Morocco’s Untapped E-commerce Potential: A Key to Combating Informal Markets

Since the onset of the health crisis, many Moroccan internet users have adopted online payment via their bank cards. About 10 million online transactions, estimated at 4.3 billion dirhams, were made during the first lockdown in 2020, an increase of 48% compared to the same period in 2019.

However, all the conditions are in place to promote the emergence of e-commerce in Morocco. "If our retail distributors do not position themselves on this market urgently, global giants like the GAFAMs will not hesitate to invade the Moroccan market and overshadow the trade of an entire country," warns Larbi Alaoui Belrhiti, CEO of Jumia Morocco.

But the Moroccan e-offer remains very low compared to the many and growing needs of internet users. In the MENA region, only 60% of e-commerce purchases are made on foreign, cross-border websites. Similarly, online shopping is very underdeveloped in Morocco, with a mobile penetration rate of 120%, compared to 25% for the African continent in general and a social media penetration rate of 50%.

"Digital is just a channel that will reflect its own shortcomings in Moroccan trade," says Fahd Bennani, CEO of IWACO, who mentions the predominance of the informal market, a formidable and harmful competitor to the e-commerce sector.

"We have an economic problem of cash. We need to step up the pace to accelerate the financial inclusion of the population," adds Fahd Bennani, who proposes that the State support start-ups in the development of their ecosystems.