SAFEBODA; THE PATH TO A SUPER APP

Ride-hailing startup, Safeboda, is becoming a super app right before our eyes.

A woman enjoying a ride on a Safeboda

On May 8, 2019, a story broke on WeeTracker that Ugandan startup, Safeboda has quietly raised a mind boggling $1.1m from Indonesian ride hailing company GOJEK and the insurance firm Allianz X.

In the aftermath of raising that money, Safeboda offered upto 50% discounts on each ride to attract new customers to the app. It also shifted its offices from Kyebando, a Kampala suburb, to the plush Kamwokya. According to Digest Africa, this office cost Safeboda $5,000 a month. (Safeboda has since moved back to Kyebando merging its driver training academy with its office).

The company also moved to Kenya and Nigeria but has since scaled back on those plans after the pandemic hit in 2020.

Safeboda Drivers

But the most important shift after raising that money was the conversion of the app from just a ride hailing company to a super app of some sort.

A super app is an app offered by a company that provides multiple services under one app. Super Apps were made popular by the Chinese. For example, WeChat started out as a messaging app that has now grown to include e-commerce, ride hailing, food ordering, financial services among others.

Safeboda’s backers GOJEK, are an Indonesian billion dollar super app. The company also started as a ride hailing company, but has since leveraged its large number of drivers to include services like food ordering, package delivery, groceries, financial services, booking a spa, ordering drugs from pharmacies etc. It is an app that has very many other mini apps within it.

Services

Services offered by GOJEK

GOJEK must have backed Safeboda, with an eye on its potential to emerge as a super app. Since that infusion of cash, they have expanded to delivering packages, food, groceries, drinks, pharmaceuticals, as well as financial services. You can now buy airtime from your Safeboda wallet and also send money to another person’s wallet.

A screenshot of the Safeboda homepage.

The advantages of a super app is that users need one app for multiple services, hence convenience. It also enables a company to use its vast network(in this case data & drivers) to seamlessly provide services.

What is unclear is if this was a demand from their investors or natural progression of the company that its founders had intended to to do at some point.

Super apps are common in other emerging markets like Asia but are picking up steam on the African continent with candidates like Ayoba, OPay, JumiaOne etc emerging in Nigeria, South Africa and Kenya.

Thank you for reading. I remain J.N Lubwama.