Riding Covid-19 Wave: How Nigeria’s first logistics marketplace, Dellyman pulls monthly double-digit growth

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By Emma Okonji

The asset-free logistics marketplace, Dellyman, has announced that it recorded double-digit growth in its operations.

According to the logistics company, it experienced an uptick in all major indices, including a 45 per cent spurt in the number of active customers to 1,586 between March and April 2020, which is 91 per cent growth from January 2020.

It stated that the period also saw a surge in the number of logistics companies to 450, with over 100 verified and active on the platform.
Within the same period in March, Dellyman inked its first major partnership with fintech firm, Opay to boost its delivery assets by deploying some of the idle motorcycle assets from ORide. This saw an increase in the number of riders on the platform and over 3,000 orders completed by the first week of May 2020,,which is a 93 per cent increase from February this year.

Launched in March 2019, Dellyman set out to solve same-day delivery problem in Nigeria and has since grown revenue 20 times between January and April 2020 with average monthly growth within the same period averaging 145 per cent. It now targets over 5,000 orders in May alone.
The platform has seen 20 average daily customer acquisition, with at about 38 per cent of the total active customers placing at least one order since coming onboard.

Giving details of the surge in the logistics business, the Founder/Chief Executive Officer, Dellyman, Mr. Dare Ojo-Bello, said: “The numbers we have seen within the past two months is a concrete validation of our business model. We had initially assumed that it is because of the lockdown alone, but we continue to see even a more increased adoption after the phased easing of the lockdown started. We are now looking to even expand our capacity to be able to keep up with the growing demand.”

According to him, most of the orders have come from online retailers, restaurants and home kitchens offering custom meals such as soups; pharmacies delivering drugs and other medical supplies, computer and electronics retailers, cake and confectionary makers, foodstuffs sellers, marketers dispatching multi-level marketing products and documents.

“Logistics is one of the major pain points of electronic commerce in Nigeria. It constitutes the highest overheads for most online retailers making the e-commerce sector unprofitable and accounting for the number one reason many e-commerce firms have shut down in Nigeria.
Some existing e-commerce firms have had to build independent logistics infrastructure, but that comes at an incredible expense threatening the industry’s growth, which is projected to reach $75 billion in value by 2025,” Ojo-Bello said.

The company said it was set to solve these problems specifically by tackling the shortage of logistics assets and providers, especially for long-range last-mile deliveries. It also seeks to provide solutions to the issues of idle capacity due to the inability of logistics companies to connect with available delivery requests, while providing critical robust technology for efficiency of delivery services.

“Overall, these problems are complex and difficult but Dellyman’s business model provides the right solution and the numbers prove it,” Ojo-Bello added.