The verdict in three sentences
A wholesaler without stock tracking suffers shortages, overstock and invisible shrinkage — in total 8-20% of sales gone. A real-time app drives inflows/outflows, triggers alert thresholds and integrates invoicing and mobile money collection. Shortages fall 40%, stocktaking time is divided by three, and the tool pays for itself from just a few hundred tracked SKUs.
Logbook/memory vs real-time stock app
The logbook never tells the true stock state at time T. The app links stock, sales and collections.
| Criterion | Logbook / memory | Stock app + invoicing |
|---|---|---|
| Overstock/shortage loss | 8-20% of sales | Sharply reduced |
| Shrinkage (theft/errors) | 2-5% | Traced, minimised |
| Shortage reduction | — | -40% (alert thresholds) |
| Stocktaking time | Baseline | Divided by 3 |
| Invoicing | Manual | Automatic |
| Collection | Cash | Mobile money integrated |
| Margin per SKU | Unknown | Visible |
Costs and break-even
The app pays for itself through reduced stock loss and shrinkage.
| Item | 2026 range (FCFA) | Note |
|---|---|---|
| App development | 700,000-2,500,000 | Module-dependent |
| Mobile money fee | 1-1.5% per sale | Wave / Orange Money |
| Annual maintenance | 100,000-300,000 | Updates |
| Shortage reduction | -40% | Alert thresholds |
| Overstock/shortage loss avoided | 8-20% of sales | Real-time control |
| Break-even | 300-500 SKUs | Depending on turnover |
On 30,000,000 FCFA/month in sales, a 12% stock loss equals 3,600,000 FCFA; bringing it to 6% recovers 1,800,000 FCFA/month, unrelated to the app cost.
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Mini case study
Papa Nzuzi runs a wholesale hardware store in Lagos, 800 SKUs, 25,000,000 FCFA/month in sales. Overstock/shortage loss at 14% (3,500,000 FCFA) and shrinkage at 4% (1,000,000 FCFA). A 2,000,000 FCFA app with alert thresholds, invoicing and mobile money collection. Shortages -40%, loss cut to 7% and shrinkage to 1.5%, i.e. ~2,400,000 FCFA/month recovered. The app is repaid in under a month, and stocktaking drops from three days to one.
FAQ
How does the app reduce shortages? Per-SKU alert thresholds flag reordering before a shortage, cutting shortages by 40% and avoiding lost sales.
Can shrinkage be quantified? Yes: by linking each outflow to an invoiced sale, the app makes theft and errors (2-5% of sales) visible and typically brings them below 1.5%.
Are invoicing and collection integrated? Yes, each sale generates an invoice and can be collected directly via mobile money (Wave, Orange Money) with 1-1.5% fees, making the till reliable.
How much stocktaking time is saved? Stocktaking time is divided by three: theoretical stock is always current, leaving only a control count.
From how many SKUs is it worth it? From 300-500 SKUs in rotation, avoided losses (8-20% of sales) far exceed the 700,000-2,500,000 FCFA app cost.
Let's talk about your project. We build your inventory app with alert thresholds, invoicing and mobile money collection. 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.
