OmniRetail, a B2B e-commerce startup, has acquired Traction Apps, a payment provider for small businesses, as it looks to expand into the SME market. Although the terms of the deal were not disclosed, the acquisition is expected to strengthen OmniRetail’s offerings by integrating Traction’s payment solutions into its platform.
Traction Apps, co-founded by Mayowa Alli and Dolapo Adejuyigbe, provides business management services for SMEs. The platform enables retailers to accept cashless payments through software point-of-sale (softPOS) technology or by using hardware POS devices. Following the acquisition, Alli and Adejuyigbe will stay on as Director of Technology for Payments and Director of Operations for Payments, respectively. The integration of both companies is expected to be completed by 2025.
OmniRetail is known for offering informal retailers access to cheaper inventory through its partnerships with fast-moving consumer goods (FMCG) manufacturers and bulk order collection from retailers. With the addition of Traction Apps’ payment technology, OmniRetail aims to expand its reach in the SME sector, offering seamless cashless payment solutions while upselling its e-commerce platform.
Through this acquisition, OmniRetail plans to integrate Traction’s softPOS technology into its own finance app, OmniPay, allowing SMEs to accept payments more easily. The acquisition also provides OmniRetail with a new revenue stream, as Traction Apps has over 19,000 users and charges 4-8% on transactions across payments, lending, and software products.
While issuing hardware POS devices could overlap with competitors like Moniepoint, OmniRetail is expected to focus more on Traction’s softPOS technology. However, customer education will be key to ensuring the widespread adoption of this new solution.
With this move, OmniRetail is positioning itself to serve the SME market better, offering tools for payments, inventory management, and business growth. The acquisition aligns with its goal to create an all-in-one platform for small business owners.
