Connecting Africa is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 3099067.

Innovation Hub

Hot startup of the month: Egypt's Plstka

Article Image
Waste management company Plstka has its eyes set on getting the most out of Egypt's Delta region's trash and fostering a cleaner and more habitable environment.

Launched in 2021, the startup is a rewarding app that uses a business-to-business Internet of Things (B2B-IoT) supply chain system for waste management to help clients get the most out of their solid waste.

Egyptians in the Delta region can earn up to a minimum of 50 points by making a request to the startup through its app to dispose of their waste.

"Our app allows for the swapping of solid waste for discounts and coupons from various everyday services like food, beverage, healthcare, and transportation," said Plstka co-founder and marketing manager, Mahmoud Mazrou, in an interview with Connecting Africa.

"The Plstka app now also includes a new in-game experience called Plstka Profitable Competition, which pits users against one another in order to raise environmental consciousness," he added.

The Egyptian startup does the recycling process by collecting and separating waste into three categories. The categories include plastic waste – such as water bottles, shampoo bottles, and detergent bottles; aluminium waste – such as cans and metal sheets; and electronic waste – like motherboards, used mobile phones, and old TVs.

The app's ins and outs

Egyptians first collect and separate solid waste, go to the Plstka app and select the items they have collected. After sorting the items they picked, users get 50 points allocated to their account.

Furthermore, users will then send a request to Plstka, who will send a representative to the region the user resides in, they will then get a discount coupon code which they can use to activate their discount or QR code for a variety of everyday services.

"Discount codes can be used for more than three services and can also be used in more than one category such as at restaurants and cafes," Mazrou explained.

The Plstka Profitable Competition allows users to compete with one another in raising more consciousness about the environment's wellbeing.

The co-founder explained that a user that collects the most waste in their city at the end of each month will receive a prize for their collected items.

Plstka's competitive advantage

Mazrou said what makes the Egyptian startup different to its competitors is that the company has a unique and innovative business model that generates revenue from waste management.

"We also use an e-commerce model in the same operation cost which uses artificial intelligence (AI) supply chain and AI optimization in waste management," he continued.

"We also use the shared social economy concept, which means that friends and family can collect waste together in one order and then receive the same benefits. Look at it this way, if friends collect waste that amounts to 100 points, meaning they both collected 50% of that waste, they are both entitled to a 10% discount coupon," the co-founder added.

Waste management company Plstka has its eyes set on getting the most out of Egypt's Delta region's trash and fostering a cleaner and more habitable environment. (Source: Plastka)
Waste management company Plstka has its eyes set on getting the most out of Egypt's Delta region's trash and fostering a cleaner and more habitable environment. (Source: Plastka)

He said that Plstka collects waste from clients for free then connects the customer who wants discounts and vouchers on life services with service providers who want to increase their sales.

Unlike similar Egyptian services like Bekia – a waste management company offering a service in which people can make money from their waste and scraps – Plstka's users don't only receive cash and can rather gain tokens for everyday services instead.

Raising investment for growth

The startup raised an undisclosed round of seed funding from Alexandria Angels Network with a matching fund from Hivos as it bids to build its user base.

"[The] waste management industry has become a necessity and important part of our growing global economy," said AlexAngels angel investor Dr. Khalid Al Tawil when the company announced the funding.

"The world is shifting to green energy and waste management and Plstka is targeting a blue ocean market in Egypt's Delta where there is a huge potential for the waste management industry to grow and expand locally and globally," he added.

Even though the startup primarily works in the Delta region the funding is helping with the company's plans to expand into more cities across Egypt.

"We also make money from selling crushed recycled solid waste per ton to plastic as well as aluminum and electronic manufacturing factories. The prices range from US$1,000 to US$3,000," Mazrou explained.

The waste management company also collects 10% e-commerce fees from retailers per order and sells in-app advertising packages ranging from $50 to $100, he added.

Expansion plans in Egypt

Mazrou said that the company has grown in leaps and bounds since it was established in 2021. Moreover, it is working on scaling to three Delta cities of Mansoura, Kafrelsheikh and Alexandria.

"We aspire to acquire 1,500 tons of market waste in the country's Delta region, which represents $3 million of the total market size and covers over 100,000 households to make them get the best benefits from their trash and also save the environment," he said.

The company also aspires to sell 3,000 products annually and generate a $1 million net profit annually by 2024.

Egyptians in the Delta region can access the app on the Google Play Store or the Apple App Store.

782914 Related posts:

*Top image is of Plstka co-founder and marketing manager Mahmoud Mazrou and co-founder and CEO Ahmed Elnagar. (Source: Plstka).

— Matshepo Sehloho, Associate Editor, Connecting Africa

Innovation hub

Story

Paymentology looks to strengthen its African roots

Global issuer-processor Paymentology's CEO Jeff Parker spoke to Connecting Africa about the company's African roots and aspirations to work with more banks, fintechs and enterprises both on the continent and globally.

Story

Women & technology: impacts of the digital gender divide

Connecting Africa correspondent Chiti Mbizule investigates the state of Africa's digital gender gap and the impact this divide is having on access, education and entrepreneurship opportunities for local women.

More Innovation hub

Latest video

More videos

Partner perspectives

All Partner Perspectives

Sponsored video

More videos

Industry announcements

More Industry announcements

Upcoming events

Africa Tech Festival 2024
November 11-14, 2024
Cape Town, South Africa
More Upcoming events

Africa Tech Perspectives

Story

Uber's Marjorie Saint-Lot on inclusion and sustainability in Africa

Uber's Country Manager for Ghana and Cote d'Ivoire, Marjorie Saint-Lot, shares how the ride-hailing company is approaching public-private partnerships, environmentally friendly initiatives and gender inclusion in Africa.

Story

The 100 most influential African leaders in 2023

A new report from Africa Tech Festival and Connecting Africa puts a spotlight on the top 100 African leaders in the telecoms and technology sector in 2023.

Story

Deep dive into East Africa's tech startup ecosystem

New survey reveals a lack of access to investors, reliance on international VCs and global recession trends as the biggest barriers for East African tech startups to access funds.

More Africa Tech perspectives

Guest Perspectives

Story

Omdia View: February 2024

By Omdia Analysts

Highlights in February 2024 in the Middle East and Africa included 5G launches in Senegal and 5G trials in Egypt as well as Kenya's first 5G MVNO. Airtel also launched a new wholesale connectivity business while MTN and Huawei are planning a joint Innovation Technology Lab in South Africa – that and more in this month's Omdia View.

Story

Omdia View: January 2024

By Omdia Analysts

Highlights in January 2024 in the Middle East and Africa included a $200 million fintech deal between MTN and Mastercard as well as 5G network trials by Telecom Egypt – that and more in this month's Omdia View.

More Guest Perspectives

Like us on Facebook

Newsletter Sign Up


Sign Up
Tag id test-002