Oriflame announces plans to halt operations in KenyaDecember 23, 2019
NAIROBI, Kenya, Dec 23 – Swedish direct sales company Oriflame has announced plans to halt its operations in the Kenyan market.
In a statement issued Monday, the company cited tough conditions that cannot support their procedures in the country.
“In Kenya, given the process of importation of goods becoming long and cumbersome and lack of sales volume growth is making the continuation of the business economically unviable,” the firm said.
The company further added that its profits has now reduced and are not making as much compared to the previous years.
“The combination of rising costs with lowered volumes means we can no longer support the location,” it added.
The company has now asked its clients to make claims related to their products before 31st January 2020.
Last date for sales activities from the branch will be 31 January 2020 while the Last Personal Discount payments will be made on the first week of February 2020.
Cash collection in the branch will be stopped as of December 18, 2019 and all payments shall be made through online or mobile platforms.
On Saturdays the branch will be closed as all deliveries will be done on 30th December.
All January Personal Discount and Bonus will be paid out by 3rd February 2020 while consultants whose Personal Discount is less than Sh1000, will have their payments transferred to their bank accounts.
In case the bank account is not provided, the company said, they can provide the same before February 15, 2020, to claim their money.
Kenya was the first country in sub-Sahara Africa to launch Oriflamme products when it opened its offices in Nairobi and Mombasa in December 2008, with an investment of Sh140 million.
It later expanded its operations in Uganda and Tanzania.