The second quarter of 2019 financial report by Jumia indicates that in terms of monetization, Nigeria’s biggest eCommerce platform recorded a strong increase in GMV and active consumers, as the marketplace revenue increased by 90% compared to the second quarter of 2018.
The report also shows that gross profit also grew faster than GMV, increasing by 94 percent compared to the second quarter of 2018, as a result of the increased monetization rate.
Analysing the report in Lagos during a press conference, the Chief Executive Officer of Jumia Nigeria, Mrs. Juliet Anammah, noted the financial strength of the company is constantly looking up and thus, will continue to drive monetization in a gradual manner, introducing attractive services to its sellers aimed at supporting the growth of their businesses.
“We will continue to drive monetization from diversified streams of revenue, including commissions, fulfillment, value added services and marketing & advertising services,” she promise, while also disclosing that marketing & advertising revenue grew by 490 percent year over year and represented 8 percent of the company’s marketplace revenue in the second quarter of 2019 compared to 2 percent of marketplace revenue in the second quarter of 2018.
Other growth topline drivers include GMV increased this quarter by 69 percent compared to the second quarter of 2018, due to a variety of factors, including strong marketplace growth and robust consumer acquisition and re-engagement momentum.
The number of Active Consumers at June 30, 2019 was 4.8 million, up from 3.2 million a year ago and 4.3 million at the end of the first quarter of 2019, attributing the increases to its continued focus on selection, price and convenience.
“As we strive to be the preferred online shopping destination for consumers in Africa for all their daily needs, we continued to increase the assortment available on our platform and to engage with consumers through relevant local commercial campaigns such as our “Mobile Week” and “Ramadan” campaigns,” Anammah added.