DOI: https://doi.org/10.36347/sjebm.2025.v12i11.004

Pages: 298-307

The adoption of artificial intelligence (AI) technologies in e-retail logistics is transforming delivery performance, especially in urban centers of emerging economies facing infrastructural and operational challenges. This study investigates the impact of AI-driven logistics optimization on delivery performance in Lagos, Nigeria, with a focus on Jumia, Africa’s leading e-commerce platform. Using a combination of empirical evidence, urban simulations, and review of 79 scholarly studies, the research analyzes AI applications in route optimization, predictive analytics, and electric vehicle routing within Lagos’s congested and complex urban environment. Findings indicate that AI adoption can reduce delivery times by approximately 22-25%, decrease travel distances by 15-18%, and lower operational costs by 10-12%. However, these benefits are influenced by contextual factors including traffic congestion, road infrastructure quality, digital connectivity, and regulatory frameworks unique to Lagos. The study contributes empirical insights into AI’s operational impact in African megacities, and offers strategic and policy recommendations for enhancing e-retail delivery performance, sustainability, and competitive advantage.