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Is There A Business Case For E-Commerce In Africa? Product Image

Is There A Business Case For E-Commerce In Africa?

  • Published: January 2001
  • Region: Africa
  • 14 pages
  • Pyramid Research, Inc

This White Paper takes a closer look at the issue and takes a first rough try at assessing the feasibility of consumer-oriented e-commerce business models in the generally difficult context of Africa. For the purposes of this analysis, we focussed on two specific markets:

-- South Africa, Africa's largest Internet market, with almost 70% of the continent's dial-up subscriber base. While a favourable scenario in South Africa would not necessarily translate into similar success elsewhere in Africa, an e-commerce take-off in this market can be emulated - to a lesser degree - across the continent. With its superior technical, social and capital infrastructure, South Africa is arguably Africa's best hope for successful e-commerce ventures.

-- Senegal, a mid-tier West African economy, displays characteristics closer to the rest of the African markets, and represents a logical test market for e-commerce in Africa.

For the purposes of this exercise, and in the face of the clutter of business models aggregated under the e-commerce umbrella, the analysis specifically concentrated on business-to-consumer (B2C) models, which generally propose to leverage the power of the Internet to ease the transactions between businesses and consumers.
Region:

Africa

Number of Exhibits: 4

1. B2C Revenues Will Keep Rising …<BR><BR>2. … But Without Uplift From M-Commerce <BR><BR>3. Strong Revenues vs Sky-High Costs <BR><BR>4. The Virtual Mall Model: Revenues … <BR><BR>5. … And Cost Efficiencies Through Click-and-Mortar Partnership <BR><BR>6. The Senegal Case <BR><BR><BR><BR><b>List of Exhibits:</b><BR><BR>Exhibit 1 E-Commerce Requirements <BR><BR>Exhibit 2 Internet User Base and B2C Addressable Market Growth <BR><BR>Exhibit 3 No Uplift: South Africa E-commerce Revenue Growth <BR><BR>Exhibit 4 Selected B2C Models <BR><BR>Exhibit 5 South Africa: B2C Models EBIT Comparison* <BR><BR>Exhibit 6 From Non-Existent to Smallish: Senegal B2C Addressable Market <BR><BR>Exhibit 7 Senegal: B2C Models EBIT Comparison* <BR><BR>Exhibit 8 Selected African B2C Business Models <BR><BR><BR><BR><b>Companies Mentioned:</b><BR><BR>

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