Kenzz, an Egyptian e-commerce platform, has raised $3.5 million in seed funds to promote the adoption of eCommerce in Egypt. Kenzz’s focus is to take eCommerce services to customers In smaller cities who are yet to familiarize themselves with and get comfortable with online purchasing. The company’s preview release of the e-commerce platform recorded 50% of customers as being from outside Egypt’s big cities.
The funding was led by US and MENA-focused Venture capitals and Outliers Venture Capital. HOF Capital, Foundation Ventures, and Samurai Incubate also participated.
Kenzz was founded in February 2022 by Ahmed Atef, Mahmoud Al Silk and Moataz Sami. The company was created with the aim of reaching more people outside Egypt’s three big cities, Cairo, Alexandria, and Giza, as most of the major eCommerce companies only focus on these big cities.
E-Commerce in Egypt
E-Commerce in Egypt has experienced steady growth since 2018 with revenues in the sector increasing at a rate of 30% in 2018 and 2019, 70% in 2020 and 40% in 2021. Currently Egypt’s eCommerce sector is valued at $22 billion. The growth in this sector however has been majorly attributed to the country’s youth population, which is about 35% of the total population of Egypt.
The founders of Kenzz are of the opinion that the e-commerce sector in Egypt is yet to attain it’s full potential because the existing eCommerce platforms do not include Egypt’s mass markets, as a result the company is targeting a completely different market population from the big companies. The company wants to solve the problem of people outside big cities not yet comfortable with buying online.
The platform will introduce features such as a 65% discount on collective purchases and group buying thereby cutting down consumer delivery costs.