Kenyan company MWINGI is establishing Africa’s largest rural network of connected trading outlets, or “MWINGI Shops”, aggregating demand in entire communities as a supplier to both its franchisees and other local traders in the region.
Founded in 2019, MWINGI has developed a retail and wholesale aggregation model that leverages distribution costs to build a profitable trading network in remote rural areas.
It does this by focusing on the most essential food and beverage products, plus a few selected solar products, provided via a tech-enabled supply chain and cost efficient last mile distribution. A MWINGI shopkeeper’s stock is pre-financed by MWINGI, and franchisees are also provided with a proprietary, simple and proven point of sale system and ERP which reduces fraud and helps the franchisee business operate properly.
MWINGI currently operates 150 franchise retail shops – all operated by women from local communities – that are serving an additional 2,500 independent retailers.
“Our targeted end customers are rural farmers and pastoralists who do not have reliable access to essential food and beverage products. MWINGI plans to grow to 2,000 shops in the next five years to become a leading retail chain for essential food and beverage products in Kenya and pan-Africa,” said Manuela Raith, co-founder and managing partner of MWINGI.
The company is funded by angel and VC investors, mainly impact-focused, and it is currently operating in six counties of Kenya.
“We plan to expand to most other counties in Kenya and also to other countries in Africa. Our next goal is to open 2,000 shops in Kenya,” Raith said.
“Villages, including their local stakeholders like village chiefs, priests, and teachers, are very happy if we open a shop in their village as they know we will be able to meet the demand of their community and will offer products at fair prices.”
MWINGI’s revenue is from the sales in its own franchise shops, and sales to other retailers. Raith said its sales until now total around US$10 million.