Jumia Food
Online food delivery platform for African markets.
| Date | Investors | Amount | Round |
|---|---|---|---|
| - | N/A | - | |
| Total Funding | 000k | ||
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Jumia Food was an online food and grocery delivery platform that operated across several African countries. It was founded in 2013 as a subsidiary of the pan-African e-commerce company, Jumia. The parent company, Jumia, was established in 2012 in Lagos, Nigeria, by former McKinsey consultants Sacha Poignonnec and Jeremy Hodara, along with Tunde Kehinde and Raphael Kofi Afaedor. Jumia Food was launched to connect customers with local restaurants through a mobile app and website, allowing them to order meals for delivery.
The platform operated on a marketplace business model, generating revenue through commissions charged to restaurants for orders placed via the platform, delivery fees paid by customers, and advertising fees from restaurants seeking premium visibility. Jumia Food expanded rapidly from its initial launch in Nigeria to operate in numerous other African nations, including Kenya, Uganda, Morocco, Ivory Coast, and Egypt. At its peak, the platform partnered with approximately 110,000 active food vendors to serve a broad customer base. The service experienced significant growth during the COVID-19 pandemic as consumer preference shifted towards online shopping for food and essentials.
Despite its growth and significant portion of Jumia's overall transaction volume, Jumia Food was never profitable. Citing challenging market conditions, high operational costs, and intense competition, Jumia announced in December 2023 that it would cease all Jumia Food operations by the end of that month. The closure affected its seven remaining markets: Nigeria, Kenya, Uganda, Morocco, Tunisia, Algeria, and Ivory Coast. The company decided to shut down the food delivery arm to optimize capital allocation and focus on its core e-commerce business of physical goods and its JumiaPay service. Staff from the food delivery division were to be transitioned to the company's physical goods business.
Keywords: food delivery, grocery delivery, online marketplace, African markets, restaurant delivery, e-commerce, mobile ordering, Jumia, on-demand delivery, meal delivery, takeaway service, food tech, African e-commerce, logistics service, payment service, restaurant discovery, online ordering, convenience food, fast food delivery, prepared meals