Born and raised in Nigeria, Africa. Chris Folayan is well established successful serial entrepreneur, board advisor, mentor, and speaker with over 25 years of C level role experience in marketing, technology, startups, and corporate acquisitions. In this exclusive interview with Alaba Ayinuola of Business Africa Online, Chris shared his journey into entrepreneurship, how and why he founded Mall for Africa and how he is disputing Africa’s eCommerce and retail space. And his corporate social responsibility strategy. Excerpt.
Alaba: You have launched few startups before Mall for Africa. Kindly tell us about your entrepreneurship journey and the learning curves?
Chris: My entrepreneurial journey started at a very young age. The journey of a serial entrepreneur has not been easy but it is one that has led to a tremendous bounty of amazing learnings you can’t get anywhere else. My journey really started once I left FGCI (Federal Government College Ilorin) a high school in Kwara state, Nigeria. Right after I finished at FGCI I came to America and was captivated by the internet and all things online. It was a whole new world to me.
The ambition, motivation, and sheer dedication to ensure I make something of myself having been given the privilege to come to America for University was a blessing I was dedicated to making the best of it.
One of my first jobs in the US was with a hard drive company. I was fortunate enough to work with many departments from online development to strategic marketing to Mergers and Acquisitions (M&A). All happening before I was 19. Working with the M&A department helped me a great deal understand business development, what companies are looking for before acquisitions, and much more. I was the software guy who came to the meetings and evaluated the product before it was acquired to see if it passed all my tests. I worked on many projects and reviewed many companies over the course of two years.
My first big shot entrepreneurial gig was in a startup music company. I was hired as the CTO working on developing the first ever encoding direct media stream with digital rights platform all in one. From there I learnt about patents, improved my programming skills.and much more. Back then MP3 and RealAudio platforms were the rage. The learning curve was about programing and being at the cutting edge knowing that whatever you build has to have a Unique Selling Proposition (USP) even if you are first in market. You have to set your business and model apart from everyone else. After exiting the company successfully, I started a software and web design company.
For 10 years we developed over 1000 websites in over 60 countries and worked for some of the top Fortune 100 and 500 companies of the world including governments. With this entrepreneurial journey I learnt about contacts, connections, customer service, and the art of pricing appropriately to win. What most people don’t realize when starting a company is reputation is key from day 1. If you start with a bad reputation you will have a higher road to climb. With every business you need to imagine you are climbing a very steep hill.
The key here is to understand what the market wants and needs. Invest time into researching all the core attributes, devising a cost, then doing a cost analysis on development and market value. We did this successfully for many companies we started and sold.
One of the big learnings with “Mall for Africa” was how we legitimize ourselves in the market from the beginning. Everyone in Nigeria is skeptical of every new business. So proving ourselves as legitimate was the biggest hurdle from the start. We accomplished this by placing prime billboards, partnering with banks, and taking out major newspaper and radio adverts. Once we build a reputation for being legitimate we had to work on payments. Learning how to collect payments from a society where many don’t have traditional Visa and Mastercards. We developed a one of a kind platform where people could deposit cash into the platform like a gift card and would be credited the amount so they can buy items from US/UK sites.
This instinctively started and boosted the company into fame as we were able to give the banked and unbanked the ability to shop on US/UK sites. We ended up helping many tap for the first time into eCommerce without any border restrictions. Trust me when I say there were issues but with each one we persevered and never gave up. Being able to pivot has also been key for Mall for Africa. We have tried many new things from auctions to deals of the day sales.
We have also recently launched our white label platform to help businesses in Africa make money off ecommerce. We call this new venture Link Commerce. As you can tell the journey has been long filled with ups and downs, but you morph, and grow as the market moves you so you are always relevant and make money.
Alaba: Mall for Africa is no doubt disrupting the eCommerce and retail
ecosystem in Africa. What inspired this laudable idea?
Chris: Mall for Africa was inspired by friends and family, but not in the way you would think. I simply got tired of packing my suitcases with people’s stuff and with a software background I knew I could do something about it. What broke the camel’s back was really my being declined from boarding a delta flight from San Francisco to Lagos with 10 suitcases. The Delta lady at the checking counter said “You going to Nigeria?” and I said “Yes, I am.” She looked at me snapped her fingers and said “No you are not. Not with all those suitcases.”
I didn’t realize I had exceeded the maximum number of bags one person could have. 95% of the luggage was for people who had asked me to bring stuff over. There is a need in the market for a solution to help people buy products from US/UK.
My network of friends was not huge yet and I had 10 suitcases. What if we opened an option up to the entire country for people to shop? I could be shipping tons and tons and we could make money. Fast forward many years we have shipped millions of products to people in Nigeria, and across Africa. Helping people buy the products they want to look good, and helping people buy products to start businesses and improve their lives. So who inspired me? Honestly the best people possible. Friends family and the amazing Nigerian people who I adore who have pushed me over the years to improve our platform and help do more.
Alaba: Despite the challenges eCommerce firms are facing in Africa and some shutting down operations,what business model and strategies is sustaining Mall for Africa?
Chris: Ecommerce in Africa is hard, but by 2025 it will be a $300bn industry and Africa has leap frogged in many things. One vital part being telecommunications and mobile phones. We have more cell phones than land lines. Africa will have more growth in new users online than any continent. You take that into consideration you now have to look at how do you make money in such an environment. For MallforAfrica we have faced the challenges other ecommerce platforms have faced.
However, we are very nimble and able to pivot. Our business model has changed over the years. If you asked me 2 years ago how would you expand I would give you a totally different answer than I would today. Today, we are working primarily with partners to expand our business. Now I didn’t say our name I said our business. We are white labeling our platform and providing businesses with the ability to start their own eCommerce companies with the Mall for Africa infrastructure. We have started a business called Link Commerce which is now working on powering eCommerce platforms for banks, mobile operators, ecommerce companies, and shipping companies in emerging markets.
Alaba: What are the worst and best decisions you’ve ever made?
Chris: I don’t see decisions as worst or bad, I see them as learning experiences. I have learnt that decisions form wisdom and there is nothing like bad wisdom. The same goes for best decisions. We have made some great moves as a company and Link Commerce is one of them. But I would urge every entrepreneur and business owner not to see decisions as good and bad and tie themselves up to such terms. But see each decision as a form of building wisdom. I would say my best and worst decisions have been around the people we hire. We have hired some amazing people and we have hired some really bad people. It’s hard to find great people but when you do they are amazing. Uplift the company and ensure we grow. Having a great team is key for our business to succeed and we have a fantastic group of people working for us today. Beyond blessed to have a great team. Hiring in Africa is not easy.
Alaba: What is your advice for African governments faced with the challenges of attracting the right FDI?
Chris: My advice is simply to ensure that all FDI investments are beneficial to the people and locality the funds are applied to. Africa needs funding in 3 key major areas:
- Power / Energy
I am of the mindset if FDI funding is put into any of these 3, it will be money well used and invested. I recommend governments supply investors with key factors in any of these 3 key areas. Once we have this right the ROI for any investor will be 5X to 20X easy. As Africans we are very driven and entrepreneurial. But we are lacking these 3 platforms to display our true selves to the world. Once we are giving the opportunities Africa will rise to the top.
Alaba: How do you feel as an African entrepreneur? Your advice for
aspiring entrepreneurs and Investors looking at Africa as an investment
Chris: I am a very proud African entrepreneur. There are not enough of us out there and I pray more people take the leap of faith and start a company and do something great for the continent. My advice is to be prepared to fall and get back up multiple times. No one finishes the race if they don’t get back up. With any business in Africa you just have to keep your eyes on the prize. Follow all the rules and ensure you have a great team of trusted people around you. For investors I say Africa is your best return on investment in the world. Nothing can get you a better return but be patient with us. We are writing our future as we go and do not have history to dictate our future. If you stay the course and stick by us, you will be dancing to the bank. Maybe not as fast as you want, but eventually when you do… those dancing shoes will be tapping and clapping all the way to the bank. We are the best bang for your buck. Africa stands strong, proud, and 100% the best investment any investor can make.
Alaba: As a responsible corporate organisation, do you have a CSR policy?
What are the key focus areas for projects?
Chris: As our CSR we focus on helping people start companies and build up an online reputation in Africa to sell abroad. We have started a platform called MarketplaceAfrica.com in conjunction with DHL to help people sell into US and UK. This is how we are giving back to society. We provide free lectures, free photo sessions, free online assistance, free pricing guides and help with people who want to get their products online and sold. We are getting Africa ready for eCommerce so ensure we build a sustainable online future for our artisans. We are beyond proud of our efforts to ensure we help our brother and sisters in Africa enjoy the benefits of selling abroad and ensuring that money they get is put to good use in developing their company and building better lives for their family.
Alaba: How do you relax and what kind of books do you read?
Chris: I love to swim and play tennis as my form of physical relaxation. I like reading books on marketing, business, and self help type books. Books that feed off experiences of others. I am currently reading High Performance Habits: How Extraordinary People Become That Way by Burchard, Brendon, Hay House. The previous 2 books were Factfulness: Ten Reasons We’re Wrong About the World–and Why Things Are Better Than You Think.and The New Leadership Literacies: Thriving in a Future of Extreme Disruption and Distributed Everything.
Chris is well established successful serial entrepreneur, board advisor, mentor, and speaker with over 25 years of C level role experience in marketing, technology, startups, and corporate acquisitions. Born and raised in Nigeria, Chris founded his first venture at age 7 recycled tires with a group of friends which he ran for 2.5 years. He migrated to the U.S to attend college in the heart of the Silicon Valley. Coming from Nigeria right into the technology boom era amazed by all he saw around him and the growth of the internet. Chris decided to teach himself various programming, design and software languages which he used as a foundation to catapult himself into various high level advisory roles in fortune 500 companies by age 19 he was working on his first patent, while pursuing a BA degree in marketing. After graduating from San Jose State University, he founded and sold several companies globally, while establishing new companies in Africa, USA, Middle East and Asia. Before Chris founded his current venture, the award-winning Mall for Africa and Mall for the World platforms, Chris was the Founder and CEO of OCFX Inc a multi-million dollar globally recognized silicon valley based, award winning software agency serving and consulting clients such as SONY, LSI, Cisco, HP, EPSON, TYCO, Accenture, CapitalOne, EMC, USA Government and many others in over 60 countries. Chris has a learn as you grow, out of the box thinking philosophy that drives strategy and business growth.
aYo Uganda delivers value through pandemic
Microinsurer aYo Uganda has underlined its commitment to the economic wellbeing of its customers in the country by paying out more than UGX 760 Million Shillings in 2020, through the height of the Covid-19 pandemic. The company offers Hospitalisation and Life Insurance Cover through its two insurance products, ‘Send with Care’ and ‘Recharge with Care’. Commenting on the company’s performance, the CEO of aYo Uganda, Allan Lwanga, said consumer anxieties around Covid and its related economic challenges had heightened awareness of the need for protection and help in the event of either loss of life or hospitalisation.
“Despite the challenges brought about by the containment measures and an uncertain pathway of the pandemic including over three months of lockdown, the company was able to onboard up to 1 million new customers for the Recharge with Care product, and over 200 000 new customers for Send with Care products,” said Mr Lwanga.
Microinsurance is seen as a powerful enabler of financial inclusion in African markets, providing a much-needed social safety net that helps vulnerable people and particularly people with low incomes to stay afloat when the unexpected happens. This is particularly important in a developing country such as Uganda, where lower income households and informal traders have been hard-hit by the pandemic, as it has reduced their ability to generate an income.
aYo Uganda’s ‘Send with Care’ and ‘Recharge with Care’ products cater for all MTN subscribers. aYo Recharge with Care offers life and hospital insurance cover every time customers recharge their MTN airtime. Subscribers can sign up by dialling *296# on their mobile phones, and use the same process for filing claims. Valid claims are paid directly to the claimant’s mobile money wallet without any hassle. With Send with Care, aYo provides up to triple the amounts that customers have sent via MTN Mobile Money over the previous four months. Life cover pays out to their family in the event of their passing, and hospital cover pays straight into their MTN Mobile Money account if they spend one night or more in hospital due to an accident or illness. When customers send money, they simply select aYo Send with Care when prompted*, or dial *165*1*4#.
African Bank Appoints Kennedy Bungane, CEO
African Bank New CEO, Kennedy Bungane (Press Release & Image: African Bank)
African Bank (“Board”) announces the appointment of Mr. Kennedy Bungane as the Chief Executive Officer (“CEO”) and as an executive director of the Bank and its holding company, African Bank Holdings Limited (“ABH”) effective 14 April 2021. The Bank confirms that the appointment of Kennedy was done in accordance with African Bank’s policy on the selection and nomination of executive directors, and in order to fill a vacancy as well as add to the skillset on the Board.
Kennedy brings over 20 years of banking experience with him, having started his career at Standard Bank in 1991, holding a number of senior positions, including Head of Global Markets Sales, Head of Institutional and Corporate Banking, CEO Corporate and Investment Banking for Standard Bank South Africa, and a member of the Standard Bank Group Executive Committee. After joining Barclays Africa in 2012 as Chief Executive of Barclays Africa Limited and Head of Absa Group strategy, Kennedy led the sale of Barclays Africa Limited to the ABSA Group. More recently, Kennedy headed up the Phembani Group as its CEO. He also brings investment and strategic experience gained as the founder and chairman of Nokeng Telecoms and chairman of Idwala Capital.
Kennedy holds a Bachelor of Commerce degree, a Master of Business Administration, and completed the advanced management program at the Harvard Business School (USA).
Commenting on Kennedy’s appointment, the Chairman of the Board, Thabo Dloti, stated, “We welcome the appointment of Kennedy as the new permanent CEO. Kennedy has a keen sense for managing complex stakeholder issues. He has a proven track record in identifying and nurturing leadership, which promotes strong teams to deliver successful results. His passion for the role that banking can play in transforming society resonated strongly with the Board.
As an experienced banker, he also critically has a good grasp of the strategic challenges facing the Bank, within a muted South African economy and competitive landscape, as well as the required regulatory and governance framework.
Platform Capital invests in USA-based innovative peer-to-peer financing platform SoLo Funds
Platform Capital Chairman, Dr. Akintoye Akindele and Rodney Williams, Co-Founder of SoLo Funds Inc. (Image & Press Release: Platform Capital)
Platform Capital (“Platform”), a leading growth markets investor, is pleased to announce its investment in and partnership with SoLo Funds Inc. (“SoLo”), an innovative and proprietary peer-to-peer financing platform based in USA that has revolutionised the access to and supply of short-term funds for individuals, entrepreneurs, and businesses.
Twenty-five percent of Americans are unbanked or underbanked, whilst 80% of American workers live paycheck to paycheck, and don’t have adequate savings to cover unforeseen expenses. In addition, implicit and explicit biases mean that women and people of colour are three times more likely to see their credit applications rejected. As a result, they are left with no other options, and fall prey to payday lenders, where a small loan can accrue over 400% APR, trapping them in a cycle of debt.
SoLo replaces payday lenders with a community-based, market-driven model for access to short-term funds for individuals. Through its community, individuals are able to access funds ranging from $50 to $1,000 for up to 2 weeks, that are delivered within hours through a simple and non-approval sign-up process powered by artificial intelligence and machine learning. The platform connects users directly and determines a SoLo score based on ability to repay, spending habits, payment frequency, behavioural data, and location-based data. There are no fees or compounding interest paid to SoLo or the member of the community providing the funds, avoiding the debt trap that is common in traditional short-term lending.
Since launch in 2018, the SoLo community has grown to over 300,000 users. The company has seen significant adoption of its model in states with large populations and high cost of living. Over the past 12 months, SoLo’s community has experienced more than 2,000% growth, introduced a new product feature “lender protection service” that safeguards the financed amount in case of a default, and has partnered with Kiva to enable access to funds for entrepreneurs and business owners ranging from $1,000 to $15,000.
SoLo Funds mission is to replace payday lenders with a community-based, market-driven model for individuals, entrepreneurs, and businesses to access financing. The company has raised $10 million lead by international investors including ACME Capital, Impact America Fund, Techstars, Endeavor Catalyst, and CEAS Investments to further develop its technology, scale its team, and expand across the USA.
Dr. Akintoye Akindele, Chairman of Platform Capital, joins the Board as an observer & adviser.
Rodney Williams, Co-Founder of SoLo Funds Inc., said “We’re excited about our partnership with Platform Capital, we look forward to expanding our services into Africa. This partnership enables us to achieve our vision of being the number one access to funds provider for people and businesses in need. We believe that our platform will certainly impact and change conversation in Africa around how businesses and individuals can access funds.”
Dr. Akintoye Akindele, Chairman of Platform Capital, said: “We are proud to partner with SoLo Funds. Access to funds is a problem that affects millions of people globally. We believe that SoLo’s alternative approach to laccessing funds will impact millions of lives and position them as an innovative disruptor in the funding space. We look forward to working with SoLo Funds to scale their innovative solutions to positively impact people’s lives.”