Telkom has partnered with Lipa Later, a Buy-Now-Pay-Later company, to offer Kenyans a product finance solution that will make it easier to purchase smart mobile devices.
Smartphone adoption continues to grow as more and more people strive to access the internet, whether for entertainment or socializing. With this partnership, the two companies seek to make these devices more accessible to consumers through affordable monthly payments.
According to the Global Systems for Mobile Communications Association (GSMA), there are many opportunities for the mobile industry and ecosystem players to improve the affordability of smartphones among these consumer segments.
Telkom CEO Mugo Kibati said, “Telkom is delighted to announce this partnership as it demonstrates our belief that access to mobile data is a fundamental human right. This is due to its strategic potential to progressively address digital inclusion; ensure that the benefits of the internet and digital technologies are accessible to more Kenyans, thereby strengthening the digital economy. Telkom remains committed to enabling Kenyans to be part of an interconnected world. We continue to have exploratory discussions with our partners to find solutions that will allow our customers to have access to a wide range of genuine products and services, at an affordable and convenient price. Coupled with easier access to smart mobile devices through this partnership with Lipa Later, our customers will also be able to enjoy affordable mobile data through our products such as the recently launched Changa Bundle which allows Kenyans to share data, minutes , voice and SMS. ”
Lipa Later CEO Eric MULI said, “We are thrilled to launch this partnership with Telkom that will enable our customers to get and stay connected by acquiring mobile and data devices at an affordable price. Consumers can walk into any Telkom store, register with Lipa Later, get a credit limit in less than 5 minutes, choose a device of their choice without deposit, connect to mobile and data services and pay the same up to 12 monthly payments. In addition, thanks to our integration with UzaPoint, the checkout process will be seamless for the consumer in all Telkom outlets in the country,” he adds.
Through this partnership, consumers will be able to access select phones from brands such as: iPhone, Nokia, Oppo, Realme, Tecno, Ulefone, Vivo, Xiaomi, Huawei, Bontel and Itel.
Global Buy Now Pay Later industry market size was valued at USD 90.69 Billion in 2020 and is projected to reach USD 3.98 Trillion by 2030, growing at a compound annual growth rate by 45.7% from 2021 to 2030.
Retailers are now offering Buy Now Pay Later solutions that allow their customers to buy essential goods by choosing an affordable financing plan and paying in instalments instead of the full cost all at once. Rising adoption of online payment methods in developing countries is also accelerating the growth of the buy-now-pay-later market.