Informal retailers face a lot of challenges in accessing trade credit to stock their shops, have good stock availability and consequently grow their businesses. Cash flow challenges if not managed well can severely hamper the ability of informal retailers to maintain their operations. This is a common challenge for informal retailers who serve a large segment of consumers. In February 2022, Euromonitor International estimated the combined value of traditional, modern, and e-commerce retailing in Sub-Saharan Africa at USD 380 Billion, contributing 20-50% of GDP. 

Since its inception in 2016, Wasoko has revolutionized the e-commerce space in Africa, actively seeking to cut the cost of doing business in the massive informal commerce sector by helping to deliver goods to traders more efficiently. Over the years, we observed and heard the value of credit for stock and have an offering that supports this need for customers. 

Wasoko supports a credit offering for informal retailers because access to credit alleviates cash flow issues, builds customer loyalty, and improves timely customer purchasing power.

An informal retailer with a constant stock of goods is likely to keep regular customers throughout the year. When customers know that their favorite retailer is always fully stocked with the items they need, their purchasing power will increase not just because of access to credit but also because of growth from a more consistent customer experience over time. Credit thereby improves the financial stability of retailers over time and also enables them to grow with growth in credit limits that increase over time with good repayment. 

With access to credit from Wasoko, retailers can focus on their core business which is to sell more, without locking up all the cash they need for other purposes in inventory. Wasoko encourages all retailers to buy stock from Wasoko, get access to credit, repay in time, grow their credit limits, and take their businesses to the next level.