Jumia, a leading pan-African e-commerce enterprise, has declared its intention to discontinue its food delivery service by the end of the year, citing unprofitability as the primary reason. This move will impact all seven countries where the service is currently available, including Nigeria, Kenya, Uganda, Morocco, Tunisia, Algeria, and Ivory Coast.
In a recent statement, Jumia described the food delivery sector as having “very challenging economics.” Consequently, the company has chosen to shift its focus towards the physical goods segment of its business, which sees mobile phones as the top-selling items on its platform.
Notably, Jumia gained recognition as the first Africa-focused technology company listed on the New York Stock Exchange in 2019. This milestone came approximately seven years after its inception in Nigeria by two French entrepreneurs.
