Sun King's EZ3 and EZ3 Pro smartphones were launched on Thursday /HANDOUT
Sun King is betting that its pay-as-you-go model can make smartphones accessible to more Kenyans, as the solar products company expands into a market where affordability remains a barrier to first-time smartphone ownership.
The company launched its EZ3 and EZ3 Pro smartphones in Kenya on Thursday, offering customers the option to pay for the devices in small instalments starting at Sh55 a day.
Victor Gandi, Sun King’s vice-president for East and Southern Africa PayGo, said the model is designed to reach customers who have previously been unable to afford a smartphone, including both on-grid and off-grid households.
“The gap was quality and affordability,” Gandi said, adding that customers can make a small initial payment and then pay for the phone over time.
Sun King has sold one million smartphones globally since piloting the model, Gandi said. Kenya is among its more dynamic markets, with the company currently selling about 50,000 phones a month.
The company operates across 11 African countries and is also piloting the smartphone model in West Africa.
Gandi said the pay-as-you-go model is commercially viable, with more than 90% of customers paying on time. He said the company has also had to contend with attempts by some customers to hack its technology and unlock phones that remain locked under the payment model.
Customers who maintain their payments can build a credit history, allowing them to qualify for a second device, he said.
Sun King is also targeting its existing customer base. The company has about six million customers who have bought its solar products, and these customers can receive discounts when purchasing thesmartphones.
Catherine Mudachi, Sun King’s vice-president for global marketing, said the company is targeting people looking to buy their first smartphone, with affordability and quality at the centre of the strategy.
The cost of data remains another barrier to smartphone use. Mudachi said Sun King is working with partners including Safaricom to provide cheaper data bundles.
At KSh55 a day, she said, customers have more money left over to buy data.
The move into smartphones marks an expansion of Sun King’s stated mission beyond solar products. Mudachi said the company’s focus is on “powering access”, rather than solar alone.
The EZ3 phones are being locally assembled at Tatu City, a move Mudachi said significantly lowers their prices.
For Sun King, the smartphone push also builds on a financing model it has already used in its solar business: allowing customers to access products through small, regular payments rather than paying the full cost upfront.