Uganda bike-hailing platform, Safeboda is leaving Nigeria. According to the startup, it wants to focus on bringing the company to profitability by deepening its core transportation offering in Uganda.
Reports also revealed that this is the second time the bike-hailing platform is leaving a market since it was founded in 2017. Just two years ago, the company left Kenya due to the effects of the COVID-19 on its business.
SafeBoda has been running its operation smoothly in Ibadan. Just a year after it’s launch, it crossed the one million milestone, growing at an impressive 150% MoM.
It also tripled its traction to three million completed rides in 11 months. This gave them a dominance bragging rights in the region.
What Is The Real Reason For Leaving
The startup is leaving Nigeria because the ‘okada’ industry is not doing well economically and requires significant investment at this challenging time.
Speaking through TechCabal, the company’s spokesperson, said Nigerian market for its operation was unprofitable.
Just two ago, SafeBoda announced car-hailing pilots in Kampala. At the time, Olaoluwa Arokoyu, Nigeria’s country manager at SafeBoda told the media that;
“The product is already going through a series of iterations in Uganda, and when it’s done, we’d run a quick one in Nigeria and launch.”
SafeBoda Secures Another Funding
SafeBoda has secured additional funding from Yamaha Motor Company and other investors to support its parts to profitability.
This new funding will help deepen its core transportation offering while continuing to build its augments and financial services in Uganda”.
ill help it deepen its core transportation offering “while continuing to build its payments and financial services in Uganda”.
However, it’s car-hailing service, SafeCar is still in service. Speaking on this, the company said,
”Our SafeCar service is growing very fast and our drivers love the new car community we are building”.
Since Uganda is its largest market, we wish them well.
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