Online shopping platforms are giving Kenyan retailers another way to reach customers without opening more physical outlets, as changing shopping habits and demand for convenience reshape how consumers buy everyday goods.
The shift was among the issues discussed at the inaugural Future of Commerce Summit in Nairobi by Glovo where retailers, brands and industry players examined the opportunities and challenges of moving more commerce online.
Glovo, which entered the Kenyan market in 2019, operates in 12 towns and cities, supporting more than 6,000 merchants and over 2,200 active riders daily.
Businesses on the platform have generated more than Sh20 billion in sales, with about 80 per cent of the value going to small and medium-sized enterprises, according to the company.
The discussions also examined how artificial intelligence could change online shopping. Glovo cited its in-app AI assistant, which uses language models such as ChatGPT and Claude to help customers search for products using everyday language rather than scrolling through menus.
The shift towards online retail is also creating opportunities for non-food businesses. Consumer electronics brand oraimo, which partners with Glovo, said digital platforms were changing how customers access accessories and other products.
“The way Kenyans shop is changing, and businesses must adapt to these new consumer expectations,” Glovo Kenya Country Managing Director Caroline Mutuku said.
The summit comes as the company plans to invest an additional Sh10 billion in Kenya by 2030. The investment is expected to support expansion into more towns and cities beyond Nairobi, although the company did not provide a detailed breakdown of the planned spending.
The event also explored technology adoption, retail innovation and collaboration among businesses seeking to reach customers through digital marketplaces.
For smaller businesses, the expansion of online commerce offers another channel to reach consumers without necessarily opening additional physical outlets. However, the extent to which such platforms can broaden access to customers will depend on factors including delivery costs, digital access and demand outside major urban centres.
