KAMPALA: Sugar was the most ordered-for item on Jumia in Uganda in 2020/2021 as more Ugandans embraced e-commerce during the Covid-19 pandemic, the company’s annual report shows.
According to the Jumia Africa e-Commerce Index 2021 released on Thursday, October 28, 2021, groceries, most especially sugar, and everyday essentials were the best selling products on Jumia in Uganda during the pandemic.
Kampala City, central Uganda and northern Uganda had the most online deliveries
Ron Kawamara, CEO Jumia Uganda, said despite only about 30 percent of Ugandans owning a smartphone, there was more online shopping between 2020 and 2021 largely due to the Covid-19 travel restrictions.
“We see a strong adoption of e-commerce and specifically Jumia in Uganda and across Africa and the customers who have shopped online stay because of the quality of service, price and convenience we offer. In the last 2 years, the Jumia service was even more critical to enable sellers to keep their shops open and customers safe in their homes while getting the goods and services they need delivered at home,” Kawamara said.
The report indicates that overall in Africa, Jumia has seen increased utilisation of digital payments on its platform.
“More consumers turned to JumiaPay for the first time during the pandemic, mainly for safety reasons and for the enhanced services on the app like bill payments,” the report states.
The report adds that Jumia’s partnerships with various brands and organizations have enabled SMEs to connect with millions of consumers online.
For instance, the United Nations Development Programme (UNDP) in Uganda supports market sellers through Jumia Food. Local artisans in Morocco also sell online thanks to the partnership with the Moroccan Ministry of Tourism and Handicraft. SMEs in Egypt are able to sell online in partnership with Alex Bank and Sawiris Foundation, and farmers in Cote d’Ivoire are able to reach more consumers through Jumia.
“This index underscores how instrumental Jumia has become to the consumers in the countries we serve,” said Sacha Poignonnec, Jumia co-Founder and co-CEO. “It is an important move for the industry as e-commerce brings daily solutions, convenience, and competitive prices to consumers.”
According to the United Nations Conference on Trade and Development (UNCTAD), internet businesses in Africa, including e-commerce which sits at the heart of the digital economy, could add US $180 billion to the continent’s GDP by 2025.
“COVID-19 led to a surge in the use of digital solutions, including e-commerce. This was particularly demonstrated with domestic sales rather than cross-border e-commerce. Food delivery, essentials, and pharmaceutical goods were among the top-performing online shopping categories,” said Torbjorn Fredriksson, Chief of the ICT Policy, UNCTAD.