With the rise of internet penetration, affordable smartphones, and mobile money services like M-Pesa, Kenya provides a fertile ground for online businesses.
Whether you’re looking for a side hustle or a full-time income, online ventures can be profitable and scalable.
Why Start an Online Business
The biggest advantage to starting an online business in Kenya is the vast and diverse market reach of such an enterprise, locally and abroad.
Global digital connectivity allows entrepreneurs to operate with low overhead costs while tapping into a growing pool of tech-savvy consumers.
Furthermore, the flexibility and scalability of online businesses allow them to quickly adapt to changing market trends and customer preferences.
With this in mind, here’s a comprehensive guide on how to successfully start an online business in Kenya.
E-Commerce Store
Why It’s Profitable
The increasing preference for online shopping makes e-commerce a booming industry. Platforms like Jumia, Kilimall, and social media have made it easier to set up online stores.
How to Start an e-commerce store
Choose a Niche
Focus on specific products like fashion, electronics, beauty products, or health items.
Set Up a Store
Use platforms like Shopify, WooCommerce, or local platforms like Sky.Garden, or sell on existing marketplaces like Jumia or Kilimall.
Market Your Products
Leverage social media (Instagram, Facebook) and run targeted ads. Use influencer marketing to promote your brand.
Accept Payments
Integrate M-Pesa for easy payments.
E-commerce Store Example
Selling affordable electronics accessories like chargers, earphones, and phone cases.
Freelancing and Remote Work
Why It’s Profitable
Platforms like Upwork, Fiverr, and Toptal connect Kenyan freelancers to global clients. Popular services include writing, graphic design, social media management, and web development.
How to Start Freelancing and Working Remotely
Identify Your Skills
Writing, coding, digital marketing, or graphic design are in high demand.
Create a Profile
Join platforms like Upwork, Fiverr, or PeoplePerHour and showcase your skills with a strong portfolio.
Market Locally
Use LinkedIn and social media to attract local businesses needing freelancers.
Freelancing and Remote Work Example
A freelance writer earning Ksh 50,000+ per month working with international clients.
Blogging and Content Creation
Why It’s Profitable
Monetize your blog through ads (Google AdSense), sponsored posts, and affiliate marketing. Content creation has low startup costs and high scalability.
How to Start Blogging and Creating Online Content
Choose a Niche
Topics like travel, finance, fashion, health, or parenting perform well in Kenya.
Set Up a Blog
Use platforms like WordPress or Wix and invest in a domain name and hosting.
Monetize
Sign up for affiliate programs like Amazon Associates or Jumia Affiliates and work with brands for sponsored posts.
Blogging and Content Creation Example
A blog about affordable travel in Kenya that earns through partnerships with hotels and tours.
Dropshipping Business
Why It’s Profitable
You can sell products online without holding inventory. Profits come from the difference between the wholesale and retail price.
How to a Start a Dropshipping Business
Choose a Product
Research trending items (e.g., gadgets, fitness equipment, or home decor).
Set Up a Store
Use platforms like Shopify or AliDropship to create a store and source products from suppliers on AliExpress or other global platforms.
Market Your Store
Use social media and Google Ads to drive traffic.
Accept Payments
Integrate M-Pesa for seamless transactions.
Dropshipping Business Example
Selling LED ring lights for content creators and earning a 20% profit margin on each sale.
Online Tutoring and Courses
Why It’s Profitable
Growing demand for educational resources, especially with the rise of e-learning. You can create one course and sell it repeatedly.
How to Start Online Tutoring
Pick a Subject
Teach languages, coding, graphic design, or school syllabus topics.
Create Content
Use platforms like Teachable, Udemy, or YouTube and offer live sessions using Zoom or Google Meet.
Market Your Services
Advertise on social media and education forums.
Online Tutoring Example
Offering math tutoring for secondary school students and earning Ksh 1,000 per session.
Social Media Management
Why It’s Profitable
Businesses are investing in social media to grow their brands. Social media managers earn by creating content, running ads, and engaging followers.
How to Start Managing Social Media
Learn the Basics
Understand platforms like Facebook, Instagram, Twitter, and LinkedIn. Learn about tools like Canva for design and Meta Ads Manager for advertising.
Build a Portfolio
Manage accounts for small businesses or friends to showcase your skills.
Find Clients
Use LinkedIn, Facebook groups, or freelancing platforms to pitch your services.
Social Media Management Example
Managing social media for five small businesses, each paying Ksh 10,000/month.
Affiliate Marketing
Why It’s Profitable
Earn commissions by promoting other people’s products. Affiliate programs in Kenya include Jumia, Kilimall, and international platforms like Amazon.
How to Start Affiliate Marketing
Choose a Niche
Focus on a specific area like electronics, beauty, or health.
Sign Up for Affiliate Programs
Jumia Affiliates for local products and Amazon Associates for global products.
Promote Products
Use a blog, YouTube channel, or social media to share affiliate links.
Affiliate Marketing Example
Promoting fitness equipment and earning commissions on every sale made through your links.
YouTube Channel
Why It’s Profitable
YouTube pays for ads, and creators can earn additional income through sponsorships and merchandise. Niche channels have higher earning potential.
How to Start a YouTube Channel
Pick a Niche
Options include vlogging, tech reviews, cooking tutorials, or travel content.
Create Quality Content
Invest in a good camera and editing software and post consistently to grow your audience.
Monetize
Enable YouTube ads once you reach 1,000 subscribers and 4,000 watch hours and partner with brands for sponsored content.
YouTube Channel Example
A food channel showcasing Kenyan dishes and earning through ad revenue and sponsorships.
Selling Digital Products
Why It’s Profitable
Low production costs with high-profit margins. Once created, digital products can be sold repeatedly.
Digital Products Ideas
E-books
Write on topics like entrepreneurship, personal finance, or travel tips.
Printables
Design planners, templates, or study guides.
Photography
Sell stock photos on platforms like Shutterstock.
Digital Product Example
Selling an ebook on “How to Start a Business in Kenya” for Ksh 500 each.
Online Coaching and Consulting
Why It’s Profitable
Professionals are willing to pay for expert advice. Coaching sessions can be done remotely via Zoom or Skype.
Online Coaching Ideas
Business Coaching
Help startups and entrepreneurs succeed.
Career Coaching
Assist job seekers with CV writing, interview preparation, and career planning.
Health and Wellness Coaching
Offer fitness or mental health support.
Online Coaching Example
A business coach charging Ksh 5,000 per session for startup advice.
Tips for Starting an Online Business in Kenya
Important considerations when starting an online business include:
Understand Your Target Audience
Know who your customers are and how to reach them.
Leverage Mobile Money
Use M-Pesa for payments to simplify transactions.
Invest in Digital Marketing
Use platforms like Facebook, Instagram, and Google Ads to drive traffic to your business.
Start Small and Scale
Begin with a minimal investment and reinvest profits to grow.
Take Away on Starting an Online Business
Online businesses offer immense potential in Kenya due to increasing internet access and the popularity of mobile money.
From e-commerce and freelancing to YouTube and affiliate marketing, there’s no shortage of profitable ventures you can start.
Choose a business that aligns with your skills and interests, and take advantage of the digital economy.
