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How much do African diaspora families really spend on shipping to Europe

November 2024  ·  5 min read

How much do African diaspora families really spend on shipping to Europe

The numbers are large, the savings are real. Here is what diaspora shipping actually costs and what peer delivery changes.

The global diaspora remittance economy is measured in the hundreds of billions. But alongside money transfers, a parallel flow of physical goods moves between diaspora communities and their home countries every year. The costs of this physical flow are rarely examined as closely as financial remittances, but they should be.

What standard courier services charge. A 5 kg package from Lagos to London via DHL or FedEx costs approximately NGN 120,000 to NGN 180,000 (GBP 70-105). The same from London to Lagos: GBP 95 to GBP 150 depending on the carrier and service level.

What peer delivery costs. On Sendways, the same 5 kg Lagos-London delivery costs approximately GBP 75 to GBP 200 for the traveler fee, but this includes services the courier does not provide (door-to-door handoff, direct communication, personal care for fragile items). Savings of 30-60% versus express courier are common.

The aggregate picture. If 10 million African diaspora households in Europe each spend an average of EUR 300 per year on physical package delivery home and back, that is EUR 3 billion in shipping costs. A 40% reduction through peer delivery would be EUR 1.2 billion returned to families.

Beyond cost: reliability. For many African routes, standard courier services have poor last-mile delivery records. Packages go to depots hours from recipients, require multiple failed delivery attempts, or disappear. Peer delivery, where the traveler has a personal relationship with the sender and the recipient, has different incentives.

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