Capitalising from E-commerce in South Africa

Commercial brands operating in Africa can use e-commerce platforms and logistics chains to diversify their businesses and better serve their customers, provided that the quality of the experience, customer communications and delivery channels are performed professionally. 
South Africa’s eCommerce market value reached an impressive R55 billion in 2022. The sector has been enjoying a 35% year-on-year increase in value, resulting in big players within the eCommerce sector turning their focus on South Africa.
According to reports, online sales growth was driven by increased demand for home deliveries which started during the extended lockdowns of Covid-19. Post covid, South Africans have become accustomed to the convenience of ordering online and continue to do so. With this said, it is predicted that the country’s eCommerce sector will grow by a further 25% in 2023, generating an estimated R68 billion in sales.
It's no secret that Covid-19 pushed brands to start thinking about online services. In fact, if brands want to remain competitive, they have no option but to keep up with consumer demands which are to position their brands and products where consumers are spending their time – which is online – both on social media and on eCommerce channels.
The increased demand for online retail is mainly due to Africa’s growing and youthful population, increased penetration of mobile and digital devices and exponential connectivity throughout the continent. According to the ‘2022 South African Digital Customer Experience Report’ eCommerce in Africa is not only for the affluent, but research also shows that more than half of the sample that was included in the study were consumers whose income is less than R10 000 per month.

“African e-commerce is growing faster than that of Latin America and Europe” 

Entering the African market with eCommerce

While before brands might have dismissed implementing an online/eCommerce strategy, it is becoming increasingly difficult to ignore. The consumers of today do thorough online research before purchasing, whether it be online or in-store. For example, a positive Google review potentially leading to an in-store purchase has become imperative. Consumers now take note of competitors, alternative pricing, research products and product reviews before making a purchase. If your brand is not easily searchable online, you have a very limited chance of consumers being aware of your brand.

New companies or brands entering the African market, therefore, must reconsider their digital market entry strategy. It’s become dangerous to disregard digital marketing and online sales channels – these sales tactics are no longer niche behaviours and shouldn’t be considered as an optional strategy. The African market is increasingly starting to dabble in new technologies and is holding brands accountable for their promises - by reviewing products and services online before they buy offline. The digital world has given consumers purchasing power – they can now instantly switch brands and spend their money elsewhere all with the click of a button.

Why Taking Your Business Online is a Smart Strategy

  1. Increase brand recognition

  2. Minimal B2B marketing costs

  3. Lower customer acquisition costs

  4. Higher order value and volume

  5. Pre-set minimum order quantities

  6. Offload international distribution

  7. Reduced operational costs

Now that we have convinced you that eCommerce should run parallel to your normal sales strategy, your next step is to identify a reliable eCommerce platform that is positioned in the African market on which to enlist your products. Look no further; Enterprise Africa is a reputable eCommerce platform that is specially designed to assist foreign companies with market entry by targeting African B2B wholesale buyers. We offer both local warehousing and international dropshipping solutions.

To get started, contact us at

E-commerce made easy!



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