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M-Kopa partners Safaricom and Samsung to Launch Smartphone Hire-Purchase Plan in Kenya

Tech Gist Africa by Tech Gist Africa
01/31/2020
in Africa News, News
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M-Kopa has partnered with Safaricom and Samsung to launch an installment Smartphone scheme in Kenya. The solution will enable low-income earners to pay and own smartphones.

M-Kopa is a subscription-based solar energy company in Kenya that offers a Pay-As-You-Go service. Thus, the partnership will enable the PAYG company to offer its solar energy solution to low-income earners in rural areas. It will also allow users to pay for smart devices on installments. This way, users will own premium A 10 Samsung devices at an affordable price. 

On the flip side, Safaricom, Samsung, and M-Kopa will increase their customer base through the venture as several users are willing to subscribe to the plan. 


See Also: Sendy Raises $20 million Series B Funding Round to Grow its Logistics Business


The Chief Customer Officer, Safaricom, Slyvia Mulinge, has lauded the partnership. She noted that this would help the telco empower its customers. 

The phone prices, though paid in installments, will be remotely controlled by the M-Kopa compliance team. They will ensure that customers diligently paid for the smartphone. 

The installment scheme will allow users to pay an initial deposit of Sh3500 ($37.43) for the smartphone. Subsequently, users will pay Sh60 ($0.6) daily for one year. 

When calculated, Users will pay Sh12900 ($217.86) in 365 days. If added to the initial Sh3500, users will pay a total of Sh25400 ($252.67) for the purchase of the Samsung A10 phone. 

Although the pay in installment is affordable compared to the initial $110 retail price of the Samsung phone, the price is still costly for some users.

 

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