Jumia has maintained its willingness to continue promoting Nigeria’s economy through empowering Micro, Small and Medium Enterprises (MSMEs).
The support is borne out of the perceived role of MSMEs in areas of promoting inclusive growth, increasing the country’s gross domestic product (GDP), creation of employment opportunities and wealth. Their immense contributions to the growth of their micro and macroeconomics are the reason countries, developed and developing, highly regard their MSMEs sector.
According to the International Council for Small Business (ICSB), MSMEs make up over 90 percent of all firms and account for an average of 60 to 70 percent of total employment and 50 percent of Gross Domestic Product (GDP) of any economy. In Nigeria, however, according to the Nigerian Bureau of Statistics (NBS), the sector has over 37 million MSMEs and employs over 54 million skilled and unskilled labour while contributing about 54 percent to GDP of the country.
Across more than 11 African countries, Jumia Nigeria, the leading pan-African e-commerce platform has products to suit the peculiar needs, and also serve the interests of the MSMEs.
Being the leading online marketplace in Africa for a wide range of products, the company offers all manufacturers, distributors and sellers, most of whom are MSMEs, a platform to sell their goods and services to their consumers. The company also offers logistics service, which enables the shipment and delivery of packages from sellers to consumers, and payment service, which facilitates transactions among participants active on Jamia’s platform in selected markets.
Jumia Nigeria alone has over 15,000 active sellers, about 80 percent of whom are MSMEs, offering a wide range of goods including smartphones, consumer electronics, fashion and apparel, home and living, consumer packaged goods, beauty and perfumes etc. It also provides consumers with easy access to a number of services, such as restaurant food delivery, airtime recharge etc. The Jumia platform saves each of these MSMEs the cost of marketing, renting and operating physical stores, thereby increasing their profitability and boosting their growth.
Only last year, the company launched the Jumia Mall, an online platform where any interested brands could reach their target audiences through advertisement and display of their products and services. This platform, with its wide reach, offers these brands, irrespective of their sizes, a much wider reach at a much-reduced price thereby reducing their cost of marketing and advertising. Many MSMEs and even some Fortune 500 companies are taking advantage of the platform to reach their current and prospective consumers.
According to the CEO of Jumia, Massimiliano Spalazzi, the company plans to focus on over 10,000 vendor partners in Nigeria to strengthen their relationship with consumers and offer them value-added services that will make them further grow their business.
In the area of logistics, Spalazzi said Jumia would continue to work with and grow the best logistics companies in the county in 2020, in addition to offering training that would boost growth opportunities.
The company also has a payment service, JumiaPay, designed to offer a safe, fast and easy solution to online payments on its platform. The service which is available in six countries, Nigeria, Egypt, Ivory Coast, Ghana, Morocco and Kenya, has been expanded beyond the physical goods marketplace to also include the purchase of the company’s on-demand services such as restaurant food delivery, and airtime recharge.