Nigeria’s POS (Point of Sale) payment ecosystem has witnessed remarkable growth in recent years, with the number of POS terminals expanding from 150,000 in 2017 to 543,000 by April 2021, according to Statista. During this period, POS payment volumes surged, exceeding ₦500 billion as of May 2021.While these terminals are predominantly used for card payments and agency banking, a major challenge lies in their reliance on internet connectivity, which limits their functionality in areas with poor or no network coverage. ZirooPay, a Lagos- and Helsinki-based fintech, is addressing this gap with its patented offline-first technology. The company recently raised $11.4 million in a Series A funding round led by Zrosk Investment Management, alongside participation from existing investors like Inventure and other institutional and private backers.
Transforming Payments for Small Businesses
ZirooPay offers a mobile platform that enables merchants to process card payments even without an internet connection. According to CEO Omoniyi Olawale, the company’s offline-first approach ensures a 95% transaction success rate, far surpassing the industry average of less than 50%.This innovative solution has gained significant traction. Over 15,000 merchants across retail, agency banking, hospitality, and service sectors now rely on ZirooPay’s POS terminals and mobile app. The platform has facilitated over 10 million transactions, amounting to $500 million in processed payments—a staggering 5,000% increase in just three years.
Bridging the Gap Between Payments and Business Management
Beyond payments, ZirooPay’s mobile app equips small businesses with advanced functionalities typically associated with large-scale cash registers. Merchants can track sales, manage operations, and streamline bookkeeping directly through the app.
“Over 70% of our users have transitioned from manual accounting to relying entirely on our in-app sales tools within three months of joining,” Olawale noted. This capability eliminates the need for merchants to seek external bookkeeping solutions, offering them a comprehensive suite of services in one platform.
Expansion and Future Plans
The newly secured funding will enable ZirooPay to broaden its product offerings and integrate additional payment channels, aiming to create an omnichannel experience for its users. While many fintechs in Nigeria prioritize agency banking, ZirooPay’s focus remains firmly on retail payments, positioning it to fill a significant gap in the market.
Samson Esemuede, Managing Director and Chief Investment Officer of Zrosk, expressed optimism about the investment, stating, “ZirooPay has a unique technology advantage and a cost-effective model to digitize Africa’s offline economy. While the online economy is growing, the offline economy still represents the lion’s share of transactions. ZirooPay’s approach to bridging this gap is particularly compelling.
”As ZirooPay continues to innovate and expand, it aims to play a critical role in digitizing Nigeria’s vast offline economy, ensuring greater financial inclusion and operational efficiency for small businesses across the country.
