Competition in South Africa’s e-commerce space heated up a notch on Tuesday with the official launch of Amazon South Africa.
Robert Koen, managing director of Sub-Saharan Africa at Amazon, said in a statement that customers will get free delivery on their first order and access to products across various categories, including electronics, sports equipment, toys, and home and kitchen appliances. Products from international and local independent sellers will feature on the multi-national retail giant’s platform.
Prospective customers can access Amazon products by downloading the Amazon app or visiting www.amazon.co.za.
South Africans will have access to 3 000 pickup points, 24/7 customer support, easy returns within 30 days of purchase, and free delivery on orders above R500.
Over 60% of products sold on its platforms globally are sourced from independent sellers, primarily small- and medium-sized businesses. South African enterprises of any scale can now reach customers across the country by selling through the e-retailer.
“The company offers independent sellers access to easy onboarding tools, payment processing solutions, and promotional features to help them get discovered by customers, as well as reports and analytics to improve sales,” it added.
Amazon already has a strong presence in South Africa through its Amazon Web Services (AWS) tech business and operations in Cape Town and Waterfall City in Gauteng.
However, its entry into the retail market is bound to shake up the sector, which includes traditional retailers such as Pepkor, Pick n Pay, Mr Price, Shoprite, TFG, Woolworths, and Massmart, as well as Naspers-owned Takealot.com.
Takealot and its peers are already facing stiff competition from Chinese e-commerce players Shein and Temu, both of which have been aggressively advertising and flooding the South African market with competitively priced products, making it difficult for local retailers to compete.
Takealot has, however, been readying itself for Amazon’s much talked about launch by broadening its services to include one-hour delivery on certain products.
This story first appeared in Moneyweb and is republished with permission.
