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Amazon’s Bold Move: Online Shopping Service Launches in South Africa

Daniel Kim Views  

Amazon has thrown down the gauntlet to many online retailers led by Naspers’s Takealot.

Amazon announced on the 7th (local time) that it will launch an online shopping service in South Africa.

Amazon Africa will offer same-day and next-day delivery through more than 3,000 pickup points. Shoppers can get free shipping on their first order, and subsequently, they can receive free shipping for orders over 500 Rand ($27.07).

In addition, South African customers can select and shop for domestic and foreign brands from over 20 different product categories, including consumer electronics, home and small kitchen appliances, including Apple, and other international brands, through Amazon.

The service’s launch comes as South Africa has seen a surge in online shopping since the pandemic. Retailers have doubled their investments in response, allowing the country to boost e-commerce.

Robert Koen, Executive Director of Amazon’s Sub-Saharan Africa region, said, “Building strong relationships with South African brands and businesses is very important to us. We want Amazon to reach millions of customers.”

On the other hand, South Africa, Africa’s most advanced economic region, is typically considered a good entry point for businesses expanding into the continent. Analysts have previously suggested that Amazon could adopt a similar strategy.

The growing and evolving retail sector in South Africa has also attracted international fast-fashion e-commerce retailers such as Shein and Temu. These retailers are growing rapidly due to strong demand for affordable clothing. Temu launched in the country earlier this year.

Retailers are doubling their e-commerce investments as Internet connectivity and smartphone penetration increase.

Daniel Kim
content@viewusglobal.com

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