‘We are from the townships, that’s our competitive edge,’ say these entrepreneurs
Some delivery services won’t go into certain areas, leaving an economic gap for savvy kasi entrepreneurs. File Picture: Lookout Hill, Khayelitsha by Chanelle Manuel
The excuse then was that there just was not enough demand nor enough shops around in some townships to warrant delivering food there.
However, things are changing.
The 2022 South African Township CX Report surveyed over 1 400 township residents and found that within a year, online purchases climbed up by a 42% margin, from 28% in 2021 to 70% in 2022. This could, in part, be because of the local entrepreneurs who have added delivery services to their hoods.
Not understanding township culture has traditionally stood in the way of a number of businesses entering the kasi market.
Below are three entrepreneurs born and bred in the townships who saw the gaps and decided to jump in and service their own hoods.
Here they are:
KasiD is a food delivery service that was founded by Freddy Mahhumane. Mahhumane, a Tembisa native, believes he understands the township market better, which puts him in a position to thrive.
“I saw it as an opportunity for me. I think (businesses outside the townships) don’t have the right background in terms of the township culture. For us, as a business, that’s one of our competitive advantages because we are from the township, so (we) understand the culture in the township,” said Mahhumane.
At present, KasiD operates in Tembisa, Midrand, Kempton Park, Ivory Park, Chloorkop and Kaalfontein.
Mahhumane dreams of expanding his food delivery business to other parts of the country and beyond South Africa’s borders, taking on the established food delivery apps head-on.
“I’d like to think we’ve built the very same technology as Mr D and Uber Eats. We made sure that where we could not find better, we met the same standards as them.
“We want to be the No 1 black-owned delivery business in South Africa, and we don’t want to stop there. We’ve recently received a trading letter in Botswana because we also see our business expanding into Africa.”
Delivery Ka Speed
Delivery ka Speed was founded in Hammanskraal, north of Pretoria. The company seeks to provide convenient delivery services to the township market while cultivating the culture of gig work for the township’s unemployed youth.
The business has grown exponentially, and what started as a WhatsApp-based delivery service now has a fully-fledged app, which has been nominated for the MTN Business App of The Year.
They now service Mamelodi, Atteridgeville and Soshanguve in Pretoria, as well as TsaKane, Katlehong and Vosloorus on Johannesburg’s East Rand.
The work has not gone unnoticed, and they recently won R50 000 in the inaugural The Future Table competition, which was hosted by the Entrepreneurship To The Point (eTTP).
Upon receiving the prize, Godiragetse Fareed Mogajane, founder and CEO of Delivery Ka Speed SA, said: “Winning this prize simply helps me to assist more and more youth to become successful and self-sufficient. I am most proud of the fact that we can employ young people, many of whom have given up and would otherwise be faced with other social ills. We all know the many challenges we face in the township, and I am proud that we can play a part in finding solutions.”
Founded in 2019, Swypa delivers food and groceries for both formal and informal businesses at a flat delivery fee that ranges from R35 in Tembisa and Soweto and increases up to R50 in areas such as Chloorkop, Estate, Norkem Park and Birchleigh.
The company offers consumers a service where they find groceries for customers at the cheapest price by comparing how much goods are at various retailers and delivering the cheapest groceries to their customers.
The delivery service has not only brought convenience to township consumers but also much-needed employment to the youth residing in the townships as they ensure that they only employ people who live in the communities they serve.
Courtesy of IOL – full article here