BUILDING YOUR NIGERIA STRATEGY
| By Aaron Noy
With its government actively pursuing a digital-led growth strategy, Nigeria is leading an internet revolution set to open up material new markets for the igaming industry. Dan Taylor maps out the essential building blocks of a successful approach to doing business in the country
It’s no secret that the next billion online users will come from the African continent.
What people don’t realise, however, is just how close the next boom in internet users is, and how they can potentially open up new markets in areas other than the igaming industry.
Africa’s most populous country, Nigeria is just one of the nations leading a new digital revolution on the continent and is actively becoming a larger player in the global digital community.
Because Africa’s digital renaissance is coming now, users are going online and adopting modern technologies as their baseline, which is leading to a very different kind of user than in other parts of the world. This is partly down to infrastructure and economics, with internet accessibility coming later both in the form of coverage and physical user access and device ownership.
Cultural differences also mean that social media adoption isn’t as deep as in other areas, with a recent Hootsuite study reporting that active social media users in Nigeria total 12% of the total population.
This is a small number bearing in mind an internet penetration rate of some 55%. When it comes to the online betting industry, Kenyan outfit SportPesa is probably the most widely known of the African companies – but through its own engineering and not by luck. Breaking out of the Kenyan market with designs on global audiences, its ambitious sponsorship deals with Everton and Hull City have helped it become more well-known than other leading African companies, such as Uganda’s Betpawa. SportPesa has also shown that there is demand for betting services in Africa, with the company’s website reported to be the second most popular in Kenya.
SportPesa’s marketing strategy offers insights into how it has developed, as well as how it caters for other markets in Africa. In forming the rest of this article I’ve taken these learnings and added to them my experience of working in the African markets. I’m going to focus on the Nigerian market and how you can plan to make the most of the opportunity that it presents.
THE NIGERIAN IGAMING SCENE
Using Alexa data from January 2019, the second most popular website after Google in Nigeria is the betting portal Bet9ja. In terms of personal finances, only 40% of adults (defined here as those aged over 15) have a bank account with a financial institution, with 4.3% owning a credit card. A slightly higher number (5.6%) have a mobile money account, while a little over 12% of the population make purchases online (source: World Bank Global Financial Inclusion Data). Clearly, then, it’s important that your website or mobile application accommodates different payment and age verification methods.
Looking at the top Google search queries performed in Nigeria (according to Google Trends), there is a lot of attention around sport and betting. Examples of these terms in the 20 most searched phrases are:
- Bet9ja
- Livescore
- Bet9ja mobile
- Chelsea
- Livescores
- Arsenal
- Goal
- Flashscore
- Goal.com
- Chelsea news