Olumide Olusanya, CEO and founder of Gloo.ng has announced the new business that the ecommerce online business would be pivoting to. Olumide early in the year, announced that he was shutting down the ecommerce business and launching a new business.
The new business is a B2B e-procurement business called Gloopro. Publicly announced yesterday, Gloopro “is on a mission to build Africa’s largest, indigenous multi-enterprise procurement network and supply-chain trading platform.”
In his interview with Techcrunch, Olumide said that the new business would supply large and medium corporates with everything from desks to toilet paper.
Today, 11th March 2019, we publicly launch @gloopro, Africa's Premier eProcurement Platform!@gloopro is on a mission to build Africa's largest, indigenous multi-enterprise procurement network and supply-chain trading platform. Check us out at https://t.co/XcEIrkVLdC pic.twitter.com/EHEZn4aQKI
— Gloopro (@gloopro) March 11, 2019
Gloopro will generate revenues on a monthly fee structure and a percentage on goods delivered.
Olumide says the company is about to raise its Series A round and is looking to expand outside Nigeria “before the end of next year”. Olumide raised around $1 million in seed capital as Gloo.ng.
He said the new business was prompted by an Gloo.ng client Unilever, who requested an e-procurement solution in 2017. According to him, “We observed that the unit economics of that business was far better than consumer e-commerce.”
Now Gloopro’s clients include include Uber Nigeria, Cars45, Coca-Cola and industrial equipment company LaFarge apart from Unilever.
Gloopro boasts about the following benefits of using its platform. Companies would be able to:
- Gain critical insight into spending
- Drive costs down and save money
- Increase visibility and deter fraud
- Boost efficiency and profitability
- Simplify and streamline process
- Reduce manual inputs
- Remove delays and free up resources
Olusanya believes the company can compete with other global e-procurement providers, such as SAP Ariba and GT-Nexus, by “leveraging our sourcing and last-mile delivery experience in Nigeria” and expertise working around local requirements in Africa.
He believes that Gloopro’s revenues would hit $4 million by the end of the year and the company could reach $100 million over the course of its international expansion into countries like South Africa, Kenya, Morocco, Egypt and the Ivory Coast.
