E-commerce has been identified as a solution to effectively address the issue of rising unemployment in many African countries.
According to hotel booking site Jovago, a country such as Kenya, with its high internet penetration rate and good infrastructure, can offer opportunities to an increasingly tech-savvy youth.
"It is one of the countries with the fastest speed, the lowest rates and the best infrastructure. Only in 2014, 43.4% of Kenyans had internet access. It is more than the world's average of 40%. This fact should be used to create new business opportunities to people and diminish unemployment rate in the country," reads a statement from the company.
According to the Communications Authority of Kenya, the East African country's current internet penetration rate sits at 74.2%.
Jovago added that the growing middle class might not have time to go shopping for goods, but would appreciate services that contain speed and convenience - encouraging more interest in the internet.
Danson Njue, a Research Analyst for Middle East and Africa at Ovum agrees that online business can open avenues and opportunities for the youth in Kenya. "I think e-commerce is a driver to employment creation in the country, both formal and informal. To the producers, e-commerce platforms are connecting buyers and sellers thereby offering an easier way to market their produce, especially for agricultural produce."
"For successful online selling, there is need to employ customer service representatives and merchandisers to ensure smooth delivery of goods. To the innovators, demand in the e-commerce sector creates an opportunity to develop new platforms and solutions to facilitate online shopping."
However, fraud continues to impact on consumer trust when it comes to online businesses. Established online platforms that can give space to budding entrepreneurs should have a fraud-proof mechanism to bolster buyer confidence.
Njue added that, "There is also a general lack of confidence in buying goods and services online which could be a drawback to the adoption of e-commerce. There could also be an uncertain legal and regulatory environment in regards to the use of e-commerce platforms in the future."
"E-commerce opens the 'door' not only to existing businesses, but especially to those looking for new opportunities in Kenya. It is a future. A bright future," Jovago concluded.
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