Few business rivalries have been as intense or as transformative as the battle between Jumia and Konga. The Jumia Vs Konga rivalry has been comical, even brutal and entertaining but ultimately transformative.
This is the story of two companies that emerged within months of each other, only to engage in a decade-long struggle that would ultimately shape the trajectory of online retail across Nigeria and Africa.
2012: The Two Titans Enter the Fray
The story of Jumia vs Konga rivalry begins in 2012 when both were founded. Jumia Nigeria was backed by the German startup incubator Rocket Internet. It launched its operations with ambitions to conquer the African continent. The company was part of Rocket Internet’s broader strategy to replicate successful Western business models in emerging markets otherwise, bringing the Amazon playbook to Africa.
A month after the launch of Jumia, Konga.com entered the fray. Founded by Nigerian entrepreneur Sim Shagaya, Konga positioned itself as “Nigeria’s largest online mall,” ready to compete head-to-head with the well-funded German-backed rival.
To be sure, both companies were not the first to attempt e-commerce in Nigeria – that honour belonged to BuyRight Africa.com, founded by Leo Stan Ekeh over 12 years earlier – but they were the first to gain serious traction in a market ripe for digital transformation.
With 56 million internet subscribers and 120 million active cell phone lines by 2013, Nigeria’s digital infrastructure was finally mature enough to support large-scale e-commerce operations. And both companies were perfectly positioned to capitalize on this growing connectivity.
2012-2013: The Domain Name Wars
The rivalry turned ugly almost instantly. Before Konga had even officially launched, Rocket Internet, through representative Arnt Jeschke, registered approximately 10 domain names related to Konga across various African countries. These included konga.cd (Cote d’Ivoire), konga.cm (Cameroon), konga.ly (Libya), konga.ma (Mauritius), konga.mu (Morocco), konga.mw (Malawi), konga.sc (Seychelles), konga.sh (Saint Helena), konga.co.ke (Kenya), and konga.co.za (South Africa).
Ifeanyi Abraham, Konga’s Public Relations Strategist at the time, didn’t mince words about Rocket Internet’s tactics: “This company has proceeded to buy and sit on the domain names of Konga across the continent. These domain names were taken even before Konga had even had the chance to breathe, and we can see them trying to do the same by establishing businesses in different other areas where Nigerians/Africans are trying to innovate.”
Abraham described the move as “destructive competition” and announced that Konga would pursue legal action across multiple jurisdictions to reclaim the domains. The tension escalated when Google searches for “Jumai” (a common misspelling of Jumia) began redirecting to Konga.com in what was clearly a retaliatory move.
April 2013: The Merger That Almost Was
Paradoxically, amid this acrimony, both companies announced in April 2013 that they would be joining forces. The stated goal was to “centralise and maximise resources” in Nigeria’s nascent e-commerce market. However, this merger never materialized and recent revelations from Sim Shagaya provide insight into why.
In a 2024 interview with TechPoint Africa, Shagaya revealed the personal dynamics that doomed the potential consolidation: “We almost merged with Jumia at the very beginning. I thought we had a pretty good conversation except for the fact that he [Oliver Samwer, Rocket Internet’s boss] struck me as quite arrogant. I remember at the end, he wouldn’t shake my hand and I think if we had actually shook hands and if he had been more humble, we would have merged.”
The failed handshake would prove to be a turning point that set both companies on divergent paths, ultimately costing the Nigerian e-commerce ecosystem years of fierce competition instead of collaborative growth.
2014-2016: The Growth Years and Growing Pains
By 2014, both platforms were reporting over 100,000 unique daily visitors, helping to grow Nigeria’s online shopping market from N49.9 billion in 2010 to N62.4 billion in 2011. The competition was fierce, with both companies ranked neck-and-neck by Alexa in Nigeria’s top 500 websites in 2014 with Jumia at 18th position, followed closely by Konga at 19th.
The period from 2015 to 2016 marked both triumph and turbulence for both companies. In 2015, Konga secured significant investment, briefly reaching a $200 million valuation. However, the Nigerian Naira crisis exposed vulnerabilities across the sector and led to valuation corrections and operational challenges.
Meanwhile, Jumia achieved unicorn status in 2016 with a record-breaking funding round, but success came with growing pains. The company laid off staff in October 2015, while Konga underwent its own restructuring. In January 2016, Sim Shagaya stepped down as CEO of Konga, though he remained involved as Chairman of the Board.
Shagaya later reflected on this period with regret: “I look back now and I think I could have built this very differently. I think it’s entirely possible to build in the short term, a smaller, slower-growing business that has its eye on gross margins and provides a great customer experience.”
2014: The Rise of Alternative Players
The Jumia-Konga duopoly wasn’t without challengers. PayPorte, founded in Lagos in 2014, initially offered a wide range of products similar to the two giants. However, in 2018, PayPorte strategically pivoted to focus solely on fashion retail, adopting an omnichannel approach that seamlessly integrated online and offline experiences through websites, mobile apps and physical stores.
This strategic focus on a specific niche allowed PayPorte to carve out a distinct identity in the crowded marketplace, demonstrating that success in Nigerian e-commerce didn’t necessarily require direct competition with the established players.
2017-2022: The Acquisitions Era
By 2017, the competitive pressure had taken its toll on Konga and it significantly downsized its workforce. The company’s struggles culminated in 2018 when it was acquired by Zinox Group, an indigenous tech conglomerate led by seasoned Nigerian entrepreneurs with over 30 years of experience in the country’s technology sector.
For Shagaya, the sale was deeply personal: “I’ll be honest. I didn’t want to do it. It was very painful, very tragic,” he told Techpoint, referring to Konga’s eventual sale to Zinox.
Under Zinox’s ownership, Konga underwent a remarkable transformation. The new management team, led by business-savvy Nigerians with deep local market knowledge, implemented a comprehensive turnaround strategy. In 2020, the company cut losses by over 45% and achieved growth of over 800% in the following 18 months, eventually claiming to be Africa’s first profitable e-commerce platform.
Meanwhile, Jumia continued its independent journey, going public on the New York Stock Exchange in 2019. However, the IPO faced challenges when research firm Citron accused the company of inflating figures, irrevocably casting a shadow over its credibility and causing significant stock price volatility.
Rumors of a potential Jumia acquisition by Zinox, with a possible merger with Konga, resurfaced in 2022. But Zinox denied these claims and stated that they were choosing instead to focus on Konga’s organic growth.
Different Paths to Success
The post-acquisition period showed the fundamental differences in approach between the two companies. Jumia, with its multinational structure and external funding, pursued aggressive expansion across multiple African markets while pivoting to focus more heavily on its third-party marketplace model. On the other hand, Konga, under Zinox’s leadership, adopted a more methodical approach. It pioneered the omnichannel business model in Nigeria and combined online platforms with a growing chain of brick-and-mortar stores. This strategy proved particularly effective in a market where many consumers still preferred to see and touch products before making purchases.
Konga also invested heavily in building its own capabilities rather than outsourcing. While Jumia outsourced over 75% of its deliveries, Konga kept 80% of its logistics in-house through its Kxpress division, which operated over 400 delivery assets, including vans, trucks, cars, and motorcycles.
The Massive Impact of the Rivalry
The Jumia vs Konga rivalry is a case study in how different strategic approaches can succeed in the same market. Jumia’s investor-backed, rapid-expansion model contrasts sharply with Konga’s locally-owned, methodical growth strategy.
Moreover, the impact of their rivalry extends far beyond their individual successes. Together, they’ve helped establish Nigeria as Africa’s largest e-commerce market and have inspired countless other entrepreneurs and attracting over $1.2 billion in funding to the sector as of 2022. Their competition has driven innovation in logistics, payment systems and customer service standards across the continent.
Perhaps most importantly, their journey demonstrates the unique challenges and opportunities present in African markets. While Jumia’s global ambitions and external funding provided scale and resources, Konga’s local ownership and deep market understanding proved equally valuable in navigating Nigeria’s complex business environment.
The Jumia Vs Konga Rivalry Is Far From Over
The Jumia vs Konga rivalry shows the dynamism and potential of African entrepreneurship. Their decade-long battle has fundamentally transformed how Nigerians shop, pay and interact with digital commerce. Today, as both companies continue to evolve and new players enter the market, the foundation they laid remains solid. Their rivalry created two successful companies and inspired an entire industry that has transformed Nigeria into a digital commerce hub.
As Sim Shagaya noted in his reflection on the early merger discussions, personality and cultural fit matter as much as business strategy in building successful partnerships. The handshake that never happened ultimately led to a more competitive and diverse market that has ultimately benefited consumers and spurred innovation.
The story of Jumia vs Konga rivalry is far from over, but their legacy is self-evident: they proved that African companies can compete at the highest levels of global commerce.
