Zile shops zinakuwanga Garden City, Two Rivers etc na sio eateries, how do they make profit. Most of the time nikipita huko naona hakuna customer ndani. Enlighten me
Customers wa hapo wengi ni singo madhaz…
Wakikuona wana chukua cover kwanza. Ukitoka na jalopy yako wana kwuuuom kununua…
I also wonder
Yaani unazunguka shopping malls ukiangalia kama maduka zina customers… And I was blaming fate for being idle. But you are doing something… Seenovate should employ you
They have few loaded clientele.
Juzi niliingia Lavington mall kwa duka ya nguo pale first floor.
Khaki trouser:10k
Soft jeans trouser:20k
Suitcase:20k
Nilishow tu mwenye duka ati nitarudi :D:D:D:D
So huyo mjamaa akiuza trousers kama nne in a day ako tu sawa, na meanwhile wale wa stall za Mamujee kule downtown Nairobi sell volumes.
Black Templar alikuwachia usukani
They do make money. In fact I was shocked to learn that in Sarit Centre and WestGate Mall for example, Kenyan retailers make up for less than 10% of the retailers. Majority of those shops are Indian owned.
I worked for a small Indian owned holding company making an inventory management system that sells bags, shoes and perfumes and has 14 outlets around the city including Garden City. Revenue is close to Kshs 650m.
inaeza kua pia wanatumia hizo biz for money laundering
Here is a separate video of Wandia Gichuru, CEO of VivoActiveWear stating that they have an annual revenue of Kshs 200m as well. 10 stores.
This type of mentality will keep you stuck, i rem when i first started my hustle, kwa estate… Some random guy once came in just to ask me… Ati hii biashara ndio inakulisha, inakulipia rent…just looked at him like the dimwit he is… Life is about taking chances and riding the wave…
so true
Watu wanafanya hesabu zao in biz… Wewe unaangalia kutoka inje… Kuna biz mtu anafungua 5hrs… Na ashapata target yake ya siku… Watu kujaa mahali does not mean they are spending a fortune…kuna jamaa najua… Yeye akipata 3clients in a month wachukue mali… He is set.
200 million in annual revenues for 10 stores? Sounds like the company is running on fumes, unless they make something like 70% profit margin. Thats an average of 20m per year per store, or around 55k per day. For a store in such high end places, making sales of 55k per day is not sustainable.
What I know from experience is that most of these shops are mere fronts for some shady dealings. Some are genuine lakini mingi ni cover ya money laundering. The high prices are meant to mask huge deposits at the bank.
There stores are not all located on high end malls. Plus their retail space is extremely tiny in terms of space. Plus anyway, it is a startup and the ceo did quit Lion’s den probably due to lack of funds I guess?
I know one of my cousin’s shop is just a money laundering front.
Also, some women (akina Vera et al) need to show that they work. They may actually be making company loss, but there image is still gaining.
P.s. It’s not only socialite pekee who are in the cash for sex business many business women are being maintained by loaded men and a high end shop just shows the immediate family anafanya ‘kazi’ na sio anafanywa.
Enda Sandstorm uulize bei ya mfuko moja urudishe ripoti…
I also know of a high end pub in Kileleshwa thats just a money laundering front for a guy who deals with the gava. Its those pubs iko kwa hao. The place is always empty and the guy doesnt even own the building so means he is paying rent of uko 150k atleast. For the volume of business I normally see there, even covering rent and payroll alone will be a tall order.
10 stores na revenue ni 200m ni pesa kidogo sana. Operating costs ni ngapi? Hii utapata ni net loss.
It may even be 100k but the question is; how many bags do they sell to break even given the rent, licenses, salaries et all?