NIGERIA'S E-COMMERCE FINDS NEW HEIGHTS

The internet technology is growing in a steady pace globally. Its value is now approximately $5.8 trillion. With the internet sector exploding in many countries, Nigeria’s information and communications technology (ICT) is also soaring into new heights.

-->
Nigeria’s E-commerce

Today, Nigeria’s e-commerce is catching up like many other nations. Market experts revealed that its e-commerce has an estimated value of N3.06t ($10 billion).

Online shopping in the country has contributed to the massive growth its e-commerce. More and more people prioritize purchasing their needs online. Moreover, it has become more convenient for businesses to sell their products online.

Nigeria’s most popular online platforms, include Konga, Jumia, Dealdey, Fashpa, Payporte, Yudala, Vconnect, Kara, Gloo.ng, Wakanow and OLX. These online companies are reportedly getting more or less 400, 000 orders daily.
In 2016, the worldwide retail sales amounted to $ 22 billion, according to the Oxford Business Group.

The online business sector contributed a huge chunk of sales during the year. Online sales are higher among nations with a high literacy rate and high accessibility to the internet.

It is projected that the e-commerce sector around the world will blow up to around $27 trillion by 2020. At the start of 2017, Shola Adekoya, the Chief Executive Officer of Konga reported that the company earned multi-million dollar investment from Naspers and Kinnevik. He claimed that the business venture could result in a better future for Konga and to the growing e-commerce of Nigeria as well.

Nigeria has the biggest population in Africa, which is expected to increase from 180 million to 440 million by 2050. The growing GDP is also a major factor in its economy. With more and more Nigerians gain connection to the internet, it is seen that the country’s e-commerce will continue to flourish.
However, the success of e-commerce in the nation is not automatic. Adekoya warned that better online services are prerequisites for a thriving online sector. Nigerians should have hassle-free access to these platforms through fast and easy payments and refunds, returns and trouble-free deliveries.

“When we started Konga in 2012, we knew we had to innovate to be successful. Today, I am proud of the progress we’ve made. We are a homegrown Nigerian business, tailored to our local customers’ needs and committed to delivering the highest standards of service in the market,” he said.

Traditional Shopping In Nigeria Is Still Strong

Gideon Ayogu, the Head of Corporate Communications, claimed that the e-commerce sector in the country would thrive if it will be improved. With the popularity of the online sector, many Nigerians still value traditional shopping. They believe that seeing the products before purchasing is needed to make sure that they are not wasting their money.

According to Ayogu, more people in Nigeria are still traditional shoppers. This is true, despite the popularity of Black Friday and Cyber Monday.

Barriers to Nigeria’s E-Commerce

Despite the promising e-commerce in the country, there are still barriers that may block its continuous growth. No or poor internet connection, lack of trust and unfavorable shopping experience may hinder other traditional shoppers to convert as online shoppers. Many Nigerians also fear using their debit cards online due to fraud transactions happening online.

Abayomi Bello believes that Nigeria is a promising nation that could also thrive in the business world. Abayomi writes and conducts public speaking and lectures in schools, institutions and private sectors mostly about technology and business. He is also a blogger and a contributor for www.addictions.com
!!

To receive more updates from Frayokit News, kindly SUBSCRIBE TO OUR NEWSLETTER or follow us on FACEBOOK and on TWITTER
For inquiries, adverts placement and news tip off, kindly call +2348083720023, +2347031269087 or send us email on: obeyafriday@gmail.com
Add Frayokit News On BBM. Pin: 5C130E7E or add us on WhatsApp. WhatsApp number: 08083720023