JUMIA versus KONGA: When online shops do Battle!

Online Shopping in Nigeria is still a relatively new idea gently taking root. Several online shopping malls and eShopping sites have established themselves with their customers of recent, and some are already becoming household names. Jumia (which was of recent known as Kasuwa) and Konga are some of them. With the current CBN-led awareness campaign to integrate the cash-less policy in Nigeria, online shopping has been identified as the presumed biggest gainers should the scheme gain a foothold.

These two notable online stores (Jumia and Konga) have become prominent above all other players in this new segment. Their advertising campaigns on Facebook and other social media is literally off-the-hook. They have even taken a step further by using conventional media (radio and print) to gain more visibility.

They have new deals and packages almost everyday, and they have products in almost all relevant categories.  Now, while it might be easy to get lost in the sheer awesomeness of Jumia and Konga, sometimes, it is good to review both and determine which of them is actually better.

Product Diversity

Variety being the spice of life, you probably want an online store where you can get more of several products rather than a scanty limitation. Well, Jumia and Konga seem to have done a great deal of work here. In whatever category you look, you would see that they have a rich product stock. But one glaring difference between both online shops has to be the varieties that are obtainable from both shops. While Konga showcases as many goods categories as Jumia, one remarkable difference between the two would probably be in the varieties available in the latter than the former. Jumia has been able to distinguish itself in this area with an array of products in every category – from books, films, electronics, gadgets, etc.

Price Differentials

Because the real determinant for shop patronage (be it physical or online) is cost advantage over competitions, the case is not different between Jumia and Konga. On face value, both shops are noted for lower prices for goods advertised. Relying on the fact that online shops have lower over-head costs over physical ones, these online shops has the ability to sell at discounted prices. Despite this similarity, Konga has distinguished itself in the area of better marginal discount than Jumia for most of its products offerings. Majority of the offerings on Jumia are at par or higher in cost than is even obtainable in conventional shops.

Online payment

Online shopping is made easier when integrated with a robust and versatile payment platform that accommodates as many payment options as possible. A system that accepts MasterCard, Visa, Verve, PayPal, and eTranzact cards has become inevitable in operating an online store. This makes it convenient for both buyers and shops thereby increasing the propensity to make more sales and carry less cash. On this count, Konga and Jumia cannot be faulted as the payment platforms available on both sites are robust enough to accommodate all payment options available in Nigeria.

Delivery

The major determinant of a successful online shop is logistics. The speed, efficiency and effectiveness of delivery of purchased goods, is the hallmark of a serious player in this sector. While a seamless online payment platform may not be a must for online shops, a guaranteed delivery mechanism will differentiate between a good shop and a bad one. Though Jumia and Konga has developed unique logistics for delivery of purchases in Lagos and other major cities, the latter is arguable a better choice in on-time, real-time delivery (at least in Lagos).

What Konga lacks in variety of goods, they make up in speed and promptness of delivery. For a delivery that’ll probably take Jumia seven (7) working days to deliver, Konga can do in two (2).

Customer Service

Another differentiating factor in any business of course is the manner of customer relationship on offer. For a business that is less reliant on human interference, it cannot afford any less value placed on customer service. Customer service, especially for online e-commerce sites goes beyond ‘thank you for shopping with us’ slogan. The relationship with customers for online shops must then incorporate both professionalism with a personal ‘human’ touch. Calling online shoppers by name during delivery as well as confirming their acceptance of the goods they purchased, will go a long way in winning such customer for a long time. For Jumia, such practice is limited only to a slight acknowledgement of the buyer, without any real interest for a repeat purchase. During research, it was discovered that the customer care staff of Jumia actually believes they are performing a social duty rather than sales. When the same procedure was repeated with Konga, it was discovered that the staff had a better hold on customer service with courteousness and yearn for repeat business.

Value-added services

Though there may be several extra services both online shops offer to their customers, one of the most remarkable (for an online store) is that offered by Jumia that allows shoppers to ‘check-out’ without payment. The payment is then done in cash on delivery. With this strategy, shoppers without a valid e-payment option can still shop online, make purchases and have them delivered and then pay on delivery. Up until recently, Konga was not offering this service but due to pressure has started the same practice. But with the latter now combining this ‘buy-now-pay-later’ offer with their traditional speedy delivery, it’s no surprise they are still better even in value added service.

Conclusion

Jumia and Konga are spending tons of money to reach people that are not even online, while everyone enviously looks on. But looked at from another perspective, they aren’t advertising Jumia and Konga – even if they think they are. What they are actually advertising is e-commerce itself. If Jumia and Konga are spending all this money…money that the average e-commerce startup doesn’t have — to attract the attention of an offline audience …an audience that the average e-commerce startup cannot reach — some of whom might eventually wind up on other sites…because they are now online – then some thanks are in order.

But of importance has to be the terms and conditions these online shops have. Without much legal backing for online purchases in the Nigerian law books, it is then imperative that the proponents of this business should focus efforts in protecting the overall interests of the shoppers than making easy money.