Over a month after its highly anticipated launch, Amazons entry into South Africas e-commerce market has sparked more curiosity than disruption. While the retail giants arrival generated significant buzz, early signs suggest a cautious, measured approach.
This strategic slow burn contrasts with expectations of an immediate onslaught. Instead, the tech giant seems to be taking a slow and steady approach, leaving many to wonder - is this a calculated move or a missed opportunity?
South Africas burgeoning e-commerce scene provides the context for Amazons strategic play. As Discovery Banks SpendTrend24 report highlighted, South African shoppers are already familiar with Amazon, frequently visiting the US site - Amazon ranks as the third most visited e-commerce platform in the country, per the report.
With the online shopping scene thriving, boasting an estimated 9.3% annual growth rate , outpacing the global average, and a projected value exceeding USD 6.4 B by 2028, this flourishing market with its existing customer base, piqued Amazons interest.
"Building a strong relationship with South African brands and businesses - small or large - is incredibly important to us. We want Amazon.co.za to be the place where they can reach millions of customers, said Robert Koen, Amazons managing director for sub-Saharan Africa, during last months official launch.
