Source - http://www.realmoneyng.com/the-dangers-of-selling-on-konga-and-jumia-marketplace-risks/

Selling on Konga or Jumia is VERY easy. All you need to do is find a product with good demand, list it on Konga or Jumia, and it will eventually sell because their audience and reach are VERY vast.

Becoming a seller on Konga and Jumia is VERY simple and with simplicity comes low barriers of entry which is very bad for any business. There are ton of competition because Konga & Jumia are getting flooded with bunch of me too sellers.

So what are the dangers of selling on Konga and Jumia, if it is very easy to sign up as merchant on the platform and start selling to millions of customers daily?

1. DELAY PAYMENT – They are actually working on improving their payment system but nothing is as good as collecting your money immediately after sales. Jumia pay merchants for successful delivery on a weekly basis depending on your payment day of the week sha whereas Konga credit your wallet after successful delivery and the expiration of your return policy. God save you, you use 30 days return policy.

2. Your product becomes Commodity – Every business must have a unique selling proposition but the moment you register as merchant to sell on any marketplace you will lose your USP. Your product becomes a commodity, every Jack and Jill can also register on the same platform to sell the same products at a cheaper rate. The challenge is, Nigerians are usually price conscious. They will abandon your store for another store with cheaper price for the same product.

3. Competition – Other sellers will copy you in selling the same product. If you happen to be selling a fast-moving products the chance of the platform selling the same products is high. We all want to make money, so if you are using my platform to sell a product and you are making good money, what stop the platform owner from selling the same product. Remember, they are also into the business of buying and selling. We all want to make money and good profit. Just be READY.

4. Pricing War – Marketplace is a battleground. Everyone want to win. Everyone want to sell and make money, so all sellers start a rat race of winning the customers with the cheapest price per product. Some sellers start selling counterfeit or fake product on the platform to beat their competitors in the marketplace to the price game. Buyers ignorantly head towards the cheapest price because they believe they are getting the best deal for the same product.

5. Product Title, Image & Description – Whether you like it or not other sellers will hijack your product listing to sell their products. They will ripped off your product photos and descriptions to list their product on the same platform. To make situation worse, they will be selling at a cheaper rate. So whatever you do, just be ready.

6. Fees & Commissions – The house always wins. The marketplace will always have superior hand over other sellers on the platform if you sell identical products because they will charge you commissions for using the platform. The marketplace (Konga & Jumia) are also in the business of buying and selling products like every other sellers on the platform. Competing with the marketplace owner for the same product on the same platform owned by them will lead you to bankruptcy.

7. Customers – People that buy from your store in the marketplace are not your customers, they belong to the marketplace. The marketplace have their details and can market other products on the platform to them anytime, anyway, anywhere and any day. The marketplace is only lending you their customers to transact business with.

8. Return Products – No seller love to have customers return what they purchase but it happens for several reasons. The customers might change his/her mind because of delay in delivery or for whatever reasons best known to the customer. The dangers of having return products on Konga is that it will affect your store visibilities on the platform whereas on Jumia return products takes FOREVER. You need to fast and pray before you get your return products on Jumia. Make sure you have enough products before you start selling on Jumia or else you are heading out of business.

9. Store Suspension – One of the major risk of selling on Konga or Jumia is that they can delist, suspense or delete your storefront anytime on their platform. If your business depend on the platform 100 percent what happen to your business when they delist or suspense your store.

Moral of the story & Conclusion

Never depend on Konga, Jumia, DealDey, Kaymu, SMEMarketHub or any other marketplace in Nigeria as your primary stream of revenue because your ecommerce business can literally disappear overnight. These companies can close your store on their platform for any reason, including but not limited to complaints of any kind, order cancellation, policy violations that may not be valid or eliminating you as a competitor to make higher profits.

Well, don’t panic yet, starting your ecommerce business there (marketplace) is a good idea because you need to build your brand and your potential customers already trust established brands like Jumia and Konga, so leveraging marketplace platform and brand in building your customer base and online store is a good idea.

You can only get good returns on your investment when you own the platform instead of borrowing it. Owning the platform allows you control your customer unboxing experience.

Source - http://www.realmoneyng.com/the-dangers-of-selling-on-konga-and-jumia-marketplace-risks/

Bros jumia better pass konga,can u imagine konga scammed me with dia 80% discount via mega monday i ordered items worth 253k but dey no even include d discount plus dey just removed all the item leave one

Nice one op.

I personally feel that Nigerian marketplaces should apply online payment and cancel pay on delivery. Many clients who insist on pay on delivery end up wasting your time or eventually cancel the order.

The pay on delivery option is abused a lot by customers. However, a lot of sellers import low quality products from China and the buyer who is interested might not get what he/she ordered for.

Also, once a product is perceived as being a fast selling product, everyone else starts importing it and then sell at ridiculously low prices.

maybe u should sel.on Ziino.com

The Moral of the story says it all!

Adebayolove:
The Moral of the story says it all!

Thanks

nice one my BOSS.

The write up says it all. Fine Konga helped me get some customers that added to my bottom line but i had to move the moment i discovered they were so slow in delivering items bought. Secondly customers were no longer serious with the platform. You wont believe i did an advert for 3solid days not even one customer. Never depend on these platform.

how does one now sell online because me sef no really send jumai,dealdey, kaymu and the likes of them.

Now tell me, which platform can one use to sell online

The online stores are also risking their reputations by showcasing various merchants' goods which may or may not be of standard quality. These days you will see people complaining bitterly about items of terrible quality they've purchased from these online stores, do they complain about the merchants? No, all their angst are completely directed to the stores.

You should be ready to abide by their policies if you want to sell on their platform.

debbydee:
nice one my BOSS.

Am Loyal BOSS. How market?

debbydee:
The write up says it all. Fine Konga helped me get some customers that added to my bottom line but i had to move the moment i discovered they were so slow in delivering items bought. Secondly customers were no longer serious with the platform. You wont believe i did an advert for 3solid days not even one customer. Never depend on these platform.

Kudos.

Keep walking and keep moving forward.

vivaobi:
how does one now sell online because me sef no really send jumai,dealdey, kaymu and the likes of them.

Now tell me, which platform can one use to sell online

Like the moral of the story and conclusion said,

It is advisable to start with the platform if you are on budget but never make it the primary platform or your business will disappear the moment your store is suspended.

They have a huge customer based who patronized them daily but making the platform your sole sales channel will be a deadly mistake.

dominique:
The online stores are also risking their reputations by showcasing various merchants' goods which may or may not be of standard quality. These days you will see people complaining bitterly about items of terrible quality they've purchased from these online stores, do they complain about the merchants? No, all their angst are completely directed to the stores.

You should be ready to abide by their policies if you want to sell on their platform.

Yes, The marketplace have a reputation to protect and in the processing of protecting the marketplace, they make it a better place to do business.

They have invest huge sum of money in building the brand and customers acquisition so they will not allow [b]A ME TOO SELLER [/b]looking for quick profit to damage their name and customers's satisfaction.

Yes, as merchant using the platform you have to abide the policies guiding the marketplace but the honest trust is, those policies are usually in one direction and in favour of the marketplace.

You will get bad reviews based on many things. Your store rating is affected when a customer cancel order in your store, please is that the seller's fault. If your store drop, your store visibility and sales drops. If the marketplace is your primary source of revenue what happen to your business in such situation?

Is it your fault a buyer cancel his/her order before you ship?
Is it the marketplace fault?
Why did your store rating drop based on some outside your control and influence?

Just a food for thought.

Happy Sales BOSS

debbydee:
The write up says it all. Fine Konga helped me get some customers that added to my bottom line but i had to move the moment i discovered they were so slow in delivering items bought. Secondly customers were no longer serious with the platform. You wont believe i did an advert for 3solid days not even one customer. Never depend on these platform.

Hmmmmmm, 3 whole day adverts with no single sales. By my estimate, that is like 15 grand drain.

We need to chat on bbm. Will chat you up later maybe tommorrow after my deliveries.

Interesting

Everything in life has its own risk, coming to life sef get risk

Every platform has its own risk; even if we buy physically risk abounds.

Suspension/deletion occur when U involve Ur self in fraudulent practices/the authorities perceive traces of potential(s) to defraud in Ur deal.



They can't delete Ur account for no just cause.
They have a reputation to protect.

I blame the dullard president

I gt.

Jumia and konga no risky def... Wetin I don use my eye see for OLX ..

Olx go make u price ceiling fan and rope for jumia.

Good info. I hope people will undeestand better after reading this

K

You have said it all, i sell on these platforms too

BUT THATS WHERE I MAKE MY MONEY... DON'T DISCOURAGE PEOPLE

Jumia scammed ma bro sometime last year.
Delivered a fake product and since then, we kissed online shopping bye bye....

Na Nigeria sha, we always have a way of spoiling good tinz

The sighting of the moon was Inconclusive
-INEC

The sighting of the moon has been adjourned till tomorrow
-Abuja High Court

The sighting of the moon was not altered, a committee will be set-up to be headed by Sen. David Mark (Chairman Senate committee on Observation)
-Senate

The moon has already been sighted tomorrow
-Lai Mohammed

The anomally in the crescentic illumna of the moon in the atmospheric galaxy is tantamount to more crinkum crankum & hoola-baloo
-Patrick Obahiagbon

The APC was the cause of the moon not sighted in Nigeria
-Fayose

We will create another moon for Nigerians
-APC

Due to none sighting of the Moon, the Board of the Ulamas has been dissolved.
-Presidency

We blew up the moon and we will blow up more moons
-Niger Delta Avengers

We are responsible for the absence of the moon in the sky
-Boko Haram

Those responsible for the missing moon will soon be apprehended and charged accordingly. We have evidence.
-EFCC

We dont want to sight the Moon
-Biafrans

We know where the moon is but we dont want to say.
-The US govt.


Happy Holiday Extension till Thursday July 7th bz of the absence of the moon

hahn:
Nice one op.

I personally feel that Nigerian marketplaces should apply online payment and cancel pay on delivery. Many clients who insist on pay on delivery end up wasting your time or eventually cancel the order.

The pay on delivery option is abused a lot by customers. However, a lot of sellers import low quality products from China and the buyer who is interested might not get what he/she ordered for.

Also, once a product is perceived as being a fast selling product, everyone else starts importing it and then sell at ridiculously low prices.

The pay on delivery is the best system for the Nigerian market considering the peculiar nature of Nigerians . But it can be modified to also protect the seller too.