I’ve been working at Kapu for the past 10 months!
For the past 10 months I've been working at Kapu. It was in “stealth mode” until December last year, so I couldn’t tell people much about it.
I’m excited to tell everyone about it now! Here are the basics of how Kapu works:
How do we make money? Kapu is a group-buying e-commerce company. We sell things people use every day at home, mostly food but also things like soap and diapers.
Who do we sell to? Our customers are poor Kenyans who usually spend 50% of their money on the types of products we sell - so they are extremely price sensitive. These customers place orders with agents, and we deliver to the agents the next day (saving last mile delivery costs because one agent might order for 10 customers, and we only have to make one delivery to that agent for all 10 customers).
How are we competitive? Our customers are extremely price-sensitive. For some products, they will buy from us if we are only 2 cents (2 Kenyan shillings) cheaper than their neighbourhood shops. We can be cheaper than these shops because we cut out a bunch of middle-men.
Kapu is 1 year old, and right now we are only active in Nairobi, Kenya. Hopefully we will grow to new cities soon
To chart my thinking a little bit as to why I decided to work at Kapu:
I want extreme poverty to end within my lifetime (from a post I wrote 2 years ago)
I think I have the strongest chance to have impact in on people living in extreme poverty by working for a company that is sustainably creating jobs, decreasing prices, and driving economic growth (from a post I wrote a year ago)
So when I decided to leave BCG, I started looking for great startups. I decided on Kapu because:
Kapu makes people’s lives better in a very straightforward way: It saves them money day-to-day. A lot of companies I looked had a lot more complicated theories of change, which made me less confident they would be as impactful as they claimed
The team at Kapu is super strong and experienced - meaning I’ve had lots more coaching and mentorship than is typical at a first-year startup
Kapu has strong funding - $8M seed round
The day-to-day work sounded like fun - and it has been. My role has shifted every few months, but the most consistently fun thing has been going to neighbourhoods in Nairobi I normally wouldn’t and understanding how I can help solve people’s problems.
I’m planning to be with Kapu in Nairobi for the foreseeable future. When we grow out of this city, and maybe eventually this country, I may move out of Nairobi to help grow Kapu elsewhere. But for now I’m focused on making Kapu in Nairobi as successful as possible.
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If you want to learn more about Kapu, startups in Nairobi, or anything, shoot me a message or an email at ljeure@gmail.com. If you’re reading this and are curious, then I’d love to talk!