Platform Delivery - Ethiopia

  • Ethiopia
  • Ethiopia is set to witness significant growth in the Platform Delivery market.
  • According to projections, the revenue in this market is expected to reach US$20.78m by 2024.
  • This is further anticipated to experience a compound annual growth rate (CAGR 2024-2029) of 15.82%, resulting in a projected market volume of US$43.31m by 2029.
  • In terms of user base, the Platform Delivery market in Ethiopia is expected to see an increase to 2.7m users users by 2029.
  • The user penetration, which measures the proportion of the population using the platform, is projected to reach 1.1% in 2024 and is expected to rise to 1.9% by 2029.
  • The average revenue per user (ARPU) is predicted to amount to US$14.04.
  • This indicates the average amount of revenue generated per user in the Platform Delivery market.
  • Comparing in Ethiopia to global figures, it is worth noting that China is expected to generate the highest revenue in the Platform Delivery market, reaching a staggering US$165,200.00m by 2024.
  • Additionally, China will have the highest user penetration rate, projected to be 52.8%.
  • These projections highlight the potential growth and opportunities that lie ahead for the Platform Delivery market in Ethiopia.
  • The platform delivery market in Ethiopia is experiencing rapid growth due to the increasing demand for efficient and convenient delivery services in the country's expanding urban areas.
 
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Analyst Opinion

The Platform Delivery market in Ethiopia has been gaining traction in recent years due to various factors.

Customer preferences:
In Ethiopia, there has been a growing demand for online shopping and delivery services, especially among the younger population. With the rise of e-commerce platforms, customers are increasingly looking for fast and reliable delivery options that can bring their purchases to their doorstep. This has led to a surge in demand for platform delivery services.

Trends in the market:
One of the key trends in the Platform Delivery market in Ethiopia is the emergence of local players. While international companies like Uber Eats and Glovo have entered the market, there has been a rise in homegrown delivery startups that cater specifically to the local market. These companies understand the local culture and preferences, and are able to offer more personalized and localized services. Another trend is the integration of technology in the delivery process, with companies using mobile apps and other digital platforms to streamline operations and improve efficiency.

Local special circumstances:
Ethiopia is a unique market with its own set of challenges and opportunities. One of the key challenges in the Platform Delivery market is the lack of infrastructure, particularly in rural areas. This makes it difficult for companies to offer delivery services in these areas, and limits the potential customer base. Additionally, there are cultural and regulatory barriers that companies must navigate in order to operate in the market.

Underlying macroeconomic factors:
The Ethiopian economy has been growing steadily in recent years, with a focus on infrastructure development and foreign investment. This has created a more conducive environment for businesses to operate in, and has led to increased consumer spending. Additionally, the country has a large and youthful population, which is increasingly tech-savvy and open to new services and products. These factors have contributed to the growth of the Platform Delivery market in Ethiopia.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on Gross Merchandise Value (GMV) and represent what consumers pay for these products and services. The user metrics show the number of customers who have made at least one online purchase within the past 12 months.

Modeling approach / Market size:

Market sizes are determined through a bottom-up approach, building on predefined factors for each market. As a basis for evaluating markets, we use annual financial reports of the market-leading companies, third-party studies and reports, as well as survey results from our primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, GDP per capita, and internet connection speed. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing. The main drivers are internet users, urban population, usage of key players, and attitudes toward online services.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. GCS data is reweighted for representativeness.

Overview

  • Revenue
  • Analyst Opinion
  • Users
  • Global Comparison
  • Methodology
  • Key Market Indicators
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