The verdict in three sentences
A single flat delivery fee is always wrong: it either loses money on the outskirts or scares off nearby clients. Zone-based pricing aligns the price with real cost — 1,000 to 2,500 FCFA intra-city, 2,500 to 5,000 FCFA on the outskirts. A free-delivery threshold at 25,000-30,000 FCFA lifts the average basket by 15 to 25% without destroying margin.
Flat fee, zones or free threshold
The single flat fee is the beginner's trap. Too low, it loses you 2,000 FCFA on every far run; too high, it drives +18% cart abandonment among nearby clients. The three approaches actually combine.
| Pricing model | Delivery margin | Conversion impact | Complexity |
|---|---|---|---|
| Single flat fee | -10 to +30% (random) | Abandonment +18% if too high | Low |
| Zone-based pricing | 0-10% (target) | Neutral to positive | Medium |
| Free threshold | 0% above threshold | Basket +15-25% | Medium |
| Zones + threshold combined | 0-10% controlled | Optimal | High |
The healthy target is a 0 to 10% delivery margin: delivery isn't a profit center but it must not bleed your product margin.
Real cost grid by city (2026)
Here are 2026 orders of magnitude to calibrate your zones. The suggested price includes a slim margin; the free threshold is the amount above which free delivery stays profitable.
| City | Zone | Real run cost | Suggested price | Free threshold |
|---|---|---|---|---|
| Nairobi | CBD / Westlands | 1,000-1,800 FCFA | 1,500 FCFA | 25,000 FCFA |
| Nairobi | Outskirts (Kasarani) | 2,500-4,000 FCFA | 3,000 FCFA | 30,000 FCFA |
| Accra | Central / Osu | 1,200-2,000 FCFA | 1,800 FCFA | 25,000 FCFA |
| Accra | Tema / Kasoa | 2,500-4,500 FCFA | 3,500 FCFA | 30,000 FCFA |
| Lagos | Island / Lekki | 1,000-2,000 FCFA | 1,500 FCFA | 25,000 FCFA |
| Lagos | Mainland outskirts | 2,500-5,000 FCFA | 3,500 FCFA | 30,000 FCFA |
Showing a realistic fee zone by zone reassures: the client understands they pay for distance, not an arbitrary tax.
Mini case study
Kwame, who runs a fine-grocery in Accra, applied a flat 1,500 FCFA fee everywhere. The result: he lost ~2,000 FCFA on every Tema delivery and his basket stalled at 18,000 FCFA. Switching to zones (1,800 FCFA Osu, 3,500 FCFA Tema) and a free threshold at 30,000 FCFA, his average basket climbs to 22,500 FCFA (+25%) as clients add items to reach free shipping. His delivery margin swings from -12% back to +4%.
Become a Kolonell referral partner
Need a professional website?
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A merchant losing money on every delivery is an ideal client for a well-configured store. By referring them to Kolonell, you earn 12% on the e-commerce project, 15% + 5% recurring on a showcase site, 10% on a marketplace, 8% on institutional work. Zone and threshold logic is built into our stores.
FAQ
How do I define my delivery zones?
Start from the real bike-run cost per neighborhood: 1,000-2,500 FCFA intra-city, 2,500-5,000 FCFA on the outskirts. Group neighborhoods into 2 or 3 simple, understandable pricing zones.
Is free delivery profitable?
Yes, if tied to a threshold. From 25,000-30,000 FCFA basket, product margin covers the run and the average basket climbs 15 to 25%.
What fee scares off clients?
A fee shown too high generates up to +18% cart abandonment. A fair, transparent zone fee beats a deterrent flat fee.
Should I deliver at a loss to convert?
No. Target a 0 to 10% delivery margin: neither profit center nor money pit. The free threshold is the tool to absorb edge cases.
Can zone pricing be automated?
Yes, a well-built store detects the zone from the address and applies the fee and threshold automatically.
Let's talk about your project. We configure your zones, fees and free thresholds to protect your margin. 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.
