• About Us
  • Become a Contributor
  • Contact Us
  • FAQs
Newsletter
Envsion Magazine | Kenya's Leading Business & Entrepreneurship Magazine
  • Home
    • About Us
    • Become a Contributor
    • Contact Us
  • News
  • Business
    • Investing
    • Economy
    • Personal Finance
    • Money & Markets
    • Banking
    • Special Reports
    • Retirement & Pension
    • Tax
    • Consumer #Tech
      • Product Reviews
  • Entrepreneurship
    • Books for Entrepreneurs
  • Corporate
    • Leadership
  • Brand Voice
  • Opinion
    • Analysis
    • EN View
  • Lifestyle
    • Around The World
    • Holiday & Destinations
    • Hotels
No Result
View All Result
  • Home
    • About Us
    • Become a Contributor
    • Contact Us
  • News
  • Business
    • Investing
    • Economy
    • Personal Finance
    • Money & Markets
    • Banking
    • Special Reports
    • Retirement & Pension
    • Tax
    • Consumer #Tech
      • Product Reviews
  • Entrepreneurship
    • Books for Entrepreneurs
  • Corporate
    • Leadership
  • Brand Voice
  • Opinion
    • Analysis
    • EN View
  • Lifestyle
    • Around The World
    • Holiday & Destinations
    • Hotels
No Result
View All Result
Envsion Magazine | Kenya's Leading Business & Entrepreneurship Magazine
No Result
View All Result
Home Entrepreneurship

How E-commerce supports entrepreneurship and growth of SMEs in Africa

Fostering entrepreneurial ecosystems helps support economic growth by encouraging entrepreneurial activities and processes that ultimately support the growth of small businesses.

Envsion MagazinebyEnvsion Magazine
February 28, 2023
in Entrepreneurship
Reading Time: 3 mins read
A A
0
How E-commerce supports entrepreneurship and growth of SMEs in Africa
PostTweetEmailLinkedInWhatsapp
ADVERTISEMENT

Entrepreneurship is a key component of economic growth in many countries. In addition to fostering innovation, research, and industrial development, entrepreneurship also expands and enhances already-existing businesses.

Fostering entrepreneurial ecosystems helps support economic growth by encouraging entrepreneurial activities and processes that ultimately support the growth of small businesses.

Related articles

Advancing digital entrepreneurship and financial inclusion for women in Africa

Advancing digital entrepreneurship and financial inclusion for women in Africa

March 15, 2023
How female-led start-ups can transform Africa

How female-led start-ups can transform Africa

February 28, 2023

Small and medium-sized businesses (SMEs) make up a large portion of African enterprises and form the basis of almost all national economies because of their importance in generating new jobs and offering specialised services.

Data from PwC records that SMEs in Nigeria contribute 48 percent of the national gross domestic product, 96 percent of businesses, and 84 percent of employment.

However, the World Bank’s economic projection for growth in Africa is expected to stall in 2022, dropping from four percent to 3.6 percent. Thus, to maintain growth and sustainability in a market that is experiencing varying economic and political challenges, SMEs must be innovative. In other words, innovation is essential to SMEs’ long-term viability and internationalization.

E-commerce has grown significantly over the past few years; it has helped small businesses in Africa to expand. According to Statista, the revenue generated in 2020 by online shopping in Africa was estimated to be around USD 27.8 billion, which is an increase of over USD 6 billion since 2019.

The report also indicates that the e-commerce revenue in Africa will keep increasing between 2021 and 2025 and the e-commerce sector in Africa might reach a value of over USD 46.1 billion. One reason for this growth may be attributed to the high levels of mobile phone use; this level of mobile penetration has in turn promoted the entrance of electronic payments, mobile banking and mobile money accounts. Africa is said to have the highest proportion of individuals with a mobile money account.

Small businesses are starting to leverage the power of technology and the internet to access new customer bases and reach new markets. Sub-Saharan Africa for example has some of the most promising and largest markets that provide the biggest opportunities for small businesses and e-commerce: Nigeria, Ghana, Kenya, Uganda, Tanzania, and Ethiopia.

This is because African consumers simply want the same things as their international counterparts – convenience, great service, easy payment processes, and quality products at reasonable prices. Although there are still a lot of misgivings and uncertainty about the trustworthiness of the quality of goods, payment systems (interoperability), and transaction security, this has not impeded the adoption rate of e-commerce. Another reason for this growth may be attributed to the steady innovation in solving some of the challenges facing small businesses in Africa in the area of payments.

ADVERTISEMENT

Choosing the right and appropriate payment gateway for businesses is crucial and one of the solutions to most of the challenges highlighted above. This is because merchants have to ensure that it works in their preferred markets, and meets the latest encryption standard that protects both the merchant and the customer. Introducing a seamless e-payment solution will improve the customer experience in many ways: faster checkout, payment security, and convenience.

With Unlimint, which offers multiple payment methods accessible across the globe, businesses can successfully enter new markets by making it easier for their customers to transact in many different ways. By leveraging Unlimint’s payments platform, businesses can access tools and services that provide greater flexibility and efficiency.

It is crucial that small business owners collaborate with fintech innovators and offer their businesses a chance at increased exposure and expansion. E-commerce is a paradigm shift that is fundamentally transforming traditional business methods in Africa and is proving to be a useful tool for the digital future of the African economy.

Source: Business Day

Share52Tweet33SendShare9Send

Related Posts

Advancing digital entrepreneurship and financial inclusion for women in Africa

Advancing digital entrepreneurship and financial inclusion for women in Africa

byEnvsion Magazine
March 15, 2023
0

Entrepreneurship journeys are not always the same for everyone, as they can be influenced by various factors such as their...

How female-led start-ups can transform Africa

How female-led start-ups can transform Africa

byEnvsion Magazine
February 28, 2023
0

Women make up 58% of Africa's self-employed population and contribute around 13% of the continent's GDP. Until gender parity is...

Building resilience and youth entrepreneurship in Africa

Building resilience and youth entrepreneurship in Africa

byEnvsion Magazine
February 28, 2023
0

Africa is blossoming with entrepreneurial potential and now boasts seven unicorns, up from zero in 2015. But as other continents...

The most reliable way to build wealth in Africa is through entrepreneurship, survey finds

The most reliable way to build wealth in Africa is through entrepreneurship, survey finds

byEnvsion Magazine
February 28, 2023
0

A survey released by Standard Bank has found entrepreneurship to be the most reliable way to build wealth in Africa....

How urban entrepreneurs can help build sustainable cities

How urban entrepreneurs can help build sustainable cities

byEnvsion Magazine
February 28, 2023
0

A new report by UNCTAD explores how urban entrepreneurs, or urbanpreneurs, use innovative solutions to tackle challenges triggered by rapid...

Load More
  • Trending
  • Comments
  • Latest
Top 10 business ethics documentaries to watch

Top 10 business ethics documentaries to watch

December 30, 2020 - Updated on June 9, 2022
Portugal’s Golden Visa Tops Citizenship by Investment of Stable Nations

Portugal’s Golden Visa Tops Citizenship by Investment of Stable Nations

May 5, 2021 - Updated on June 1, 2021
self management

Great leadership begins from within-self management

January 19, 2022 - Updated on May 12, 2022
6 Self-Care Tips For Successful Entrepreneurs

To Humanize The Securities Markets As Rational Is a Mistake

November 22, 2020 - Updated on May 30, 2021
Strategic Alignment Drives Greater Results

Strategic Alignment Drives Greater Results

1
Ethiopia tourism

Ethiopian Tourism Rebounds with Safe Travels Stamp

1
The TRUTH in Inclusive Leadership - Diversity and inclusion - Envsion Magazine

The TRUTH in Inclusive Leadership: Secretes to an Effective Approach

1
self management

Great leadership begins from within-self management

1
Dollar crisis earns Kenya banks Sh52bn amid consumer woes

Dollar crisis earns Kenya banks Sh52bn amid consumer woes

March 16, 2023
Advancing digital entrepreneurship and financial inclusion for women in Africa

Advancing digital entrepreneurship and financial inclusion for women in Africa

March 15, 2023
UN Chief calls for radical transformation of global financial system to tackle pressing global challenges, achieve sustainable development

UN Chief calls for radical transformation of global financial system to tackle pressing global challenges, achieve sustainable development

March 15, 2023
Why governments should deepen domestic financial markets

Why governments should deepen domestic financial markets

March 2, 2023

Latest

  • Dollar crisis earns Kenya banks Sh52bn amid consumer woes March 16, 2023
  • Advancing digital entrepreneurship and financial inclusion for women in Africa March 15, 2023
  • UN Chief calls for radical transformation of global financial system to tackle pressing global challenges, achieve sustainable development March 15, 2023
  • Why governments should deepen domestic financial markets March 2, 2023
  • East African Community inches towards financial integration March 2, 2023
ADVERTISEMENT
Envsion Magazine | Kenya's Leading Business & Entrepreneurship Magazine

Envsion (EN) Magazine is curated for young entrepreneurs. We have taken time to understand entrepreneurs and we are here to help more entrepreneurs recognise the value they contribute to the world. The Entrepreneurial Spirit isn't something you are taught, it's something you must develop within yourself. And EN Magazine is here to help you get out some idea that’s stuck in your head to the execution stage, because entrepreneurship is about execution of ideas. It’s about building a life on your own terms. And here, you will find the #inspo that you need.

Categories

  • Banking
  • Books for Entrepreneurs
  • Brand Voice
  • Business
  • Consumer #Tech
  • Corporate
    • Leadership
  • Economy
  • Entrepreneurship
  • Envsion Content
  • Investing
  • Lifestyle World
    • Around The World
  • Money & Markets
  • News
  • Opinion
    • Analysis
  • Personal Finance
  • Special Reports
  • Tax

Newsletter

  • Home
  • About Us
  • Become a Contributor
  • Contact Us
  • FAQ
  • Our Privacy Policy
  • Terms & Conditions

Copyright © 2021 Envsion Magazine

No Result
View All Result
  • Home
    • About Us
    • Become a Contributor
    • Contact Us
  • News
  • Business
    • Investing
    • Economy
    • Personal Finance
    • Money & Markets
    • Banking
    • Special Reports
    • Retirement & Pension
    • Tax
    • Consumer #Tech
      • Product Reviews
  • Entrepreneurship
    • Books for Entrepreneurs
  • Corporate
    • Leadership
  • Brand Voice
  • Opinion
    • Analysis
    • EN View
  • Lifestyle
    • Around The World
    • Holiday & Destinations
    • Hotels

Copyright © 2021 Envsion Magazine

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Read our Privacy Policy.