A new breed of shoppers is challenging the way that wholesalers and retailers packages, prices and distributes their products. Economic pressure and Technological advances have been the key drivers behind the rise of multi-channel, shoppers are highly motivated to find the best value deals. It has become much easier for shoppers to access multitude of money saving options on offer, because they've become more informed and tech-savvy.
Globally the growth of retail e-commerce continues unabated, with sales exceeding $1 trillion in 2012. The scale and pace of the change has been disruptive, allowing some early adopters to grow market share.
The retail market in South Africa has remained largely unaffected by this, but it’s only a matter of time before this new retail paradigm emerges, and when it does, it will bite quicker and deeper than that of the pace experienced in more mature markets.
South African Wholesale and Retail is in a good place, the omni-channel curve is taking shape and much can be learned from others. The question is when to execute; is it now as a first mover, where the small scale of demand allows for learning, or later, when others have grabbed market share?”
A new economic model has developed for wholesalers, according to TNS Research Surveys in 2011 - 2012 the number of consumers who shopped at wholesalers increased by 25% - 33%.
The reality of the modern day Retail or Wholesaler space is that shoppers are still shopping in-store for the most part and they’re also shopping online more and more.
In SA even a significant shift of the past 18 years residents in places like Soweto 74% of retail purchases occur outside the Township and those employed, 70% work outside the Township, their workplaces are located too far they leave early in the morning and come back late, they simply can’t find time to shop in the Township, except on weekends.
It’s time for Wholesalers to build seamless approach to customer experience, through all available shopping channels including mobile, website, QR codes, television, loyalty cards, etc.
Wholesalers need to evolve in the next 10 years will see fewer stores and more convenient stores. Independent retailers will rise in popularity, for example wholesalers like ICC Lifestyle Supermarket are changing the landscape. Independent retail stores are building connections with shoppers, by profiling shoppers and using that data to offer shoppers relevant product specials, events and shopping experiences.
eTail eKasi aims to directly connect Wholesalers to Shoppers using an online platform, that will be access in Spaza shops located in Townships and Rural areas.
The sole purpose of eTail eKasi is to simply make it possible for wholesalers to connect with shoppers over a distance and to ensure that shoppers can easily browse, search and purchase goods on their retail site.
A new era has began and in order for wholesalers to survive they need to embrace technology, be flexible and determined to use different business models like eTail eKasi to test the water in new emerging markets and to lead from the front, by showing imagination. Please view below on this blog: eTail eKasi Execution Fee: 1st Phase
