One of the biggest obstacles to the growth of eCommerce in Nigeria is obviously adoption. This peculiarity has led local eCommerce players to take on radical marketing strategies in an attempt to get more users on board — Black Friday campaigns, that saw one player claim to process billions of naira in orders, Free Shipping, Pay (Cash) on Delivery models, they’ve tried them all.
Perhaps the most polarizing of these strategies is the Pay on Delivery (PoD) model. While some would argue that PoD is a necessary evil towards the growth of eCommerce, others believe it needs to die. For the most part, eCommerce players have been sitting on the fence of this debate, until now.
In an interview with Techpoint over the past week, Payporte Founder and CEO, Eyo Bassey had this to say about Pay on Delivery:
Payporte is going to be done with Pay on Delivery by December 2016. For those that want to come into the eCommerce space, I’d tell them the truth — Pay on Delivery is not a sustainable business model. Payporte already has it on its roadmap that by December 2016, Pay on Delivery will be a more expensive option. We will not end it outright but it will be a more expensive option as against the norm today.
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If the plans go through, it would be a first for an all-purpose online retail stores in Nigeria. What do you think about Payporte’s decision to make PoD a more expensive alternative to shopping online? Do you think other online retail stores might follow suit, especially considering that the likes of Konga have started aggressively pushing other payment alternatives?
You can sound off in the comments section below.
You can read the full interview here.
Photo credit: diamondbackonline.com.
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