Konga fires over 300 workers and cut-off Payment-on-Delivery

Nigerian e-commerce online mall Konga has announced its decision to become a pre-paid only platform. The choice was taken as a point of measures to become more effective and to focus on customers' vital requests.

As stated by Quartz, "Its CEO Shola Adekoya notified the staff of the cuts yesterday November 30 and said the organization will embrace a more slender business model". There are likewise theories that establishing ex-CEO Sim Shagaya might come back to his part, from which ventured down about 2 years ago.

"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.

"We will continue to review other ways to provide payment-on-delivery to customers, but for the time being, we will remain a pre-paid the only platform."

"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."

"In recent years,” said Shola, “we have explored several solutions for payment and e-commerce in Nigeria and concluded that prepay is a necessary approach for our business and the market."

Konga isn't the first major eCommerce platform in Nigeria who attempted call-off PoD. Following the unfortunate killing of a Jumia delivery man in Port Harcourt, Payporte, in appearing striking back attracted first blood April, by suspending PoD almost a year now. not long, Jumia itself stuck to this same pattern, yet with an incomplete usage. With three of the major eCommerce stages on board, this may be the start of the end for PoD.

What are your thoughts on this?

No comments