Meeting the Needs of Today’s African Shoppers

New data from payments platform dLocal highlights a critical disconnect in the e-commerce landscape across Africa. While consumers are eager to spend online, global brands often lag in providing payment experiences that match their preferences.

The survey found 97% of Nigerian shoppers would be more likely to purchase from international retailers if local payment methods were available—the highest figure among seven emerging markets surveyed. This preference for familiar options underscores a growing demand for localized digital commerce infrastructure across the continent.

The Security Factor

What’s driving this emphasis on local payments? Insecurity appears to be a key factor. Microsoft data indicates that one in five Nigerian internet users have experienced financial scams, while 84% have encountered at least one such incident annually. This has led consumers to prioritize protection of personal information above all other factors when choosing online businesses.

Beyond Payments: The Broader Infrastructure Gap

The challenges extend beyond payment methods. In Kenya, for example, the lack of Buy Now, Pay Later (BNPL) options is a major barrier—cited by 59% of shoppers as their primary concern. While BNPL markets in Africa are projected to grow significantly, they currently serve financing needs for productive assets rather than everyday consumer purchases.

Mobile Money’s Promise and Limitations

Africa remains the world’s leading mobile money market, processing over $1.4 trillion in transactions last year—a 26% increase from 2024. Yet this infrastructure was primarily designed for domestic transfers rather than cross-border e-commerce.

The cost of sending even small amounts internationally remains high, averaging 7.9% across sub-Saharan Africa—more than double the UN target. Pilot programs involving Visa, M-Pesa, and companies like Onafriq are testing solutions, but a significant gap persists.

“International brands that wait for emerging markets to adapt global payment methods risk entering saturated markets,” notes dLocal’s Horacio Raviolo. “Differentiation comes through offering local currencies and familiar payment experiences—the basics consumers now expect.”