Consumers are poised to put more pressure on retailers in the foreseeable future, expecting more in-store technology, a realtime view of stock, consistent prices and offerings –and they are demanding an around the clock service.
This is according to Dieter Febel, MD of leading ISP, SA Gateway, sister company of Esquire Technologies, one of the leading distributors in Africa of IT, mobility, digital and lifestyle products.
Febel says that while only about 2% of total retail sales in South Africa are conducted on-line, overall online sales are increasing – including in the business-to-business environment.
A preliminary global report by financial services company, PwC, focusing on online shoppers – conducted earlier this year -corroborates this, reflecting that South Africans are making online purchases more frequently and through more channels.
For its retail survey, PwC asked 15 000 consumers from 15 territories – including South Africa – about their purchasing preferences, use of different shopping channels and expectations of retailers.
According to PwC, collectively, consumers “have set a high bar for retailers” in terms of what they expect from them, by indicating that they want more in-store technology, real-time insight into stock, consistent prices and offerings, and an “always-on,” 24-7 service mentality.
With regards to South Africa, PwC picked up a strong response toward mobile commerce, with large percentages of respondents indicating they had made purchases via mobile (phone and tablet) devices.
Key highlights from the PwC report include:
* 13% of South African respondents shop online weekly;
* 68% made their first online purchase less than four years ago;
* 48% buy products on social media;
* 49% shop on mobile phones; and
* 40% shop on tablets.
“It is clear South Africans are becoming more comfortable with e-commerce overall,” says Febel, including shopping in an online environment. Because of this, South African companies need to gear up to keep pace with this inexorable trend – or risk the very possible chance of falling behind e-commerce ready competitors.”