Online Shopping in Nigeria which you may refer to as E-commerce is no doubt the hottest and most trended word on the lips of to-be investors and investors that target the Nigerian market.
A few days ago, I posted an article about PayPal Launching in Nigeria. Yes, Yes, PayPal is now live in Nigeria! I just got my account registered and linked to my debit card. It is hard to believe but it is true.
Going a few years back, PayPal had it to its throat with Nigerians and some other countries because of Fraud. As you would expect, our dear country lead the pack. They suffered heavily from attacks from Nigerian hackers which forced the company to suspend its operations in Nigeria. That, however didn’t stop Nigerians from getting an account somehow. Nigerians are just too smart.
Interswitch led the pack – founded in 2002, the company was barely noticed until middle of the last decade. The suspension of service by PayPal and the ultimate birth and growth of Online shopping in Nigeria led to its growth. People began seeking ways to get money for goods and services rendered. Worthy mention is also Etranzact. After some years, companies like Paga, Fortis and nearly all Nigerian banks ventured into the Mobile Money market. All in a bid to provide payment solutions.
After years of absence, PayPal is back. One can only wonder and see the smile on face of Nigerian Ecommerce companies. As it stands; anyone, anywhere, can offer payment on his website without going to Interswitch. Imagine, one not being able to start selling online because of having to pay about 1,000USD to a Nigerian switching company? Horrendous, I dare say!
Ebay, PayPal’s parent company may eventually be considering taking a dive to the African Ecommerce market. Nigeria being the leader, so far already has the likes of Kaymu, Kara, and so on running the Marketplace model. The arrival of the company should make selling online for these companies a lot easier. With any category being sold online from categories such as Fashion, Electronics: Samsung S4 Phones to services like cooking, spraying of cars, the possibilities are endless. Experts in the Ecommerce business believe Marketplace model is the future of Ecommerce and not the Retail Model. Kaymu seems to be leading in Online Marketplace so far. Can they hear this?
What is Next For Other Payment Companies?
How Will PayPal fare in Nigeria?
These questions and more will be explored in the near future, on this Blog.