Meeting Traditional Trade Where It Exists

Deepankar Rustagi, CEO of OmniRetail, presented a perspective that challenges the conventional view of e-commerce in Africa. At the Lagos Business School E-commerce and Payments Forum, he argued that traditional trade represents not the past but rather the present reality for most consumers.

Rustagi emphasized this point with a striking statistic: “In Nigeria, 95% of all trade occurs through decentralized channels—distributors in markets like Mushin and Agege, as well as countless neighborhood retailers known as Mama Indomie and Auntie Milo stores.” This contrasts sharply with the digital-first approach that often dominates discussions about e-commerce on the continent.

The manufacturer’s dilemma is particularly acute in Nigeria’s $30 billion fast-moving consumer goods (FMCG) market. Companies face significant structural challenges when trying to distribute their products through a fragmented network of millions of retail points—including building sales teams, securing warehouse space, managing logistics, and extending credit.

Building a Network of Networks

OmniRetail’s solution since 2017 has been what Rustagi calls a “network of networks.” The platform connects over 100 manufacturers, thousands of distributors, and hundreds of thousands of retailers across Nigeria and Ghana on a single system—creating unprecedented visibility into the supply chain.

This approach benefits all participants: Manufacturers gain insights into where their products are stocked; distributors access more suppliers; and retailers get a wider selection than any single relationship could provide. Moreover, OmniRetail addresses working capital challenges by embedding financing options directly within transactions, using real-time data rather than traditional collateral assessments.

Beyond Storefronts: Enabling Conversational Commerce

Rustagi also noted that the e-commerce sector has largely focused on digital storefront models that may not align with how Nigerian consumers actually prefer to shop. “Instagram and WhatsApp are probably the two biggest actual e-commerce channels in Nigeria,” he observed.

In response, OmniRetail is piloting AI-powered ordering systems that allow retailers to place orders via natural language—including Pidgin English—without needing a formal interface. This design prioritizes user experience by meeting customers where they already are rather than forcing them into new behaviors.