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South Africans embrace online shopping and Cyber Monday

This year saw a rise in online spending across the globe, with USA reporting a 20% increase in online shopping on Cyber Monday as shoppers snubbed physical retail stores in favour of missing out on the holiday queues. Locally we are coming to the party, with recent report showing that 9.5% of South Africans are planning on doing their festive shopping online in 2013. Picking up on this trend, and, two of SA’s leading online fashion and furniture retailers, proved that SA is indeed embracing online shopping by breaking their sales records in one day with the launch of their Cyber Monday campaign. Offering customer the opportunity to shop top local and international brands at up to 80% off for 24 hours only, the campaign not only showed that South Africans are shopping online but that they are willing to spend large amounts of money when given the right opportunity. Style36, SA’s ultimate online style destination, set a record number of sales, receiving over 5000 orders in just 24 hours. For the first time ever, the site received over 100 000 visits in one day, a clear indication that South Africans are curious and excited about the prospect of shopping online. Online furniture, homeware and lighting store, 5rooms, went on to record their biggest sale day since inception in 2012 with close to 1000 orders being placed in the 24 hours provided. In total South African consumers spent over R3 million shopping on these two online stores alone. “We are very pleased with the results of our first ever Cyber Monday campaign and judging from the results we achieved, South Africans from all over the country are embracing online shopping. The most positive aspect of the campaign are that we not only managed to give our already loyal shoppers what they want that being incredible deals but also increased our customer base by over 60% in just 24 hours, introducing an entirely new audience to online shopping,” says Remo Giovanni Abbondandolo, Head of Marketing at Style36 and 5Rooms. Cyber Monday in SA proved to be one of the biggest online events of year a promising indication as to where e-commerce is headed in this country. If companies like Style36 and 5rooms continue to set the standard locally, South Africa is sure to hit the big time on the world stage in coming years. This article was contributed to [...]

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MasterCard Online Shopping in South Africa [Infographic]

Here you will see the latest trends in online shopping in South Africa and the impact which both good customer support as well as the credit card penetration is having in the online retail economy.

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The Best Way to Grow your Business in 2014

The South African market is going to be in a competitive space as larger players and international retailers and service providers continue to penetrate the market and seek to absorb sectors currently dominated by SMEs. How can the average business ensure sustainable growth in 2014? One word: Online. Everything, and I mean everything, is moving online. Plumbers see the need to promote themselves online and so do seedling growers, vehicle manufacturers and paper mills. Accounts, orders, communication, storage and recruiting are more efficient online and the list goes on and on. Every year, a percentage of the established markets of both offline advertising and traditional retail are siphoned off by the internet. This is what is growing global e-Commerce at over 20% per annum. While the e-market is growing organically, it’s mainly hijacking existing offline revenues. Despite this, it might seem “safer” to adopt a “wait and see” approach to investments, but it is clear that those pursuing disruptive innovation through leveraging customer relations and efficiencies online are reaping the results. (Just check out some of the market share and brand equity FNB acquired by being a first mover in innovative online consumer engagement.) 2013 is the year to prepare one’s online partners (retail, strategy and media) and draft a serious online investment strategy. I’m not talking about putting up GoogleAds, but seriously considering ways to undercut the competition and offer more value to your clients in 2014 through online efficiencies, portals, information and retail channels. If you’re not, someone else will be. Taking the Pain While some have been burned by over-investing in a limited online market, the majority of innovative internet-launched initiatives are reaping a great ROI. But to avoid painful expenditures and misdirection of online marketing, the business should keep in mind: 1. The Internet = NOT Magic. What doesn’t work, sell or attract offline, probably won’t work, sell or attract online. 2. Is it needed? Is the facility of service being offered online really needed? a. How much time does it same the client? b. How easy is it for the client to do? (If it takes more than 5 seconds for them to figure out the flow, dump the idea.) c. How many current clients do you have that would benefit from this? Don’t expect to triple market-share just because of an online gadget. 3. Is there a way to Test the Market with your approach, [...]

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Getting Started in Ecommerce: What’s a Shopping Cart?

The ecommerce shopping cart is a software package that accepts customer payment and shipping information and facilitates the distribution of that information to merchants, payment processors, or others. At the surface, an ecommerce shopping cart is really something that every beginning online merchant intuitively recognizes. For example, almost no one would consider opening an online store without having made a few purchases online themselves. In the course of buying books from Barnes & Noble or clothes from Gap, that new ecommerce entrepreneur no doubt encountered a shopping cart. From the consumer’s perspective, an ecommerce shopping cart may seem like little more than a web form, little different than an email newsletter subscription or an online registration form. BY ARMANDO ROGGIO at Practical Ecommerce

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4 Good Reasons to Sell Online

Ecommerce sales are growing. Online sales topped $1 trillion worldwide for the first time last year and there are good reasons you should consider selling online now to start getting your share. There are really two kinds of businesses or entrepreneurs that should be considering ecommerce opportunities right now. Small, successful brick-and-mortar retailers that want to see their company grow. Individuals with a passion or interest that translate well into a niche or specialty online store. What follows are four good reasons for these folks — small brick-and-mortar retailers or inspired entrepreneurs — to consider opening an online retail business now. 1. You Can Make Money Selling Online Ecommerce sales for retail goods are growing faster than offline sales for brick-and-mortar stores. comScore, the trend-tracking firm, said that in spite of “continued economic uncertainty, 2012 was a strong year for retail ecommerce. Throughout the year, growth rates versus the prior year were in the mid-teens to outpace growth at brick-and-mortar retail by a factor of approximately 4x.” Separately, comScore noted that online retail sales grew 14 percent year-over-year in the fourth quarter of 2012, reaching $56.8 billion in the U.S. alone. The fourth quarter also represented the 13th consecutive quarter of positive ecommerce growth and the 9th consecutive quarter of double-digit growth. “It is clear that the online channel has won over the American consumer and will increasingly be relied upon to deliver on the dimensions of lower price, convenience, and selection,” said Gian Fulgoni, comScore chairman, in a release. Finally, U.S. retail ecommerce sales represented 10 percent of American retail spending, excluding food, gas, and automobiles, in the fourth quarter of 2012. This is the first quarter in U.S. economic history that electronic commerce represented such a significant part of the total available market for retail consumer goods.                 The fact that ecommerce is growing will not guarantee success for new online retail ventures. But is does offer an opportunity to make money selling online. Where opportunity exists, entrepreneurs can excel. 2. Shoppers Are Online Already In 2012, Google worked with Ipsos OTX, a market research firm, to survey potential holiday shoppers about their 2012 holiday shopping intentions. One of the key findings was that 80 percent of the 1,500 shoppers queried would research products and prices online before they would make a purchase. Clearly the Internet is the engine driving retail. Consider [...]

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Online Shopping Stores SA

The best online shopping stores: When it comes to tech startups, ecommerce is at once an easy and tricky space to play in. It’s easy, because to get going all you really need is something to sell, a good design and the right plugins. It’s tricky because people are trusting you with their money. You have to make sure you have the right security, and can guarantee delivery. It’s also not easy to stand out in a market like South Africa where broadband penetration remains comparatively low, forcing you to compete for place in a crowded space. There are a few that have done so well. They sell a wide variety of products, but generally occupy specific niches. The South African ecommerce awards recognises these sites on an annual basis. This year’s winners included sites owned by mega-corporations, while others are more independent. 1. Best ecommerce store — YuppieChef This online store claims it is “dedicated to making the world’s best kitchen tools available to South Africans”. According to the awards’ judging panel: The Yuppiechef website is a pleasure to use with fast, accurate search results and crisp clear images. The site is informative and the ordering process is streamlined and efficient. The delivery experience is incredible, ensuring satisfied customers. Customer service is responsive and attentive whether it’s over the phone, email or online chat. We loved the mobile site. 2. Best ecommerce services website — Bidorbuy The online auction site is an ecommerce stalwart in South Africa, having been around since 1999. In early 2011, it bought group-buying site UbuntuDeal “We enjoyed the fast and secure online shopping, an awesome mobile site and timely responses to customer queries,” said the judging panel. 3. Best group-buying site — Groupon SA The company might not be faring so well internationally, but the SA franchise maintains that it’s in it for the long-haul. With the like of Naspers’ Dealify and Avusa’s Zappon out of the game, it definitely had less competition for this award than it would have a year ago. “The website is easy to navigate with a wide range of deals of which the ordering process was extremely quick and straightforward,” say the judges. 4. Best classifieds website — Property 24 The online classifieds game is seriously hotting up, around the world as well as in South Africa. Some think they might even be the thing that finally kills off newspapers. According to the judges, the Naspers-owned [...]

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The Great Deal

“A fantastic solution for Start-ups or Micro-Enterprises”

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Welcome to Ecommerce News Africa

This is the birthplace of this site which hosts a compilation of the most relevant and hottest trends in South African Ecommerce as well as relevant trends throughout both developed and emerging ecommerce scenes internationally. If you are looking to become an ecommerce fundie, build-up a basic understanding of ecommerce and its application for you, than this is the place to be. For contributing articles and input please contact:

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