Millions of consumers hesitate to pay digitally in Africa, not because of technology gaps, but because of trust. In markets where consumer protection is poorly enforced, many buyers simply do not believe that they’ll be treated fairly when things go wrong. When a product never arrives, is damaged, or a payment is disputed, the path to redress is often unclear or nonexistent.
Recent research shows that more than half of online consumers are unaware of their rights, and three-quarters don’t know existing e-commerce protection laws. That lack of awareness, compounded by weak enforcement, pushes consumers to rely on Cash on Delivery (COD), a safety mechanism that slows digital commerce adoption and limits formal sector growth.
But the problem isn’t just regulation, it’s perception. In an environment where refunds and complaint resolutions are rare, consumers assume digital systems favour sellers, not buyers.
Transparency as the New Trust Currency
In low-trust markets, transparency itself becomes a competitive advantage. Clear refund and return policies, written in plain language, visible on every product page, and communicated through local languages, can shift behaviour faster than advertising.
Take Nigeria: between March and August 2025, the Federal Competition and Consumer Protection Commission (FCCPC) helped consumers recover more than ₦10 billion in refunds across fintech, banking, and FMCG sectors. The visibility of these cases matters as much as the refunds themselves, it demonstrates that accountability is possible, even where enforcement is inconsistent.
For businesses, publishing refund statistics, response rates, or case resolution timelines sends a powerful market signal. It tells customers: “We’re not just selling, we’re listening.” And that credibility drives willingness to pre-pay.
Hybrid payment models, such as partial COD or escrow services, can further bridge the gap for first-time digital buyers. When funds are held until satisfaction, perceived risk declines, and conversion rates climb.
Regulation and Responsibility
In the absence of strong enforcement, the burden of building trust falls to the private sector. Brands, fintechs, and marketplaces must lead the charge by institutionalising transparent consumer practices. This includes rapid complaint acknowledgement, multiple communication channels (WhatsApp, chat, SMS), and proactive collaboration with regulators or consumer protection agencies.
Ultimately, in markets where rules are weak and trust is scarce, the most powerful growth strategy is clarity. Brands that make their refund and complaint systems simple, visible, and responsive will in fact shape the next phase of Africa’s digital economy.
