When you visit Konga.com everything looks the same, but there has been a major change on the payment side of things.
Moving forward, Konga customers would be required to pay ahead of delivery. In other words, Konga is now a prepay-only platform joining the likes of Payporte & others. The decision, according to reports, is largely due to the fact that there has been a shift towards online payments by customers. In the words of the CEO, Shola Adekoya:
“In recent years, we have explored several solutions for payment and eCommerce in Nigeria and concluded that prepay is the necessary approach for our business and the market.
“Given the cost of inflation and increasing challenges managing payment-on-delivery, as well as the resulting level of order cancellations on the platform, we had to take this decision.”
He also said that Konga would continue to review other ways to provide payment-on-delivery to customers, but for the time being, it will remain a prepay only platform. There is a caveat, though, you could still pay on delivery, but this decision has to be made by the seller.
“We have enabled a contact seller button that allows open communication between seller and buyer in cases where pay on delivery transactions still want to be carried out directly between the seller and the buyer.
That’s not all, QZ also reported that Konga has laid off 60% of the staff in a bid to adopt a leaner business model, to put that into perspective, that’s about 300 members of staff.
Yes, payment on delivery played a vital role in the adoption of eCommerce in Nigeria, but isn’t it time we grew up?