July 10 (THEWILL) — Nigeria’s food service industry has grown into an estimated $11.09 billion market in 2025, driven by rising consumer demand and the increasing adoption of digital payment solutions, according to a new case study by Moniepoint.
The report highlights how digital payments have transformed the sector by enabling food businesses to process transactions more efficiently, expand sales channels and improve customer experience despite prevailing economic challenges.
According to Moniepoint, food vendors are often among the first businesses to establish operations in emerging neighbourhoods, alongside pharmacies and Point of Sale (POS) operators.
The company noted that many entrepreneurs also run multiple businesses, reflecting the adaptability that characterises Nigeria’s informal economy.
The report said the industry has evolved significantly over the past four decades, transitioning from largely cash-based roadside food vendors to a digitally enabled ecosystem comprising quick service restaurants, online food delivery platforms and cloud kitchens.
Moniepoint attributed much of this transformation to the widespread adoption of real-time digital payments, which have reduced transaction friction for merchants and consumers while supporting business growth.
The study also estimated Nigeria’s online food delivery market at $1.04 billion in 2024, noting that the segment has created new revenue opportunities for restaurants beyond traditional dine-in services.
Drawing on data from its payment network, Moniepoint said food and beverage businesses represent the second-largest merchant category on its platform after retail.
Its payment terminals are used by a wide range of operators, including quick service restaurant chains, neighbourhood eateries, bakeries, fine dining outlets and late-night food vendors.
The company noted that reliable payment infrastructure has become a key competitive advantage as consumers increasingly demand seamless digital transactions.
It added that while Nigeria’s cashless policy initially exposed weaknesses in payment systems, continued improvements in digital financial services have enabled food businesses to remain resilient and sustain operations.
Moniepoint said the findings reflect the evolution of Nigeria’s food service industry into a multi-billion-dollar ecosystem supported by more than 800 quick service restaurant outlets and an expanding digital commerce landscape
Ogochukwu Onwaeze is a writer specializing in business and economic journalism. At THEWILL News Media, she translates market trends, financial developments, and policy shifts into clear and engaging stories.
