Jumia

An e-Commerce platform for consumer goods that operates in Nigeria and other African countries.

Impact Regional
 
  • Category eCommerce
  • Location Lagos, Nigeria

Summary

Jumia is an online retailer that sells electronics, furniture, clothing, home appliances and a variety of other consumer products. Customers have the option of paying with a debit or credit card or the customer can pay cash upon delivery.

Analysis

Review: Challenge – Nigeria, having the largest population within the African continent, offers a potentially massive consumer market. Increasing access to the Internet has led to the proliferation of e-Commerce. This proliferation is likely to continue because of expected decreases in Internet bandwidth costs and rising incomes. Businesses are thus assigned with the challenge of providing convenient, user-friendly websites that provide both luxury and affordable consumer goods. Critical obstacles for any business to overcome are low Internet access, erratic electricity supply, poor logistics and distribution networks, low disposable income and little or no access to consumer credit. In spite of these challenges Jumia recognizes the potential opportunity and has created a consumer goods e-Commerce platform. Solution – Jumia has adapted to meet local challenges, head on. For example, in addition to offering electronic payment options online, consumers can opt for cash on delivery. Where delivery is not available, consumers can go to a pick-up center. Purchases can also be made via mobile phones, which is critical for Internet based businesses in Nigeria and Africa. Additional Notes: Within Nigeria, Free delivery is currently offered only in Lagos while pick-up centers are available in Warri, Kaduna, Port Harcourt, Abuja, Benin City and Lagos. Impact: Jumia operates in multiple countries in Africa and so we give it a “Regional Impact” rating.