Nigeria B2C E-Commerce Market 2019

Rapid Growth Projected for B2C E-Commerce Sales in Nigeria

The report points to the continuous growth of online retail sales in Nigeria, driven by a rising Internet penetration rate and growing consumer trust in online shopping.

Electronics leads in E-Commerce purchases in Nigeria
Nigeria’s retail E-Commerce market harbours a high growth potential, as only a small fraction of overall retail spending currently is online. The country’s population is large and growing, expected to become the world’s third largest by 2050. With Internet penetration increasing, a growing share of consumers gain access to E-Commerce services, used by around one-half of all connected shoppers as of 2018, according to a survey cited here. The largest products segments in Nigerian E-Commerce are consumer electronics, household appliances and fashion.

E-Commerce companies in Nigeria are faced with infrastructure challenges
At the same time, infrastructure barriers inhibit full-fledged E-Commerce development in Nigeria. With a major share of population living in rural areas with underdeveloped road systems, E-Commerce fulfilment remains a major challenge. Furthermore, low access to financial services constrains the adoption of digital payment means, as the analyst reports. E-Commerce market leaders such as Jumia and Konga strive to overcome these barriers by building their own delivery and payment ecosystems, and are rewarded with higher market shares compared to their competitors. In early 2019, Jumia conducted an IPO on the New York Stock Exchange, raising further investments to fund its expansion in the region.

Questions Answered in this Report

• How large is Nigeria’s online retail market projected to be by 2023?
• What are the main drivers and barriers to the growth of B2C E-Commerce in Nigeria?
• What are the forecasts for Internet penetration rates in Nigeria by 2022?
• Which market trends are important for the development of online retail in this country?
• Who are the leading E-Commerce merchants in Nigeria?