In a world where internet has been a source of income for thousands of young people worldwide through online content creation, Twiva has entered into a partnership with the Shortlist in a bid to help them in acquisition of devices to help grow their careers.
The zero-interest facility is expected to help provide formal employment opportunities for early career professionals in the global digital economy to purchase of essential devices such as cameras, laptops, and mobile phones that will help them create content and take online jobs.
“Many young individuals in the content creation arena face the challenge of inconsistent income, making it difficult for them to afford coveted gadgets like the iPhone 14 or 15, or the MacBook they aspire to own. To address this, we’re providing them with an opportunity to contribute a minimum of 15% and repay the remaining amount over the course of a year. This approach makes it more manageable for them to plan their finances effectively and acquire the devices they desire,” said Peter Kironji, Twiva Chief Executive Officer and Co-Founder.
Under the partnership which is funded by the Challenge Fund for Youth Employment (CFYE), Twiva and Shortlist target to create and enhance at least 8,500 jobs in the cloud work sector for Kenya.
Eligible applicants for the facility will be required to pay 15% down payment of the device they are looking to buy with the remaining balance settled through monthly payments spread over a flexible period ranging from 3 to 12 months.
“Through extensive market research conducted among our pool of 11,000 influencers, we discovered that a majority rely on Buy Now Pay Later (BNPL) services. Interestingly, the utilization of BNPL leads to influencers spending nearly 80% more when opting for buy now, pay later services,” added Grace Gikonyo, Twiva Head of Marketing.
Additionally, applicant’s monthly payment commitment should not surpass 25% of gross monthly income. This structured payment plan is designed to accommodate their financial capacity, providing a pathway to ownership that aligns with their income levels and promotes financial sustainability over the repayment period.
“The surging popularity of BNPL services prompted us to initiate a pilot study on their usage. While the findings may not be statistically significant due to the small sample size, the study revealed that young consumers, particularly those between the ages of 18 and 35, exhibit the highest reliance on online BNPL services. The primary motivations cited by consumers for opting for these services included budget constraints, an inability to pay the full price of a product or service upfront, and a desire to avoid interest and fees,” said Austen Stranahan, Shortlist, Chief Operating Officer.
Twiva is an Influencer-powered social commerce platform boasting a network of over 11,000 influencers while Shortlist on the other hand, is a talent advisory firm dedicated to connecting African talent with startups, social ventures, and mission-driven organizations.
Shortlist which also operates across Africa, India, and more than 20 other markets worldwide says the partnership is part of its 42 months program titled ‘Accelerating the Rise of Cloud Work in Kenya’.