Imagine accessing all of the "one-time offers" on one platform.
. . .
Operating for the past 4 years, Qinash has become the go-to platform for finding discounted products. “We aggregate available discounts to a single platform and present them to the public,” says CEO Bethel Tesfaye. The key problem the company tries to solve is making shopping easier for customers and helping merchants manage their inventories better. However, due to the seasonal nature of discounts, onboarding merchants has been challenging. As a result, Qinash opted to work with importers and wholesalers to mitigate the gaps.
Trusting the process
Qinash began with seasonal discounts and gradually expanded to buy from retailers, wholesalers, and importers. This is indicative of the company’s approach when it comes to overcoming hurdles. “We change our business model every two months,” Bethel told us. The company often gathers feedback from customers and adapts its business model accordingly. This has its challenges, especially when it comes to logistics and marketing, Bethel admits. However, the company isn’t afraid to experiment. And its achievements attest to this. Today, Qinash has a strong user base of 7,000 to 8,000 registered users, along with a mix of retailers, wholesalers, and importers selling their products.
Qinash generates income through delivery services, commission fees, and keeping overhead costs low. Initially, the company handled deliveries internally but later switched to external services to improve efficiency. "We use everything that works for delivery," says Bethel. Qinash uses different means for its delivery services including Ebikes and motorbikes as well as working with other service providers like BeU Delivery.
Operation and Delivery bumps
One challenge the company faced was customers canceling orders after the delivery was dispatched, resulting in unnecessary delivery costs. To address this, Qinash implemented a system where customers must pay a 30% advance for orders exceeding 2,000 birr. This approach has significantly reduced order cancellations and associated costs.
Although Qinash has a website and a mobile app, its reach has grown significantly thanks to its telegram bot. The high number of Telegram users in Ethiopia has resulted in impressive conversion rates, Bethel says. Although marketing on Telegram was challenging at first, social media ads and promotions on other Telegram channels have been effective. With 20% of customers paying online, Qinash has integrated local payment systems like Chapa, SantimPay, and Telebirr in the telegram bot.
What makes Qinash stand out?
Ensuring product quality is a priority in Qinash’s business model. The company offers returns and exchanges to maintain customer trust. Qinash carefully vets its merchants, especially retailers with various sources, to ensure quality products. Importers usually present fewer quality issues. Qinash has identified popular product segments like branded cosmetics and free-size clothing, which have strong sales.
Qinash has won several grants, which have kept the company afloat until it was able to break even last April. Those grants include competitions hosted by the Master Card Foundation as well as iCog Labs’ SolveIT challenge. These grants have given the company the necessary resources to conduct initial surveys, develop a minimum viable product (MVP), and set up business administration.
Qinash's future
Bethel mentions that Qinash will not continue doing e-commerce in the same way it currently does.” Have you seen TikTok?” she adds. Despite the scams and false advertising that are prevalent on the platform, Bethel believes in the potential of TikTok, especially for live product reviews, and they are experimenting with this platform in addition to Telegram.
Looking ahead, Qinash aims to be one of the top e-commerce companies in Africa, focusing on continuous learning and growth. “Our company is optimized for learning,” says Bethel. By staying flexible and adapting to customer needs, Qinash plans to market Ethiopian products not only to the local market but also to the international market.
