Africa offers enormous growth potential for e-retailers given that online shopping is in its infancy in the region, according to Sumesh Rahavendra, head of marketing for DHL Express Sub Saharan Africa, who says the recently released ‘Shop the World!’ a survey by DHL e-commerce, which reveals consumers attitudes towards global distance selling.
The report reveals that emerging markets offer the highest growth potential for the e-commerce industry. “Although global e-retailer Amazon celebrated its 20th anniversary in July, e-commerce companies in Africa are only now beginning to mark and / or accelerate their presence in the marketplace. An example is Nigeria online retailer, Jumia, which despite being founded only two years ago, is quickly gaining market share within the country which reiterates the region’s potential, says Rahavendra.
The DHL Shop the World report revealed that Asia Pacific took center stage in the global e-commerce market, which is largely attributed to increased access to internet.
“Technology on the African continent is a hindrance in terms of connectivity, but we are noticing a rising trend in retailers growing significantly due to advances in this area. According to figures by the International Communications Union, 16% of the African population have internet access, up from 10% in 2010.
As technology continues to evolve in the respective African countries, as will the levels of online shopping. It is of our opinion that many African businesses will start to skip the traditional ‘bricks and mortar’ formal retail environment, and instead move straight into online shopping space due to the rise in mobile and internet services within Africa,” concludes Rahavendra.