Africa a dynamic market for startup businesses

Kenyan entrepreneur Obadoh Obadoh, the owner of the successful Café Deli restaurant chain in Nairobi, shared insights on the business landscape and the future expansion plans of the brand in a recent interview with CNBC Africa. Starting as an apprentice chef at the Norfolk Hotel in Nairobi, Obadoh's journey to owning one of the top brands in Kenya's capital is a tale of resilience and foresight. Café Deli, known for its signature coffee, has become a household name in Nairobi, gaining popularity among the GenZ demographic. Obadoh highlighted the resurgence of coffee as a valuable commodity despite previous reservations from farmers. He discussed the challenges in the Kenyan coffee industry, particularly the lack of in-country processing facilities. Although the country produces more coffee than it consumes, efforts by businesses like Café Deli to promote local consumption play a significant role in supporting farmers and boosting Kenya's economy through job creation. When questioned about future expansion plans, Obadoh expressed his commitment to growing the Café Deli chain. With successful branches across Nairobi, the brand is now eyeing opportunities in other Kenyan counties like Isumu and Mombasa. Additionally, a partnership with Ruby's petrol station indicates a strategic move to widen the brand's reach and establish a stronger presence in the market. In terms of funding the expansion, Obadoh revealed the company's intention to seek a capital injection through private equity firms. By leveraging new funding opportunities, Café Deli aims to navigate the challenges posed by the current economic climate and forge ahead with its growth plans. Despite disruptions caused by political demonstrations in the past year, Obadoh remains optimistic about the business environment calming down and providing a conducive space for expansion. Reflecting on the global coffee business landscape, Obadoh emphasized the importance of understanding and catering to the local clientele to maintain a competitive edge against international brands. While acknowledging the presence of larger competitors entering the Kenyan market, Obadoh's focus on customer needs and market insights has enabled Café Deli to retain its market share and sustain its growth trajectory. Looking ahead, Obadoh discussed the potential impact of the planned capital injection on the company's valuation and long-term strategy. As the market demand for quality coffee experiences continues to rise in Kenya, Café Deli seeks to capitalize on the vast opportunities available by expanding its footprint across the country. While the prospect of franchising and venturing into airport locations remains on the horizon, Obadoh emphasized the importance of strategic growth supported by private equity investment to scale the business effectively. With a firm belief in the potential for expansion within Kenya's thriving market, Obadoh Obadoh's vision for Café Deli encapsulates a blend of innovation, customer-centricity, and strategic partnerships to drive the brand's success in the dynamic business landscape.