The e-commerce sector is growing rapidly as retailers take note of South Africans’ growing preference for online shopping. From small start-ups to large retailers, e-commerce platforms are striving to give customers more freedom of choice when it comes to payment options.
Mishaan Ratan, Rentoza Chief Marketing Officer says, “Amazon coming into the market definitely highlights that ecommerce is becoming a more lucrative opportunity and a global player such as Amazon deciding to focus on South Africa is great for growth of the model in the local market.”
The South African e-commerce market is projected to be worth just under R250 billion annually and is still expanding quickly and will continue to due to the move of Amazon to South Africa. Because there are no physical boundaries and a quicker purchasing process, e-commerce is advantageous to its customers and for the past two years, South Africa has experienced e-commerce growth that has been on average 43% greater than the global average growth rate of roughly 21%.
The opportunity to create comprehensive business strategies and to become familiar with the complex workings of this online retail model means that South African operators are going to need to instil innovative solutions that attract and retain customers. This is made more urgent with the impending arrival of Amazon.
Mishaan Ratan from Rentoza is available to speak on the impact of Amazon’s move to e-commerce and how subscription can fulfil an interesting niche as a payment option for consumer goods:
• What is the state of SA’s e-commerce landscape?
• Explain the raise of different payment options and what they mean for the market?
• How does subscription fit into this?
• How does a business like Rentoza feel about Amazon when compared to more analogous retailers like Takealot?
• The world is already accustomed to e-commerce; do you think subscription services and rentals will catch on in SA as well?
