As the saying goes, the only thing constant in the world is change. This saying is particularly important when it comes to business ideas one intends to pursue.

There are business ideas in Nigeria that used to be very lucrative and promise huge returns on investments, but due to changing technology, or oversaturation of the market, these ventures are no longer as profitable as they use to be.

If you are looking to start a business in Nigeria, here are some business ideas to avoid as they might no longer be as profitable as they once where in the past.

1. Internet cybercafés
For those that were around in the 2000s and even in the early to mid-2010s, they know that cybercafés used to be a very lucrative business idea in Nigeria. Those that couldn’t afford their own personal computers often congregate at the cafes to use public computers for a fee. The relatively high cost of data during this period also drove many to cafes.

Unfortunately, almost everyone now has a computer with internet access on their phones. People no longer need to use public computers anymore as they can do most things they need the internet for on their phones.

However, existing cybercafé owners can convert their business into a computer business centre where they help people with things like printing and editing documents, lamination, and all forms of online registration. Businesses that have rows of computers can also use their location for Jamb coaching to familiarize students with CBT exams.


2. Sports betting centers
Sports betting shops used to be an extremely lucrative business idea in Nigeria in the early 2010s. Punters will go to a shop to place their bets on various sports competitions and the shop owners will get a cut of all bet placed at their locations.

But with the increasing negative stigma now associated with betting, most gamblers now place bets on their phones to avoid being seen in the midst of other gamblers.

Sports betting shops also became a bit over saturated with one at almost every street corner in Nigeria. Its much easier for people to place bets online, and the oversaturation of the market is what makes sports betting centers less lucrative as a business idea in Nigeria today.


3. Recharge card printing
There was a time when recharge card printing business was the most lucrative venture in Nigeria. Recharge cards were the best selling items in Nigeria, even better selling than garri and pure water.

But now, young people don’t make calls as much as they used to, most people send messages on WhatsApp, Facebook messenger and other online chat apps. Also, most people now recharge their phones digitally from their bank apps, or other payment apps, or even via ATM machines.

All these, coupled with the fact that the profit margin on each recharge card printed is about 5%. The starting requirements to enter into the already saturated recharge card printing business makes it less lucrative. Those already in the business might be making profits, but it is not an advisable business to venture into for a newbie without experience.

4. POS Business
This might sound controversial because most POS stands in Nigeria today, are less than 5 years in the business.

But the fact is, POS stands are an oversaturated business idea in Nigeria today. Almost every shop has a POS vendor attached to it. The oversaturation is further amplified by the fact that most Nigerians would rather queue at their banks to avoid paying the charges on withdrawals.

Other value added services provided by POS vendors like bill payments can be done by most people on their smartphones.

POS business needs a good location with plenty of foot traffic to be profitable, unfortunately, most of these locations are already saturated with other POS vendors.

5. Blogging and online content creation
It used to be easier times when one can just create a website and have it monetized with Google AdSense within months.

Now, thousands of Nigerians are creating a blog daily. The Google search results page can only display 10 results at a time, this means that the competition to get into that top 10 spots is far tougher than it used to be.

The same thing also applies to other forms of content creation, almost everyone with a smartphone can now create TikTok and Instagram contents. To truly stand out on those platforms and make any profits, one has to be exceptionally gifted or lucky to turn content creation into a full time job.

Wrapping up
Business ideas in Nigeria or anywhere else has to be dynamic enough to keep up with the times to stay profitable. A good business idea should not just be good in the short term, but should also have long term survivability.

It is okay to be sentimental about an idea you’ve seen worked in the past, and perhaps with a bit of luck and plenty of hard work, it might work again in the future.

https://loancrib.com/top-5-business-ideas-that-are-no-longer-lucrative-in-nigeria/

Nice article... I couldn't agree. Almost all of the business here are going extinct except of course for Shop betting.

Modern society is very dynamic, what works today may no longer work tomorrow

Is pure water production still a lucrative business in Nigeria?

Internet cybercafes died a long time ago in Nigeria