The e-commerce market in sub-Saharan Africa, including that of Ghana, is relatively underdeveloped compared to elsewhere in the world.
Many households are not offering a high enough disposable income level to support the e-commerce market, Fitch Solutions has said.
“There are also a number of operational obstacles that have hampered e-commerce expansion in SSA. Payments have proven a barrier to development, with cash on delivery deeply rooted in consumer behaviour in SSA”.
In a report titled: “COVID-19 Impact Will Boost E-Commerce Demand And Development In Africa”, Fitch said mobile money is now more commonplace, so digital payments are becoming less of an obstacle for e-Commerce development.
However, large payments are, however, still transacted in cash, owing to the limitations of digital wallets and also consumers’ preference for wanting to inspect high-value goods before committing to large payments.
This, therefore, means that some segments of e-Commerce (furniture and consumer electronics for example) will take longer to develop in SSA.
Covid-19 Many households are not offering a high enough disposable income level to support the e-commerce market, Fitch Solutions has said.
“There are also a number of operational obstacles that have hampered e-commerce expansion in SSA. Payments have proven a barrier to development, with cash on delivery deeply rooted in consumer behaviour in SSA”.
In a report titled: “COVID-19 Impact Will Boost E-Commerce Demand And Development In Africa”, Fitch said mobile money is now more commonplace, so digital payments are becoming less of an obstacle for e-Commerce development.
However, large payments are, however, still transacted in cash, owing to the limitations of digital wallets and also consumers’ preference for wanting to inspect high-value goods before committing to large payments.
This, therefore, means that some segments of e-Commerce (furniture and consumer electronics for example) will take longer to develop in SSA.
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