SafeBoda Re-enters Kenyan Market After 3-year pause

By Mark Kawalya

SafeBoda, the Ugandan startup known for its bike-hailing services, has made a return to the Kenyan market. This comes three years after the company exited the Kenyan market due to challenges caused by the pandemic. Safeboda is diversifying its services by introducing its new car-hailing service, dubbed SafeCar. This signals a strategic move to compete in new sectors beyond its motorcycle services.

The announcement of SafeBoda’s relaunch of operations in Kenya and the launch of SafeCar was made through SafeBoda’s official X account.

Rob Sanford, CEO of SafeBoda, commented on the company’s relaunch in Nairobi, stating, “We are finally back in Nairobi, a city that holds a special place for SafeBoda. Our mission has always been to make transportation safer and more convenient for everyone, and with the launch of SafeCar, we are taking another step towards achieving that goal.”

COO Frida Mwaura reiterated the company’s commitment to safety standards. This strategic expansion puts SafeBoda in competition with established players in the Kenyan market. These include Uber, Bolt, and Little Cab. Assessments by a local tech publication Tech-Space Africa highlight SafeCar’s distinctive features. One of these is lower commissions (approximately 17%), which set it apart from other e-hailing platforms. Additionally, SafeCar drivers have the option of withdrawing their earnings at any time. This feature is not available on competing platforms.

The decision to reintroduce operations in Kenya follows SafeBoda’s response to the easing of Covid-19 restrictions. The company faced challenges during the pandemic, including prolonged transport restrictions and curfews which impacted its core motorcycle-hailing business.

Originally entering the Nairobi market in 2018, SafeBoda rapidly built a network of over 4,000 boda boda (motorcycle taxi) riders by offering competitive rates. This attracted customers and expanded the company’s its market share.  Withdrawing from the Kenyan market was a strategic response to the challenging circumstances posed by the pandemic.

Currently Kenya’s e-mobility sector has grown, with some industry players introducing electric-powered cars and bikes into their fleets. SafeBoda now faces the challenge of regaining market share while grappling with operational hurdles such as increased taxation.

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