Africa E-Commerce Market Report 2025 | Growth, Trends, and Forecast by 2033
Africa E-Commerce Market Overview
Market Size in 2024: USD 317.0 Billion
Market Size in 2033: USD 1,017.0 Billion
Market Growth Rate 2025-2033: 13.8%
According to IMARC Group's latest research publication, "Africa E-Commerce Market Report by Business Model (B2C, B2B, C2C, and Others), Mode of Payment (Payment Cards, Online Banking, E-Wallets, Cash-On-Delivery, and Others), Service Type (Financial, Digital Content, Travel and Leisure, E-Tailing, and Others), Product Type (Groceries, Clothing and Accessories, Mobiles and Electronics, Health and Personal Care, and Others), and Country 2025-2033", The Africa e-commerce market size reached USD 317.0 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 1,017.0 Billion by 2033, exhibiting a growth rate (CAGR) of 13.8% during 2025-2033.
How AI and Digital Revolution is Reshaping the Future of Africa E-Commerce Market
- Saudi Arabia’s Humain AI initiative partners with Nvidia and AMD to build 500 megawatts of AI compute capacity, driving unprecedented demand for advanced semiconductor chips.
- The government launched a $266.6 million semiconductor investment fund aimed at establishing 50 design firms and training 5,000 engineers, fueling local chip industry growth.
- Humain’s data centers, under construction in Riyadh and Dammam, will operate with U.S.-sourced Nvidia AI chips, leveraging 18,000 latest generation chips approved by Saudi regulators.
- Saudi Arabia's Public Investment Fund invests over $40 billion in AI projects, emphasizing semiconductors, data centers, and renewable energy as core pillars of digital transformation.
- Strong mobile penetration at 92%, widespread 5G coverage, and mega-projects like NEOM drive soaring demand for semiconductor-powered IoT devices, smart cities, and AI-driven solutions.
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Africa E-Commerce Market Trends & Drivers:
Africa’s e-commerce market is rapidly expanding thanks to increasing internet penetration and mobile device usage across the continent. Approximately 623 million unique mobile subscribers have transformed how people shop, with mobile commerce expected to account for the majority of transactions. This surge in connectivity, combined with affordable data plans, has empowered a growing middle class and youth demographic eager to access diverse products and services online, driving overall market growth and e-commerce adoption in countries like Nigeria, Kenya, and South Africa.
Government initiatives and regional cooperation are strengthening the e-commerce ecosystem in Africa by improving digital infrastructure, payment systems, and regulatory frameworks. Programs supported by the African Union and the Digital Economy for Africa Initiative promote digital inclusion, build consumer trust, and enhance cross-border trade opportunities. For example, Kenya’s national e-commerce strategy focuses on expanding market reach for small businesses and boosting trust through transparent platforms, which helps regional entrepreneurs compete globally while driving digital economic growth.
Lastly, localized platforms and payment innovations are rising fast to meet Africa’s unique market needs. Mobile money services and fintech startups like M-Pesa and Flutterwave facilitate secure, convenient payments even in underserved areas where traditional banking is limited. Local online marketplaces tailored to cultural preferences and regional languages further increase accessibility and customer loyalty. This localized approach, combined with improvements in logistics and last-mile delivery, is enhancing shopping experiences and driving market penetration in urban and rural zones alike.
Africa E-Commerce Industry Segmentation:
The report has segmented the market into the following categories:
Breakup by Business Model:
- B2C
- B2B
- C2C
- Others
Breakup by Mode of Payment:
- Payment Cards
- Online Banking
- E-Wallets
- Cash-On-Delivery
- Others
Breakup by Service Type:
- Financial
- Digital Content
- Travel and Leisure
- E-Tailing
- Others
Breakup by Product Type:
- Groceries
- Clothing and Accessories
- Mobiles and Electronics
- Health and Personal Care
- Others
Breakup by Country:
- South Africa
- Nigeria
- Egypt
- Morocco
- Kenya
- Others
Competitive Landscape:
- Alibaba Group
- Amazon.com, Inc.
- Avito Holding AB
- Bidorbuy.com Inc
- DHL International GmbH
- DealDey Ltd.
- eBay Inc
- GumTree.com Limited
- Jiji Press Ltd.
- Jumia Technologies AG
- Konga Online Shopping Ltd
- Naspers Ltd.
- OLX Group
Recent News and Developments in Africa E-Commerce Market
- 2025 August: Major e-commerce platforms report record growth in mobile commerce transactions across key African markets, with mobile apps accounting for over 80% of total e-commerce traffic and sales volume.
- 2025 July: International payment providers expand their African operations with new localized payment solutions and partnerships with mobile money platforms, reducing transaction friction for cross-border e-commerce.
- 2025 June: Government digital economy initiatives across multiple African countries introduce supportive regulatory frameworks for e-commerce, including tax incentives for digital platforms and streamlined business registration processes.
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