Global & Nigeria Last Mile Delivery Market to 2031

Nigeria's last mile delivery sector has experienced notable growth in recent years, fueled by a rapidly expanding e-commerce market, increased mobile internet access, ongoing urbanization, and a growing middle class. Despite its promising potential, the industry faces several challenges, including inadequate infrastructure, security issues, and operational inefficiencies. With over 150 million internet users and mobile penetration exceeding 90%, Nigeria boasts one of Africa’s largest digital populations. This widespread connectivity has boosted online shopping and digital transactions, which in turn has heightened demand for efficient and dependable last mile delivery services. The availability of mobile applications and websites for purchasing goods has made e-commerce more accessible, further driving the need for timely deliveries.

A key development in Nigeria’s last mile delivery landscape is the rise of hyperlocal delivery models, especially in urban centers like Lagos. These services focus on rapid deliveries from local stores to consumers within a few hours, addressing the increasing preference for speed and convenience. Food delivery platforms such as Jumia Food, Uber Eats, and Bolt Food have been at the forefront of this trend, which is also expanding into sectors like pharmaceuticals, groceries, and electronics.

Sustainability is gaining importance among logistics providers, with electric vehicles (EVs) gradually entering Nigeria’s delivery market, particularly in cities. EVs provide an eco-friendly alternative to conventional delivery trucks, helping reduce emissions and noise pollution. Additionally, motorcycles and bicycles are being used for smaller packages to navigate congested urban streets more efficiently. While widespread EV adoption is limited by high upfront costs, the push toward greener logistics is becoming a significant trend in the industry.

Looking ahead, Nigeria’s last mile delivery market is poised for continued growth, driven by e-commerce expansion, urban growth, and rising consumer demand for quick and reliable services. However, the sector still grapples with infrastructure challenges, traffic congestion, elevated operating costs, and security risks. Innovations in technology, efforts to tap into rural markets, and the increased use of digital payment systems are expected to offer solutions that help businesses address these obstacles and capitalize on emerging opportunities. Show more