability and profitability,” he told TechCrunch.

Then an existing customer, Unilever, requested an e-shopping solution in 2017. “We saw that the economics of that business unit was much better than consumer e-commerce,” Olusanya said.

Gloopro sees itself as a “secure cloud-based commerce and e-commerce platform…[for]… Corporate purchases “, by description of the company.

“The old Gloo.ng brand, it will rest and shut down completely. The corporate name will be PayMente Limited with the brand name Gloopro, ”said Olusanya.

From the Gloopro interface, customers can order, pay and coordinate the delivery of office supplies at multiple locations. The product also produces procurement analysis and allows companies to designate users and permissions.

Olusanya promotes the benefits of the product by improving transparency and efficiency in the purchasing process.

“It makes hiring transparent and secure. “Many companies in Nigeria still use paper invoices and there are some shenanigans,” he said.

Gloopro began offering the service in beta and building a customer base before ending its Gloo.ng grocery service.