From HowWeMadeItInAfrica.

What started as an Internet café in Khayelitsha, a township on the outskirts of Cape Town, has grown into 36 IT stores  targeting under-serviced areas in South Africa.

Luvuyo Rani is the founder of Silulo Ulutho Technologies, providing computer training skills, computer and mobile phone sales and repairs, website development, and printing.

His 36 stores include nine franchises across the Western and Eastern Cape targeting townships and rural areas. A tenth franchise is opening soon.

Rani said a big part of his company’s success is that it provides services that were previously unavailable in townships. For most residents of Khayelitsha, to get a computer fixed or a CV printed would require a trip into Cape Town.

The business’s access to a large untapped township consumer market has also proven attractive to large corporations. In 2010, Microsoft saw an opportunity to target this previously inaccessible market in Khayelitsha by partnering with Silulo Ulutho Technologies and allowing the company to sell its software at a reduced price.

The business has also partnered with telecommunications company Telkom, providing it with penetration points into communities where it does not have existing infrastructure.

“These companies realise that there is money in townships because the numbers are here. Even if Khayelitsha has 50 percent unemployment, there is a large population that is able to compensate for that. It is about the volume,” Rani said.

“So I think there is an opportunity for us to continue positioning ourselves as a vehicle for these big businesses to come and utilise us… I think it is a great opportunity for us in terms of sustainability and being relevant in years to come.”

Read more at HowWeMadeItInAfrica.