Hardware Business in Kenya

Why Hardware Business is One of the Fastest Growing Businesses in Kenya

Hardware is basically a shop that deals with; building materials, tools, and equipment.  This is where most of the building materials are found.  In Kenya, very many people have ventured into the hardware business.  Considering that Kenya is a developing country, this has made most people invest in a hardware business. Hardware business has advantages and disadvantages. Therefore one has to do some considerations before investing in this kind of business.

Kenya is growing at a very high rate. This include the constructions by the real estate developers.  With this, it has become easy for a person to start a hardware shop anywhere around the country. In this article; we are going to see various factors to be considered before one may decide to invest in the hardware business in Kenya.

Factors to Consider Before Starting a Hardware Business in Kenya.

  • Understanding the market
  • The rate of competition
  • The fast selling products
  • Marketing
  • Hardware management
  • Capital required
  • Profitability

Understanding the Market

Understanding the market is one of the key factors to consider before starting a hardware shop. One needs to do thorough research before putting the money into this kind of investment. Very many people have lost their money due to lack of proper market research. You have to know how other hardware’s in the area you want to start are doing. You need to know their strength; you also need to know the weakness in their business.

The Rate of Competition

Having relevant information on the rate of competition is very vital before starting a hardware shop. This is to ensure that one does not lose the money while trying to invest. Come up with tactics to overcome the competition. For instance, it is important to know the pricing of items in other shops. This will enable one to have a reasonable price that will attract the customers.

Customers are enticed by very small things such as price reduction and good customer relations. These are the things that make the customer prefer a certain shop than the other. With these kinds of tactic; one is able to outdo others in the business.

Fast Selling Products

Fast selling product should be highly stocked in a hardware business. This reduces the amount of dead stock in the shop. These include cement, roofing nails, metal bars, and rods, plumbing materials, simple tools like; machete, masons tools, and many others. Having these kinds of things in plenty will help in fast-growing in the business.


Hardware business in Kenya needs a lot of marketing. This is due to the high rate of competition around the market. The greatest mistake one can do is sitting in the shop waiting for the customer to come. One may hire a salesperson to go marketing the products in the shop.

This includes; going to the construction sites, making some advertisement through flyers and billboards and many more. This kind of marketing will attract customers to the shop.

Hardware Management

Hardware management skills are needed to avoid loss and resources wastage. This is where a proper record of every item sold is kept appropriately. It is also very important to do a stock-taking at least once or twice per month. This is in order to understand which items are moving fast and also prevent theft from the employees. Failure to do this may lead to the collapsing of the hardware.

Capital Required

Capital required in the hardware business in Kenya may vary from where one needs to start the business. Nevertheless with a capital of over Ksh. 500,000 one can start average hardware. This is where one may use, ksh 40,000 for rent and deposit, about ksh 20,000 for a single business permit, ksh40,000 minor requirement and the rest ksh 400,000to stock the shop.


Hardware business in Kenya should give a profit of at least 10% profit from the total sales in a day. Perhaps, let’s say the shop makes the sales of ksh90,000 per day. That shop should give a profit of approximately Ksh 9,000 per day. This is a good profit if made on daily basis.

In conclusion, hardware business can do very well in Kenya if the above-considered facts are well considered. A lot of care needs to be taken first and the factors considered before starting the business. All that is required is to ensure that proper research and market review is well done. Once the business starts, it is also very important to have good managerial skills and marketing strategies. Those are the most important factors in starting a hardware business in Kenya.






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