Nigerian tech-driven start-up, Field Intelligence has secured $3.6 million in a Series A funding round.
The capital is expected to deepen the penetration of Field Intelligence’s tech-driven ‘Shelf Life’ which is used to resolve supply chain and logistics needs of pharmacies in Africa. The Series A funding round was led by Blue Haven Initiative, Sunu Capital, Accion Venture Lab and Imperial Venture Fund, a new $20 million fund created by Newtown Capital and South African logistics company, Imperial.
Pharmacy business is on the rise in Nigeria, with most located at almost all corners and streets in Nigeria. It is the go-to-place for Nigerians in need of medical care but can’t afford hospital bills. So, there is a steady market available for pharmacy service.
According to Field Intelligence, the pharmaceutical industry is a $60 billion market, that explains why one of the world’s biggest impact investors, Blue Haven Initiative, found Field Intelligence investment-worthy.
By 2026, the Pharmaceutical market in Nigeria is expected to grow as high as 9% yearly, McKinsey predicted. Pharmacies are expected to contribute between $950 million and $1.1 billion during the same period to Nigeria’s economy.
With Pharmacies struggling with drug supply, Field Intelligence sees revenue potential. Pharmacies run out of stock for consumer-driven drugs, so with Shelf Life, Field Intelligence plans to bridge the gap with the $3.6 million and increase its 280 pharmacies’ subscribers. But it’s not alone in the market, as another firm, Lifestores, is also competing for revenue and market share.
However, the pharmaceutical market in Nigeria is challenged by the regulatory laws of Pharmacy. It is stated that pharmacies must be located at least 200 metres from each other. Though this slows down the growth of the pharmacy business, it allows small Pharma stores to compete, as bigger stores would be unable to rival them at popular roads and streets already occupied.
Nevertheless, this hasn’t stopped the market from being chaotic with different pharmacies, so potential still exists.