This archive report was first published on 28 July 2020.
On July 28, 2020, Safaricom unveiled its Lipa Mdogo Mdogo financing plan, aiming to shift its 2G customer base to 4G networks and provide affordable smartphones.
The plan, which targets a million new customers, focuses on the Neon Ray PRO, a device that can be purchased with daily payments of KES. 20.
Qualification and Payment Plan ¶
Customers must meet specific criteria to qualify for the plan, including being 18 years or older, having used their SIM card for at least a year, and being active on M-Pesa and calls.
Those who qualify will make a KES. 1,000 down payment and pick up their device. The daily payments of KES. 20 will be made through an app on the device, with a 3-day grace period for defaulted payments.
After the first 7 days of payment, customers will receive free YouTube bundles, and the payment plan will run for 9 months, with a maximum total cost of KES. 6,580.
There is no insurance for the devices, and customers must take care of their devices to avoid loss or damage.
Compared to M-Kopa, Safaricom's plan is seen as more balanced, and the company plans to introduce more devices in the future depending on the success of this campaign.
