10 Traits of Successful Business in Nigeria

If there’s one thing Nigerians know how to do, it’s find creative solutions even when the odds are stacked against them. With a population of over 220 million people and a vibrant, youthful workforce, the country is a breeding ground for entrepreneurs. 

According to the SMEDAN/NBS MSME Survey (2021), there are about 39.6 million micro, small, and medium enterprises in Nigeria, contributing nearly half of the country’s GDP and employing over 86% of the working population. 

Yet, the World Bank estimates that 4 in 5 Nigerian startups and SMEs fail within their first five years. So, what separates the winners from the rest?

Let’s break down the traits that set successful businesses in Nigeria apart, using data, real-world stories, and lessons from Nigeria’s toughest markets.

1. Solving Real Problems

Every truly successful business in Nigeria starts by fixing a pain point for ordinary people. The biggest names, like Paystack and Flutterwave, became industry leaders by tackling the everyday struggle of making and receiving payments.

In a PwC Nigeria MSME survey, 79% of high-growth entrepreneurs said their main reason for launching a business was to meet a real, local need.

It’s not just tech. Local tailors offering speedy “express” sewing services, pure water sellers meeting the need for affordable clean drinking water, and agro-businesses supplying farm-fresh produce in cities all succeed because they solve urgent problems.

Tip: Want to succeed? Ask: “What is stressing people in my area, and how can I make life easier for them?”

2. Customer Obsession

Nigerian consumers have high expectations. According to Microsoft’s 2018 Global Customer Service Report, 74% of Nigerians will leave a brand after just one bad experience.

Top businesses know this and treat customers like kings. Jumia, for example, offers multi-language customer support, while local food delivery brands respond within minutes on WhatsApp and Instagram.

Winning businesses collect feedback, respond quickly, and personalise their services. Some even use customer data to offer discounts or birthday deals, building loyalty in a market where word-of-mouth is everything.

3. Adaptability and Agility

Change is constant in Nigeria: foreign exchange rates fluctuate, new government regulations emerge overnight, and logistics can become chaotic. During the COVID-19 pandemic, businesses that went digital or adopted e-commerce grew revenues by up to 15% (McKinsey, 2021). On the flip side, many traditional businesses struggled.

A classic example is the quick rise of online learning platforms like uLesson and Edukoya, which adapted fast when schools were shut down, securing huge user growth and investor interest.

Practical tip: Stay flexible. When laws or the market change, don’t be afraid to pivot your business model or try new channels.

4. Strong Leadership and Vision

Behind every thriving Nigerian business is a leader with grit and clear direction. The 2019 LinkedIn Africa CEO Report found that Nigerian businesses led by visionary CEOs outperformed peers by up to 40% in growth. Leaders like Ibukun Awosika (First Bank) and Sim Shagaya (Konga, uLesson) are known for making bold moves and keeping teams focused, even when the economy is unpredictable.

Great leaders in Nigeria are also street-smart. They negotiate well, motivate staff, and stay cool under pressure, ensuring the team delivers even during tough times.

5. Smart Marketing

In Nigeria, you must be seen and heard to win. There are over 154 million internet users in the country (NCC, March 2024), and social media trends shape everything from fashion to politics. Successful brands invest in digital marketing, work with influencers, and use catchy local phrases and memes to connect with customers.

For instance, Detty December campaigns fill hotels and events in Lagos every year. Smaller businesses use WhatsApp status and Instagram reels to show behind-the-scenes action and engage with followers in real time. A Google Nigeria study shows that 62% of online shoppers discover new brands through social and digital ads.

6. Financial Discipline

60% of Nigerian MSMEs fail due to poor financial management (PwC, 2020). The survivors are those who budget, track expenses, and reinvest wisely.

Some use accounting apps like Wave or QuickBooks; others stick to spreadsheets and receipts, but always know where their money goes.

Financially disciplined businesses avoid taking on too much debt, plan for cash flow gaps, and build up rainy-day funds. It’s not about having millions in the bank, it’s about making every naira count.

Tip: Pay yourself a salary, separate business from personal accounts, and save regularly, no matter how small.

7. Innovation

Innovation is at the heart of Nigeria’s most resilient businesses. The 2023 Global Innovation Index ranked Nigeria 62nd out of 132 countries, but homegrown brands are catching up fast.

Companies like ThriveAgric connect farmers directly to markets using mobile apps, while fintech startups experiment with blockchain for easier cross-border payments.

On a smaller scale, bakeries offer gluten-free options, and local mechanics use YouTube tutorials to learn new car models. Nigerian entrepreneurs are natural innovators—always finding ways to cut costs, add value, or solve problems with limited resources.

8. Building Relationships

In Nigeria, your network is your net worth. Successful entrepreneurs build strong relationships with suppliers, landlords, community leaders, and government officials.

The World Bank’s Doing Business 2020 report highlights that SMEs with robust networks are twice as likely to survive five years or more.

Events like Lagos Startup Week and Trade Fairs aren’t just for deals, they’re for making connections that open doors later. Businesses that give back to their communities or support local causes also earn customer goodwill.

9. Consistency

Nigerians are quick to spread the word about good and bad experiences. 91% of consumers trust recommendations from friends and family (GeoPoll, 2022). That’s why the most successful businesses deliver on their promises every time.

Whether it’s the local tailor delivering your outfit before your owambe, or a logistics company dropping parcels on time, consistency breeds trust—and trust builds repeat business.

10. Focus on Quality

Even when budgets are tight, quality stands out. A Nielsen Nigeria retail audit found that 70% of Nigerians are willing to pay more for trusted products and services.

Businesses that invest in reliable materials, skilled staff, and rigorous quality checks win loyal customers, positive reviews, and long-term growth.