KPMG Report: Nigeria Rapidly Becoming a Mobile-first Economy

•Smartphone Penetration Climbs to 75% in 2025 from 64% in 2023

Dike Onwuamaeze

A study by KPMG Nigeria and Orange Group has declared that Nigeria was rapidly becoming a mobile-first economy as smartphone penetration climbs to 75 per cent in 2025 from 64 per cent in 2023.

This trend, according to KPMG, was accelerating the shift to smartphones from feature phones whose market share dropped from 36 per cent in 2023 to 28 per cent in 2025.

The report, whose survey covered 13,251 respondents, also revealed that 88 per cent of smartphone users in Nigeria had Android apps.

It stated that “Android’s 88 per cent market share makes it the de facto platform for Nigeria’s digital economy, reinforcing the need for Android-first product and app strategies.

“Findings show that Android remains the dominant mobile operating system in Nigeria, accounting for the vast majority of smartphones in use.

“Android’s market share increased slightly between the previous study in 2023 and 2025, reflecting the continued popularity of affordable Android devices manufactured by a wide range of global and regional smartphone brands.

“In contrast, Apple’s iOS continues to maintain a relatively smaller share of the Nigerian market.

“While iPhones remain highly regarded for their premium design and performance, their higher price points limit widespread adoption compared to Android devices, which offer a broader range of affordable options suited for Nigeria’s price-sensitive market.”

The report showed that social media and communication apps top the list of app categories used in Nigeria.

According to the report, a small group of digital utilities dominates Nigerian smartphones, with WhatsApp, Facebook and Xender commanding 95, 87 and 77 per cents respectively.

The report attributed their dominance to their wide utility and frequent pre-installation on smartphones.

It highlighted WhatsApp for communication, Facebook for social connectivity and Xender for offline file sharing.

It said that almost every respondent interviewed for this project had one or more social media apps on their phone.

“This is followed by banking and fintech applications with adoption level reaching as high as 88 per cent among respondents.

“This reflects Nigeria’s rapid shift toward digital financial services as consumers increasingly rely on mobile applications for payments, transfers and financial management.”

According to the report, the widespread use of fintech platforms highlights the growing demand for convenient, accessible financial services across Nigeria.

It said: “Mobile banking apps, digital wallets and fintech platforms have significantly improved financial inclusion by providing consumers with alternatives to traditional banking infrastructure.

“For financial institutions and technology companies, this trend signals continued opportunities for innovation within Nigeria’s fintech ecosystem.

“As smartphone adoption grows and digital literacy improves, the demand for secure, user-friendly financial applications is expected to expand even further.”

The report also stated that affordable Chinese brands dominated Nigeria’s device market, with Tecno, Infinix and Itel controlling 25, 24 and 10 per cents of the market respectively.

The report highlighted “the strong presence of Chinese smartphone manufacturers, particularly brands such as Tecno, Infinix and Itel.

“These brands have successfully captured large segments of the Nigerian market by offering affordable devices specifically designed for emerging markets, combining competitive pricing with features tailored to local consumer needs.”

It added that premium smartphone brands such as Apple and Samsung also maintained strong brand recognition, although their market share is comparatively smaller due to higher device costs.

“Despite this, these brands continue to attract consumers seeking premium device experiences, advanced camera capabilities and strong ecosystem integration.

“Overall, the smartphone brand landscape in Nigeria reflects a market driven largely by affordability and functionality.

“Brands that successfully balance price competitiveness with reliable performance are more likely to achieve widespread adoption among Nigerian consumers,” the report said.