NIGERIA – Leading e-commerce platform in Africa, Jumia has launched its food delivery service Jumia Food to five additional states in Nigeria as part of its resolve to expand the growing popularity and thrilling experience of online fast-food services to customers in all Nigerian states.
The new route on Jumia Food map are Minna, Benin City, Kaduna, Abeokuta, Kano, and Ilorin.
The expansion into the new markets is in response to the organization’s findings which were published in its 2020 Nigeria Food Index report, which indicated that the country’s food and grocery retail market had total revenues of US$44.9 billion, representing a compound annual growth rate (CAGR) of 8.7 percent in the last eight years.
“As the leading online marketplace in Nigeria and Africa, it comes naturally to us to help drive the penetration of this service through our technology and reach of our logistics network.”Chief Executive Officer, Jumia Nigeria – Massimiliano Spalazzi
Grocery retailing was the most lucrative, with total revenues of US$33.7 billion, equivalent to 75 percent of the market’s overall value.
The industry is poised for more rapid growth driven by rise in online food sales as consumers are increasingly seeking comfort and convenience when shopping.
“The food industry is very relevant to the Nigerian economy. With today’s covid-19 realities, the growing popularity of fast food, coupled with the growing trends for convenience, safety and value for money, has opened up opportunities for the food market in Nigeria.
“As the leading online marketplace in Nigeria and Africa, it comes naturally to us to help drive the penetration of this service through our technology and reach of our logistics network,” said Chief Executive Officer, Jumia Nigeria, Massimiliano Spalazzi.
In 2020, Jumia recorded a major service improvement in its existing footprints in Lagos, Port Harcourt, Abuja and Ibadan by increasing its speed of delivery, with an average delivery time of 26 minutes in Port Harcourt, 27 minutes in Lagos, 28 minutes in Ibadan, and 30 minutes in Abuja.
In the same vein of stretching its reach, Jumia has opened its logistic arm to third party businesses who wish to leverage its network, technology and expertise for last mile deliveries across 11 countries in the region.
The ecommerce company has indicated that the new offering is aimed to enable the third parties to efficiently undertake their logistics operations which is a major cost driver.
Prior to the announcement, the service was reserved for ecommerce and food vendors operating on its marketplace.
Jumia’s logistics marketplace is uniquely adapted to Africa, based on two main pillars. The first is its proprietary technology which aggregates demand and matches it with supply capacity on the basis of several parameters like quality of service, reachability of network and cost of delivery.
The second pillar is its logistics network, which includes among its physical locations over 20 warehouses north of 110 000 sqm and more than 1,300 drop-off stations and pick-up stations, located across Jumia’s 11-country market, including in remote areas.
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