It would now be safe to conclude that DHL is positioning itself to become the largest logistics company in Africa, a network it could leverage to crush all existing logistics startups in Africa and invade all ecommerce businesses available across the continent. In its latest move, DHL has further expanded its Africa DHL Africa eShop business to 13 additional markets, increasing the presence of the global shipping company’s e-commerce platform to 34 African countries.
“For some of these countries no one has really tapped into e-commerce the way we’re tapping into it, with an ability to buy online and also buy online directly from places like Macy’s or Amazon,” MallforAfrica CEO Chris Folayan was quoted as saying, pointing to the novelty of online sales in many of Africa eShop’s new markets
Here Is All You Need To Know
- DHL Africa eShop works by using startup MallforAfrica.com’s white label fulfillment service, Link Commerce.
- The MallforAfrica’s model allows Africa eShop users to purchase goods directly from the websites of any of the app’s global partners.
- This week’s expansion is the second for DHL’s Africa eShop, after adding 9 markets in May.
- DHL’s moves run parallel to significant developments this year in the Africa’s online retail scene — namely Jumia’s big capital raise through its IPO.
List of Countries DHL Africa eShop Is Now Available In
DHL Africa eShop’s latest expansion efforts have seen the addition of these countries to the list: Angola, Benin, Burkina Faso, Burundi, Chad, Ethiopia, Guinea, Lesotho, Namibia, Niger, Sudan, Togo, and Zimbabwe.
DHL is leveraging existing startups across Africa to execute its programme. Users of the platform could make payments using local fintech options, such as Nigeria’s Paga and Kenya’s M-Pesa. DHL Africa eShop is also banking on its existing shipping delivery structure on the continent, through its DHL Express courier service.
In Practical Terms, This Is How Disruptive This Could Be
Under DHL’s disruptive order, someone with a mobile phone and bank account in, say, Niger can now use DHL’s app to shop at Macys.com and have anything from designer sneakers to kitchenware shipped to their doorstep in Central-Africa.
The DHL Africa eShop project is also getting aggressive as it is also offering incentives to entice first-time digital consumers.
“We will be launching with a promo, buy any 5 items from over 100 retail partners and get a $20 flat shipping fee. This is DHL’s way of showing they are dominant in shipping and eCommerce in Africa.”
According to online technology magazine Techcrunch, the launch and expansion of DHL’s MallforAfrica supported platform is creating a competitive scenario with e-commerce unicorn Jumia.
Jumia is Africa’s most visible e-tailer and operates consumer retail and online service verticals in 14 African countries. Headquartered in Lagos, the company raised more than $200 million in an NYSE IPO this April.
DHL launched the Africa eShop product the day before Jumia went public and made its first country expansion only weeks after.
DHL and partner MallforAfrica plan to bring Africa eShop to all 54 African countries in coming years.
Charles Rapulu Udoh
Charles Rapulu Udoh is a Lagos-based Lawyer with special focus on Business Law, Intellectual Property Rights, Entertainment and Technology Law. He is also an award-winning writer. Working for notable organizations so far has exposed him to some of industry best practices in business, finance strategies, law, dispute resolution, and data analytics both in Nigeria and across the world.
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