The appeal of advertising on Chowdeck, Nigeria’s most popular food delivery app, continues growing as its business grows. Chowdeck now claims to have 600,000 users, according to marketing documents seen by TechCabal. It also claims to be the country’s most downloaded food delivery app.
Chowdeck currently delivers around 20,000 orders daily and is looking to more than double that number before the year ends, said one person with knowledge of the business. “[Chowdeck] will expand to other states in the South-South, safe regions in the North and the South-East,” that person said.
If Chowdeck hits its ambitious daily order target, it will make its ad business, even more popular.
Chowdeck declined to comment for this story.
Guaranty Trust, one of Nigeria’s top banks, advertised its share offering on Chowdeck’s app this week on a banner that has previously displayed ads for three other prominent brands. The food delivery company charges ₦250,000 per week for those ads, said one person familiar with the pricing.
“[The company] can put a lot of ads up there,” said one person familiar with Chowdeck’s advertising. If four ads are on the banner, the company can earn ₦3 million weekly without incurring additional operational expenses. The company is also working on personalising ads; “the adverts someone in Lagos will see are not the same someone in [Abuja] will see.”
Those slide–show banners aren’t Chowdeck’s only ad offering. It also offers push notifications ads that cost ₦250,000 per notification and ads on its famous brown delivery bags that cost ₦3 million for 10,000 bags, according to a rate card seen by TechCabal.
It is unclear what the sales team, led by Kennedy Offor, has set as the revenue target for those ads.
Finding advertisers is now part of the KPIs of the sales team, but they have not “aggressively started selling ads.”
If Chowdeck expands its ad business, it will be a boon to a startup that is also profitable after delivery, per a 2023 report.
