Skip to main content

Posts

Showing posts from 2014

Using Facebook's Audience Insights to Estimate East Africa's Digital Market Size

Global social media giant Facebook has over 1Billion monthly active users. The immense popularity of Facebook reflects easily in internet usage patterns among people in East Africa. Back in 2010, a research by Synovate indicated that 79% of internet users in Kenya had Facebook accounts. The Communications Authority of Kenya( CA) - formerly CCK places the number of internet users in Kenya at 21 million as at December 2013.

I am skeptical about the CA's estimation formula for estimating number of internet users in Kenya. However if the trend highlighted by Synovate in 2010 remained, and CA's number was close to accurate, there would be about 16 million Facebook accounts belonging to Kenyans. That said many people having a Facebook account reflects how many people became aware of it and signed up, not necessarily those who use it actively (eg. at least once a month). The 16million estimate on Facebook users would therefore not be a reliable benchmark for market estimation among …

Why Team Composition in Tech Startups Matters Much

Since 2011, the m:lab has organised PIVOT East - an annual competition for mobile startups in East Africa. Much has evolved about the competition since the inaugural edition was held as PIVOT 25. Some of the evolutions were aptly captured by Nicholas Friederici, a World Bank consultant then documenting the Tech ecosystem in East Africa in this article. Incremental ImprovementsOne incremental improvement that PIVOT East continues to emphasize on is for participants to regard the competition as a platform for organizational development and business model refinement. Inasmuch as few participants may still see it as one of the many competitions where they could “earn” prize money, there’s many that are getting the geist of the matter and are taking their businesses more seriously with competitions.

In the 2013 edition of PIVOT East, market traction was emphasized in the criteria for all selection stages. This helped to minimize the so called “compe-preneur” effect. Market traction included …

mAgric Innovations - Do they matter anyway?

Over the last decade, contribution of Kenya's agriculture sector to the nation's Gross Domestic Product (GDP) has been below 30% but above 25%. Across East African countries, contribution of Agriculture has been similar to that of Kenya or declining altogether. The chart below shows the trend since 2001 in Kenya, Tanzania, Rwanda and Uganda.

Weight of the matters

Perhaps there's no need to worry about this trend if it can be seen as a deliberate outcome of economic diversification strategies among individual countries. However agriculture continues to be the mainstay of most East African economies. Agriculture accounts for 61% of total employment in Kenya for instance. Contribution to national employment statistics by agriculture seems even higher among other East African countries as indicated in the chart below.



With such significance of Agriculture in employment creation, a question of proportions begs. That is the question of why the many jobs attributable to agriculture…