Leading Trends Impacting the Nigerian e-Commerce Industry This 2023
Digital commerce is becoming the fastest-growing commerce in the Nigerian market, as immense growth has been recorded in this sector in recent years. This growth is driven by the increasing adoption of technology and the rise of online payment platforms in Nigeria.
According to statista.com, the e-commerce sector of the Nigerian economy is expected to peak at $9.02bn in 2023 with an annual growth rate of 11.74 per cent, resulting in a projected market volume of $14.06bn by 2027.
Although the Nigerian e-commerce industry faces several challenges, including poor infrastructure, payment infrastructure, a general lack of trust in online transactions, and non-reliable logistics and delivery networks, these challenges have in no way hindered the growth experienced in the industry.
In a recent chat with Yuliy Shenfeld, Director of African Operations Jiji Africa, while discussing the significance of this Industry in the growth of the Nigerian market, he said
“E-commerce has the potential to play a significant role in the development of the Nigerian market by offering increased accessibility for Business owners and Job creation in areas such as software development, marketing, logistics, and customer service. It is a major growth driver that would improve the competitiveness of the Nigerian market on the global stage.”
The following trends are expected to shape the Nigerian e-commerce sector this 2023:
Increased Adoption of Mobile Technology:
More Nigerians are using their devices to make online purchases with the rise of smartphones and other mobile devices. According to the National Communication Commission (NCC), 89% of internet users make purchases online, with another 24% planning to do so in the near future.
Growing Interest in Online Payments:
Trust in online payment platforms is growing in Nigeria, making it easier for consumers to make purchases online. This trend has continued this 2023, as more consumers are becoming comfortable with digital transactions and online payment options.
Emergence of Social Media Commerce:
Weetracker.com reports that the global social commerce market is set to reach a whopping $604.5 billion by 2027, with social media attracting high engagement levels from a wide audience. Hence, Social media platforms will continue to provide a convenient way for consumers to discover and purchase products.
Focus on Customer Experience:
E-commerce companies are placing greater emphasis on providing seamless and personalised customer experience, from browsing to delivery and beyond. This 2023, e-commerce companies have continued this trend as they strive to differentiate themselves from their competitors and build customer loyalty.
This is fast becoming a thing in the Nigerian e-commerce space, where buyers are able to easily connect directly with sellers to transact. A typical example is the Jiji platform, where people are able to convert unwanted or used items to cash by selling them directly to buyers. One huge benefit of this is that customers are able to easily raise funds to finance their projects, businesses, education, or even japa expenses.
The Nigerian e-commerce industry is poised for continued growth this year, even as these trends continue to shape the industry and play an increasingly important role in the growth of the Nigerian market. We would be excited to crunch the numbers when these play out.
Tinubu’s Vast Experience An Asset for Good, Effective Governance—Buhari
By Adedapo Adesanya
President Muhammadu Buhari has joined many Nigerians to celebrate the President-elect, Mr Bola Ahmed Tinubu, on his 71st birthday today, Wednesday, March 29, 2023, saying his vast experience as a politician will help achieve effective governance.
In a statement signed by his Special Adviser on Media and Publicity, Mr Femi Adesina, the President joined “members of the President-elect’s family, especially his wife, Senator Oluremi Tinubu, business partners and political associates in celebrating the recently elected president who is expected to lead the country from May 29.”
Full of praise, he said his successor, endeared as Asiwaju, is “heralded with many years of experience and achievements in the private and public sectors, which prepared him for the historic win on February 25, 2023.”
The statement noted that President Buhari believes, “Asiwaju’s warmth, friendliness and generosity has set the pace for a network of friends, home and abroad, that will shape his presidency with the requisite expertise to guide the economy and consolidate on the investments of past leaders, particularly in people-first development and infrastructure.
“As the President-Elect prepares to take over the mantle of leadership at 71, the President affirms that his political pedigree from the ’90s, active role in party politics, being elected Senator and later Governor of Lagos State, and diligent involvement in structure of leadership at the Executive and Legislative levels for many years, will serve as an asset for good and effective governance.
“President Buhari prays for the wellbeing of Asiwaju and his family,” the statement added.
On March 1, the Independent National Electoral Commission (INEC) announced that Mr Tinubu won the 2023 presidential elections as he scored 35 per cent of 24.97 million votes cast, beating Mr Atiku Abubakar of the People’s Democratic Party (PDP), and Mr Peter Obi of the Labour Party (LP).
The two main opposition parties had already rejected the results before the final count, saying the electoral commission failed to follow its own law in transmitting and announcing results.
Both parties have also filed separate cases in the courts.
Lagos, eTranzact Collaborate to Curb Unregulated Development
By Adedapo Adesanya
The Lagos State Government has signed a Memorandum of Understanding (MoU) with eTranzact, a foremost fintech company, to sanitise and regulate activities of setbacks and Incidental Open Spaces (IOS) and ensure physical orderliness in the state.
Signed by the Ministry of Physical Planning and Urban Development, the agreement will help curb unregulated development, manage setbacks and open spaces and improve the beautification of the environment in Lagos state.
The MoU will strengthen the partnership between Lagos State Planning and Environmental Monitoring Authority (LASPEMA) and eTranzact.
This collaboration will allow eTranzact to deploy an integrated technology solution for data collection, management, and digitization of revenue collection processes from the informal business players operating on the setbacks and Incidental Open Spaces (IOS) in Lagos State to regulate setbacks/IOS and enhance the State Internally Generated Revenue.
Speaking during the signing of the MoU held at the state secretariat in Alausa, Ikeja, the Commissioner for Physical Planning and Urban Development, Mr Omotayo Bamgbose-Martins, represented by the Special Adviser to Governor Babajide Sanwo-Olu on e-GIS and Planning Matters, Mr Olajide Babatunde, said the initiative was a public-private partnership that would yield a good result hence the need to take care of the environment.
He said the MoU is for accountability and in the interest of the general public in Lagos State, as well as improving the internally generated revenue (IGR) of Lagos State.
Also speaking, the Managing Director of eTranzact, Mr Niyi Toluwalope, said his organisation was partnering with Lagos State Government for social development, noting that the project would develop solutions on data, enumeration, reordering setbacks, putting incidental open spaces in an orderly manner, among other benefits.
He said: “eTranzact is a premier technology solutions company in Nigeria. Today we are partnering with the Lagos State Government and LASPEMA for the enumeration and data management of the occupants of the setbacks and incidental open spaces within the City. We are licensed by the Central Bank of Nigeria (CBN) to provide this service.
“The Lagos State Government has taken this laudable initiative to identify the setbacks, enumerate the people on these setbacks, do the necessary data capture, and manage the entire setback infrastructure in the State so that it is structured, following the proper model for setbacks, improves beautification, improves transparency within the environment and ensures that our critical urban infrastructure is well laid out properly to ensure Lagos functions as a major critical landmark with global recognition.
“We are committed to partnering with the State government to build a beautiful and prosperous Smart City for all. As Nigeria’s Super Fintech Choice, eTranzact is committed to providing payment technology support for all public and private stakeholders.”
Also speaking, the General Manager of LASPEMA, Mr Daisi Oso, said the agency was saddled with addressing challenges that were associated with managing and regulating all activities on setbacks so as to ensure orderliness while leveraging technology.
He said the agency is saddled with the deployment of drones for mappings, collaborating with other ministries, departments, and agencies on urban development to improve security and order in the use of land in tandem with the state’s developmental plans to enhance social and political sustainability of businesses.
Ayu Steps Down as PDP Chairman, Damagum Takes Over
By Dipo Olowookere
The National Chairman of the Peoples Democratic Party (PDP), Mr Iyorchia Ayu, has stepped down from the position and has been replaced by the Deputy National Chairman of the party for the northern region of the country, Mr Umar Iliya Damagum.
A statement issued on Tuesday by the National Publicity Secretary of the PDP, Mr Hon. Debo Ologunagba, confirmed this development.
It was disclosed that Mr Damagum would be the acting chairman of the country’s main opposition party, pending the determination of a case in court.
Recall that on Sunday, the executive of the PDP in Igyorov Ward of Gboko Local Government Area of Benue State suspended Mr Ayu for alleged anti-party activities.
He was accused of working against the success of the party in Igyorov Council Ward, and failed to “pay his Annual Subscription Fees as provided under Section 8 (9) of the constitution of the PDP 2017 (As Amended).”
“Further investigation also revealed that he did not vote during the Governorship and State Assembly Elections held on March 18, 2023.
“It was also discovered that most of his closest allies worked for the opposition party, the All Progressive Congress, APC, and hence, the abysmal performance of the PDP in Igyorov Ward.
“In view of the foregoing, we hereby pass a Vote of No Confidence on Dr Iyorchia Ayu and suspend him as a member of our party with immediate effect. The suspension takes effect from March 24, 2023,” the Ward Chairman of the PDP, Mr Kachi Philip, and the secretary, Mr Vangeryina Dooyum, announced while addressing journalists.
Today, the national spokesman of the party said Mr Ayu stepped aside from the position during the National Working Committee (NWC) of the PDP on Tuesday in Abuja, after the NWC acknowledged “the order of the Benue State High Court dated March 27, 2023 with regards to the chairmanship position of our great party.”
“After a careful consideration of the court order and in line with Section 45 (2) of the Constitution of the PDP (as amended in 2017), the NWC resolved that the Deputy National Chairman (North), Umar Ililya Damagum, assumes the national chairmanship of our party in acting capacity with effect from today, Tuesday, March 28, 2023.
“The NWC charges all leaders, critical stakeholders, teeming members and supporters of our great party to remain calm and united at this critical time,” the statement said.
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