On 21 November 2018, Apptivate Africa said it was moving to tap into billions of shillings that companies set aside for employee gift vouchers but never fully recover in value.
The company has rolled out its multi-store digital voucher, M-Tuza, as an alternative to the supermarket vouchers that dominate year-end rewards. Chief executive officer Neil Ribeiro said many employers still rely on a narrow option that employees may not value as much during the festive season.
“As the festive season beckons, most companies are unaware that there are options that will be more appreciated than the traditional supermarket vouchers that offer employees limited freedom for merry making,” said Apptivate Africa Chief Executive Officer, Neil Ribeiro.
Apptivate Africa cited survey findings showing that 88% of companies that gave staff a gift used a supermarket voucher as the year-end reward. The company also pointed to research indicating that 16 percent of those vouchers are never redeemed, while up to 64% are not fully used because the voucher value does not match the cost of the purchase.
Ribeiro said employees are more likely to respond positively to rewards they can actually use when they need them. He argued that giving workers more freedom over what they receive could also improve retention into the following year.
Through the M-Tuza scheme, companies can give employees and clients a wider choice of redemption options across more than 300 locations. The outlets include restaurants, clothes and shoe shops, gyms and spas, hair salons and barbers, and wine shops.
“You can also use your M-Tuza digital gift Voucher to buy home decor, kitchenware, holidays and pay for spa, salon visits and many more,” said Ribeiro.
The e-voucher is currently redeemable in Nairobi, Mombasa, Kisumu, Nakuru, Eldoret and Naivasha. Apptivate Africa says users can spend from as little as Ksh 100 to Ksh 100,000 over a flexible period, with the ability to move across multiple gift shops.
The pitch echoes a 2015 End of year Employee Rewards Survey by Corporate Staffing, which said employers should use creative and thoughtful benefits to recognise staff during the holidays. The report also warned that a “one-size fits all” reward system would not work because employees have different tastes and preferences.
Unlike paper vouchers, Apptivate Africa says M-Tuza e-vouchers cannot be lost, stolen, washed, mutilated or become void.
