NLNG Corporate Teamwork banner First bank FinTech summit Fidelity bank card banner Emerald Energy Institute Camano banner

Firms should save through digital procurement to survive — Konga R & D

By News Express on 23/09/2019

Gmail icon

Views: 262

Organisations must embrace digital procurement strategies in order to save cost and improve their margins. This will go a long way in helping companies navigate the current harsh business climate and position them for survival and subsequent viability.

The foregoing was disclosed in a report released by the Research and Strategic Business Development Unit of e-commerce giants, Konga.

The report revealed that companies operating in the Third World must embrace modern procurement dynamics to save time and money. Furthermore, Konga affirmed that the slow pace associated with the procurement process in Nigeria requires creative strategies to ensure that spiraling costs/losses are minimised.

“It takes an average of two weeks for an SME to buy a simple Toner cartridge for a laser or Ink jet printer. Likewise, it takes multinationals over four weeks from the time of request for quotes from vendors through the process of selection, issuance of Local Purchase Order (LPO) until time of final supply by the vendor.

“This is even in cases where the SME or multinational is lucky to select a quality vendor.”

Additionally, the Konga research report affirmed that procuring companies end up with fake products at exorbitant prices as a result of the failure to embrace cutting-edge, digital procurement practices.

“Even with these transparent and competing procurement processes, best prices and genuine products are not guaranteed. Therefore, why go through these processes and end up losing money?”

Subsequently, Konga has challenged small business owners, SMEs, corporate organisations, multinationals and agencies in the public sector to upgrade to the global best practices in their procurement processes.

“In this era of thinning profits, companies should embrace digital procurement strategy. In other words, procurement has left the analogue stage and gone online. Online procurement is the way to survive as competition in the Third World gets more intense. Aligned to this is the cost of fund which continues to go higher and vendors have no choice but to incorporate these in final cost to the consumer.”

The well-researched report further advised firms to shop smartly and save money by shopping through reliable E-commerce platforms such as which hosts a number of merchants. In addition, the presence of competing merchants ensures the availability of price-sensitive genuine products who deliver reliably within hours, irrespective of the locations in the country.

“Today, with an improved digital payment system in Nigeria, SMEs and big firms can open e-wallets through which they can take advantage of stocked multiple warehouses nationwide and take delivery of their products same day or on the next, at the most.

“Konga has an example of such through Konga Pay, a secure Central bank of Nigeria-licensed payment platform. On, prices are open, delivery costs are known as merchants compete to sell, thereby saving corporates a lot of money and time to focus on their core businesses.  This also enhances transparency in the procurement process.

“Most successful companies and even families abroad have embraced this digital procurement process to buy smart, save money and time and increase profit. It is as simple as ABC. Before you buy, you can check prices on and you will appreciate the savings. Also, Konga takes absolute responsibility for all products on its platform, no matter the quantity.

“Likewise, Konga has nationwide storage and delivery capacity to store products for firms who would order large quantities and take delivery gradually. And with robust technologies, partners can view their products in the warehouses, irrespective of the location of the warehouses in Nigeria.”

In conclusion, the report noted that a number of profitable companies in Nigeria have tested and already transitioned to the Konga corporate digital procurement platform. Benefits of the transition, described as unquantifiable, are expected to grow by over 65% by the year 2023.



Source News Express

Posted 23/09/2019 05:24:25 AM





You may also like...
The 2016 Budget Controversy: Matters arising

Resolve ASUU crisis without further delay, Saraki tells...

Mercy Johnson wants women to start paying dowry...

Birnin Gwari kidnappers place N1 million ransom on...

Cholera: 8 killed, 20 hospitalised in Kano

N359m FSMLT Fraud: Court grants EFCC leave to...

IGP visits DSS boss, seeks collaboration to tackle...

Breaking: Jonathan sacks Gulak

14-year-old boy kills five family members

British Govt condemns Shiites’ clash with security operatives...

Arrest, prosecute Tinubu for operating several foreign accounts...

I will develop Aba to drive Abia economy...


Latest News BREAKING: Buhari approves N10bn for Enugu Airport Eight ‘most wanted kidnappers’ arrested in Imo Monkeypox hits Lagos, Rivers, Akwa Ibom Job scandal: Senate President Ahmad Lawan ‘hijacks’ 26 FIRS slots Apprehension as NJC interviews justices for apex court Senate faults Buhari’s anti-graft war, urges proactivity Boko Haram’s external funding now up to 50 per cent — Obasanjo •Denies receiving US intel on Nigerians in Al-Qaeda Let’s talk about Revolution HURIWA to CJN: Stop dabbling into political issues, threats of opposition groups Can a cabal that is against Aisha Buhari be for the President? By Fredrick Nwabufo Reign of terror thrives when the citizens are docile — Adegboruwa INEC stakeholders meeting ends in commotion


Most Read NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (551,186 views) Nigerian female sex addict opens up, says ‘I like it with both men and women’ (447,445 views) Shameless Genevieve Nnaji exposes breasts in public (394,993 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (330,791 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (299,037 views) 10 cars more expensive than Jets (264,485 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (256,121 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (253,402 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (234,903 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (221,099 views) Lagos plane crash: Journalist releases victims’ names (198,593 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (195,807 views)


CBN milk production

CBN banner advert

UBA Wise Savers Promo


Categories Advertorials (3) African Press Organisation (81) Art & Literature (105) Business & Economy (4,496) Business Verdict (85) Columnists (1,130) Complaints & Requests (96) Enterprise & Opportunities (217) Entertainment (690) Features (831) Global Business Monitor (466) ICT Monitor (66) International (4,080) Interview (204) Live Commentary (30) Love Matters (174) Maggie's Blog (448) News (52,731) Opinion (1,396) Pidgin (17) Politics (11,578) Religion (1,111) Sports (2,196) Stock Watch (39) AMA & Al Jazeera Global Update







APO Group Partner




GOCOP Accredited Member

GOCOP Accredited member



Africa Media Agency and Al Jazeera