Takealot Bets On Townships To Fend Off Global Rivals
Attracted by growth potential and South Africas strategic position, companies have invested in the countrys price-conscious e-commerce market. Among the international names that have made inroads are Chinese fast-fashion retailers Temu and Shein.
A few months after PDDs Temu started selling into South Africa in January, US retail giant Amazon followed suit in May.
You cant argue that they had an impact on the overall retail environment, Frederik Zietsman, Takealot Group CEO, said in an interview, referring to the Chinese players and Amazon. I think more dramatically, the cost of doing business has gone up significantly.
Companies regard South Africa as an entry point to expand into the continent because it has more mobile internet users, higher smartphone penetration and a proliferation of new payment methods such as buy now, pay later BNPL.
Takealot Group, owned by Naspers, houses Takealot.com which sells items from household goods to electronics and food and grocery delivery platform Mr D.