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Africa's most advanced economy is usually seen as a good entry
point for companies to expand into the continent and Amazon
could be doing the same, analysts have said in the past.
The launch of its service comes at a time when South Africa has
seen a sharp rise in online shopping after the pandemic created
an opportunity for e-commerce to finally take hold, with
retailers doubling down on investments in response.
Amazon.co.za will offer same-day delivery and next-day delivery
with more than 3,000 pickup points. Shoppers will get free
delivery on first orders, followed by free delivery for
subsequent orders above 500 rand ($27.07), it said in a
statement.
Customers in South Africa will be able to shop from a selection
of local and international brands across 20 different product
categories such as consumer electronics, home and small kitchen
appliances, including international brands such as Apple, Amazon
said.
More than 60% of the items sold in Amazon's stores globally are
from independent sellers - most of which are small and
medium-sized businesses.
"Building a strong relationship with South African brands and
businesses is incredibly important to us. We want Amazon.co.za
to be the place where they can reach millions of customers,"
said Robert Koen, managing director of Amazon Sub-Saharan
Africa.
South Africa's growing and evolving retail sector has also
attracted international fast fashion e-commerce retailers Shein
and Temu, with their rapid rise driven by robust demand for
their low-priced apparel. Temu launched in the country earlier
this year.
Retailers are also doubling down on e-commerce investments as
internet connectivity and smartphone penetration rises in the
country.
($1 = 18.4720 rand)
(Reporting by Nqobile Dludla, Editing by Louise Heavens)
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