Madagascar flag Madagascar: Buying and Selling

E-commerce in Madagascar


Internet access
According to the Digital 2019 report for Madagascar by Hootsuite and WeAreSocial, out of a population of 26.6 million people, only 9.8% have access to the internet.
In the country there are around 8.3 million mobile subscriptions (but only 2.3 million have an internet mobile subscription) and 9% of the population are active social media users. Furthermore, 2.1 million people are active mobile social media users. The vast majority of mobile connections are pre-paid (only 3% are post-paid).
The social media advertising audience is equal to 2.4 million for Facebook, with much lower figures for other platforms (180,000 for LinkedIn, 54,000 for Instagram and 12,400 for Twitter).
According to the Mobile Connectivity Index 2018, Madagascar has an overall index score of 33 out of a maximum of 100 (in particular, the IT infrastructure network has a score of 24.7/100, and the affordability of internet connections has a rate of 35.3/100).
There are generally no restrictions on access to the internet in the country.
The most popular web search engines in Madagascar are Google (95%), Yahoo and Bing (3.2% and 1.4%, respectively).
E-commerce market
E-commerce in Madagascar is still limited. Though there are no official figures about the market size, according to a survey by Styleex (2018), 65% of Malagasy consumer has never purchased on the internet, with the majority of transactions being carried on through Facebook. This is also due to the fact that a mere 1% of the population has a credit card and only 12% have a mobile money account (data Digital 2019).
The vast majority of goods sold through the internet are clothes and hi-tech products (86%). Payments are generally made through cash-on-delivery.
The main factors hindering the development of e-commerce are the poor IT infrastructures, the lack of familiarity with online payment methods, and a weak legal framework. In fact, although in 2014 Madagascar adopted laws on aspects such as electronic transactions, cybercrime, and privacy and data protection, the regulations to effectively enforce the legislation has yet to be put in place.
According to UNCTAD's 2018 Business-to-Consumer E-commerce Index, Madagascar ranks 27th out of 44 countries in Africa, and 129th out of the 151 countries in the whole world.
The top e-commerce retailer in Madagascar is currently Exeia, who sells electronics, appliances, home decoration, cosmetics, fashion and sportswear.
Facebook is by far the most popular social network (with an estimated 2.4 million users), and its marketplace the most common e-commerce resource of the country.

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Latest Update: May 2024