Page 9 - LUA Sep - October 2022 for Magzter

e-commerce may be moving sector in Africa, online shopping remains under Apoorva concurs that the growth of online
slowly, customer demand has the global average even in some of Africa’s most shopping in Nigeria is faster than offline.
also spurred the advent of quick competitive markets. “Somehow, the brick and mortar retail and
commerce recently. Apoorva It is also still a city phenomenon as per online started together and online really took
adds, “Quick commerce is Alastair Tempest who says, “With a few over some of the countries like Egypt, Morocco,
happening right now in Africa. exceptions, e-commerce is confined to cities and Kenya. So the offline evolution started
We do believe that in some of due to the problems of transport logistics before, and the online is catching up.”
the countries, the trend is really outside cities. Usually, the main contributing
catching up. In the last two factors are cheap data and good telecom ADVANTAGE AIR CARGO
years, we have really accelerated coverage; a strong literacy environment; a According to trade.gov, Africa is forecasted to
the grocery and FMCG segment. budding middle class, and an entrepreneurial surpass half a billion eCommerce users by 2025,
So today there is a shift like spirit. Some countries also have a weak brick which will have seen a steady 17% compound
people are buying groceries, and mortar infrastructure that therefore annual growth rate (CAGR) of online
people are buying food, favours e-commerce (an example is Nigeria, consumers in the market.
cosmetics and beauty products where there is a large market for luxury goods However, Africa's air cargo sector has been
from us and that segment is but relatively few retail outlets, especially slow in reacting to the growth of e-commerce
really growing fast.” outside Lagos).” cargoes as the continent takes a leap to a new
LARGELY CONFINED
TO CITIES
Despite the halo surrounding
the growth of the e-commerce CONNECTING AFRICA WITH THE WORLD

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