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Although e-commerce is expanding quickly in Kenya, the path toward a fully operational and reliable online shopping environment is still filled with obstacles.

Driven by the extensive adoption of mobile money, enhanced internet connectivity, and a young, digitally proficient population, e-commerce has rapidly become an integral part of everyday routines.

For Abdimalik Mohamed Issack, the founder and director of Livemall Online Shop, an e-commerce platform based in Nairobi, these challenges have been part of the developmental struggles of an industry on the brink of change.

Issack introduced Livemall in 2021 with the goal of providing Kenyan customers with premium sneakers, electronics, and home products via a user-friendly digital platform. However, as the company expanded, so did the challenges.

Kenyans are adopting online shopping, but they want to be certain they aren’t making a gamble,” Issack stated. “Building trust is difficult, but when you achieve it, it can make a significant difference.

Many Kenyans still view online shopping as a risky endeavor. Although it’s convenient to shop for items from the comfort of home, numerous individuals have encountered issues such as scams, fake products, or unsatisfactory support.

As per a 2023 study conducted by the Communications Authority of Kenya, almost 40 percent of online buyers encountered problems with their purchases, including getting low-quality items or facing difficulties in tracking their shipments.

Ann Mumbi, a 33-year-old office administrator based in Nairobi, is one of many who still approach online shopping with caution.

I once purchased a handbag from a seller on Facebook,” Mumbi remembered. “What I got was completely different from the image—low-quality fabric, poor sewing. I was extremely angry. That’s why I’ll never pay in advance again.

Many Kenyans, including Mumbi, have faced online scams, resulting in a loss of trust that continues to hinder the sector’s development. After being deceived, numerous buyers choose cash-on-delivery (COD) methods, preferring to pay once they receive their items.

Issack recognizes this difficulty but is confident that trust can be restored, one client at a time. “We take pride in being open and honest. We ensure that product details are accurate, and we only offer genuine items,” he stated. “We have established a name for dependability, which is why customers continue to return.”

The delivery dilemma

Even if consumers have confidence in a platform, delivery continues to be a major issue. Although many city residents benefit from fast and dependable delivery, people in rural regions frequently face considerable delays. Nairobi’s traffic and logistical challenges create an additional source of annoyance, with some customers reporting missed delivery times or poor communication from shipping companies.

Delivery is an area where we have made significant investments,” Issack said. “We have focused on establishing collaborations with trustworthy shipping companies to guarantee timely deliveries. For us, it’s about offering a customer experience that is as dependable as shopping at a brick-and-mortar store.

Although these initiatives have been made, the main challenge of Kenya’s poorly developed logistics infrastructure remains a barrier to the sector. Shipping expenses, particularly for remote regions, can be very high. With the increasing demand for e-commerce, addressing the delivery issue will be essential for platforms such as Livemall, Jumia, and similar services.

Fake Products: The Unseen Danger

One of the most dangerous issues confronting Kenya’s online shopping environment is the large number of fake items. In a marketplace where customers often can’t physically see, touch, or test products before buying, numerous internet buyers are concerned that they might be purchasing imitations or poor-quality goods.

From fake electronic devices to imitation beauty products, the danger of obtaining fake items remains a persistent worry. This has caused some buyers to be cautious, even when using well-known websites.

Issack is highly conscious of this problem and has prioritized it at Livemall. “We are aware that fake products are widespread in Kenya. That’s why we only obtain items directly from trusted suppliers and manufacturers. We ensure our customers receive exactly what they anticipate—nothing less,” he stated.

Although the government has taken steps to address the issue of fake products via regulations and consumer protection laws, the extent of the problem is still considerable. For online shopping platforms, tackling this challenge is not only about following the law but also about preserving customer trust.

The payment conundrum

Although Kenya’s mobile money revolution has transformed online transactions, many consumers are still reluctant to pay in advance. Mobile money services, which enable users to transfer funds through their phones, offer a smooth payment method, but many people still favor the security of paying only after receiving their items.

The availability of both mobile money payments and cash on delivery is essential,” Issack said. “We recognize that some customers prefer to pay once they have received their orders, and that’s acceptable. It’s about providing individuals with the option to feel safe during their transactions.

However, as online shopping platforms expand, there is an increasing emphasis on promoting early payments. Certain platforms are providing discounts or special offers to motivate customers to pay ahead of time. For Livemall, building a climate of trust where consumers feel at ease paying in advance is a slow development.

Although smartphones are widely used in cities, many people in rural Kenya encounter major challenges regarding digital skills.

Although younger people in urban areas have adopted online shopping, older individuals, especially those in rural areas, are still not familiar with how to use e-commerce websites.

Isaac views this as both a challenge and a chance.

Digital literacy is getting better each day,” he stated. “Young individuals are showing their parents how to make online purchases, which is creating a significant new market.

With better internet access throughout the nation, the digital gap is gradually narrowing, as more Kenyans become familiar with online shopping platforms. Nevertheless, the journey towards digital inclusion continues, and how quickly it progresses will significantly impact the sector’s future development.

Although there are obstacles, the outlook for Kenya’s e-commerce industry is encouraging. A youthful, technology-oriented, and more connected population suggests that specialists anticipate continued rapid expansion in the sector. Nevertheless, for this growth to be long-lasting, companies need to tackle fundamental problems such as trust, delivery consistency, and customer safety.

Kenyans are prepared for e-commerce,” Issack stated. “They are simply seeking trustworthy platforms. We are dedicated to demonstrating that online shopping can be secure, dependable, and pleasant. That is how we will reshape this market.

As the sector develops, it will demand increased cooperation among companies, customers, and authorities to build a stronger online shopping environment. However, currently, platforms such as Livemall are making consistent progress in addressing the issues, demonstrating that, even with the growing pains, Kenya’s digital market is here to remain.