Data analytics is a big word that some entrepreneurs are still struggling with today. The long and short of it is making decisions based on data.
The best time to apply analytics is before starting a business.
In our case, we want to give you key statistics that you should consider when thinking of a mobile or web app.
The big question when doing the initial market research is if there is demand for the product or service.
A good product or service should solve a problem.
Research also helps you identify new opportunities in the market.
As you read these statistics, think of the opportunities that exist in software engineering in Kenya.
Recent statistics on mobile usage, internet, population, and social media usage
1. About 8.2 million Kenyans are social media.
The most popular platforms are WhatsApp (74%), 70% on Facebook and 50% on Twitter.
2. Kenyans spend an average of 3 hours a day on social media
3. Mobile penetration stands at 91%, which is equivalent to 46.94m.
The overall penetration in Africa is estimated at 80%.
4. 43.3 million Kenyans have access to the internet (84%) of the total population.
The 3G network covers 85% of the population while 4G covers about a third of the population.
5. The Kenyan population is young with an average age of 18 years. About 26% of the total population (51.58m) lives in urban areas.
6. By 2018, Kenya had 47.6m mobile money accounts with an estimated transaction value of 3.6 billion US dollars.
7. There are more than 300 loan apps in the market.
8. In the first quarter of the financial year 2018/2019, Kenya surpassed the 100 per cent mark in mobile penetration.
The statistic indicates the total number of active SIM cards in the country as a percentage of the national population.
Kenya joined Tunisia, Morocco and Namibia in reaching this milestone in Africa.
9. Safaricom has the largest percentage of market share. However, the share reduced from 71.9% in June 2017, to 65.4% and 64.2% in June 2018 and September 2018 respectively.
10. In the same period, the Airtel Network Limited increased its market share from 14.9% to 21.4% and 22.4% respectively.
Telkom grew from 8.4% to 9.0 in the same period.
11. The total cyber threats increased from 3,462, 480 between April and June in 2018 to 3, 824, 068 between July and September of the same year.
Over 1.8m were malware attacks, 1m web application attacks, and over 900, 000 botnet attacks
The attacks increased to more than 11m by March 2019.
12. The number of domain names registered increased from 75,096 in June 2018 to 77, 671 in September 2018.
The numbers are limited to dot.KE domain names. The majority are company domains (co.ke).
13. Mobile subscriptions increased from 49.5m to 51.0m from the Oct-Dec 2018 quarter to Jan-Mar 2019 quarter.
14. At least 93% of Kenyans owns a mobile phone. About 43% use smartphones and 21% use laptops or personal computers.
Tablet usage is still low but significant at 7%.
15. Wearable tech devices are at 2% penetration in Kenya
18. 72% of Kenyans access the internet every day while 15% access the internet at least once a week.
19. News and betting sites dominate the top websites in Kenya.
20. An independent report rank Whatsapp (82%), Facebook (80%), YouTube (61%), Instagram (48%), FB Messenger (41%), and Twitter (33%) as the most active social platforms in the country.
21. Facebook has a total advertising audience of 7.9m while Instagram has 1.9m.
Facebook audience increases by 3.9% every quarter.
Notable lessons from the data
1. Social media is a great platform to advertise any product or service in Kenya.
The majority of Kenyans are social media and spend at least 3 hours on the platforms.
2. Kenyan Business owners should consider using WhatsApp and Facebook’s Messenger as channels of communicating with their clients.
3. The Kenyan market offers great opportunities for mobile apps and e-commerce platforms.
The country beats other African countries in internet connectivity and mobile penetration.
Any person who can identify a pain point that an app can solve has an opportunity to make money.
Even with the Kenyan apps in play stores, there are still opportunities for growth. Mobile app developers in Kenya can help new entrants in identifying such opportunities.
4. The Kenyan population is young (an average of 18 years).
Any mobile and web solutions should target young people even in design and functionality.
Young people value speed in transactions and operations. Social and dating apps should on top of the list of considerations for new entrants.
5. Cyber threats are on the rise including the reported cases.
Software developers must consider the security of users when creating new apps.
As more and more Kenyans turn to the internet for quick answers and transactions, hackers are busy looking for loopholes.
In addition to creating online platforms and solutions, developers need to educate users on security issues.
6. Although the government has been cracking down on betting companies, betting apps and sites are still a gold mine.
The young Kenyan population is looking for quick cash given the hard economic times.
Similar to other nations of the world, Kenya loves football. Hence, betting will always be part of it even with government regulations.
7. Nearly 100% of Kenyans have an active SIM card.
Notifications through SMS present a good opportunity to keep users or clients engaged.
The large mobile penetration and social media audience present marketing opportunities for new products.
Assumptions in any type of business are costly. Entrepreneurs must always look for ways to measure their performance and follow market trends. Data should always guide decisions in every business. The data presented here shows great opportunities in the software business for new entrants.
Any mobile phone service that meets a pressing need in the Kenyan market is a gold mine. In addition, it is important to keep track of the latest trends. Some ideas become uneconomical over time. Government regulation is also an important consideration in software development in Kenya.