More Ugandans embrace e-commerce due to affordable smartphones

KAMPALA, Uganda-Anew report from the leading e-commerce company Jumia, has revealed that more Ugandans are accessing smartphones which has enabled them to embrace e-commerce.

The survey which Jumia carried out indicates that 77% of Ugandans who visited the Jumia Website opted to do so using their mobile devices. Meanwhile, the number of those who visited the site with desktop computers only contributed 23%.

The report also shows that in 2017, 83% of Ugandans preferred the cash on delivery option, While 16% opted for the MTN mobile money option, when shopping online.

Speaking during the unveiling of the report, Sefik Bagdadioglu, Jumia’s Regional Manager, Noted that smartphones are the primary gateway to the Internet for millions of people in Africa.

“This is the second white paper presentation from Jumia delving into mobile trends across Africa and specifically Uganda. The positive growth figures demonstrate the increasing capacity and flexibility of the online retail space in the country,” Bagdadioglu said.

The Director e-Government Services at the National Information Technology Authority - Uganda (NITA-U), Peter Kahiigi said the authority is committed to digitizing Uganda by reducing the cost of internet connectivity, which is a significant barrier in encouraging the use of internet across the country.

“This effort has been deliberate and we are happy to have led the industry in reducing the cost of connectivity to government offices by over 84% since 2010. The more the cost for Internet goes down the more it will be cheaper for the ordinary Ugandan to access government services at a cheaper price,” He explained.

He said expanding this will ease onboarding of government institutions on to the internet and this will in turn; enable government and the private sector to migrate to online services which he says will reduces the tendencies of corruption and clients time because online services can be accessed everywhere provided there’s internet connectivity,

“The more government agencies resort to online services the more internet usage increases in the country thus enabling the Internet Services providers to earn more and as well ease government collection of more revenue from the internet services providers. “He explained during the Launch of the Jumia Report at the SKYZ hotel in Naguru.

The report also indicates that earning from the Mobile e commerce Business in Uganda has gone up, Ham Namakajjo the Jumia Country Manager said in 2017 the mobile industry contributed 44% of the country’s total GDP a 34% increase from 2016.

The growth has been attributed to the rise in products and services that facilitate financial inclusion alongside mobile devices which are becoming accessible and affordable to the general public.