How women entrepreneurs are navigating online marketing

Grace Akatuha is an entrepreneur who owns a millet flour brand. She ventured into online marketing with Shs75,000 to boost her nutrition products but soon faced the harsh reality of the online world.

Her attempts to amplify her brand resulted in lower returns for higher investments.

When the profit margin stalled at Shs1,000, Akatuha noted that it did not make sense to service 5 people monthly with big investments in storage and transport.

Dorothy Kimuli, the managing director at D&M Group International Limited, has had a different experience from Akatuha's story. According to her, online marketing has boosted her business and she urges micro small and medium-sized enterprises (MSMEs) to embrace it.

Both women were speaking during the women in business convention on Friday ahead of this year's International Women's Day. The event was organised by key players in women empowerment and small and medium-sized businesses.

“I decided to trade online, but very quickly realised that it was the same people from my known networks who are purchasing those items, leaving me wondering where the so-called millions if not billions of people in these virtual spaces are,” Akatuha narrated during the convention.

“I was told I needed to boost my brands and that it will cost me Shs75,000,” she added.

Both stories spoke directly to the theme of the event 'Women entrepreneurs convening on leveraging digital platforms/solutions for the growth and competitiveness of women-led businesses.'

MSMEs digital performance

According to the National Small Business Survey of Uganda, most micro small, and medium enterprises (MSMEs) (about 63 percent) do not have access to the internet.

Interpretation penetration is low among micro-sized businesses (at 31 percent), half the proportion of MSMEs who have access. There is also low adoption of mobile money services; 47 percent of medium-sized businesses, 49 percent of small, and 57 percent of micro-sized enterprises.

One of the organisers of the convention, SEATINI executive director Jane Nalunga recently said, "women play an important role in society as a whole and especially in small businesses yet, they often have less access to technology and the internet."

"Without access to technology and digital solutions, women entrepreneurs are not able to tap into the benefits of digitisation and to expand their market base or embrace the numerous opportunities presented by the digital age," she added.

The convention was also in alignment with this year's International Women’s Day theme: “DigitALL: Innovation and Technology for Gender Equality.’’

It is also primed for the upcoming 67th Session of the Commission on the Status of Women (CSW-67), “Innovation and technological change, and education in the digital age for achieving gender equality and the empowerment of all women and girls.”

Strategies and solutions

In his remarks, the Jumia chief executive officer, Vinod Goel, said: “I agree that shipping costs are high. But we also absorb so much to make it easy for the customer. However, we shall within the next two weeks see how we can bring the shipping cost further down.”

Grace Namugambe, the Financing for Development programme officer at SEATINI, urged government and industry stakeholders to intensify sensitisation among women in business.

Supplementing Namugambe's remark, the acting executive director of the Uganda Chamber of Commerce for Small and Medium Enterprises, Beatrice Alyanata said membership associations can easily and affordably get women entrepreneurs the support they need.