The cost of moving goods across Africa remains one of the continent's toughest economic challenges. With logistics accounting for up to 75% of the price of goods—compared to just 9% in the US—solving transport inefficiency could be key to boosting affordability for African consumers.

In this episode of The Trajectory Africa, I'm chatting with Jean-Claude Homawoo, CEO of Lori, a company that matches cargo owners with transporters, to move cargo efficiently. We discuss how badly trucking businesses need working capital with better payment terms, how truck utilization can change the economics of a trip, and the potential for electric vehicles to reduce the cost of transporting cargo enough to reshape the economics entirely.

[00:00 ] - Introduction and Jean-Claude’s journey into African logistics 
[08:07 ] - The problem Lori is solving
[13:32 ] - Logistics value chain and market structure
[16:52 ] - Lori’s value proposition and customers
[32:28 ] - Selling digitalization and efficiency
[36:16 ] - The “financial story” of logistics
[45:41 ] - Lori’s business model and role in the value chain
[1:00:30 ]  - Growth, competition and the case for EVs in transport
[1:07:37 ] - First principles

Recommendations:

• Chasing Outliers: Why Context Matters for Early Stage Investing in Africa. A report I co-authored on VC investing in Africa. 

Connect on social media:

• Jean-Claude Homawoo on LinkedIn and @JeanClaude_H on X
• Lori on LinkedIn and @lorisystems on X
• The Trajectory Africa on LinkedIn and @trajectoryafrica.bsky.social on Bluesky
• Tayo Akinyemi on LinkedIn, X, and @TayoAkinyemi.bsky.social on Bluesky