you actually recommended a useful company. Usually, these sponsors are rather useless, or just a way to indulge in a product. This is an innovative idea, I'm going to look more into composer
@@drek273 Wrong. This one is just as useless as the others. I tried signing up but it is not available in Canada, The irony that this video was talking about frauds was not lost on me.
@@drek273 no, this is perfect example of small company trying to look bigger and more established than they really are. The country dropdown shows all the countries in the world, yet it is only available in USA. This is deception and I wouldn't trust them.
It's interesting how the many in the West see Africa as one country. Africa has 50+ sovereign states with hundreds of tribes and cultures with some of the most diverse tastes and preferences in the world. Anyone serious in investing in Africa should pick a block e.g. Sub-Sahara and focus on that otherwise you will fail.
@@lombardo141 No. Western countries, especially Americans, need to educate themselves about other countries in the world. It is not the responsibility of African countries to inform you about their unique regions, geography, and cultures. You wouldn't ask European countries or Asian countries to educate you on their countries, why ask African nations to educate you?
it's very different, most people in south america live in urban areas, not only that but most of them live in the capital city. ie: Chile is taller then Europe, but 30% of the population lives in the capital city, so the population density around their capital city is identical to hong kong and the same could be said for every capital city in the subcontinent also pretty much everyone has internet access, so the logistics are quite comparable with a place like south korea rather then africa. -those countries are very progressive towards cheap and accessible credit. ie: When kids turn 18 y/o every bank is offer them credit cards even if they don't have jobs, again very similar to a place like China or Korea, not like africa. -Most kids in their 20's grew up with technology and it's part of their identity and culture, a lot of them have internet side hustles or they'd like to have one in the future, so they are very progressive towards eCommerce
Jumia needs more technology like amazon, and more tech security to weed out the fraudsters and crooks, and keep the company honest. If they do those 2 things, the company might turn around.
Well, do a deep dive on Rocket Internet and portfolio companies. You will figure out fast it was all by design. The companies are never built to last, they are build to be sold at the peak.
If Jumia was trading at $100 today, I wouldn't buy more more. However, at $9.62, I think it is an absolute steal. The cap is arouns $0.9B. If they grow GMV at 30% per year for 3 years and do one more capital raise, they should be set for cash for the long-term. IMO, they grow profitable in 4 to 5 years. Jumia is still the biggest player on the continent by a large margin. Patient investors may get rewarded handsomely. At the end of the day, people like having access to a large marketplace and shopping online. There is significant risk, but the reward/risk ratio is super favorable imo. Just getting to a $10B cap is around a 12x. Getting to MELI's cap is a 70x. Africa and Latin American GDP are similar in magnitude.
As a Nigerian, it's been fascinating watching the Jumia implosion right from the start. There are many issues that led to this but to me the biggest issue is basically the resources simply aren't there. A lot of these countries simply do not have the necessary infrastructure for large scale adoption necessary to make profit Even MTN sold off their shares in Jumia, they saw the disaster coming far off Jumia recently released their reports and it turns out they are spending over 90% of their revenue on marketing alone 👀 yet Users are dropping off in droves
I think Andrew Left changed his strategies because shorting was too risky. I noticed when he would be "bullish" for these companies that he would mention, the stock would pump immensely and then dump just as hard. It just seems like me started pumping and dumping these stocks
I worked there before it IPOed, and what Left said when he was bear doesn't even start to scratch the surface. I don't understand how he was convinced to invest afterwards
There is a good reason Amazon and others bypassed/ignored the African Continent.... "One word...Nigeria" so true. The Nigeria factor sums up Africa. Hopeless in every metric and dependant upon the West. Always was a basket case and always will be as they keep doing the same things expecting things to change. (*Kudos to Namibia & Botswana, they are at least trying to fix things)
As an African, a trader and Jumia Force agent this is what I have observed. Of the sales that I make about 30% are delivered to the customer but the customer never picks them.Another 10 % are faulty products so they are returned , these delivery fees will definitely cost Jumia heavily. Jumia is also facing stiff competition from other companies with cheaper and more efficient modes of operation like Copia who also deliver to clients without internet access. Individual traders are also running facebook and other social media pages where they sell and deliver their products to clients countrywide. With this stiff competition Jumia and other large eCommerce companies cannot make it in the diverse African market. Its for similar reasons that huge supermarkets fail in Africa.
Interesting comment. Any chance you could elaborate. Specifically, at what stage of the delivery do things tend to get cancelled? Is is mainly cash-on-delivery customers that just don't show up to pick up their packages? Do you sense the 10% returned are for legitimate reasons, or just buyers regret?
@@spinvesting6022 Delivery usually takes 2 to 3 days and by then the customer may find an alternative so they dont pick up the package . As for the 10% its mainly faulty products like TV with a cracked screen or outright fake products
@@asgdhgsfhrfgfd1170 Infrastructure isnt a problem, about 95% of customers that I serve are below 40 years and have access to 4G internet, again the roads are well built and extensive, every single town or shopping centre where clients pick up their items are connected by tarmac roads, rents are very low and there are so many transport logistics companies .. the biggest challenge to Jumia and other eCommerce giants in Africa is competition from individual eCommerce traders like I said and ofcourse faulty products which can possibly be classified under poor customer experience.
About that Composer website. I thought I'd papertrade with it only to find they only have 8 programmable criterias and they're all technicals. I like what they're doing but it's of little use.
I'm a middle class South African who does most of their shopping (incl furniture, clothes, food) online, but have never heard of this company. I'm also particular, I order only from ecommerce sites that I can trust and sometimes have to order things abroad eg Amazon, but not Jumia.
Africans are leap frogging technology, most of their first bank accounts was on their phones, some of the regions that have more widely adopted crypto is in Africa, maybe the people living in huts in the middle of nowhere won't buy anything, but people in large cities will, I saw a video of Laos and to me Laos was Mexico City in the early 80's, Jumia's first and most important task is to survive, but if it does it will be Africa's Mercadolibre.
Let's see what happens when starlink is fully deployed and the entire world has fast cheap internet. Also demographics show that Africa is the only expanding population over the next 50 to 75 years. Everywhere else is flat to massive reduction, less people means shrinking economy's. More people equals expanding economies, have fun parking your money in an etf in markets with shrinking economy.
I was looking into Jumia some time ago as a risky long term investment. But then I saw it is based out of Lagos and I stopped looking further. Africa certainly has potential but now it is 2 early to invest.
Not exactly. I think sometimes his timing is wrong. He was shorting Chinese evergrande group and called it a bubble almost a decade ago and took massive losses on it. Imagine he kept that position now Same with the short on square. If he had averaged up and waited for the bubble to burst he would have made profits. But i guess the GME short squeeze got him spooked. He's not wrong on the fundamentals just maybe timing and market sentiment.
The parent company of Jumia, Rocket Internet, is so shady and infamous in Silicon Valley for copying up and coming startups. They copied Zappos in Europe as Zalando and Blue Apron as Hello Fresh and aggressively market their company to beat the original to the market.
@@dogg_le8441 Same case with Hello Fresh, they are technically independent, but it does not negate the fact that they were in part or fully created by Rocket Internet. And since they are a startup factory, that seems to be natural end-goal to spin off their startups as a seperate entity.
@@Towelie- that's true. I guess I'm just a bit confused by your comment then. I kinda took it as you saying because rocket internet is shady, Jumia is also likely shady. Or did I make a leap in connection that you weren't getting at.
and they will fail too, there is stiff competition from individual traders who sell their products on social media and understand customer needs better than big corporates
Reflexivity had an explanation for Amazon. Jumia is similar to Amazon in that it needs to spend a lot of money for a long time outside the normal rules of profitability. Does Reflexivity have an analysis for Jumia?
That crap is just like Mercado Libre in Latin America. I’d never invest in either one. Why? Logistics. Postal service goes from non-existent to unreliable. No thanks.
You got to be frank about Africa: It's highly unlike that any piece of the continent will reach even Mexico's standard of living and corruption is just an overhead cost of business. Keep that in mind when investing.
because there's not enough money being invested into the continent. People go to Africa to extract resources and exploit them. Its up to the leaders of the continent to unify africa
@@yurlim its not just the leader. You can pretend it is but its not. Its a collective effort from the leaders of the nation and the eastern and western developed nations
I'd suggest you to get a better microphone. It would give the viewers a way better listening experience. The high frequency letter like the "S" are a bit uncomfortable to listen to.
You stated that Africa is a very poor continent. When you make statements like that, you need to provide context. Africa wouldn't be poor if Europe didn't rape and pillage it.
Thanks to Composer for sponsoring this video! Check them out using my link cmpsr.co/WSM-Subscribers.
you actually recommended a useful company. Usually, these sponsors are rather useless, or just a way to indulge in a product. This is an innovative idea, I'm going to look more into composer
@@drek273 Wrong. This one is just as useless as the others. I tried signing up but it is not available in Canada, The irony that this video was talking about frauds was not lost on me.
You should have done your research on the parent company of Jumia and their business model.
@@delinquense it’s just not available to you due to your location. Has nothing to do with the quality of the actual service
@@drek273 no, this is perfect example of small company trying to look bigger and more established than they really are. The country dropdown shows all the countries in the world, yet it is only available in USA. This is deception and I wouldn't trust them.
It's interesting how the many in the West see Africa as one country. Africa has 50+ sovereign states with hundreds of tribes and cultures with some of the most diverse tastes and preferences in the world. Anyone serious in investing in Africa should pick a block e.g. Sub-Sahara and focus on that otherwise you will fail.
That is a good point, i guess that is why companies like Takealot and WeBuyCars are doing well
@@nkt8101 Yes precisely, they chose to focus on the S.A. market and will probably grow within that region.
Well African countries need to do a better job promoting their individual countries or that will continue to happen.
@@lombardo141 No. Western countries, especially Americans, need to educate themselves about other countries in the world. It is not the responsibility of African countries to inform you about their unique regions, geography, and cultures. You wouldn't ask European countries or Asian countries to educate you on their countries, why ask African nations to educate you?
Agreed. The ignorance is incredible.
When Short Sellers give up and go long then It’s time to go short.
Why? Is the company in debt? Are its revenues shrinking? Why would you ever buy or sell a stock based on some people changing their minds?
Jumia still has upside. People used to scoff at MercadoLibre, but it has taken hold in Latin America, Africa is only a decade behind.
it's very different, most people in south america live in urban areas, not only that but most of them live in the capital city.
ie: Chile is taller then Europe, but 30% of the population lives in the capital city, so the population density around their capital city is identical to hong kong and the same could be said for every capital city in the subcontinent also pretty much everyone has internet access, so the logistics are quite comparable with a place like south korea rather then africa.
-those countries are very progressive towards cheap and accessible credit.
ie: When kids turn 18 y/o every bank is offer them credit cards even if they don't have jobs, again very similar to a place like China or Korea, not like africa.
-Most kids in their 20's grew up with technology and it's part of their identity and culture, a lot of them have internet side hustles or they'd like to have one in the future, so they are very progressive towards eCommerce
Jumia needs more technology like amazon, and more tech security to weed out the fraudsters and crooks, and keep the company honest. If they do those 2 things, the company might turn around.
Jumia isn't over yet, as a Nigerian I can tell you that first hand
Exactly
Jumia is done in Kenya.
Is it dying?
@@StockyDude not In west Africa
“As a Nigeria”; that doesn’t necessarily inspire trust my guy.
Well, do a deep dive on Rocket Internet and portfolio companies. You will figure out fast it was all by design. The companies are never built to last, they are build to be sold at the peak.
Finally some one how knows!
If Jumia was trading at $100 today, I wouldn't buy more more. However, at $9.62, I think it is an absolute steal. The cap is arouns $0.9B. If they grow GMV at 30% per year for 3 years and do one more capital raise, they should be set for cash for the long-term. IMO, they grow profitable in 4 to 5 years. Jumia is still the biggest player on the continent by a large margin. Patient investors may get rewarded handsomely. At the end of the day, people like having access to a large marketplace and shopping online. There is significant risk, but the reward/risk ratio is super favorable imo. Just getting to a $10B cap is around a 12x. Getting to MELI's cap is a 70x. Africa and Latin American GDP are similar in magnitude.
I have some good diversified ideas on profitable investment however it’s not for public consumption, buzz me 📩
As a Nigerian, it's been fascinating watching the Jumia implosion right from the start. There are many issues that led to this but to me the biggest issue is basically the resources simply aren't there. A lot of these countries simply do not have the necessary infrastructure for large scale adoption necessary to make profit
Even MTN sold off their shares in Jumia, they saw the disaster coming far off
Jumia recently released their reports and it turns out they are spending over 90% of their revenue on marketing alone 👀 yet Users are dropping off in droves
I live in south Africa and I have never heard of jumia,we have other e commerce companies
Zando...
Which?
@@besim109AOG takealot,amax,ect
I used to use Jumia for food delivery in Rwanda
I think Andrew Left changed his strategies because shorting was too risky. I noticed when he would be "bullish" for these companies that he would mention, the stock would pump immensely and then dump just as hard. It just seems like me started pumping and dumping these stocks
No he did not change his strategy…he just does not talk about his shorts anymore
Itonically just bought my phone on jumia and watching this video on it
I have some good diversified ideas on profitable investment however it’s not for public consumption, buzz me 📩
I worked there before it IPOed, and what Left said when he was bear doesn't even start to scratch the surface. I don't understand how he was convinced to invest afterwards
Imagine being a alibaba and jumia share holder in 2021 😩
Bruh dont compare jumia to alibaba..everyone who doesnt buy baba now is straight up an idiot
🙋♂️😔
@@hectorquinonez2215 same... 😔 it's 2023 and still hanging on
One word...Nigeria.
Yup we do work there and its a shit show still
There is a good reason Amazon and others bypassed/ignored the African Continent.... "One word...Nigeria" so true. The Nigeria factor sums up Africa. Hopeless in every metric and dependant upon the West. Always was a basket case and always will be as they keep doing the same things expecting things to change. (*Kudos to Namibia & Botswana, they are at least trying to fix things)
what does Nigeria do to jumia?
Racist
@@thefootballking10 Not racist. That's how it is.
As an African, a trader and Jumia Force agent this is what I have observed. Of the sales that I make about 30% are delivered to the customer but the customer never picks them.Another 10 % are faulty products so they are returned , these delivery fees will definitely cost Jumia heavily. Jumia is also facing stiff competition from other companies with cheaper and more efficient modes of operation like Copia who also deliver to clients without internet access. Individual traders are also running facebook and other social media pages where they sell and deliver their products to clients countrywide. With this stiff competition Jumia and other large eCommerce companies cannot make it in the diverse African market. Its for similar reasons that huge supermarkets fail in Africa.
Interesting comment. Any chance you could elaborate. Specifically, at what stage of the delivery do things tend to get cancelled? Is is mainly cash-on-delivery customers that just don't show up to pick up their packages? Do you sense the 10% returned are for legitimate reasons, or just buyers regret?
@@spinvesting6022 Delivery usually takes 2 to 3 days and by then the customer may find an alternative so they dont pick up the package . As for the 10% its mainly faulty products like TV with a cracked screen or outright fake products
@@asgdhgsfhrfgfd1170 Infrastructure isnt a problem, about 95% of customers that I serve are below 40 years and have access to 4G internet, again the roads are well built and extensive, every single town or shopping centre where clients pick up their items are connected by tarmac roads, rents are very low and there are so many transport logistics companies .. the biggest challenge to Jumia and other eCommerce giants in Africa is competition from individual eCommerce traders like I said and ofcourse faulty products which can possibly be classified under poor customer experience.
Huge supermarkets thrive in SA
So as a trader with firsthand experience with JMIA, are you or would you invest in them?
About that Composer website. I thought I'd papertrade with it only to find they only have 8 programmable criterias and they're all technicals. I like what they're doing but it's of little use.
I'm a middle class South African who does most of their shopping (incl furniture, clothes, food) online, but have never heard of this company. I'm also particular, I order only from ecommerce sites that I can trust and sometimes have to order things abroad eg Amazon, but not Jumia.
How about Zando which is Jumia’s subsidiary?
When I think of places to put my money to work Nigeria is always my first thought.🙄🤦♂
Precisely
Good thing it isn't your money in question.
@@albieblizz I have to admit, I'm really looking forward to my Zimbabwe and Congo investments to start paying off...
Africans are leap frogging technology, most of their first bank accounts was on their phones, some of the regions that have more widely adopted crypto is in Africa, maybe the people living in huts in the middle of nowhere won't buy anything, but people in large cities will, I saw a video of Laos and to me Laos was Mexico City in the early 80's, Jumia's first and most important task is to survive, but if it does it will be Africa's Mercadolibre.
Let's see what happens when starlink is fully deployed and the entire world has fast cheap internet. Also demographics show that Africa is the only expanding population over the next 50 to 75 years. Everywhere else is flat to massive reduction, less people means shrinking economy's. More people equals expanding economies, have fun parking your money in an etf in markets with shrinking economy.
the video/iamge that you have at minute 0:58 is from Lagos in Portugal (Europe), not from Lagos in Nigeria (Africa)
I was looking into Jumia some time ago as a risky long term investment. But then I saw it is based out of Lagos and I stopped looking further. Africa certainly has potential but now it is 2 early to invest.
So the path to prosperity is to follow Andrew Left, and do the opposite. 👍
Not exactly. I think sometimes his timing is wrong. He was shorting Chinese evergrande group and called it a bubble almost a decade ago and took massive losses on it.
Imagine he kept that position now
Same with the short on square. If he had averaged up and waited for the bubble to burst he would have made profits.
But i guess the GME short squeeze got him spooked.
He's not wrong on the fundamentals just maybe timing and market sentiment.
Africa is not a country, it's probably the most fragmented continent.
I bought in last year at 2.97 a share, great gains right now
The parent company of Jumia, Rocket Internet, is so shady and infamous in Silicon Valley for copying up and coming startups. They copied Zappos in Europe as Zalando and Blue Apron as Hello Fresh and aggressively market their company to beat the original to the market.
Rocket Internet sold all of its Jumia shares awhile ago. Jumia is its own seperate entity and doesn't have any Parent Company associated with it.
@@dogg_le8441 Same case with Hello Fresh, they are technically independent, but it does not negate the fact that they were in part or fully created by Rocket Internet. And since they are a startup factory, that seems to be natural end-goal to spin off their startups as a seperate entity.
@@Towelie- that's true. I guess I'm just a bit confused by your comment then. I kinda took it as you saying because rocket internet is shady, Jumia is also likely shady. Or did I make a leap in connection that you weren't getting at.
The image/Video that you have at minte 10:48 is from Lagos, in Portugal (Europe), not Lagos in Nigeria!
lol
That place looked too nice to be in Africa, lol
Africa is a continent, specify the country, no one refers to the USA as North America
Ignorance
Left probably thought Jumia will get acquired by some big player in the likes of Walmart, Amazzon
and they will fail too, there is stiff competition from individual traders who sell their products on social media and understand customer needs better than big corporates
I have been saying this for years, jumia is not the amazon of Africa.
Reflexivity had an explanation for Amazon.
Jumia is similar to Amazon in that it needs to spend a lot of money for a long time outside the normal rules of profitability.
Does Reflexivity have an analysis for Jumia?
Wow thanks for the video, i had suggested it.
I have some good diversified ideas on profitable investment however it’s not for public consumption, buzz me 📩
You probably should revisit this topic.
That's funny. You put footage of Lagos, Portugal in your opening sequence. An honest mistake I guess
Dude ! .... i just read a piece from cnbc about new regulations for fintech and investors
That crap is just like Mercado Libre in Latin America. I’d never invest in either one. Why? Logistics. Postal service goes from non-existent to unreliable. No thanks.
Citrine pumped root n others. I believe they pumped to short at a better price.
There is another amazon of Africa company that is listed in the Africa ETF
@@benchoflemons398 people would have said the same about India. Some people still do, but e-commerce is thriving.
@@benchoflemons398 never seen a bigot so out of touch with reality
Funny thing is I got a Jumia ad for this video
I am an ardent follower of Citron and what they do...I make sure I do the opposite.
Love to see it
Big fan of jumia
I have some good diversified ideas on profitable investment however it’s not for public consumption, buzz me 📩
Welcome back, hope everyone's weekend was nice.
Africa has a higher birth rate along with parts of Latin America. Developed markets have falling birth rates.
Hear the word algorithm, run don’t walk away. Red flag; red flag.
Just finished smoking a backwood Time to eat some candy watch another wall street millennial classic wit my fellow wallstreetbets apes
You got to be frank about Africa: It's highly unlike that any piece of the continent will reach even Mexico's standard of living and corruption is just an overhead cost of business. Keep that in mind when investing.
because there's not enough money being invested into the continent. People go to Africa to extract resources and exploit them. Its up to the leaders of the continent to unify africa
@@drek273 is the other way round , same greedy so called leaders loot the continent dry and keep their loots far away from it.
That's just not true. There are places in Africa with that standard of living already.
@@yurlim its not just the leader. You can pretend it is but its not. Its a collective effort from the leaders of the nation and the eastern and western developed nations
@@drek273 💯% agree with you on that.
Anyone happen to recall the *sharpNmild” guy here on UA-cam? 😖
If at first we don’t succeed we fail and fail again.
Jim Cramers best friend.
He should've gone long on GME 🤣
Omo Naija, MO le fi eyin shi Pepsi... 😏😏
watching this with a nice salad with croutons
I have some good diversified ideas on profitable investment however it’s not for public consumption, buzz me 📩
Africa's merchants probably would make chinese merchant seems honest
🤡
It is especially difficult to make money from the black continent.
jumia is pumping
Oh I lost a lot of money on this one boy
Jumia is long term....
Hmmm... I wonder how many Nigerian princes have invested in this particular endeavor? Just curious.
I have some good diversified ideas on profitable investment however it’s not for public consumption, buzz me 📩
It was too soon to go public
StAy AwAy!!! Jumia is owned by Samwa Brothers (Rocket Internet) StAy AwAy!!!
I have some good diversified ideas on profitable investment however it’s not for public consumption, buzz me 📩
I'd suggest you to get a better microphone. It would give the viewers a way better listening experience. The high frequency letter like the "S" are a bit uncomfortable to listen to.
I have some good diversified ideas on profitable investment however it’s not for public consumption, buzz me 📩
I have some good diversified ideas on profitable investment however it’s not for public consumption, buzz me 📩
100 in 2025
👆👆 for profitable ideas on investing
Sounds like a fake Amazon/Chinese-Amazon version of Amazon haha
You stated that Africa is a very poor continent. When you make statements like that, you need to provide context. Africa wouldn't be poor if Europe didn't rape and pillage it.
but what about hte corruption?
🔥🔥🔥
Stooping to ordinary pump and dump scams.
Will go bankrupt.
If JMIA price $69, I like this video but now JMIA price $9 I dont like this video
Something something back to 20$ fast
This guy is like a crypto guy going into NFT’s. 😂 Scam artist.