Innovation: How Zendit, an AI-Powered Logistics Firm is Transforming Delivery Services in Nigeria

Innovation: How Zendit, an AI-Powered Logistics Firm is Transforming Delivery Services in Nigeria

When Olubisi Solagbade ran an online fashion accessories business in Lagos, unreliable delivery services often left her frustrated and customers disappointed.

Today, she’s tackling that problem head-on as co-founder of Zendit, an AI-powered logistics startup aiming to speed up delivery across Nigeria.

Zendit, an AI-powered logistics startup
Zendit bets on speed and affordability to transform Nigeria’s delivery market Photo credit: klingsup
Source: Getty Images

Launched in 2021, Zendit is building a decentralised network that connects businesses of various sizes to reliable courier options for last-mile delivery nationwide in 24 hours, providing real-time tracking and ensuring cost-effective delivery solutions.

The startup, co-founded by Solagbade alongside Abiodun Falomo and Peter Okonmah, promises faster, more affordable delivery options for small businesses and individuals.

Speaking with Legit.ng on Zendit, Solagbade said:

"Zendit started as an idea in 2021, an idea that was born out of pain and passion to solve a problem.
"As a small business owner in Nigeria, I experienced delivery challenges for over 6 years, ranging from delays, disappointments due to unreliable service that damages customers' trust, to the pain of closing a deal with customers just to lose them to the delivery fee.

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"My co-founder also had the privilege of working in the logistics sector and was managing a station where he encountered lots of complaints and challenges such as excessive delays in the delivery of parcels they sent out from their station to other states and towns, insufficient workforce to attend to pick up and deliveries, unaffordable pricing system.
My co-founding team and I conducted a comprehensive survey, reaching out to the perspectives of 1000 customers. The results were quite revealing: 83% of them expressed their desperation for the swift delivery service, while the remaining 17% were particularly interested in affordability, due to budget constraints. This was how Zendit started."

Changing the face of delivery service in Nigeria

Zendit’s decentralised model connects businesses with couriers nationwide. The company has partnered with four major transport firms and employs 15 product marketers to expand its reach.

Solagbade added:

"We are building the largest decentralized network of last-mile couriers in Africa to provide access and efficiency in last-mile delivery for small businesses through an AI-powered mobile app.

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"For merchants seeking quick/same day delivery of their products to customers nationwide, Zendit is a digital logistics aggregator that connects them to safe and affordable options by giving them the choice to select from a wide range of available couriers fitting for their need."
"Our primary competitors as logistics aggregators include the likes of Uber but are unable to satisfy the interstate delivery needs of our users, while our secondary competitors include commercial bus drivers with whom we have partnered to give last-mile delivery access to their customers as opposed to picking up their products at the terminal or park hence providing a win-win situation for all.
"But what sets us apart is that we facilitate 24-hour local and interstate delivery. We offer a price bargain on the platform. We provide quick access to multiple service providers at once for choice."
Zendit, an AI-powered logistics startup aiming to speed up delivery across Nigeria
Olubisi Solagbade shares Zendit business model at FMCB Herccelerate 1.0
Source: Facebook

Challenges and ambitions

On how Zendit make money, Solagbade said:

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"Zendit has been operating on freemium since we launched in April 2024, getting people familiar with the product till October 2024 when we implemented our revenue model, through subscription and commissions from our partners and couriers on the platform."

With a freemium model to encourage adoption, but switched to a subscription and commission-based revenue model in October 2024.

Challenges and Ambitions

Digital logistics adoption in Nigeria remains a hurdle, with many small businesses perceiving tech-driven solutions as expensive or complex. Zendit is working to change that narrative.

Solagbade said:

“We spend a lot of time educating our users.” Our goal is to make logistics accessible and affordable for everyone.”

The startup plans to launch its mobile application on Google Play Store later this year, making it easier for businesses to book and track deliveries.

Zendit’s long-term ambition stretches beyond Nigeria. The company wants to power trade across Africa while creating jobs. By 2027, it aims to facilitate logistics-driven employment for over one million Nigerians and empower 200,000 micro, small, and medium-sized enterprises (MSMEs).

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For aspiring entrepreneurs, Solagbade has simple advice:

“Stay customer-obsessed, build strong networks, and don’t be afraid to pivot when things don’t go as planned.”

The triple threat to Nigerian startups

Ealier, Legit.ng captured the story of Precious Adesina-Ola, an accomplished business leader with over a decade of expertise in commercial management, tech sales, and growth marketing across various industries, including SME, FMCG, Automotive, Logistics, and FinTech.

She revealed that the challenges include limited funding, infrastructural gaps, and talent acquisition and retention. I’ll stop at these three.

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Source: Legit.ng

Authors:
Dave Ibemere avatar

Dave Ibemere (Senior Business Editor) Dave Ibemere is a senior business editor at Legit.ng. He is a financial journalist with over a decade of experience in print and online media. He also holds a Master's degree from the University of Lagos. He is a member of the African Academy for Open-Source Investigation (AAOSI), the Nigerian Institute of Public Relations and other media think tank groups. He previously worked with The Guardian, BusinessDay, and headed the business desk at Ripples Nigeria. Email: dave.ibemere@corp.legit.ng.