Karibu Loo has rebuilt the business and is ready for a new year
With the country’s ongoing vaccination campaign and following the relaxation of Covid-19 restrictions, the Kenyan economy is gradually recovering from Covid-19 impacts.
Rebuilding the Business after Covid-19
The impact of Covid -19 has resulted in 2021 being a rebuilding year for Karibu Loo. In 2021 our priority was on building our long-term rental business which year to date is over 60% of total revenue. Our primary marketing tool was digital advertising campaigns through Google and social media platforms (Facebook, Instagram and Twitter). These campaigns have been very successful with almost 80% of our sales, including long term commercial, coming through direct inquiry without a sales intermediary.
Long-Term Business is our mainstay
Since the onset of the pandemic, long-term business (primarily construction companies) has been our mainstay in revenue and has enabled us to survive through the pandemic. Short term business is primarily event-based which has been slower to return.
During the last three quarters of 2021, we recorded a rapid increase in long-term revenue peaking at 25 cabins per day in the fourth quarter. In recent months, the long-term has contributed almost 70% of the total monthly revenue for Karibu Loo, the highest level we have recorded since inception of Karibu Loo. We believe this trend will progress next year, creating a solid revenue generation base.
2022 Business Outlook is bright
The coming year outlook remains uncertain and contingent on the impact of the Covid-19 variant (Omicron). We anticipate serving the BATUK (British Military Training Unit Kenya) organization. They train troops in Nanyuki, about a four-hour drive from Nairobi. BATUK usually schedules military training in phases throughout the year so we anticipate supplying at least 40 cabins per day for three months beginning in January with the possibility of extending through the rest of the year. Despite the complex operations cost behind the business, it provides a significant revenue boost.
Staff Update on Covid-19
Due to the nature of our work, we encouraged all our staff to get vaccinated in order to participate in the prevention and reduction of Covid-19 risks and also protect our clients while in service. Currently all our staff are 100% fully vaccinated (complete doses).