Economic
survey of Kenya and effects on Internet marketing
According to data from the Economic survey of Kenya
report 2013 Kenya recorded a decrease in inflation from 14.0% in 2011 to 9.4%
in 2012. Total electricity generation increased by 3.9% in 2012 (7,851.2 GWh)
as compared to 2011 (7,559.9 GWh). Number of connections under the rural
electrification increased by 23.7% in 2012, this explains the sustained growth
in mobile subscriptions and internet connectivity.
In
regards to internet marketing the data shows opportunity for companies and
businesses to invest in internet marketing. This is because the number of
people with access to mobile phones is increasing and their ability to connect
to the internet is improved. This means it is important to capture this traffic
by paying attention to the changes and growth currently being realized in terms
of connectivity. This can also be attributed to consumers growing purchasing
power given the drop in inflation and increased in electricity access to the
rural parts of the country.
The need to enhance connectivity to the entire
population is entrenched in Kenya’s vision 2030 under the economic pillar.
Within its objective to improve infrastructure the country seeks to improve
telecommunication networks and in turn provide internet connectivity to all.
Forms of Internet Marketing In Kenya
In this case, business owners of
various kinds employ web developers to develop for them websites and they
advertise their products there. This is a very powerful form of Internet
Marketing in Kenya because as the web users come across the site they are
interested in or the products they are looking for, they get in touch with the
web owners and the business deal is sealed. Nearly all the organizations in
Kenya are employing this technique of web development in their marketing
strategies.
Another common form of online
marketing mostly used in Kenya is the use of social media. Internet Marketing
in Kenya via social media has been very effective especially in the fashion
industry. Many organizations have opened social pages like face book and
twitter where they interact with their clients and respond to their views. Some
of them design specific products for their customers and hence social media has
become an effective tool of marketing.
E mail marketing is also very common
in Kenya. Internet Marketing in Kenya is sometimes done by business people
sending messages to the target population randomly to their phone numbers or e
mail addresses. The challenge is that this method has been used by many fraud
stars to steal from the general public. There are many other forms of Internet
Marketing in Kenya, but these are the most common ones.
Challenges of Internet Marketing in
Kenya
As a developing country, Kenyan
infrastructure is not well developed. Internet connection heavily relies on
internet connection and power supply. Research shows that a very small
population of Kenyans has a 24 hour access to the internet. This means that very
few people can be reached on Internet Marketing in Kenya. A very big population
in Kenyans also leaves in the rural areas where there is limited or no power
supply. This renders the population that can get access to computer use to be
very few.
The challenge of infrastructure in
Kenya makes online marketing to mainly reach the people in towns and a few
people in the villages. Given that a big population of Kenyans lives in rural
areas that have been connected with the fiber optic cable and lack power connection,
poor infrastructure is a major drawback to Internet Marketing in Kenya. The
other challenge is that many Kenyans live below the poverty line, thus fighting
for basic needs cannot allow them visit the internet. Information posted online
ends up reaching only part of the target market.
Benefits
of Internet Marketing in Kenya
One advantage with e marketing in
Kenya is that with the arrival of the fiber optic cable, it has become very
cheap and fast to advertise on the internet. Internet Marketing in Kenya is
becoming one of the cheapest forms of marketing that is available within the
region. The other advantage is that there are several institutions country wide
that trains the basics of computer use at very reasonable price. A high
percentage of Kenyans are therefore computer literate and thus accessing
information on Internet Marketing in Kenya is not a challenge to many Kenyans.
However, firms are rolling out
different solutions to reduce the gulf between payments and e-commerce. In
February this year, Safaricom launched the M-Pesa prepay safari card which
allows its users to transact business online. In September Airtel and MasterCard
launched payonline, a platform that enables the former’s subscribers to buy and
pay for goods and services online using the latter’s cards. And down South, MTN
launched paid, a system that facilitates South Africans to pay for goods and
services online using a pin-based debit card.
These efforts are commendable, but
insufficient if they are not complemented by measures to persuade Kenyan online
shoppers to consider shopping and paying for goods using these cards. This
festive season is a great opportunity about to vanish for Kenyan businesses to
do that. They are offering an abundance of Christmas offers and even
advertising them on their websites, but there’s neither information nor
incentives to encourage customers to shop and pay for these offers online.
On December 16 2011, Safaricom
concluded a nationwide tour to promote its products/services. These events
attracted crowds similar to those who attend political rallies. They were not
only entertained by comedians and musicians, they also won freebies such as tee
shirts, hats and umbrellas. Why can’t Safaricom conduct a similar initiative to
persuade (and reward) its subscribers with internet connection in their homes
to use its safari card? Why hasn't Airtel Kenya added information regarding its Payonline solution to its website? Both mobile phone service providers account
for approximately 80% of Kenya’s 25 million subscribers. Imagine the effect
their efforts to convince a substantial number of these subscribers to sign up
to their respective offerings would have on online transactions in Kenya. One
result is that the number of cards (Visa) will increase from the current 2
million. In addition, none of these companies have displayed the energy to
update the public on the successes and challenges of these initiatives,
compared with the enthusiasm they exhibit when they regularly update us on the
progress of their other promotions, particularly those that have to do with
winning cash.
Kenya
cultural effects on digital marketing
Globalization in Kenya has led to a
digital awakening. Kenya is now an IT hub in Africa with some of the greatest
innovations being born as a result. Mobile money transfer and mobile banking
services have revolutionized Kenya. There are more people online using their
mobile phones in Kenya than in any other country in East and Central Africa.
Communication has been much easier
across Kenya with the advent of technology. This has also made it to interact
more with her neighbours if not the whole world. Diplomatic relations with
other countries has been made much easier through the use of technology. It is
easier to have a Skype/video conference with someone thousands of miles away in
real time. Countries are now connected and have bilateral relations.
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