With an increasing number of young, tech-savvy consumers and rising internet penetration across the continent, Jumia’s strengthened presence could drive significant growth and innovation, ultimately contributing to the development of Africa’s broader eCommerce ecosystem.

On October 16, Jumia Technologies AG, the African eCommerce giant, announced plans to cease its operations in South Africa and Tunisia by the end of 2024. This strategic move aims to optimize resource allocation, allowing the company to concentrate on core markets with higher growth potential, such as Nigeria, Kenya, Egypt, and Morocco. The decision follows a thorough review of Jumia’s operations led by CEO Francis Dufay.

Explaining the move, Dufay said, “After a thorough analysis, we made the difficult decision to close down our operations in South Africa and Tunisia. The macroeconomic conditions in both markets, coupled with stiff competition, have limited growth potential.” In 2023, Jumia's South African arm, operating under the brand Zando, and its Tunisian operations contributed only 3.5% and 2.7% of total orders, respectively, underscoring their minimal impact on the company’s overall performance.

This closure aligns with Jumia's broader effort to streamline operations and enhance profitability amid challenging market conditions and competitive pressures. As the company refocuses on its core markets, it aims to leverage its marketplace, logistics network, and JumiaPay platform to drive sustainable growth in Africa’s most promising regions. This pivot reflects Jumia's commitment to adapting its strategy to navigate complex market dynamics and return to profitability.

According to the Africa E-Commerce Market Size, Share, Trends 2024-2032 report by the IMARC Group, the market is projected to reach $939.8 billion by 2032, growing at a compound annual growth rate (CAGR) of 14.4% from 2024 to 2032. This rapid expansion highlights the increasing role that online shopping will play in Africa's future, fueled by rising internet access, growing mobile penetration, and a youthful, tech-savvy population.

Hikmatu Bilali

Landlocked African countries heavily rely on neighboring nations' markets, infrastructure, and institutions, making them economically vulnerable. To enhance their economic resilience, the adoption of new trade facilitation methods is crucial.

On September 10, Botswana's permanent mission in Geneva, Switzerland, organized a forum to discuss strategies for boosting digital trade in landlocked countries. The event was organized under the theme ‘Overcoming Geography: Digital Trade in Landlocked Developing Countries (LLDCs),’ on the fringes of the World Trade Organisation (WTO) Public Forum 2024. It focused on how to meet the unique challenges faced by landlocked nations, particularly in Africa, to participate in global trade.

Torbjörn Fredriksson, head of e-commerce and the digital economy at the United Nations Conference on Trade and Development (UNCTAD), explained that there is a need for “ more investment in ICT infrastructure, strengthening the capacity of policymakers to put in place a favorable legal environment, intensify efforts to improve digital and financial literacy and other skills, including through more effective public-private collaboration, and strengthen support for improved trade logistics and trade facilitation, including paperless cross-border trade.”

Vuyile Dumisani Dlamini, Eswatini's Permanent Representative, stressed the need to invest in “ a robust digital infrastructure coupled with a vibrant skills development and supportive regulatory environment, including international cooperation.” He justified this approach given the importance of digital commerce, which “can help to reduce trade costs, improve market access and foster economic growth.”

Moderating the discussion, Gerelmaa Davaasuren, Mongolia's Ambassador and Permanent Representative to the United Nations, said that it is also necessary “to fully digitize customs processes to reduce the high trade costs faced by landlocked countries due to their lack of direct access to the sea.”

During the discussion, emphasis was also placed on the potential of the creative industry in digital trade, advocating collaboration with various organizations to improve transactions. The formation of alliances was suggested as a way of streamlining support and funding efforts. In addition, the disparity in ownership of digital devices between developed and developing regions was noted, underlining the importance of equitable access to digital resources.

There are currently 32 landlocked developing countries in the world, 17 of which are classified as least developed countries. According to the World Bank report ‘Improving Trade and Transport for Landlocked Countries’, one of the characteristics of these countries is their low per capita income compared to neighboring transit countries. They are often heavily dependent on the markets, infrastructure, and institutions of their neighbors, making regional cooperation and investment in digital trade vital to their economic growth. 

Hikmatu Bilali

Konga, a leading Nigerian online marketplace, has announced a strategic partnership with Starlink to provide satellite internet services to underserved areas across the country. This collaboration is aimed at bridging the digital divide by delivering reliable, high-speed internet connectivity to regions with limited or no terrestrial internet coverage.

As the only authorized shop-in-shop for Starlink in Nigeria, Konga is enthusiastic about the potential impact of this partnership. Through their partnership, Konga and Starlink are playing a pivotal role in ensuring that all Nigerians can benefit from the transformative power of the internet.

Through the WE-Elevate Rwanda program, Rwanda is partnering with Digital Commerce International (DCI) to help women-led micro, small, and medium enterprises (MSMEs) boost productivity via online commerce.

The initiative aims to help these businesses transition to e-commerce, expanding their market reach and growth potential. Women-led enterprises in Rwanda are encouraged to sign up to benefit from this program.

Applications close by August 4.

Establishing regulations that align with international best practices can help African e-commerce platforms improve their competitiveness on the global stage. This can facilitate cross-border e-commerce and open up new markets for businesses on the continent.

The Nigerian government plans to regulate e-commerce platforms and introduce cyber insurance for users. This initiative is part of the draft National Digital Economy and E-Governance Bill under review by the National Assembly.

Sponsored by the Ministry of Communications, Innovation, and Digital Economy, the Bill is in the public engagement phase. It requires e-commerce platforms to provide clear and accurate information about sellers, goods, services, and transaction terms.

During a media engagement in Abuja on July 9, Minister of Communications, Innovation, and Digital Economy Dr. Bosun Tijani said the Bill would create a legal framework to accelerate Nigeria's digital economy. "This Bill will support the growth and transformation of Nigeria’s economy through technology," he said.

Section 40 of the Bill mandates the National Insurance Commission (NAICOM) and the National Information Technology Development Agency (NITDA) to develop cyber insurance regulations for electronic commerce.

Section 39 specifies that e-commerce sellers must provide legal names, addresses, and contact details, ensuring effective consumer communication and legal process service. It also mandates detailed descriptions of goods or services and clear terms and conditions, including payment methods, returns, and refund policies.

If passed, major e-commerce platforms, as well as smaller players, would face stricter regulations and potential new taxes and levies imposed by NITDA. Non-compliance could result in fines.

The proposed legislation is poised to impact the country's rapidly growing e-commerce sector significantly. According to the European Company Database (ECDB) report titled eCommerce Market in Nigeria, this sector is expected to generate $2.68 billion in revenue by 2024 and grow at a compound annual growth rate of 12.8%, reaching $4.34 billion by 2028.

Hikmatu Bilali

Founded by a Guinean IT specialist, the solution was launched to enable easy access to a wide range of products. It now claims a presence in four West African countries. 

Malian startup Sodishop, an e-commerce platform that allows users to purchase a variety of items online, was launched in 2019 by Guinea-born IT specialist Boubacar Biro Baldé. The platform, based in Bamako, offers Guineans the opportunity to order products from other countries in the sub-region, such as Mali, Senegal, and Côte d’Ivoire, with delivery in less than 72 hours.

“Our brand new Made in Africa marketplace now enables local Guinean brands to sell and deliver throughout Africa and anywhere else in the world,” Baldé explained.

The platform, whose Android app has been downloaded more than 10,000 times according to the Play Store, features a mobile application available on iOS and Android. While users can browse the platform without an account, one is required to place orders. The site offers a wide array of products, including food, computers, phones, gadgets, fashion items, hygiene products, and school kits.

Sodishop has integrated payment solutions such as Orange Money, Paypal, and bank cards like Visa and Mastercard. Speaking to Guineenews in August 2023, Baldé revealed that since its launch, the startup has processed over $4 million in orders and averages $500,000 in annual sales through its sellers.

“We are present in four countries in West Africa. Mali and Guinea since 2019 and 2020 respectively, Senegal since 2022, and we’ve been operational in Côte d’Ivoire since early 2023,” Baldé said.

Sodishop has received numerous awards, including the prize for the best online sales platform in Mali at the 2022 Africa Business Excellence Awards. That same year, it participated in the Top 35 MEST Africa Challenge Ghana. In 2023, it was selected as one of the Top 11 in the Afritech Startupbootcamp ASIP program, receiving technical support worth $750,000 and a three-month acceleration program in Dakar, Senegal.

Adoni Conrad Quenum

Despite being democratized, the Internet is still not easily accessible in some African countries. Nevertheless, some tech entrepreneurs are doing their utmost best to offer connected populations tailor-made solutions and services.

Warani Shop is an e-commerce application developed by a Central African startup. It enables users to make online purchases and have them delivered to the address indicated during the ordering process. The Bangui-based start-up was founded in 2023 by Vianney Kanda.

"After numerous reflections on some of the problems faced by Central Africans, notably in accessing quality products, or getting products delivered, I decided to create Warani, which is a bridge between the customer and the seller. [...] Warani's main objective is to allow access to services and products for Central Africans," says Vianney Kanda.

Through the Warani mobile app –for Android and iOS devices, a user can create an account to access the services offered by the solution. From cosmetics and beauty products to kitchenware, hardware, loincloths and clothing, Warani Shop is a comprehensive online boutique. It integrates several payment methods, such as Visa card, Orange Money, or even cash on delivery. 

Given that internet penetration is low in the Central African Republic –10.58% in 2021, according to the International Telecommunications Union– the startup has dedicated a number for orders by phone. Since its launch on Saturday, September 9, 2023, the Android version of its mobile app has already been downloaded more than a hundred times, according to Play Store data. 

Adoni Conrad Quenum

The number of e-commerce platforms is increasing in Egypt, and competition for market share is fierce. Although based in Cairo, this start-up has decided to conquer other cities in the land of the pyramids.

Kenzz is an e-commerce platform developed by an Egyptian startup. It enables users to shop online at competitive prices without going through intermediaries or resellers. The Cairo-based start-up was founded in February 2022 by Ahmed Atef, Mahmoud Al Silk, and Moataz Sami. In October of the same year, it raised around $3.5 million to accelerate its growth in the domestic market.

"We’re going after a completely different segment that Amazon and the big platforms are not looking at as they are centralized in big cities and towards the people who are comfortable buying online. [...] What we’re doing is bringing that experience much closer to the masses and building a reliable, trustworthy e-commerce platform that caters specifically to the mass market, solving for the barriers to buying, whether it’s trust, affordability, and relevance while capitalizing on social engagement and social interaction aspects of e-commerce," explains Ahmed Atef.

Through the Kenzz mobile app –available for Android and iOS devices, users can create accounts with their phone numbers and access the various stores on the platform. Whether for groceries, clothing, home and sports goods, household appliances, or even books, Kenzz has stores specialized in all of those items and more. 

It allows users to make group purchases, with friends or family, for up to 65% discounts. Currently, the startup has chosen to develop activities in secondary cities in Egypt. For the time being, Play Store data show rapid growth as the Android version of its app has been downloaded more than 100,000 times.

Adoni Conrad Quenum

She left the French pharmaceutical company Sanofi-Pasteur to fully devote herself to her passion: fashion. Her startup is now an industry leader in the Middle East and Africa, with a presence in Tunisia, Morocco, Algeria, and Egypt.

Ameni Mansouri (photo) is a young Tunisian entrepreneur better known as the co-founder and CEO of Dabchy, a fashion marketplace inspired by the European platform Vinted.  

With a degree in biomedical engineering and biotherapy, she left her job at Sanofi-Pasteur to devote herself to promoting fashion and creating a community of fashion enthusiasts.

In 2016, she officialized Dabchy and, currently, the company boasts over a million users in the MENA region, offering the opportunity to sell and buy new and second-hand clothes at affordable prices, while being a sort of social network encouraging interaction between users. The platform generates revenue through commissions on transactions and offers secure delivery and payment services.

Ameni Mansouri wants to make her platform the leading reference for circular fashion in the Middle East and Africa, contributing to ecological transition in the textile industry. With that purpose in mind, in August 2023, Dabchy expanded operations into Egypt, consolidating its position as a major regional fashion player.

“This expansion fills us with pride, as it symbolizes Tunisia’s influence through its young and promising startup scene. We are determined to uphold the Tunisian values that have propelled us this far: innovation, creativity, and above all, trust in our community,” said Ameni Mansouri.

Over the course of her entrepreneurial career, the latter has won several awards. In 2018, she was selected among TechWomen and her start-up was recognized as one of Africa's top 100 at the Africa Forum.

In 2019, Dabchy became the first Arab and African company to be selected by Look Forward, a French incubator specializing in technological fashion. The same year, Ameni Mansouri was named one of Forbes' "30 under 30" in the Middle East.

Melchior Koba

To help African entrepreneurs showcase their products across the continent and the world, a tech entrepreneur created a digital platform to facilitate commercial transactions within and beyond Africa.

Awalebiz is a digital marketplace developed by a Senegalese startup. It allows users, sellers, and buyers, to purchase and sell unique products online. The startup is based in Dakar. It was founded in 2014 by Nafy Diagne, to pool entrepreneurs from several African countries on a single platform where they could sell their products to people all around the world.

"In the spirit of the Awalé game, based on the idea of sowing seeds and reaping the fruit, our company focuses not only on online sales, our core business but also on promoting our artisans and African culture that we want to share with the world," the platform explains.

Available on iOS and Android, the platform is most accessed through its website. Users do not need to have an account, but when placing an order, the buyer must always provide their billing and delivery address.

"Sellers from all African countries are showcasing their products. The Cameroonian buyer gets delivered from Kenya, the South African buyer from Senegal, and the Australian buyer from Benin. We cast the net to connect the continent from all sides, and of course, to connect it to the rest of the world. The spirit is Pan-African. The ambition is global," the platform states.

Delivery times depend on the chosen delivery method, where the item will come from, and the buyer’s location. The platform provides a reasonable time range within which items are likely to be delivered.

In 2017, Awalebiz won the first prize in the third edition of the Linguère Digital Challenge. As a result, the startup received financial support, in the form of a check of CFA7.5 million (about $12,867), as well as technical support worth CFA2.5 million.

Adoni Conrad Quenum