The verdict in three sentences
In Nairobi, last-mile delivery fails in 15 to 25 % of cases: imprecise addresses, unreachable customers, badly reconciled cash. An application (route optimisation, proof of delivery, mobile-money cash-on-delivery, geolocation) costs 5.5 to 11M FCFA over 9 to 13 weeks, versus routing SaaS billed at 90,000 to 250,000 FCFA/month. Result: from 18 to 27 deliveries per rider per day, failure rate −40 % and automated cash reconciliation.
Development cost per module
2026 order of magnitude for a rider fleet in Nairobi.
| Module | Key functions | Cost (FCFA) |
|---|---|---|
| Route optimisation | Batching, optimal order, ETA | 1,400,000 – 2,400,000 |
| Rider app | Navigation, parcel status, scan | 1,000,000 – 1,800,000 |
| Proof of delivery | Signature, photo, OTP code | 700,000 – 1,200,000 |
| Cash-on-delivery + MoMo | Collection, reconciliation | 900,000 – 1,600,000 |
| Customer tracking (link/SMS) | Real-time tracking, notifications | 800,000 – 1,300,000 |
| Dispatch dashboard | Assignment, KPIs, exceptions | 1,000,000 – 1,700,000 |
A routing + rider app + proof-of-delivery MVP starts at 5.5M FCFA; the full set with MoMo cash-on-delivery and dispatch reaches 10 to 11M FCFA.
Build vs buy over 3 years (15 riders)
| Item | Custom build | Routing SaaS |
|---|---|---|
| Upfront investment | 8,000,000 FCFA | 0 FCFA |
| Monthly subscription | 0 FCFA | 170,000 FCFA |
| Cost over 36 months | 8,000,000 FCFA | 6,120,000 FCFA |
| Maintenance/hosting (3 years) | 2,400,000 FCFA | included |
| Per-delivery fee (some SaaS) | 0 FCFA | 15 – 50 FCFA/parcel |
| 3-year total (excl. per-parcel) | 10,400,000 FCFA | 6,120,000 FCFA |
SaaS is cheaper upfront, but once volume tops 2,500-3,000 parcels/month the per-delivery fees and user caps make the build competitive — and it embeds local MoMo payment natively.
Rider productivity gain
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| Metric | Before app | After app | Effect |
|---|---|---|---|
| Deliveries/day/rider | 18 | 27 | +50 % |
| Failure rate | 20 % | 12 % | −40 % |
| Km per route | baseline | −22 % | fuel |
| Cash reconciliation | manual (hours) | automatic | reliability |
Mini case study
Aminata runs 15 riders in Nairobi (Westlands) delivering 270 parcels/day. Moving from 18 to 27 deliveries/rider, the same team absorbs 405 parcels/day without hiring: +135 parcels at ~600 FCFA logistics margin, i.e. 81,000 FCFA/day or nearly 2M FCFA/month of created capacity. The 8M FCFA build is covered in 4 to 5 months of growth.
FAQ
How do you handle vague addresses in Nairobi? The app combines GPS geolocation of the drop point, neighbourhood landmarks and the customer's phone; each successful delivery saves the point and reuses it for later orders.
Is cash-on-delivery secure? The rider collects cash or mobile money; each amount is tied to the parcel and reconciled automatically at route end, cutting cash discrepancies.
How long to ship the MVP? A routing + proof-of-delivery MVP ships in 8 to 9 weeks; add 3-4 weeks for MoMo cash-on-delivery and advanced dispatch.
Can the customer track their parcel? Yes, via a link or SMS with real-time position and an estimated arrival window, sharply cutting failed deliveries from absence.
Can the app connect to my online store? Yes, via an API: orders drop straight into dispatch with no re-entry.
Let's talk about your project. We'll size your delivery app to your volume and zone. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
