Telkom Kenya has announced a product financing program that will see customers acquire smartphones via hire purchase.
This follows a partnership between the telco, which is Kenya’s third largest, and Buy-Now-Pay-Later company Lipa Later.
This means that the devices will be more accessible to consumers through affordable monthly instalments.
According to Lipa Later CEO, Eric Muli, any customer can walk into a Telkom Store and walk away with a device of their choice.
Unlike similar financing programs such as Safaricom’s Lipa Mdogo Mdogo, customers do not need to pay a deposit.
Once a customer has signed up with Lipa Later at the store, he or she will get a credit limit, and all that will be done in a matter of minutes.
Payment will then be done monthly, and in 12 months.
The following devices will be offered:
Phone, Nokia, Oppo, Realme, Tecno, Ulefone, Vivo, Xiaomi, Huawei, Bontel and Itel.
Retailers are now offering Buy Now Pay Later solutions that enable their customers to purchase essential goods by choosing an affordable financing plan and paying in installments instead of the entire cost all at once. The increase in the adoption of online payment methods across developing nations is also accelerating the growth of the buy now pay later payment market.
Telkom Kenya CEO Mugo Kibati:
“Telkom remains committed to enabling Kenyans to be part of an interconnected world. We continue to have exploratory discussions with our partners to find solutions that will enable our customers to have access to a wide range of authentic products and services, affordably and conveniently. Coupled with the easier access to smart mobile devices through this partnership with Lipa Later, our customers will also be able to enjoy affordable Mobile Data through our products such as the recently launched Changa Bundle which enables Kenyans to share data, minutes, voice, and SMSs.”
Lipa Later CEO, Eric MULI says:
“We are delighted to kick start this partnership with Telkom that will enable both our customers to get and stay connected by acquiring mobile and data devices affordably. Consumers can walk into any Telkom store, sign up with Lipa Later, get a credit limit in less than 5 minutes, pick a device of their choice at zero deposit, get connected to mobile and data services, and pay for the same in up to 12 monthly installments.”
“Additionally with our integration with UzaPoint, the process at the checkout till will be seamless for the consumer across all the Telkom outlets in the country,” he adds.