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Lagos-based delivery platform Chowdeck has grown to serve 1.5 million customers in just four years, driven by its focus on fast and reliable service. Now, the company is banking on “dark stores” — dedicated, non-customer-facing fulfillment hubs — to strengthen its quick-commerce operations.

“We started Chowdeck to deliver meals in record time,” explained CEO Femi Aluko in a conversation with Techpoint Africa. “As we expanded into groceries and medicines, hitting under 30-minute delivery with supermarkets and pharmacies became increasingly challenging.”

The company has already opened several dark stores in Lagos, cutting grocery delivery times to 20 minutes or less. By the end of 2025, it plans to establish 40 more nationwide — a notable pivot for a business that, since its 2021 debut, has invested little in physical infrastructure.

To fund this expansion, Chowdeck recently closed a $9 million all-equity Series A round led by Novastar Ventures, with participation from Y Combinator, AAIC Investment, Rebel Fund, GFR Fund, Kaleo, and HoaQ. “Chowdeck is shaping the future of African urban logistics,” said Novastar partner Brian Odhiambo. “Its strong local knowledge, focus on sustainability, and impressive execution are redefining last-mile delivery.”

The raise stands out in Nigeria’s startup scene, where few growth-stage deals have been struck this year. Interestingly, Aluko noted that the round wasn’t initially planned — investor interest surged following strong performance in 2024. The company’s previous raise, a $2.5 million seed round, was completed just months earlier in April.

While food delivery remains Chowdeck’s primary revenue stream, diversification is underway. In 2024, it rolled out Chowpass — a subscription service offering benefits such as free delivery on orders above ₦3,000, reduced service fees, and an ad-free app experience. According to Aluko, over 70% of users renew their subscriptions monthly.

Chowdeck’s ambitions extend beyond Nigeria. In May 2025, it entered Ghana, achieving 1,000 daily deliveries within two months — a milestone that took 11 months in its home market. “Our Nigeria launch involved a steep learning curve,” said Aluko. “We had to experiment with multiple marketing channels and refine our initial strategies before hitting our stride.”

The new dark store strategy aims not only to speed up deliveries but also to cut costs by reducing the distance between storage hubs and customers — a competitive edge against rivals like Glovo, GoLemon, and MyFoodAngels.

The Challenges Behind Faster Deliveries

Despite the promise, dark stores bring operational hurdles. Lagos commercial property prices remain among the highest in Africa, making strategic locations costly. Globally, many quick-commerce firms have wrestled with balancing location, scalability, and profitability.

Labour is another factor. Dark stores require trained teams for order picking, packing, and coordination — specialised roles that increase overhead.

Technology also plays a central role. Effective dark store operations depend on real-time inventory management and seamless system integration. Chowdeck says it isn’t investing heavily in automation yet, but its acquisition of Mira should boost inventory tracking and reduce waste. However, without full automation, scaling could expose bottlenecks.

For Chowdeck, dark stores represent a bold shift in its logistics model. If executed well, they could cement its dominance in Nigeria and establish a blueprint for rapid delivery infrastructure across West Africa, starting with its Ghana expansion.

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