How mobile technology is transforming Africa’s consumer market

Mobile technology is one of the key drivers of Africa’s consumer market growth, as it enables transactions such as money transfers, microfinance, e-commerce, and digital entertainment.

According to a report by GSMA, mobile penetration in Africa reached 89 percent at the end of 20142, and is expected to grow further as smartphone adoption and mobile broadband coverage increase. Mobile technology has created new opportunities for consumers and businesses alike, as it provides access to information, services, and markets that were previously inaccessible or costly.

For example, Kenya’s mobile-payments platform M-Pesa, which was launched in 2007, has revolutionized the way people send and receive money, pay bills, and access financial services. M-Pesa handled more than $2 billion per month in transactions in 20132, and has inspired similar innovations across the continent. Mobile technology has also enabled the emergence of new business models and sectors, such as e-commerce, online education, health care, and entertainment.

Jumia, Africa’s leading e-commerce platform, operates in 11 markets and offers a wide range of products and services, from fashion and electronics to food delivery and travel. Jumia has expanded its network of thousands of partners and sellers who use its platform to move goods, and has shifted its focus to everyday product categories such as groceries and beauty products to boost demand1. Mobile technology is also changing the way consumers access and consume media and entertainment, as they can stream music, videos, and games on their devices.

Boomplay, Africa’s largest music streaming service, has over 75 million users and offers a catalog of more than 50 million songs from local and international artists. Mobile technology is not only enhancing the convenience and quality of life for African consumers, but also creating new sources of income and employment for entrepreneurs, innovators, and content creators.