Mastercard And Jumia Partner To Accelerate Online Payments In Nigeria
- Ashabi Adele
- Apr 3, 2019
- 2 min read
Jumia has joined forces with Mastercard to drive cash out of the online shopping sector and provide a more secure and convenient way for consumers to shop online.
Under the partnership, the companies have agreed to work together to accelerate the adoption of electronic payments with consumers and merchants in Nigeria. Mastercard will also work together with Jumia, to deepen knowledge and expertise in payments solutions technologies to spark innovation and spur development in new customer segments.
According to Jumia, this partnership as an opportunity for Jumia to strengthen the existing relationship with Mastercard and consolidate Jumias position as the leading e-commerce platform in Africa. Developing strong and streamlined retail platforms and offerings is necessary to unlock the full potential of e-commerce in Africa. Optimising the overall customer experience by guaranteeing safer and simpler payments means opening the online retail environment to a larger market.
In Nigeria, as with much of Africa, most online purchases are still paid for with cash at the point of delivery, and outside of the e-commerce system itself. Most consumers are still hesitant about the security of their online transactions. This lack of trust contributes largely to shopping cart abandonment at check-out and loss of potential sales.
Fortunately, the popularity of mobile services in e-commerce in Africa is growing. The success of mobile money products has made consumers today more willing to try new technology solutions. Couple this with the growth in mobile penetration which is currently over 85% across the continent, and positive trends in the cost of data which currently averages at about $3 in the countries with the highest mobile penetration in Africa, including Nigeria, Ghana, Kenya and Egypt.
These factors, amongst other things has made Africa an attractive prospect for Mastercard and encouraged the card payment solutions giant to deepen its invest Africa.
Mastercard and Jumia first partnered in 2016 with the launch of Mastercard Payment Gateway Solutions and JumiaPay, Jumias payment service for their buyers and merchants.
Kommentarer