87 Views

Nigerian Startup Pulls Food Vendors, Open Air Markets Online

470278139-620x350
 Open air food markets in Nigeria are often bustling with crowds and a variety of offerings. Nonetheless, retaining customers is still a problem for vendors and farmers, according to lawyer Uchay Ariolu, founder and CEO of online food marketplace Foodstantly.

The website which allows restaurateurs, farmers and market vendors to build client bases also provides ordering services for consumers who want to source food that is ‘ready to cook’ or ‘ready to eat.’ Fast food services and caterers can also create a profile on the site, where the basic requirements are to have a mobile phone and a legitimate address.

Though many food sellers have found their way to Foodstantly’s online marketplace, there are some farmers who have not transitioned to digital point-of-sales. This hasn’t stopped Ariolu from finding them and putting them directly in front of potential customers.

Locking Down Reliable Food Sources

“We had to meet them one-on-one. We physically meet sellers to sign them up and show them how it works. These people are still not sure that business can be transacted online and that payments can be received online,” Ariolu told AFKInsider, stressing that it is “imperative” that he and his team get to know and give assurance to apprehensive vendors.

“We have a growing number signing up to sell on our platform without our meeting them….With time we shall have more sellers who sign up online than those we physically meet,” he said.

For Foodstantly — which earns money through website commission sales and fees charged upon delivery — buying from farmers, sending products to sorting centers, then selling directly to customers is a revenue model that makes sense and keeps expenditures for farmers within a tighter realm.

“We help the farmers sell direct to consumers and at a very reasonable rate,” he said.

This method is also most profitable.

Getting Things Cooking

Shopping for food in Nigeria, Ariolu said, can sometimes be a hectic, inconvenient process. While some open air markets are disorganized, Foodstantly interjects the highlighted online options to buy in bulk, buy from farmers, order from a restaurant or caterer, buy from a trader or market — and of course to purchase ready to cook/eat meals.

Knowing that some customers have to deal with horrible traffic and commuting long distances just to get to Lagos’ Oyingbo, Mile 12 or Oniru markets helped Ariolu and his team foster relationships with food traders.

And while the company is in the early stages, Ariolu believes that he’s latched onto a revenue model that he, traders and farmers can appreciate. The online crossing of buyers and sellers is Foodstantly’s strong point as layers of middlemen are cut out of the equation.

ALSO READ  5 Ways Shopping Online Can Save You Money

“In Africa there are several chains of middle men in the food supply chain. These middle men add costs to food. Each adds their own cost — by the time it gets to cities or to the end consumer it becomes expensive,” Ariolu explained. “Also most farmers — since they can’t access consumers — are at the mercy of the middlemen who give them peanuts for their produce.”

Pushing Business For Other Food Startups

He noted that through his company, farmers view their products as the backbone of a “money making venture,” instead of a struggling agricultural enterprise. By taking advantage of the product management, tracking and discount features, sellers have the opportunity to grow their businesses without creating additional websites or delivery services.

According to a Business Monitor report, Nigeria’s grocery retail sales were projected to experience a compound annual growth rate of 38.7 percent between 2013 and 2018. Many restaurants and commercial businesses that count on the country’s grocers fall in line with Foodstantly’s marketplace model — which gives participating vendors further promise for growth.

As Foodstantly is an online business, continental and international expansion depends on a solid technical team. As of now Ariolu’s priority is gathering up more ICT business partners, a task he says is surprisingly difficult.

“It’s actually hard getting skilled manpower who understand how an ICT startup works, especially in the nascent ICT Industry in Africa.”

Launching last year at DEMO Africa, Foodstantly was chosen as one of the top 40 most promising startups in Africa. Describing himself as a serial entrepreneur, this isn’t Ariolu’s first venture. He also dabbled in the entertainment industry founding Ticket My Pal.

A larger interest and concern over the trouble and price hikes farmers face when trying to get their products to markets pulled Ariolu back around to the food industry.

“I have been in the food industry for a long while and am passionate about it. I noticed the difficulty people experience in accessing food,” he added. “There is need to disrupt the way Africans buy and sell food and farm produce. Food is a universal basic necessity of life — so foodhas initially been the product.”

Source: diasporaconnex.com

 

Get the best viral stories straight into your inbox!

Don't worry, we don't spam

Leave a Comment

Your email address will not be published.

Latest Posts

What You Should Know About The Shaku Shaku Dance
Entertainment
52 views
Entertainment
52 views

What You Should Know About The Shaku Shaku Dance

PH - January 22, 2018

If you’re familiar with Nigerian music,  you’ll have noticed there is a long history of being able to make a hit musically when you have a good…

“I Can’t Hangout With Someone That Doesn’t Eat Amala” – Dj Cuppy
Entertainment
56 views
Entertainment
56 views

“I Can’t Hangout With Someone That Doesn’t Eat Amala” – Dj Cuppy

PH - January 22, 2018

Billionaire Daughter, DJ Cuppy, who recently went on Social media to complain about how she’s been battling with throat pain, has revealed the kind of people that…

See Inside Ex-President Jonathan’s Sitting Room In Abuja That Can’t Accommodate 10 People
Politics
63 views
Politics
63 views

See Inside Ex-President Jonathan’s Sitting Room In Abuja That Can’t Accommodate 10 People

PH - January 22, 2018

A retired Permanent Secretary and an associate of former President Goodluck Jonathan, Ambassador Godknows Igali, says the immediate past president may be the poorest former leader in…

See How Jim Iyke Rips Apart A Follower Who Urged Him To Marry
Entertainment
61 views
Entertainment
61 views

See How Jim Iyke Rips Apart A Follower Who Urged Him To Marry

PH - January 22, 2018

Nollywood Actor, Jim Iyke has lashed out at one of his followers who flogged him and urged him to marry asap, as age is not on his…

Simi Adeagbo, First African Female Skeleton Competitor in Winter Olympics featured in Nike’s “Forever First”
Featured
71 views
Featured
71 views

Simi Adeagbo, First African Female Skeleton Competitor in Winter Olympics featured in Nike’s “Forever First”

PH - January 22, 2018

Nike’s new short film ‘Forever First’ celebrates the power and mindset of Simidele Adeagbo, who is Africa’s first ever female athlete to compete in the winter sport…

SEE Photo Of Two Men Arrested With Counterfeit N8Million Cash In Niger State.
Shocking
58 views
Shocking
58 views

SEE Photo Of Two Men Arrested With Counterfeit N8Million Cash In Niger State.

MT - January 22, 2018

Following intelligence at the disposal of the Niger State Police Command in connection with the circulation of money suspected to be counterfeit, the operatives of the Command…

Goodluck Jonathan Is Broke, In Debts Over 2015 Election – Ex Diplomat, Boladei Igali Reveals
Politics
51 views
Politics
51 views

Goodluck Jonathan Is Broke, In Debts Over 2015 Election – Ex Diplomat, Boladei Igali Reveals

MT - January 22, 2018

While speaking during an interactive session with some journalists over the weekend in Abuja, former Career Diplomat and retired Permanent Secretary, Ambassador Godknows Boladei Igali, has said…

Relationship Expert, Joro Olumofin Shares 24 Qualities Of A Wife Material That Got Ladies Talking
Entertainment
58 views
Entertainment
58 views

Relationship Expert, Joro Olumofin Shares 24 Qualities Of A Wife Material That Got Ladies Talking

MT - January 22, 2018

Popular relationship expert, Joro Olumofi, has shared qualities of a wife material on his Instagram page. According to him, for men looking for wives, a lady must…

“Today Is A Very Special Day My Daughter”- Peter Okoye Celebrates Daughter, Aliona As She Turns 5
Entertainment
56 views
Entertainment
56 views

“Today Is A Very Special Day My Daughter”- Peter Okoye Celebrates Daughter, Aliona As She Turns 5

MT - January 22, 2018

Peter Okoye aka Mr. P and Lola Omotayo's daughter, Aliona turned 5-year-old today and the musician celebrated her via his Instagram page. "Today is a very special…

Meet The Soldier Who Ladies Love To Be Around With In Borno State. Photo
Inspiring
58 views
Inspiring
58 views

Meet The Soldier Who Ladies Love To Be Around With In Borno State. Photo

MT - January 22, 2018

An average Nigerian is always scared to come close to a soldier but this down-to-earth soldier who serves in Ngala of Borno – has won the hearts…

Why Rivers People Will Vote For Me In 2019 – Governor Wike
Politics
43 views
Politics
43 views

Why Rivers People Will Vote For Me In 2019 – Governor Wike

PH - January 22, 2018

Nyesom Wike, Governor of Rivers State, has said he would never ask people of the state to rig election in his favour. Speaking during a Thanksgiving service…

Inspiring: Meet The Lady Who Makes Furniture With Used Tyres Gotten From Dumpsites. [Photos]
Best of Nigeria
66 views
Best of Nigeria
66 views

Inspiring: Meet The Lady Who Makes Furniture With Used Tyres Gotten From Dumpsites. [Photos]

MT - January 22, 2018

This is really encouraging. Here’s an inspiring photo-story featuring a young entrepreneur who started making waves for herself during her teenage years. The young graduate of the…

Man Who Proposed To His Girl Friend At SARS Headquarters Finally Weds. [Photos]
Best of Nigeria
45 views
Best of Nigeria
45 views

Man Who Proposed To His Girl Friend At SARS Headquarters Finally Weds. [Photos]

MT - January 22, 2018

Last year December, A man proposed to his girlfriend of many years at the Special Anti-Robbery Squad SARS headquarters in Port Harcourt, Rivers state. The man proposed…

How Okada Rider Dumped His Wife And Got Married To Police Woman Who Helped Him
Romance and Love
56 views
Romance and Love
56 views

How Okada Rider Dumped His Wife And Got Married To Police Woman Who Helped Him

MT - January 22, 2018

A motorcycle operator identified as Essien has dumped Grace his wife of many years, and married a police woman who showed him love during his travail in…

Herdsmen Killings: ‘Why I’ll Hold Fulani Leaders Responsible For Any Attack’ – Gov. Fayose Sounds Warnings
Politics
82 views
Politics
82 views

Herdsmen Killings: ‘Why I’ll Hold Fulani Leaders Responsible For Any Attack’ – Gov. Fayose Sounds Warnings

MT - January 22, 2018

The outspoken Governor of Ekiti State, Ayodele Fayose, has sounded a warning to Serikin Fulani in the state, Muhammed Abashe, that he will be held responsible for…

Seven Banking Ideas For Students
Business
51 views
Business
51 views

Seven Banking Ideas For Students

MT - January 22, 2018

College season is near, which means that millions of freshmen from around the country will leave the snug confines of their childhood home for a room with…

Watch Banky W and Adesua Etomi at their Special Thanksgiving in England
Entertainment
52 views
Entertainment
52 views

Watch Banky W and Adesua Etomi at their Special Thanksgiving in England

PH - January 22, 2018

Arguably one of the biggest events last year, Banky W and Adesua Etomi‘s wedding, #BAAD2017, grabbed headlined for weeks on end in 2017 as the whole nation was practically watching in awe.…

“My Song ‘Science Student’ Is Not Encouraging Drug Abuse” – Olamide Responds To Critics
Entertainment
52 views
Entertainment
52 views

“My Song ‘Science Student’ Is Not Encouraging Drug Abuse” – Olamide Responds To Critics

MT - January 22, 2018

  Following thereactions that his recently released song, “ Science Student,” has sparked; Olamide has made a counter-reaction on Instagram. The musician took to Instagram to correct…

Loading...