The acquisition of Konga by Zinox Group seems to be yielding positive results, as the e-commerce company announced that it has made a turnover growth of 800% since the acquisition which took place last year.

The e-commerce business is yet to be profitable for online-marketplace companies in Nigeria, however, Konga in the past had reiterated that it would be the first e-commerce company to hit profit, despite the presence of strong competitors like Jumia.

E-Commerce companies in Nigeria (and Africa at large) have generally struggled overtime to make profits. Not only does the online retail sector have a high-entry barrier, but the cost of sale is also usually high, thereby making profitability nearly impossible. This challenge has led to companies such as Efritin shutting down their operation.

Although the details of Konga’s financial result were not made public, Co-Chief Executive Officer of the company, Prince Nnamdi Ekeh, said the company had recorded an impressive turnover since Zinox acquisition of Konga in February 2018. He said the company’s growth was in line with... https://nairametrics.com/2019/07/25/kongas-turnover-increases-by-800-as-company-claims-to-be-self-sufficient/