VENTURES AFRICA – Nigeria, Africa’s second
largest economy with a gross domestic
product (GDP) of $263 billion, is one of the
world’s fastest-growing economies.
According to the World Bank and
Euromonitor International, the country’s
middle class has risen by 28 percent while
its GDP based on purchasing power has
increased by 21.67 percent in the last four
years. The rise in consumer spending,
coupled with the convenience of online
transactions, has boosted the growth of
Internet-based businesses in the country.
Industry Players
Nigeria’s Internet business industry is
estimated to be worth $250 million. General
merchandise online retailer Jumia, co-
founded in June 2012 by a Ghanaian
Harvard Business School graduate, Raphael
Afaedor, together with Berlinbased Internet
start-up incubator, Rocket Internet, is
currently the largest ecommerce company
in Nigeria. With cash-for-equity funds from
investment giants such as JP Morgan,
Summit Partners and Millicom, the
company has raised over $50 million in the
last 12 months. It ran multi-million dollar
marketing campaigns that boosted its
online store to the fourth most visited local
site in Nigeria and processed over a million
transactions within a year. In June, the
company revealed its 10,000-square-foot
ecommerce campus and a 90,000-square-
foot warehouse, located in Lagos. Jumia’s
local competitor and Nigeria’s second-
largest ecommerce operator, Konga
Shopping Company, founded by former
Google Africa lead Sim Shagaya, also
secured funds from Kinnevik – a Swedish
investment group – and Naspers MIH
Internet Africa – the Internet investment
arm of South African media giant, Naspers
– to grow operations, though the value of
the investments is still undisclosed.
read more
http://www.ventures-africa.com/2013/09/
nigeria-dot-com-emergence-ecom
largest economy with a gross domestic
product (GDP) of $263 billion, is one of the
world’s fastest-growing economies.
According to the World Bank and
Euromonitor International, the country’s
middle class has risen by 28 percent while
its GDP based on purchasing power has
increased by 21.67 percent in the last four
years. The rise in consumer spending,
coupled with the convenience of online
transactions, has boosted the growth of
Internet-based businesses in the country.
Industry Players
Nigeria’s Internet business industry is
estimated to be worth $250 million. General
merchandise online retailer Jumia, co-
founded in June 2012 by a Ghanaian
Harvard Business School graduate, Raphael
Afaedor, together with Berlinbased Internet
start-up incubator, Rocket Internet, is
currently the largest ecommerce company
in Nigeria. With cash-for-equity funds from
investment giants such as JP Morgan,
Summit Partners and Millicom, the
company has raised over $50 million in the
last 12 months. It ran multi-million dollar
marketing campaigns that boosted its
online store to the fourth most visited local
site in Nigeria and processed over a million
transactions within a year. In June, the
company revealed its 10,000-square-foot
ecommerce campus and a 90,000-square-
foot warehouse, located in Lagos. Jumia’s
local competitor and Nigeria’s second-
largest ecommerce operator, Konga
Shopping Company, founded by former
Google Africa lead Sim Shagaya, also
secured funds from Kinnevik – a Swedish
investment group – and Naspers MIH
Internet Africa – the Internet investment
arm of South African media giant, Naspers
– to grow operations, though the value of
the investments is still undisclosed.
read more
http://www.ventures-africa.com/2013/09/
nigeria-dot-com-emergence-ecom
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