Business
Using Free Wi-Fi to Connect Africa’s Unconnected
“We looked at where our [potential] customers were, and they were in the matatus. Most of our customers spend two or three hours commuting every day,” says Gideon Karimi, who oversees Internet marketing for Safaricom. The program has expanded to about 3,000 matatus and buses nationwide from about 20 in 2012.
The telecom gives matatu owners the equipment free and charges them 2,000 shillings ($23) a month for data, 30 percent off the retail price. It is money well-spent to attract riders. Every time Wi-Fi matatus reach their stops, says bus owner Vincent Swaleh, there is “a group of people waiting for them.”
Rival Airtel Kenya takes a different approach. The unit of India’s Bharti Airtel Ltd. is focusing on people who know they want Internet access, but are scared away by price. The telecom gives free airtime for a few popular applications, such as Facebook, hoping they will serve as gateways for broader online use.
Safaricom, meanwhile, is airing television and radio commercials and distributing flyers to explain what is available on the Internet, like soccer scores and advice on farming. Some ads explain that Gmail and Facebook accounts are free. The idea is to start conversations among consumers about going online, Mr. Karimi says. Safaricom staff have seen matatu passengers explain the Internet to each other, he says. Drivers explain smartphones to riders who don’t understand why their basic handsets won’t connect.
The Vuma Online program is expanding to other gathering spots, too. Safaricom is installing Wi-Fi routers at city train stations and small-town barber shops. The company also takes a router-laden bus to rural areas on market days to create a temporary Wi-Fi hot spot. Staff use a loudspeaker to announce that free Internet is available and help shoppers set up free email accounts. “We’re trying to create a culture of Internet here,” Mr. Karimi says.
Copyright Wall Street Journal 2014
