Nigeria-based Dangote Cement Plc is a manufacturer that sells its cement and related supplies in several countries across Africa, with 2016 revenue of 615.10 billion Nigerian nairas (US$1.71 billion).
The company, listed as No. 1500 in the Forbes Global 2000, grew its revenue last year by 25.1%. To help it maintain that pace, it signed an agreement last week to begin selling its cement products through Jumia.com.ng, the Nigeria section of the Jumia pan-African online marketplace.
“With the deal, Nigerians in need of seamless supply of cement from Dangote can now place orders and pay online,” says Chux Mogbolu, key account director for Dangote Cement. Dangote doesn’t process orders through its own website.
By selling through the established Jumia marketplace—which caters to consumers as well as business buyers—Dangote expects to counteract “scams” by criminals who try to attract unsuspecting online buyers with fraudulent offers to sell Dangote cement for extremely low prices, Mogbolu says.
Dangote is selling its cement through Jumia in minimum orders of 300 50-kilogram bags for 2,500 Nigerian nairas (US$6.95) per bag, or 750,000 nairas (US$2,086) for the full order of 300 bags. It’s also accepting online orders of 600 or 900 bags. To start out, it’s limiting the online orders to customers within the delivery areas of the cities of Lagos, Abuja and Port Harcourt in Nigeria, providing delivery to customer locations for no extra charge.
Jumia Nigeria’s CEO, Juliet Anammah, says the new arrangement with Dangote is an example of how Jumia is working to expand products and services available on the marketplace, particularly for businesses and consumers in Nigeria, according to a statement Dangote released last week.
“We deliver to the 36 states across Nigeria, and are able to reach neighborhoods and shoppers who traditionally have not had access to a wide variety of products and deals,” Anammah says.
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