Jumia Nigeria is set to launch its cash on delivery service, which accounts for two-thirds of the companies total sales, nationwide this month, according to co-chief executive officer (CEO) Nicola Martin.
“We will offer cash on delivery nationwide this month – between the middle and end of July we will offer cash on delivery everywhere in Nigeria, wherever you live, you will be able to use cash on delivery,” Martin told HumanIPO.
Although the proportion is decreasing, he said cash on delivery still accounts for a significant share of Jumia’s business in Nigeria, and is helping the company gain the trust of customers.
“Cash on delivery is a significant share of our business; I’ll say cash-on-delivery including payment via PoS accounts for more than two-thirds of the transactions we are doing,” he said. “This share is decreasing and it’s a sign of us building the trust and quite honestly I understand that some Nigerian customers do not trust everything that is happening on the internet.
“What we are saying is don’t bother, have your goods delivered to you. If you like it, pay for it on the spot; if you don’t, reject it on the spot. It is easy, you don’t have any commitment. A lot of people are seduced and attracted to that offer and are using it.”
He said the service also offers customers enough time to arrange adequate cash.
“It is also a way for them to arrange their funding until the last possible minute, which we understand and we are quite happy to offer that possibility to our customer,” he said.
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