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| Posted: 30 Aug 2021 12:16 AM PDT  Underserved communities in Africa are often overlooked based on their income bracket and earning ability. According to the World Bank, 85% of Africans live on less than $5.50 per day. The effects of this are dire, especially when it comes to access to daily essentials like food and water. The food market is increasingly volatile yet people are earning largely the same. Low income earners don’t have the financial capacity to purchase adequate food supplies at affordable prices and they find themselves spending up to 100% of their monthly income on food. To help solve this horrendous problem, Grocedy is a platform that allows users to conveniently pay what they can afford, towards a monthly staple food bundle. Grocedy is a product developed by Worldbay Technologies, a company intent on using technology to solve Africa’s most common problems. Worldbay leverages economies of scale to save customers up to 20% on their monthly food purchases. They work with local farmers, manufacturers, and cooperatives to source the best quality produce which they avail to users through a monthly subscription service. Users make payments in installments and food is delivered to them once they finish their payments. Each tier of subscription has different food basket offerings and baskets contain essentials like rice, beans, garri, and semo. Grocedy has leveraged tech to handle distribution, logistics, and last-mile delivery. The start-up offers an expedited process from registration to delivery through the use of USSD, mobile, and a web portal. Speaking on their biggest challenges, co-founder Lanre Smith alluded to their realization that their customer base is largely made up of unbanked and underbanked individuals hence the additional need to educate and encourage them to use alternative payment channels. Bringing users to the digital fray has added another layer of services and partners for Worldbay as they are expanding on their supplier and partner network. Foodstuff aggregators are using Grocedy as a channel with which to reach their customer base and get feedback on their products and services. Validation has come in the form of a growing customer base as Grocedy has over 6000 subscribers in Lagos, where they operate. 100 million Nigerians live below the poverty line, 40% of these people live in urban areas where food is traditionally more expensive. Grocedy aims to serve 2% of this market in the next 3 years. This is in addition to a growing diaspora market that counts on Grocedy to deliver food to their loved ones. Solving the problem of food affordability is key to achieving food security and Grocedy is certainly on the right track.
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