#Jumia, the popular E-commerce in Africa has shutdown it’s operation overnight in Tanzania less than two weeks after closing operations in Cameroon without any prior notice to it’s customers, vendors and employees, no public announcements were made on the closure of the business, it all came as a surprise. “Black Friday Surprise 2019”
Jumia sent out emails on Wednesday 27th November 2019 to their customers, vendors and employees stating that the surprise shutdown was due to their ‘current operating model, not suitable to the current economic context in Tanzania’ which we believe is not true.
According to the original email message distributed by Zadok Prescott – CEO of Jumia Tanzania on 27th November 2019. Subject “Important update about Jumia Tanzania”.
JUMIA stated they “been operating in Tanzania for 6 years now. In this time we have managed to deliver hundreds of thousands of orders to hundreds of thousands of customers and together we have built the ecommerce landscape in Tanzania, and I a very proud to have been a part of that journey with you” (Zadok-Jumia-Email, 2019).
“Despite the rapid growth that we have seen month over month and the positive customer response, we came to the conclusion that our current operating model is not suitable to the current economic context in Tanzania. This is why we took the difficult decision to transition all our operations towards the classifieds model in Tanzania effective today on the 27th Nov, 2019” (Zadok-Jumia-Email, 2019)
Jumia even stated that “Jumia Deals has been operating very successfully and many of our vendors have already been using it. It is a well-used Classifieds platform in Tanzania and connects each month thousands of vendors with hundreds of thousands of potential customers. With Jumia classifieds, you will be able to enter directly in contact with potential buyers. And you can still use some existing logistics partners to organize the delivery, or do it yourself. It’s a different operating model, but we believe it’s also very relevant for many of our sellers” (Zadok-Jumia-Email, 2019).
Most of the users @ Jumia are not happy with Jumia’s Surprise for shutting down without prior notice, they should have at least sent out a message to their customers and vendors earlier stating the shut down of their operations and reasons of the termination.
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Zadok-Jumia continues to state that ‘they will continue to support their customers and vendors and grow thier business thought the online classifieds platform – Jumia Deals.
Jumia conitnued to alert customers and vendors that:
www.jumia.co.tz will be redirected to the Jumia Deals – classifieds portal.
All last orders will be closed – either delivered or cancelled and returned to each vendor and all vendors payments will be done for all outstanding balances
Seller centre will be stopped by end of December, so please ensure that you download any account statements or sales data before that date
Any unused Mabaya (boosted product) credit will be reimbursed
Returns To Vendors will be processed by the end of November at our hub at DTV – please come to collect your goods ASAP!
Each vendor will then be able to list their products for free on Jumia Deals.
We hope that we will continue to support you and help you build your business going forward.
After all this, we do not think customers will continue to support Jumia, as they cannot rely on a company that shuts down overnight without notice. Jumia’s message has disturbed many users not only in Tanzania but even in other parts of Africa.