The verdict in three sentences
The last mile is the number-one cost and dissatisfaction driver for e-commerce in Lagos: between 1,500 and 4,000 NGN per run with an 8 to 15% failure rate. The cause is almost never the courier but the address: a customer describing their neighborhood instead of sharing a GPS pin. Aggregating several couriers (Gokada, local bike, dedicated service) through a routing API cuts cost by about 20% and makes the delivery window reliable.
What the last mile really costs
The price a courier quotes doesn't tell the whole story: you must add failed deliveries, returns, and time spent on the phone. Here is the 2026 order of magnitude for Lagos and its outskirts.
| Item | Lagos Island/Mainland | Outskirts | Interstate |
|---|---|---|---|
| Single run | 1,500 NGN | 2,500 NGN | 4,000 NGN+ |
| Average delay | 2-4 h | 4-8 h | 24-48 h |
| Failure rate (1st attempt) | 8% | 12% | 15% |
| Cost of a 2nd attempt | 1,000 NGN | 1,500 NGN | 2,000 NGN |
| Share of average basket | 10-14% | 14-18% | 18-25% |
A failure is never neutral: it triggers a second run, ties up support, and delays cash-in. Cutting the failure rate from 12% to 6% is often worth more than a price cut.
Aggregate couriers instead of marrying one
Plugging several couriers behind one interface lets you pick, order by order, the best cost/delay trade-off. The router compares offers and assigns the run automatically.
| Strategy | Avg cost/run | Delay | Failure rate | Flexibility |
|---|---|---|---|---|
| Single fixed courier | 2,500 NGN | 6 h | 12% | Low |
| Gokada only | 2,000 NGN | 3 h | 9% | Medium |
| Multi-courier via API | 1,900 NGN | 3 h | 7% | High |
| In-house fleet (>50 orders/day) | 1,600 NGN | 4 h | 6% | Full control |
Mandatory GPS addressing at checkout (WhatsApp location share or map pin) is the most profitable lever: it removes half the failures caused by "the customer couldn't be found."
Mini case study
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Amaka runs a cosmetics shop in Lagos and ships 300 orders a month. With a single courier at 2,500 NGN and 12% failure, her real cost per order is 2,500 + (0.12 × 1,500) = 2,680 NGN, i.e. 804,000 NGN/month. Switching to multi-courier with GPS addressing (1,900 NGN, 7% failure), she drops to 1,900 + (0.07 × 1,000) = 1,970 NGN, i.e. 591,000 NGN/month. Savings: 213,000 NGN per month, before counting fewer support calls.
FAQ
Should the GPS pin be mandatory at checkout?
Yes, it's the number-one lever. A shared GPS pin (WhatsApp or map) drops first-attempt failures from about 12% to 6%, saving a second run on one order in sixteen.
Does Gokada cover all of greater Lagos?
Coverage is strong on the Island and Mainland, more variable on the far outskirts and interstate. That's exactly why a multi-courier system helps: it falls back to a local bike where Gokada doesn't go.
How much does delivery represent in the average basket?
Between 10 and 18% in Lagos, up to 25% interstate. Beyond that, customers abandon. Free delivery above a threshold (say 25,000 NGN) helps lift the basket rather than absorbing the cost.
Is aggregating couriers worth it for a small shop?
From 100 orders a month, yes. Below that, one good courier with GPS addressing is enough. The multi-courier API pays off once volume allows negotiation and failures get expensive.
Let's talk about your project. We integrate Gokada and multi-courier routing straight into your store. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
