Jumia reports strong FY revenue

Jumia, a leading e-commerce platform in Africa, has announced its impressive full-year financial results for 2017. The company reported a substantial growth in gross merchandise volume (GMV), with a 41.8% increase to 507 million euros from 375.5 million euros in 2016. In an exclusive interview with CNBC Africa, Sacha Poignonnec, the Co-CEO of Jumia Group, shed light on the factors driving the company's growth. Poignonnec attributed the significant growth to various strategic initiatives, including technological innovations, an expanded product range, and enhancements in the platform's user experience. One of the key strategies employed by Jumia to drive growth was to focus on educating and engaging customers across Africa on the benefits of e-commerce. Poignonnec highlighted how consumers in the regions where Jumia operates were increasingly embracing online shopping due to improved awareness and positive word-of-mouth recommendations. The company's efforts to enhance the user experience and provide a diverse selection of products also contributed to the growth by offering customers more choices and convenience. Moreover, Poignonnec emphasized the importance of technological advancements in Jumia's success. With a significant portion of the platform's traffic coming from mobile devices, Jumia prioritized optimizing its website and application for seamless user experiences. By focusing on factors such as loading speed and overall performance, Jumia was able to enhance customer satisfaction and drive higher engagement. In response to the growing adoption of online services in Africa, Poignonnec noted that consumers were increasingly integrating online shopping into their overall shopping habits. He emphasized that online shopping complemented traditional brick-and-mortar retail, offering consumers a broader range of choices and convenience. Poignonnec debunked the notion of exclusivity in shopping methods and highlighted the coexistence of online and offline shopping in the consumer decision-making process. The release of Jumia's financial results marked a milestone for the company, showcasing its growth trajectory and strengthening relationships with partners. Poignonnec expressed the company's commitment to transparency and its desire to highlight the positive impact of e-commerce on the African continent. He emphasized that Jumia's success was not only reflected in its financial performance but also in its support of over 40,000 vendors across Africa, empowering entrepreneurs and contributing to job creation. Overall, Jumia's strong FY revenue results reflect the company's strategic focus on customer engagement, technological innovation, and platform enhancements. With a growing acceptance of e-commerce in Africa and a commitment to empowering local businesses, Jumia continues to position itself as a key player in the region's digital economy.