Nigeria

Chained limited-service operators continue to perform well in 2023 despite the high inflation that has impacted consumers’ purchasing power. The desire to eat out or order quality and hygienic food online among generation Z and millennial consumers…

In 2023, mass beauty and personal care in Nigeria derived some traction from consumer incomes being impacted strongly in a weak economy. In general, consumers sought cheaper brands, especially for perceived essential categories like skin care. Mass…

Meals and soups declined in volume terms in 2023 following a strong negative decline in 2022. This remains a relatively niche category in Nigeria and is widely considered non-essential. Consequently, as consumers focused on essentials and sought to…

This Megatrends report highlights long-term trends resulting from shifts in consumer values and behaviour. It provides a summary of each of Euromonitor International’s 10 focus megatrends and insights as to how each trend has manifested in Nigeria.

Like other categories of beauty and personal care, men’s grooming in Nigeria was negatively impacted by poor economic conditions in 2023. While the category grew in retail current value terms, retail volume sales and retail value (constant 2023…

Menstrual care recorded deep declines in volume sales in 2023 in Nigeria, with consumer demand falling due to inflationary conditions and reduced purchasing power. Although menstrual care products are usually regarded as essential, many local…

The challenging economic conditions in Nigeria in 2023 led to a strong decline in retail volume terms for menswear during the year. In particular, high inflation limited consumer purchasing power. An increase in unemployment and weak spending power…

The demand for microwaves saw a substantial decline in 2023, primarily due to adverse economic conditions that restricted consumer purchasing power and resulted in soaring unit prices. Heightened inflation, triggered by the devaluation of the local…

Overall mobile phones are expected to register volume decline in 2023. Continuing elevated inflation and also a significant devaluation of the naira leads to a significant fall in consumer purchasing power. In particular, currency devaluation has…

Nappies/diapers/pants recorded deep dips in terms of volume sales in Nigeria in 2023, thanks to the negative impact of poor economic conditions on demand. High inflation caused by rising fuel prices and the depreciation of the local currency…

Lagos and Abuja emerge as vibrant economic centres in Nigeria, with Abuja showcasing potential for future growth and witnessing the fastest population increase from 2022 to 2027. Maiduguri is poised to excel as the city with the highest digital…

Nigeria will remain the largest regional country and one of the biggest globally, as its population continues to be boosted by high levels of natural increase in 2021-2040. The country will also remain one of the youngest globally due to high birth…

Nigeria’s population is projected to expand by 47% between 2022 and 2040, driven by natural increase, with a median age of 21 years dominated by Gen Alpha. The ongoing urbanization is largely unplanned, resulting in the proliferation of slums and…

Oral care in Nigeria recorded strong retail current value growth in 2023. However, as with other categories of beauty and personal care, this reflected strong rises in unit prices amid high inflationary pressure. By contrast, retail volume and value…

Other dairy observes a marginal volume increase in 2023, rebounding from a notable decline experienced in 2022. Despite the persistently high inflationary conditions that contributed to the volume reduction in 2022, the growth rate in 2023 remains…

Nestlé Nigeria Plc dominates retail value sales in 2023. The company achieved this milestone by leveraging its expansive and efficient distribution network, allowing its Milo brand to penetrate remote rural areas across the country. Milo has become a…

Sales of paediatric consumer health products are driven by parents being inclined to invest more to secure the best medication for their children, especially for infants. In this context, imported brands hold greater appeal as they are often…

Personal care appliances faced a decline in volume terms in 2023, primarily due to adverse economic conditions. High inflation, driven by currency devaluation and fuel price hikes, significantly reduced consumer purchasing power. Consequently,…

Weakness in the rule of law is negatively impacting economic freedom in Nigeria, as does pervasive corruption. Significant reliance on the oil sector can lead to volatile economic development, whilst persistently high inflation is adversely affecting…

In 2023, plant-based dairy in Nigeria experiences a reduction in volume, continuing the trend from the substantial decline observed in 2022. Persistent inflationary conditions in 2023 influence both consumer affordability and unit pricing. Despite…

Polishes recorded a decline in retail volume terms, while high inflation rates triggered double-digit retail sales value growth in 2023. Many do not consider polish an essential product, with consumers focused on perceived essentials amid poor…

While media players and e-readers are expected to suffer volume decline, wireless speakers are expected to register a healthy increase in volume sales. Demand for these devices is due to their portability, and connectivity to smartphones, which…

Nigeria remains a mainly cash-driven society, though debit card usage is growing. Pre-paid cards, however, are not a popular option, and while the number of cards is expected to increase, constant transaction value is expected to fall in 2023, as…

Premium beauty and personal care in Nigeria saw strong retail current value growth in 2023. However, all categories struggled in retail volume terms due to poor economic conditions, particularly the effects of high inflation on prices and consumer…

Processed fruit and vegetables saw sharp volume decline in both retail and foodservice terms in 2023 as high inflation caused by local currency depreciation, Federal Government demonetisation policies and fuel price hikes led to substantial increases…

Processed meat, seafood and alternatives to meat in Nigeria saw significant decline in volume terms in 2023 due to unfavourable economic conditions. High inflation as a result of a depreciated local currency, hikes in fuel prices, and a Federal…

In 2023, refrigeration appliances experienced a significant decline in volume terms due to challenging economic conditions, despite being among the most essential categories in Nigeria's consumer appliances sector. Although 2022 had already faced…

2023’s high inflation led to strong volume sales declines for retail adult incontinence in Nigeria. Rising energy costs and a weakened local currency substantially undermined consumer spending power, meaning that many Nigerians were unable to afford…

In 2023, retail e-commerce in Nigeria experienced significant growth and transformation, driven by various developments and trends that shaped the landscape of online shopping in the country. Online shopping witnessed a surge in popularity among…

2023 commenced with significant challenges for retail in Nigeria, including a cash crunch in the first quarter triggered by the central bank's redesign of the local currency. This adjustment impacted many consumers in Nigeria's cash-based economy.…

Retail tissue in Nigeria suffered significantly in terms of volume sales in 2023, with deep declines resulting from the country’s struggling economy. Rising energy costs and high inflation, along with a weakened local currency substantially…

Amid adverse economic conditions, rice, pasta and noodles registered a decline in volume terms in 2023. In particular, relatively high inflation and fuel price hikes limited consumer spending power while unit prices across all brands accelerated. The…

The year 2023 did not witness significant new launches or packaging innovations in RTD tea. Slower growth in RTD tea compared to previous years is attributed to economic slowdowns and naira devaluation, resulting in heightened production costs.…

RTDs in Nigeria witnessed a sharp volume decline in 2023 due to negative economic conditions. High inflation limited consumer spending power, and due to higher production and import costs (largely due to the depreciation of the local currency), unit…

Sauces, dips, and condiments declined notably in volume terms in 2023 despite the essential status of many of the products in the category. Higher prices caused largely by the deprecation of the local currency had a negative impact on volume and…

The savoury snacks market in Nigeria is recording a decline in volume sales in 2023, primarily due to the heightened unit prices that have been sharply escalating since 2022. Inflationary pressures have negatively impacted consumer spending power,…

The self-service cafeterias channel is not present in Nigeria and there are no signs that it will emerge over the forecast period.

In line with the general trend in beauty and personal care, skin care in Nigeria saw strong retail current value sales growth in 2023, but declines in retail volume and value (constant 2023 prices) sales. Like other categories, skin care was hit by…

In 2023, small cooking appliances faced a decline in volume sales due to economic adversity. The surge in inflation caused by currency devaluation and escalated fuel costs severely impacted consumer spending power, triggering a notable rise in unit…

Small local grocers in Nigeria experienced rapid growth in 2023 due to their strategic advantages over larger retailers. Their proximity to consumers allowed for convenient access to essential goods, particularly for those living in densely populated…

High inflation has hindered the development of e-vapour products in Nigeria, due to the strong depreciation of the local currency relative to the US dollar in 2023. Unit prices have increased over 50%, leading to strong growth in current value sales,…

2023 is proving to be a challenging year for snacks in Nigeria, as high inflation continues. Decline in volume sales is affecting all categories, though generally at a much milder rate than was seen in 2022’s sharp fall. Inflationary pressures mean…

Bottled water maintained its status as the fastest-growing soft drink in Nigeria throughout 2023. The persistent challenges in accessing safe drinking water, compounded by unreliable electricity supply, especially in the country's hot climate,…

Spirits was the only category in alcoholic drinks in Nigeria in 2023 to post positive volume growth although most categories recorded volume declines. With negative economic conditions, characterised by high inflation and low spending power,…

Despite a weaker growth trend in 2023 compared to the previous year, the sports drinks sector experienced substantial growth owing to the increasing health consciousness among Nigerians, particularly middle and upper-income consumers. Manufacturers…

Demand for sportswear was negatively impacted by the weak economy in 2023, which was caused by high inflation which weakened consumer spending power as the cost of living rose. Although the category registered healthy growth in current value terms in…

Staple foods saw a decline in both retail and foodservice volume sales in 2023, despite most categories being considered essential by local consumers. Poor economic conditions, exceptionally high inflation and limited consumer spending power forced…

Store cards had no presence in Nigeria over the review period. This is not expected to change over the forecast period. 

The adoption of less restrictive COVID-19 measures in 2021 allowed street stalls and hawkers to resume their activities. While the economic shock of lockdown measures led many consumers to be more conservative in their discretionary spending, demand…

After years of robust volume growth, even under challenging economic conditions, sugar confectionery in Nigeria saw a significant downturn in 2022 in a trend that has carried on into 2023 albeit at a substantially more tempered pace. The main factors…