The changing face of Online Shopping in Uganda

Uganda has for long been lagging behind when it comes to Online Shopping. Online Shopping is the process of buying and selling of goods and services online or on the Internet. In Uganda you do not necessarily need a credit card to shop online.

Transactions in Uganda can be settled either by Cash on Delivery (COD) and now Mobile Phone Money Transfer, or other forms like Wire Transfers or Cheques as well as Western Union or Money Gram that the rest of East Africans can use to shop online. Banks in Africa have reservations as per credit cards provision. It is for this reason that more creative thinking along modern innovations like Mobile Phone Money Transfer and traditional methods like the cheques and wire transfers come into play.

Big players like Uchumi, Game, Nakumatt have hit the market giving the small ones a run for their money. Small firms will always survive in spite of the big ones being around the corner but the question is how long and by what margins?

Their survival can only be guaranteed by going online and listing their products on a common online catalogue, it is inexpensive both in terms of finance and operation as it is provide as a service.

An online shop with a provision of signing up customers with the intent of providing them with information and giving discounts could be a rewarding scheme for both the buyer and seller.

Shopping Online in turn creates indirect employment through services like delivery of goods to customers’ homes, offices and so on and so forth. A customer in Entebbe will still have to spend a bit of time and money to go to shop in the city centre yet with online shopping he/she could continue doing his/her work as the delivery is being done after shopping on SmartBaza.

Banks too have a business opportunity by rolling out credit cards, virtual credit cards and online shopping vouchers that aid shopping online locally.