Morocco: Plug and Play increases investment in B2B e-commerce platform
Plug and Play has made a second investment in Chari, the Morocco-based B2B e-commerce platform for FMCG goods, operating in Morocco and Francophone Africa.
Aziz El Hachem, North Africa director at Plug and Play, said, “Morocco’s startup scene is growing, with more and more companies securing funding at more advanced stages of growth. We’re thrilled to be part of this dynamic ecosystem, and we’re particularly excited about Chari.”
Around 80% of the consumption market in developing countries’ FMCG sector is composed of a fragmented network of traditional local shops. Chari, first invested in by Plug and Play in 2020, offers a solution to modernise these stores’ operations and stock replenishment methods.
Currently, stock replenishment in these small grocery stores is conducted through inefficient and time-consuming means involving wholesalers and distributor agents. This process often results in a lack of crucial data for FMCG brands, inhibiting the evaluation of their marketing strategies. Chari is working to solve this issue by providing an e-commerce application through which traditional shops can order products at lower prices and receive them within 24 hours, simultaneously enabling FMCG brands to track their sales on the traditional trade.
Chari has gained a significant foothold in the market, becoming the leading B2B e-commerce platform for FMCG products in Morocco. It has a clear plan to grow its regional presence and introduce additional services, which will allow the company to increase its market share and develop new revenue streams. Notably, Chari has recently obtained a payment license from the Central Bank of Morocco, the first VC-backed startup to do so.
In a statement, Plug and Play said: “We are excited to continue investing in Sophia and Ismael’s vision. We are confident that after raising from a great line-up of investors including Y Combinator, Rocket Internet, Endeavor Catalyst, Global Founders Capital, Harvard University Management Company, Orange Ventures, and Verod-Kepple, among others, Chari will continue to grow and establish itself as a market leader in the FMCG e-commerce space in Africa.”