The News:

• Yango has introduced a food delivery service in Senegal, adding to its existing ride-hailing and parcel delivery services within the SuperApp.
• This move not only enhances Yango’s presence in Senegal’s digital economy but also intensifies competition in the country’s burgeoning online food delivery market.
• Yango is waiving commission fees for partner restaurants to support local businesses, aiming to increase their order volumes while reducing operational costs.

The company first entered the Senegalese market in December 2021, focusing on transportation services. With food delivery now part of its offerings, Yango aims to provide a more comprehensive digital solution for users.

In March 2024, Yango introduced “Cargo Express,” a feature designed to improve the delivery of large and bulky items across Africa. This service, available in major cities like Accra, Abidjan, and Lusaka, offers customers options such as mover assistance and ten minutes of free loading and unloading time, ensuring a seamless service.

The online food delivery sector in Senegal is experiencing rapid growth, with projections indicating a 10.07% increase between 2025 and 2029, culminating in a market volume of $269.60 million by 2029. This growth is driven by urbanisation, changing consumer habits, and increased Internet penetration, which has surpassed 89% in urban areas.

Yango’s entry into this expanding market introduces a new level of competition, challenging established players such as Glovo and Jumia Food. To differentiate itself, Yango is waiving commission fees for partner restaurants, aiming to attract a diverse range of eateries and food stores. This approach not only provides consumers with more choices but also supports local businesses by reducing their operational costs.

While Yango is expanding its services in Senegal, it has faced regulatory hurdles in other African countries. In October 2024, Togo’s Ministry of Road, Air, and Rail Transport suspended Yango’s operations due to security concerns and non-compliance with administrative procedures. The ministry stated that Yango had been operating without proper authorisation since June 2024, leading to the suspension of its activities nationwide. This incident underscores the importance of adhering to local regulations and obtaining necessary approvals when entering new markets.

By integrating food delivery into its SuperApp, Yango offers a seamless experience for users, allowing them to access multiple services within a single platform. This convenience is likely to appeal to tech-savvy consumers and could lead to increased customer retention.

For local restaurants and food stores, Yango’s platform provides an opportunity to reach a broader customer base without the burden of commission fees. This initiative is particularly beneficial for small and medium-sized enterprises looking to expand their reach in the digital marketplace.

Yango plans to onboard more restaurants and expand its services to include food stores, further diversifying its offerings. As the online food delivery market in Senegal continues to grow, Yango’s strategic initiatives position it as a formidable competitor, poised to reshape the dynamics of the industry while contributing positively to the local economy.

However, Yango’s recent suspension in Togo highlights the challenges of navigating regulatory landscapes in different countries. Ensuring compliance with local laws and obtaining the necessary authorisations will be crucial for Yango’s sustained success and expansion in the African market.