According to the latest research from Statista, the size of the African e-commerce market in 2017 has reached $16 billion. Moreover, it is expected to reach $22 billion by 2022. A report from the Boston Consulting Group says that by 2025, the electronic network market will create about 3 million new jobs in Africa. As a leader in the field of Internet consumption, China has continuously provided useful lessons for the development of African e-commerce from multiple levels, including technology and business. Also, it helped the latter enter the fast lane of development.
Who Leads The African e-Commerce Market?
In this sense, there are a few online platforms that help Africa develop in e-commerce more rapidly. Takealot was established in 2011 and has developed into a leader in South African e-commerce platforms with over 1 million active users. Currently, there have been set up 47 express delivery points across the country to alleviate the problem of insufficient logistics capacity.
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Jumia, an e-commerce platform founded in Nigeria in 2012, is called ‘African Amazon’. At the moment, it has more than 80,000 suppliers and more than 4 million consumers. It covers more than 10 African countries.
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Today, online shopping is no longer new in African countries. More and more Africans choose to shop on e-commerce platforms. Africa’s e-commerce industry is embracing huge development opportunities. According to a report by McKinsey, as more Africans access the Internet, online shopping will account for 10% of total retail sales by 2025. Moreover, online retail sales in Africa will grow at a rate of 40% per year in the next 10 years. By region, Statista data shows that 48.1% of e-commerce entrepreneurship teams in Africa are in West Africa. 27.3% team in Southern Africa and 18.2% in East Africa. They are mainly concentrated in the three countries of Nigeria, South Africa and Kenya. Among them, Nigeria has more than 100 Home appliance startups.