This article is about how to boost e-commerce growth in Africa. It’s no more news that the online market or E-commerce is now the fast-growing business in our global world. The number of internet users globally is increasing rapidly and according to statistics, for the past five years, over one-third of the world’s population is online. With this, a serious government must find a way to tap into the opportunities that will come with e-commerce growth in Africa.
In Africa, trade has been revolutionized, over twenty-three countries are now practicing online market because it has been discovered that in the next five years, over thirty million jobs would have been created online. These jobs will directly be online to support the economy of the continents at large. This further shows the importance of e-commerce growth in Africa.
There are many benefits in online trading like comfort whereby someone will sit at one corner of his room trading online with his or her phone or laptop and then gaining profits more than that of another person working under the sun the whole day. Also, it is safe and the level of risk is limited I.e. no one can steal your money since it’s all on the internet, thereby keeping you safe.
It’s no more news that Africa is lacking behind when it comes to online markets or e-commerce compared when compared to other continents. It’s not that Africans can’t engage in online trade, it’s ignorance that is affecting the growth of the online market. Therefore e-commerce growth in Africa has to be improved for effective utilization. The big question now is how can we improve the online market in Africa? There are many ways in which the online market in Africa can be improved but I’m going to talk about five of them. They are:
How to boost e-commerce growth in Africa
To boost e-commerce growth in Africa, the following activities must be carried out;
- Refresh policies: If we are serious about how to boost e-commerce growth in Africa, we must refresh all existing policies that has to do with internet business in Africa. Laws and policies should allow the use of digital trade or online marketing. The policies and laws of an environment will determine the shape of the business and how it will grow in the environment. African governments and leaders all over the continents, Africa should allow the online market or e-commerce in their respective countries or nation. Government should create a strategy and plans on how they want to regularize the online market. Though there will be some bad ones that will want to use the online market illegally, and because of those, the government can create some laws to guide the online market so that citizens won’t misusing the online trade. But that doesn’t mean they should now make online trade illegal, no, it just has to be restricted.
- Expand connectivity: To boost e-commerce growth in Africa, the current connectivity must be expanded. Only a quarter of Africa are engaged in online trade meaning that not all Africans are aware of the profit and benefits of the online trade. African government can create agencies that will inform and educate people about the benefits and advantages of engaging in online trade, not forgetting to let them know the rules guiding the use of the internet to trade and the punishment for anybody who breaches the rule. International agencies should also help in educating the Africans and teaching them the know-how behind the online trade. Government can also join forces with countries that know the in and out of online trade or market so that they will help them improve their online trade and share ideas of how they go about theirs to be successful. By so doing, the online market in Africa will improve and we will be able to compete with others in the field of the online market or e-commerce.
- Upgrading the online trading logistics: African governments should sign in contracts with big online trade organizations around the world like World Trade Organisation (WTO), Trade Facilitation Agreement (TFA) so that they can help in boosting e-commerce growth in Africa. African government and donors can advance implementation of the above organizations to refuse the customs costs thereby improving the exchange rate. Also, public and private enterprises should join hands to cater to the small business needs so that that one business will be left out of the digital world. If African countries should connect with developed countries on other continents, they won’t lack information and ideas that will help in enhancing online trade in Africa.
- Enabling E-payments system: Cash on delivery is still very common in Africa there making it difficult for e-commerce growth in Africa. African governments and policymakers should make policies that will allow African merchants to adapt to the e-payments system. Furthermore, African governments should enlighten people about the benefits of engaging in repayment in terms of how safe it is, how fast and reliable it is, and effective it is so that people’s doubts about the e-payment will be erased. Private and public agencies who are practicing e-payments should share their testimonies so that people can have a strong belief in e-payment. And by people engaging in payments, there will be a tremendous e-commerce growth in Africa at large because e-payment is used in online trade or e-commerce.
- Improve the technology: As we all know that technology is the mastermind of all online trade or market and e-commerce, if the technology is improved, then, sure the online trade will improve also. African countries should also join countries in other continents to know those things they need to do to improve the technology state of the continents. For example, for someone who wants to make payment online and there is no network service in his area, will he have to be traveling around before he could make payments? If that should be the case, then the advantage of e-payment is nowhere to be found. When you’re using the internet in making payments, you should be able to do that anywhere without moving from one place to another. So, the governments should try their best in taking their nation to a reasonable of level technology.
If all the above-mentioned ways to boost E-commerce growth in Africa are satisfied and put into practice, then the rate of increase in the online market and e-commerce in African countries and the continent at large will be unbelievable and we will be able to compete with top countries all over the world thereby reducing the level of poverty in Africa.