z.systems raises $1.65 mn seed round to digitise retail in Morocco

Morocco-based retail technology startup z.systems has raised $1.65 million in a seed funding round to accelerate the digitisation of traditional retail markets. The round was led by Azur Innovation Management, with follow-on participation from existing investors MNF Ventures and Witamax, and marks the entry of Harambeans Prosperity Fund as z.systems’ first international institutional investor. With the new round, z.systems has now raised a total of $2.7 million to date.

“Our portfolio startup z.systems secures a $1.65 million to accelerate the digitization of tradition retail in Morocco. The round was led by our friends of Azur Innovation Management with follow-on participation from existing investors MNF Ventures (through its MNF II fund) and Witamax. The round also marks a landmark milestone: the entry of Harambeans Prosperity Fund as z.systems’ first international institutional investor. With this round, z.systems has raised $2.7 million to date. Congrats to Meriem BENABAD and Samer Choumar, and all z.systems team for this new milestone, on your mission to transform our hanouts.”

Context and platform details

z.systems positions itself as what it calls Africa’s first B2B2C tech franchise for traditional retailers. The platform is designed to transform independent grocery stores—referred to locally as hanouts—into a digitally connected, owner-operated retail network without requiring significant capital investment from store owners.

• Core functionality connects brands directly with retailers and consumers, improving product availability, pricing control and in-store visibility.
• Customer-facing features include promotions, loyalty programmes and buy-now-pay-later options to drive demand and increase sales.
• The platform integrates brands, retailers and consumers into a single ecosystem intended to improve efficiency and engagement across the retail value chain.

Since launch, z.systems reports it has onboarded more than 20,000 retailers, facilitated over 900,000 orders and maintains a 95% positive rating as it expands across Morocco and into wider African markets. The company is supported by the European Bank for Reconstruction and Development through its Star Venture programme and by Amazon Web Services via its startup programmes, which the firm says helps scale its infrastructure.

Prior to this seed round, z.systems raised $1.05 million in a pre-seed round backed by MNF Ventures, Witamax, CASHPLUS Ventures and Kalys Ventures. The new injection of capital is intended to build on that foundation and accelerate the company’s roll-out and technology development.

Outlook

z.systems will use the $1.65 million seed to support its growth strategy as it continues to digitise Morocco’s traditional retail ecosystem. The funding is expected to fuel further retailer onboarding, deepen partnerships with consumer goods brands, and expand the platform’s product and payment features across new regions. Founders Meriem BENABAD and Samer Choumar and their team now enter the next phase with backing from regional and international institutional investors as they scale operations across the country and beyond.