Nigerian used cars are selling more than any item on our platform
Household incomes are squeezed presently and with the prices of brand new products hitting the roof, families are increasingly looking towards “neatly” items as a viable option. Gbenro Dara, Managing Director of Efritin.com spoke to FRANK ELEANYA about the most moving items on the ecommerce platform and the process for quality assurance.
What is Efritin all about?
Efritin as the name implies is a marketplace where you can buy and sell everything in Nigeria, everything legal; ranging from cars, clothing, furniture, health & Beauty and even jobs.. It is a platform where everything can be bought and sold. It is a platform that brings the buyer and seller together; we merely facilitate the transaction. However, we recently launched a new product called “Buy Now” which makes us more than an online classifieds website.It is a safe, secure and convenient way for Buyers and Sellers to buy and sell their products. The Buyer just clicks the “Buy Now” button in the ad and fills in their contact details and Efritin will coordinate the delivery of the product as well as payment.
How important is this platform to the buyer?
It is super important to the buyer especially on our platform where we have a lot of used goods being sold. For the buyer there is some level of quality assurance we do on picking up the products from the seller to be sure it is what he says it is that he put up on the site. The fact that we have done that check is a comforting factor for the buyer who still has the final opportunity to inspect and pay upon delivery. It solves the problem of uncertainty which is a major issue for the buyer.
What are the items that are hottest now on Efritin.com?
What seems to be hot now is cars. Cars have suddenly seen tremendous growth in the last six months followed by mobile phones and home appliances. There are also things like microwaves, washing machines; you find out that a lot of Nigerians do not mind buying some of these items in neatly used condition as well. However, we have seen a spike in the number of ‘neatly used’ registered vehicles which is not surprising giving the state of the economy
If I want to buy a car, how would you determine for me (the buyer) that it is in good condition because people say that foreign used cars are in better working condition than Nigeria used cars?
We have a world class moderation and quality assurance team trained to ensure that the best quality ads from “real” people are on our platform. However, the onus still remains on the buyer to make sure he/she is satisfied with the condition of whatever item or service is being purchased. First, we educate the seller about the advantages of putting up a quality product, and the buyers on the importance of ascertaining the quality of the product. We maintain a close relationship with all our sellers and we incentivize them to post cars of good quality. We also go over their inventory from time to time just to make sure that it passes certain quality standards. On the part of the buyer, we ensure that they are empowered to make the right decision; we encourage them to carry out all necessary due diligence to ensure the car is in good working condition before they pay.
How many sellers come to you in a week?
We have a range of 15,000 to 20,000 sellers every month. Approximately, 5,000 to 6,000 sellers post their items on the site every week. For example now we have almost 7000Vehicleson the site. And these are of the highest quality and widest variety than can be foundanywhere else in Nigeria. You can find from vintage luxury cars to the yellow commercial buses on the streets of Lagos and even heavy duty trucks.
Looking at the economy situation of the country is it safe to assume that you have more sellers than you have on demand?
The interesting thing about what we do is that the more sellers we have the more buyers we have and vice versa. For us to be able to attract this level of sellers there must be a lot of active buyers. It goes to say that there is huge liquidity on the platform and that is why sellers are willing to keep coming and even pay for some of our premium products. We offer some additional services to SMEs who are actually in the business of selling day-to-day, casual sellers who just want to earn another stream of income in addition to theirfull time jobs or even one-time poster who just have an oversized shirt seating in their closet to resell. We offer premium products to them including memberships and premium listings which guarantee you ads with better visibility and reach. Our membership package offers a shop/mini website proven toboost sales for our sellers and comes with a bundle of value added services such as company branding and merchandising of products.
How long does it take to sell an item on Efritin.com?
In recent times we have heard that every car goes within 48 hours, this depends on the season, the product and it depends on what is in vogue at that point in time. Some things are bought on impulse depending on what it is and could even get sold faster. We have several sellers who have sent in testimonies of how their car was posted and sold within 24 hours. It is these kind of testimonies that keep us going.
With 2016 almost winding up, what have been the most notable trends in the e-commerce industry?
Mobile still dominates with 70% of internet users accessing it via mobile devices and we see more people upgrading to smart phones these days. On the payment side, we see a lot of increase in the adoption of online payment. People are increasingly comfortable with closing transactions online compared to when e-commerce was launched in Nigeria and it was cash-on-delivery or nothing. But now it is good to see that people are willing to pay via various forms of online and mobile banking.
What are the areas in the e-commerce industry that you think players can collaborate?
Generally, human resource development and technical expertise is an issue for many e-commerce players. We can come together and invest in the knowledge base of this sector. Also, on the logistic side, I see a lot of people making separate investment in logistics assets which is not sustainable and I see a lot of the tracking back on that decision. I think there is opportunity for more collaboration in the area of logistics.
What are we likely to see in the sector in next five years?
In the next five years, there would be a lot of focus on internet of things (IoT) and there will be a lot of products and services hinged on this innovation. Also on demand-delivery, that would also change the face of e-commerce logistics where the cost of delivery is significantly lowered compared to current levels.
Do you think more investors coming into the e-commerce sector would help reduce the cost of transaction for customers?
Competition is always a good thing for the industry participants either by driving quality or by driving options which tends to also have an impact on pricing. I think competition is healthy for the industry. The more people see the opportunity in Nigeria, the better for both the consumers and the current investors in e-commerce.
How far is your reach?
Our Headquarters is in Lagos but we deliver all over Nigeria via our Buy Now service. We are the first to deliver used goods items all across Nigeria.
How long would it take to deliver to someone in Port Harcourt, Benin, Abia or Kano state?
It depends on what part of the country; but it takes3 to 5 working days to deliver to anywhere outside Lagos. Delivery within Lagos is arranged within 48 hours of pick up from the seller. Delivery of the products is done through Efritin’s carefully selected delivery partners.
How are you positioning for the next five years?
Our long-term focus is on the used goods segment of the market because we see a huge opportunity which is relatively untapped, We are solving a lot of problems for the sellers who often don’t have any online presence . Now they have a partner whom they can trust to bring them into the online space, generate demand and solve the payment/logistics problem for them which I think is a huge addition to the e-commerce landscape in Nigeria.
FRANK ELEANYA