In 2010, Randy Welsch, an American investor and businessman and his son Galen, a former Peace Corps member, founded Jibu to create meaningful economic opportunities for entrepreneurs as well as affordable access to safe water for people.
This is how they came with the idea of developing a network of franchisees selling Jibu water.
Jibu (Swahili word for “solution”) started to open the first water kioks in Rwanda and Uganda at the same time with the vision to prove the replicability of the model.
Today Jibu operates in 8 countries, expanding its franchise model in East Africa, and launched 154 franchises.
In Rwanda, Jibu has 57 franchisees, and employs dozens of Rwandans, directly and indirectly, across the country.
The brand is growing exponentially, and now has began selling other essential products such as LPG gas and porridge flour.
Taarifa had an exclusive conversation with the company’s Managing Director/Regional Director, Darlington Kabatende. He breaks down the company’s philosophy and the journey travelled so far and the nature of the journey ahead.
Taarifa: Mr. MD, first give us an over of what Jibu is?
Kabatende: Jibu is a swahili name- that means solution. Jibu Inc is a for profit social enterprise that priorities impact in our communities. Our hybrid approach stimulates responsible economic growth and independence- through local entrepreneurship that produces safe drinking water as well as supply of other essential products like LPG and fortified porridge flour.
Taarifa: Jibu as we understand, has had ups and downs for one reason or another. There were some collisions between the brand and FDA due to safely issues. How did the matter get resolved?
Kabatende: Yes, it is true we have had a lot of ups and downs this year, 2022. Our brand encountered a lot of collisions with RFDA due to some claims on safety. This matter was blown out of proportion by the press and did really attract a lot of attention including the RFDA. Look, we run a franchisee business model-where, among our network of shop, a few were singled out for having issues with the quality of the water. This was brought to the attention of the authorities and ourselves to address – which eventually led to the closure of 10 Jibu franchisee shops across the country.
The shops were closed by RFDA, and at the backside – Jibu conducted a root-cause-analysis to identify the issue. RFDA and Jibu established a task force to ensure that all the raised issues are resolved, but most importantly, there was a high level engagement that that agreed on improving communication and collaboration between the two institutions.
Taarifa: Jibu is now a household brand, your products, especially drinking water, are becoming a must have in households. What’s your market entry philosophy?
Kabatende: Our market philosophy is to be affordable, conveniently found, and be available. The quality of product is at the centre of everything we do. Our business model – gives an upper hand- we run a franchisee business model – which is fully embedded in our community- making it a community bussiness. Secondly, we onboard and build local entrepreneurs- who come from that community- making it easy to reach our customers. Thirdly, we approach our market – problem <> solution approach. We identify a problem, the cost associated with the problem- and come up with a solution – with a cheap cost associated to to it. For example the cost of boiling 20l of water is much more expensive than buying our 20l tap bottle. Lastly, we deal and engage in necessity products – that make us a household brand, e.g, we all need safe drinking water, we all need gas to cook or electricity to light, or even our children need nutritional food.
Taarifa: Now that you mentioned food, take us through your product offerings apart from drinking water.
Kabatende: We offer safe drinking water with 20l tap, 5l bottle, LPG Gas – 12 kg and 6kgs with their accessories. And lastly -Nutritional Porridge that is healthy for children, mothers and the general family, if you want.
Taarifa: Has this franchise concept affected the market ? How ?
Kabatende: Yes, and positively. Within a 500m radius, everyone can get clean and safe drinking water. And remember we have the lowest prices on the market. This is a robust game changer. In addition, we have put millions of money into people’s pockets. This is a positive disruption.
