Future of online shopping in SA is mobile‚ says PayPal chief
High mobile penetration will help South Africa to close the gap on other ecommerce markets.
Efi Dahan‚ director of the Africa region for PayPal‚ the largest digital payments company in the world‚ told TimesLive: “By next year you will see around 50% of online purchases in SA done by mobile‚ which is the highest number in the world.”
In an interview at the eCommerce Africa Conference in Cape Town‚ Dahan added: “I’m sure the mobile penetration will close the gap and give people here a lot of advantages to do better online shopping. Mobile will be one of the drivers to take consumers and merchants into a better ecommerce environment.”
On Monday‚ Paypal and research company Ipsos released a global report on cross-border spending which predicted a 28% ecommerce market growth this year‚ of which a third of transactions would be done via mobile.
Dahan said there was also buy-in from the government to advance the industry.
“Government have not created many obstacles for ecommerce locally and have been open to continuing to develop this market.
“They want to reduce the cost of living for people‚ and they know that ecommerce is a very important platform for doing that.”
Some of the barriers to ecommerce growth in South Africa included shipping costs‚ concern about not receiving items and security‚ Dahan said.