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First Mover Advantage

First Mover Advantage


When we talk about first mover advantage we simply mean the marketing strategy
gained by initial (“first moving”) significant occupant of the market
segment.First mover advantage can be gained by technological leadership, or
early purchase of resources and for that matter I want to take you through
on how Jumia online shop in Kenya applied first mover advantage to dominate
the Kenyan online market than any other online shops in Kenya.

Jumiawas the first online shop to get into the kenyan market then it was
followed by kilimall after that there are numerous online companies that
are emerging but they cannot overcome jumia. let me give a little history,
Jumia Market was founded by Jeremy Hodara and Sacha Poignonnec in February,
2013. The company started operations in Nigeria and Pakistan that same year
under the name Kaymu; after receiving an undisclosed amount of seed funding
from Rocket Internet.The
company grew from an employee base of ten to sixty within first nine months
and opened operations in Kenya later in 2013

When it opened its operations in Kenya they had enough experience to help
them capture the Kenyan Market, they knew very well that for them to gain
trust and loyalty of their customers in Kenya they had to introduce pay on
delivery policy. We know very well that no one is willing to pay for
something they cannot see especially in a country where people are not
exposed to technology like in Kenya .The pay on delivery policy made them
to win the Kenyan Market and today almost everyone have an idea about
Jumia.

*The reasons why Jumia is dominating Kenyan market*

– *The Jumia affiliate program.*

when we talk of affiliate marketing program, we mean a channel of digital
marketing that involves posting of banners on other websites with the aim
of targeting the visitors of that site and the owner of the site is awarded
when an item is purchased through their website.

Many companies in Kenya has not developed this system and they still do
traditional marketing. No one is interested to listen to a lot of
stories in this busy world, they prefer to do everything online.This is a
tool that makes jumia lead in the Kenyan market.

*J-FORCE program.*

Jumia has introduced a system where they have recruited sales consultant to
help them reach those that are not aware of their services and keep them
updated on their deals. They even give out vouchers to the agents to make
them motivated in their process of looking for customers on the ground and
this makes jumia to record a lot of sales every month because the agents
are in all corners of the country and hence Jumia is well represented in
the Kenyan market.

*Social media marketing*

Social media marketing is the channel of digital marketing that is
conducted through the social media platforms like Facebook, twitter,
instagram and many others . Jumia is always active in Facebook and any other social media platforms everyday where they post their daily deals and keep their customers updated on the new item introduced or launched  into their online store.

*Promotions*

Jumia always conduct their promotions by planning for days when they sell
different items at lower prices to keep their customers intact, the
promotion deals include black Fridays and flash sales where they sell items
at a cheaper price.This has helped them attract a lot of customers.

*Conclusion*

If you can take an idea that is proven to work, proven by your competitors
about the need in the market, then you can take the same idea and execute
it better. Or find a pocket of the market that is being missed by your
competitors and fill that gap.

To execute your plan well, you need the following:

– A Long term vision
– A strong understanding of your strengths and capitalizing on it
– A product that can have a market differentiation and serve the needs
of customers (that your competitors are missing out on).
– Investment to some extent to help you get off the ground
– Mentorship and advisory network
– A great team who can work with you to execute your vision

Most of the businesses who become extremely successful execute plans well.
They didn’t become successful because of their unique idea.

So de-prioritise ideas and prioritise execution.

And don’t be afraid to enter a market which already has competition. If you
think you can serve customers better than your competitors, then you can
succeed in that market.

Competitors help you prime the market to convert people into buyers. People
are smart and they won’t invest their hard earned money on a mediocre
product. If they see that your product is better than the competition, they
will buy from you… even if it is the competition that convinced them that
they need the product.

1 thought on “First Mover Advantage”

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