- Shoprite has introduced an online shopping and bulk delivery service for small businesses and spaza or tuck shops in South Africa.
- This development, which signifies the first move into eCommerce by Shoprite-owned Cash & Carry, a wholesaler, will allow customers to browse and purchase a wide range of goods at highly competitive prices through a fully automated online shopping system, with free delivery within a 50km radius.
- According to a statement, spaza shops and smaller retail businesses face significant challenges such as high transportation and fuel costs, difficulties in meeting demand within the informal sector, overstocking resulting in high carrying costs, increased theft risks, and cash flow challenges.
The company also offers customers several payment options — online and in-store — including credit and debit cards, EFT, store credit, cash upon collection, and Shoprite’s Money Market Account which will further enhance their convenience.
“The new Cash & Carry digital platform provides customers with reliable and visible stock access and delivery services that eliminate the need to store excess inventory, frees up much-needed cash flow, and gives business owners more time on the shop floor to focus on their customers and business growth,” Mark Cotton, Head of B2B eCommerce for Shoprite said.
He clarified that the updated system simplifies the purchasing and fulfilment procedures for Cash & Carry’s in-store traders. This enables them to log in, retrieve customer and product details, and create and complete orders efficiently. Additionally, orders can be saved for later use.
In August 2021, Shoprite Group launched a new digital business hub, ShopriteX integrates data science, technology, and innovation with its operational capabilities to deliver improved customer experiences. This was a part of the Group’s strategy to grow its ecosystem of value for consumers and monetise new and diverse revenue streams.
Statista’s Digital Market Outlook estimates approximately 11.7 million eCommerce users in South Africa are projected to be registered in 2025, increasing to 21.52 million users by 2029.
This development signifies further growth in the eCommerce market of South Africa as the market is said to be growing at an unprecedented rate with a forecast growth at a CAGR of 12.5% within 2022 - 2027. It will also intensify the existing competition in the eCommerce market with the existence of platforms like Amazon and Takelot.
