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BusinessDay

How Jumia is driving food delivery services in Nigeria

Naira devaluation weakens Jumia’s sales value by $182m

The online food delivery service industry is fast gaining momentum and recording success. With the increasing advancement in technology, significant mergers from various investors, and the human need for food, the global food delivery market is estimated to reach $215 billion by 2024.

The success of this sector is also very evident in a country like Nigeria, with food being a crucial need for all, especially for workers in busy cities like Lagos, Abuja, Ibadan, and Port Harcourt.

With increasing smartphone penetration and a young population, request for food delivery services via mobile apps has been on the rise and Africa’s biggest e-commerce platform, Jumia, through its food delivery services has made an indelible mark on the Nigerian food industry since its launch in 2012.

One of the significant ways it does this is through a large number of partnerships with various Nigerian restaurants. This has made it easier for consumers to order food from a restaurant through the Jumia Food app regardless of location.

For the vendors, it also gives them a wider range of consumers, which helps them to stay ahead of the competition. This was quite evident during the COVID-19 pandemic when restaurants partnering with Jumia Food were able to sustain their businesses through the Jumia delivery network.

Read also: Enish, Nigerian restaurant, opens new $3m outlet in Dubai

In 2020, Jumia launched the Nigeria Food Index Report, the first of its kind in the segment. The report captured the growing popularity of fast food in Nigeria and the positive impact and prospects for the Nigerian Agricultural sector.

It also revealed that local Nigerian cuisines led the preference of Nigerians compared to continental dishes, with 64 percent of orders being placed for lunch.

In its bid to drive further growth of online food and delivery services, Jumia Food expanded its reach to several cities in Nigeria, such as Ibadan, Minna, Benin, Kaduna, Abeokuta, Kano, and Ilorin.

With the ever-growing need for convenience and value for money, there is no doubt that Jumia Food has helped to create a huge boom in the online food delivery sector which would, in turn, lead to significant growth in the country’s economy and revenue.

Recently, Jumia entered a partnership with Errand360, a bicycle delivery company in Nigeria, to make food deliveries via the Jumia Food app seamless with hundreds of riders across multiple locations.

This is a way to show Jumia’s efforts in strengthening the food delivery services in Nigeria. For a company like Jumia that keeps innovating ways to promote customer satisfaction, we are best to believe that the food delivery service in Nigeria is a step further to become more dynamic.