Lumi, Nigerian startup is helping businesses reward their customers

How businesses promote to new clients is one of the ways that technology is continuously revolutionizing how we live. Businesses have found it important to provide great services, market effectively, and increase their reach as consumers have more options.

Consumers are enticed to buy or utilize certain items and services through discounts and cashback. Unlike discounts, which provide customers with a reduction in the price of items or services, payback includes the client receiving a percentage of the product’s cost back.

Cashback offers to customers will lead to greater consumer spending, according to a Dosh study conducted by The Center for Generational Kinetics.

Lumi, a Nigerian company, has positioned itself as the go-to rewards app for the country’s youth. Lumi provides businesses with a platform that allows them to connect directly to an audience that seeks “immediate gratification.”

How Lumi works

Wale Adeniji, the current CEO of Lumi, launched the company in 2020. In December 2020, it was launched in Lagos. Wale has a background in engineering and has worked in advanced analytics and machine learning in Toronto, Canada.

Lumi was founded on the belief that Africa’s millennial and Gen Z populations, who are now entering adulthood, are the target market for most new and even established firms.

Companies work with Lumi to deliver products and services directly to this engaged audience, as well as conduct consumer research to gain insights from them. Concept testing, pain point validation, message/media testing, brand perception, awareness, and satisfaction are all examples of consumer research.

“Do the things you usually do on a daily basis through Lumi and gain value instantly”

Wale Adeniji, Lumi CEO

Lumi uses advanced analytics and data science to match customers with products and services that they already like or are likely to like in the future. Lumi’s in-app blog also educates users on consumer behavior and financial literacy.

Users can earn enough points to cover their airtime or mobile data demands for the week using this technique.

Users of the platform receive points that may be exchanged for cash at no cost to them. The rate at which you earn on Lumi is solely determined on how much you participate. According to the startup, awards are paid out of income generated by firms with which it partners/integrates or does consumer research.

60,000 young individuals have been onboarded, an increase of 16% month over month.
Lumi has gained some traction in the less than two years since its launch. 60,000 millennials and Gen-Zers have used it since its introduction to earn points and cashback when they shop for basics, pay for utilities, or contribute their ideas and experiences through short surveys and a variety of other e-commerce options.

The startup has also recorded a 16% month on month growth, thus establishing itself as the go-to place for rewards.

“with Lumi, we provide a robust rewards ecosystem that gives millennials and Gen Z what they want; instant gratification conveniently on a single platform and then we allow businesses to benefit from the engagement of this population on Lumi”.

Wale Adeniji

Lumi is ready to welcome even more users and business partners into its fold. The first step is to create a mobile application. The web app now contains all of the features and is where all users may earn cashback and points by participating in polls.

The company is also interested in forming agreements with companies that will provide rewards to both existing and new clients. They can also use Lumi’s audience to promote their products and services in order to generate new revenue and leads.

There is yet to be a single rewards platform with truly broad appeal in Nigeria. We’re on a mission to provide significant value to millions of consumers all across Nigeria.

Wale Adeniji

Wale, the startup’s CEO, has voiced his belief in the startup’s audience and how it might help businesses.

“Having the ear of the most active consumer populations in Nigeria makes us well-positioned to help businesses reach them more effectively in ways that only we can.” the CEO said.