Want to cut your shopping costs? Go online in a group

Group buying is the latest trend among Kenyans as more users adopt the growing trend of online shopping in their search for more avenues to save that extra shilling in the wake of difficult economic times.

The trend is an online marketing solution that offers users products and services at significantly reduced prices on condition that a certain minimum number of buyers make the same purchase.

Users register with a group buying website where they receive regular updates on the deals available through email and other social media sites.

The users then share the deal with friends or colleagues until the required number of customers has been registered for the deal to go through.

Once the required number has been reached, the customers then receive the deal voucher on their emails, print it out and present it at the respective shopping outlets to purchase the product or service.

This model has been successful in the marketing of mostly middle to high-end discretionary commodities like concert tickets, dinners at high-end restaurants, family getaways and spa treatments.
Popular group buying websites in the country like Rupu, Mocality and Zetu have all seen robust business over the last 12 months and most did roaring business on Valentine’s day.

Confident

“We started Zetu about one year ago and at the time, the reception by the public was not that good because Kenyans were a bit wary about sending money online but currently, more people are confident about sending money online through third parties.

Consequently, the growth in online shopping has been very impressive,” says Martin Muli, marketing manager of Zetu.

“When we began, the volume of sales we moved in a day was quite low since most users were uncomfortable about carrying out transactions online that involved a lot of money. Nowadays, however, clients have tested the system and their trust has grown that’s why we are seeing people placing orders worth upto Sh10,000 and more,” he says.

Muli states that the past year has been a sort of a learning period for group buying proprietors and users in the country and with time, the service has gained acceptance.

“The past year was about testing the system but now users know what it’s all about and our clients have had positive results for their investment and more are coming on board,” he says.

“In the beginning, we were the ones who used to call up clients and suggest to them what deals to place but now it’s the other way round,” he explains. “Clients are offering deals based on the reception they have received from their users and we are seeing a lot of repeat deals.”

Predictably, deals offering cakes and pastries are enjoying overwhelming interest as well as clothing items, entertainment and diner packages.

Like any other shopping experience, group buying tends to attract more female users than male.