ADDIS ABEBA – Members of RENEW’s Impact Angel Network (IAN) have funded a third investment in Roadrunner Technology Solutions LLC (Roadrunner), a partner of Deliver Addis in Addis Ababa, after increasing demand in delivery service in the capital.
Deliver Addis is one of the pioneer e-commerce companies in Ethiopia, Africa’s second-most populous nation.
Deliver Addis has been working only on online food delivery since 2015. But in April 2020, in response to increased demand caused by the COVID-19 outbreak, the company move to include an online marketplace that enables consumers to shop essential goods.
“As both a frequent user of Deliver Addis and owner of Roadrunner, I couldn’t be more excited about this investment,” said Matthew Davis, RENEW’s CEO.
Since IAN’s initial investment, the company’s daily deliveries have grown 630%. Roadrunner and Deliver Addis’s core competitive advantage is the technology platform they use, designed by founder Feleg Tsegaye.
The IAN’s investments financed the enhancement of this platform and expansion of Deliver Addis’s fleet.
Deliver Addis now provides food from over 100 restaurants, groceries, flowers, and other consumer products, according to the company’s officials.
The third investment is expected to increase the companies’ capacity, enable them to reduce prices and increase efficiency to expand market share and offer new products and services to the market.
“We’re excited to back him and drive Deliver Addis into new markets,” said RENEW’s CEO.
The whole process of establishing and growing an e-commerce firm in Ethiopia has not been easy for the owners of Delver Addis.
But “the country is changing every day,” Feleg said, “we’re now seeing consumers adopt technology not only as a luxury, but, in these challenging times, it’s becoming a necessity”.
Feleg is “pleased to play our role in helping prevent the spread of COVID-19 and to help so many restaurants, local vendors and supermarkets keep their lights on by providing them with an online market”.
“We appreciate all of the support we have received from the community and our stakeholders, and we look forward to continuing to serve them,” he said.
The investments made by the Impact Angel Network have been made possible because of RENEW’s partnership with Global Affairs Canada (GAC).
RENEW’s blended finance partnership with GAC aims to support high potential, responsible SMEs in Ethiopia, providing them with the tools, resources and training they need to attract and efficiently use finance to grow, thereby enabling them to play a stronger role in the Ethiopian economy.