South Africa is a leading e-commerce development market in the world. This market is observing the prospect of a breakthrough, with the growth of e-commerce users increasingly fast. The forecasted growth rate will even surpass Asia, which currently has the highest number of eCommerce users in the world. In this article, we would like to analyze whether eCommerce in South Africa will remain robust in 2023.
Overview of eCommerce in South Africa
eCommerce in South Africa is expected to grow strongly, especially in the period of 2022 – 2027. Therefore, in 2023, it is expected to be the year this market witnesses the robustness of eCommerce transactions along with a sudden surge of the associated values. South African eCommerce businesses will need to adapt to accommodate many new consumer habits. The pandemic has highlighted the convenience of online shopping for consumers here. So, as the pandemic passes, the frequency of online shopping is set to increase. However, retailers’ focus needs to be on creating omnichannel shopping experiences, providing consumers with a shopping experience that combines in-store and online shopping.
eCommerce in South Africa 2023
eCommerce in general and eCommerce in South Africa, in particular, have seen growth in mobile shopping. Consumers in South Africa have improved access to the Internet using mobile devices and this is expected to increase to 90% within the next 5 years. As such, mobile commerce represents the natural evolution of eCommerce, seeing increasing use of mobile devices for online shopping. Businesses need to look for technologies that enable the creation of modular, mobile-friendly websites and apps with an emphasis on efficient, secure financial transactions and the processing of personal information. Notably, the modular mobile applications will make it easy for businesses to add or remove functions at any time.
AI and web automation
AI (Artificial Intelligence) and Web automation is a concept that allows software robots to perform predefined actions, tasks, and processes on a web browser or web application. In an effort to maximize efficiency and customer satisfaction, e-commerce businesses are using more and more types of artificial intelligence and web automation to handle the majority of customer inquiries. Taking advantage of these technologies helps businesses save human resources and ensure faster customer response. eCommerce in South Africa in 2023 will continue to see an increase in the use of these new technologies in commerce.
Social media advertising
Social media has for nearly a decade been a powerful enabler in generating online transactions. As such, eCommerce in South Africa will continue to see these tools as the mainstay of eCommerce transactions, with trusted influencers having a significant impact on consumer spending habits. In particular, young people are using social networks to search for things to buy and that number will increase significantly in 2023 as mobile Internet usage increases worldwide, especially in the South African market. Besides, businesses with social media accounts will also play an increasing role in driving sales. Social media provides businesses with a powerful platform to connect on a personal level with their customers, allowing them to build relationships with their customer base and make their efforts more effective. Their marketing force becomes much more natural.
As a market full of business potential, South Africa recorded many significant growth figures in business areas, especially trade. eCommerce in South Africa will also see tremendous growth in 2023. Contact us if you need support for your eCommerce store.