adanny01:
They should find out what is wrong. Cos i do shop alot from Jumia and have gotten better bargains than i would have in the open market, not to talk of risks in getting substandard prices.

My discouragement is the lack of pay on delivery even though my last refund was done in less than 24hrs.

I trust Jumia and wish them well.

Those "better bargains" are were the losses are

sai baba

booblacain:
What's the cause of these losses?

may be recession/change, lol.

Damn atleast the owners sold early. need o buy back for cheap and re strategize

jerflakes:


I'm confused

They don't sell anything

They just link buyers to sellers

So how did they lose?

Really?

LastSurvivor11:
No b who chop well dey buy something..
Huge loss which is obviously leading to job loss..

If you want to make money jumia, start selling important grasses from Brazil, or Ak47 or you help the good patriotic people of Nigeria to send the daura dullardihio back to his cows..

Jumia is an African country, operating outside of Nigeria. So all those you listed affected their operations in other countries? Grow up, wise up

wontiboje:
Despite several cuts and tweaks to its business model and structure, it appears all is not still well with Jumia.

This is because, after two years of pressure and record losses, Jumia said it losses rose beyond forecast for the full year 2017

Jumia, Africa's largest eCommerce company said it made a net loss of N53.3 billion for the full financial year of 2017. This is a major negative and huge difference compared to N40.5 billion reported in 2016.

Full-year revenue for Jumia came in at EUR93.8 million compared to EUR89 million reported in 2016.

There are various sides to this result and the more we look at the company's summary result released by Rocket Internet, its parent company, the more we see more signs of worry for Jumia going forward.

Source: https://pageone.ng/2018/04/13/jumia-losses-parent-company/

Various structural changes have been applied to the business model of Jumia in the last three years. On August 30, 2016 Africa eCommerce Holding GmbH, the holding company of Jumia, was merged into Africa Internet Holding GmbH (formerly trading under Africa Internet Group).

In its usual flowery comment, Rocket Internet said in its official statement that:

[/b]In June 2016, all business models of Africa Internet Group were renamed under the Jumia brand. [b]

It is now very clear that Rocket Internet plans to sell off the company via an IPO was a sound decision given the fact that after five years, there are no signs that Jumia would break-even before it caves-in.

Konga, Jumia's arch-rival has also witnessed its near-end before it was sold to Zinox Group for undisclosed amounts.

While Kinnevik and Naspers have not disclosed the terms of the transactions, there are feelers that the company was sold for a ridiculously low amount with up to 99% loss on equity.

@ the bolded is a major no, no, no for those that know i.e. grand [/b]positioning[b] error! Selah. Reach me for details.

If Only Jumia have 53Million of their own!

Who else can relate ?

I still maintain my stance that they're running a poor e-commerce model - pre 2000 model - they'll continue to make losses until they do the needful.

mfm04622:


Jumia is an African country, operating outside of Nigeria. So all those you listed affected their operations in other countries? Grow up, wise up

Please which is Jumia capital ? I need to know please

LordKO:
I still maintain my stance that they're running a poor e-commerce model - pre 2000 model - they'll continue to make losses until they do the needful.

Can you shield more light on this please, may be we can learn a couple of things from yoy

NaijaMutant:
All I want to say is that Buhari's economy is a cursed economy

U also sound cursed....Where was Nigeria mentioned in the write up or ur fish brain thinks such loss is only in Nigeria

Ok

micky90:
...oshe accountant to bad, buh how does a coy making huge losses be compared to been financially over geared... Need an explanation bro.

Accounting Lesson (AC001)

In simple terms, they have bitten more financially than they can chew (fish bone stuck in throat effect).....

Borrowed too much money, punitive interest rate, unnecessary expansion, unrealistic staffing ratios, higher than usual wage structure, bad business model, illegal financial drawdowns etc etc etc


We continue AC001 on Monday... Report to class @ 0600 hrs........

Na my head catch dem. Dem never see anything

jerflakes:


I'm confused

They don't sell anything

They just link buyers to sellers

So how did they lose?

Very good point.

Even taking into account their personnel and running costs, losses shouldn't be so large unless they are engaged in funny accounting

gadgetsngs:


Can you shield more light on this please, may be we can learn a couple of things from yoy

People are paid for what they do with what they know - no one will pay you just because you know something.

Thanks.

jerflakes:


I'm confused

They don't sell anything

They just link buyers to sellers

So how did they lose?

it goes beyond that Sir. they spent money on adverts. maintenance of website, logistic(freight), warehousing of goods, payment of staffs etc

The biggest mistake of jumia/konga is their stupid POD

Lexusgs430:


Accounting Lesson (AC001)

In simple terms, they have bitten more financially than they can chew (fish bone stuck in throat effect).....

Borrowed too much money, punitive interest rate, unnecessary expansion, unrealistic staffing ratios, higher than usual wage structure, bad business model, illegal financial drawdowns etc etc etc


We continue AC001 on Monday... Report to class @ 0600 hrs........

....but using gearing doesn't mean all those u have up there... Just a bad financial management would have solve d the riddle Prof.

Elin:




If Only Jumia have 53Million of their own!

Who else can relate ?

I do bros!

Sorry o!

Me self I suffer plenty loss for una hand in 2015. Una go put fine fine pictures for net, when person place order and pay the end result go be rubbish!

yesloaded:

it goes beyond that Sir. they spent money on adverts. maintenance of website, logistic(freight), warehousing of goods, payment of staffs etc

The biggest mistake of jumia/konga is their stupid POD

Hmm… you've said it all brother Mr. V

micky90:
....but using gearing doesn't mean all those u have up there... Just a bad financial management would have solve d the riddle Prof.

I said part of their issues would be financial over - gearing. Amongst the overgear, fit the aforementioned and more, you would see why they are having huge financial woes....

This is always the problem when there's a lack of financial sustainability and adequate leverage capabilities within a poor economic atmosphere... Foolish org.

They should have based their business model around the majority/poor average 9ja instead of the few rich ones. Trying to pull a Jeff Bezos, right? Foolish pple!

uzeba:
53 million or 53 billion...
the company burn??

HahahaHahaha

Na so jumai get money
meaning they are worth hundreds of billions of NGN or trillions

booblacain:
What's the cause of these losses?

Bad govt policies that led to a sharp drop in the purchasing power of Nigerians.

DonPiiko:
Sorry jumia no cry, I also suffered losses and heartbreaks I don move on

don't mind them. when they were doing wayo wayo BLACK FRIDAY,shebi It was sweeting them?

micky90:
...oshe accountant to bad, buh how does a coy making huge losses be compared to been financially over geared... Need an explanation bro.

When capacity is underutilized due to market limits and other inhibitions

How did they even make #53bn ind 1st instance is it not only comissions they collect frm buyers & sellers.Twice they fail 2 delivered goods i ordered.i hope they will not go bankrupt?

jerflakes:


I'm confused

They don't sell anything

They just link buyers to sellers

So how did they lose?

They handle the logistics....thats how they lose money.