In a groundbreaking move, Tappi, the end-to-end digital commerce SaaS solution tailored for small and medium-sized businesses (SMEs), has successfully raised $1.5 million in an oversubscribed pre-seed funding round. The lead investors include Mercy Corps Ventures and Chui Ventures, with significant contributions from Digital Currency Group, SOSV, Resilience17, growX ventures, Orbit Startups, Reflect Ventures, and notable angel investors and advisors from global tech giants such as Google, Salesforce, and Zendesk.
Established in 2022 by founders Kenfield Griffith and Louis Majanja, Tappi is on a mission to digitize Africa’s $20 billion SME market through sophisticated software solutions. Priced as low as $2 per month, Tappi’s SaaS and enterprise-grade tools integrate seamlessly with Africa’s largest mobile network operators and financial institutions, expanding its reach to over 100 million SMEs. With AI embedded in its operations in Kenya and Nigeria, Tappi facilitates an intuitive chat experience for online business profile creation. The company’s end-to-end digital commerce stack focuses on payments, messaging, and AI, serving as the SEO backbone to boost revenue for SMEs continent-wide.
Tappi has already captured verified reviews on $3 million consumer transactions and engaged with over 150,000 consumers. The newly secured funding will enable Tappi to intensify its presence in current markets by expanding its sales force, leveraging a robust 90% retention rate. Strategic partnerships will be a key focus, building on the success of its existing relationship with MTN Nigeria, which has experienced a remarkable 19% month-over-month growth in business ads and business data bundle subscriptions.
Kenfield Griffith, CEO and co-founder of Tappi, expressed gratitude for the support, stating, “We are eager to empower SMEs across Africa by providing them with a trusted identity online to find customers. The current investment will support our mission to make inroads with our customers through direct sales and partnerships across the continent.”
The significance of Tappi’s mission is underscored by Hetal Patel, Director of Investments at Mercy Corps Ventures, who emphasized, “Our investment reaffirms Mercy Corps Ventures’ belief in Tappi, and is very much in line with our purpose of inclusivity and developing financial resilience amongst SMEs in Africa.”
A recent 2023 Africa MSME Pulse Survey revealed that 62% of respondents, mainly from Kenya, Nigeria, and South Africa, reported increased reliance on technology and online tools. Over 25% are planning to invest in e-commerce and website development, highlighting the immense opportunity in the digital commerce ecosystem. Tappi is well-positioned to meet this growing demand as it fosters trust and drives economic growth across Africa.
Lynda Saint-Nwafor, Chief Enterprise Business Officer at MTN Nigeria, expressed excitement about the partnership, saying, “At MTN, we’re committed to fueling the growth of over 40 million MSMEs in our markets through tech-driven solutions. Partnering with Tappi, we’ve launched MTN Thryve, empowering SMEs to connect with current customers and find new customers via Facebook and Instagram ads using MTN data bundles and airtime. Tappi’s technology aligns with our vision, and we’re excited to be part of SME success stories in our markets.”
Source: Tribuneonlineng