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Why E-commerce is Thriving in South Africa

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South Africa’s ecommerce sector is expected to exceed USD21 billion by 2025, with more than one billion transactions per year. This is largely due to the proliferation of smart devices and the expansion of internet connectivity which has created a viable environment for e-commerce to thrive in the country.

Additionally, the increasing integration of e-commerce platforms with various advanced technologies such as cloud computing, artificial intelligence and predictive analytics is also significantly driving the growth of the South African e-commerce market. As a result, the country is becoming a significant player in the global e-commerce industry.

Indeed, the rise of e-commerce in South Africa holds immense opportunities for businesses looking to enter the market. Further, the development presents useful learning points for other countries, such as Nigeria and Kenya, among others, all of which this SeerBit whitepaper exhaustively explores.

Factors Driving E-commerce Growth in South Africa

E-commerce growth in South Africa has been driven by several factors, including increased internet access, improved payment options and the convenience and efficiency of online shopping.

  1. Increased internet access: Mobile penetration among South African consumers is higher than ever, as indicated by research results from a Geopoll survey conducted in 2020 showing that 45 percent of the South African population browsed the internet on their smartphones for more than four hours a day. The study also revealed that South Africa is one of the biggest adopters of mobile technology in sub-Saharan Africa, with higher rates of smartphone adoption than in most other countries in the region. In terms of total numbers, there are 46.9 million smartphone subscriptions in South Africa, which accounts for users who have multiple phones. As of January 2024, there were 45.34 million active internet users in South Africa.
  2. Convenience and efficiency of online shopping: For South African consumers, convenience is key when it comes to choosing which online platforms to purchase from. This reduced need to visit a physical store was also identified in a research paper published by Deloitte. The research found that 26 percent of consumers in South Africa said they prefer to shop online because it is more convenient.
  3. Improved payment options: The integration of wallets, bank apps and shopping apps has made browsing through virtual shopping aisles easier than ever before. Digital wallets have become an entry point for consumers to engage with financial services, thereby creating new opportunities to target the under-served banking population. Also, as South Africans become more comfortable with the concept of online shopping, their appetite for e-commerce solutions continues to increase.

Overcoming Challenges Faced by E-commerce Businesses in South Africa

Despite South Africa’s strong e-commerce growth, the  WEF has noted  that e commerce entrepreneurs are challenged by issues such as low consumer trust and e-skills, low internet penetration and affordability, uncompetitive delivery infrastructure, fragmented markets and barriers to cross-border e-payments.

  1. Low Trust of Online Platforms

Many South Africans still do not trust online stores with their personal payment details. This stems from lack of knowledge about online payment systems and advanced security measures. To overcome this mistrust, merchants should use a PCI DSS certified payment service provider (PSP) that meets high security standards and keeps customer information safe. If customers understand how online fraud is prevented and the techniques that are used to prevent security breaches or fraud attempts, they are more likely to trust an e-commerce website with their payment information

  1. High Cost of Data and Internet Penetration

South Africans pay up to USD5.29 per gigabyte (GB) of data, a cost equivalent to nearly four hours work for people earning the minimum wage. That compares with about USD1.53 per gigabyte in North Africa and USD2.47 in Western Europe, according to research by the Ichikowitz Family Foundation charity that highlights, among other topics, sub-Saharan Africa’s sky-high data costs.  The region has the world’s most expensive mobile data prices, according to the Worldwide Mobile Data Pricing 2021 report.

  1. Issues with delivery infrastructure

Logistics is already a vital part of any retailer’s business plan, but its importance will continue to grow as the use of e-commerce for transactions increases. For stores to be efficient, they must be able to respond quickly and accurately to be able to deliver the correct products to customers on time. Now more than ever an efficient supply chain is needed that gives a high level of service across all channels.

The Role of Technology in Shaping South Africa’s E-commerce Landscape

Technology has become an integral part of every aspect of life, and the retail industry in South Africa is no exception. As consumer expectations continue to evolve, retailers are embracing innovative technologies to enhance the shopping experience and stay ahead of the competition.

Emerging technologies including contactless payments, virtual and augmented reality experiences, AI and mobile payments are all having a profound impact on e-commerce in the country.

Conclusion

The growth of South Africa’s ecommerce industry will likely surpass projections, thanks to the country’s growing appetite for online shopping. The penetration of smartphones, access to data, increased number of platforms and products as well as evolving regulation supporting the industry are significant factors contributing positively to the growth of the industry.  There has never been a better time for businesses to enter the ecommerce market in South Africa.

This SeerBit whitepaper casts a deeper look at the trends, factors, future prospects and leading players transforming South Africa into the continent’s biggest e-commerce market.

Click HERE to access the full whitepaper.

 


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Ugo Onwuaso is an ICT enthusiast. He believes technology should be used for general good. He holds a Master of Public Administration (MPA) degree from the Lagos state University. Dear Reader, Your support matters. But we believe that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. That is why, we have devoted our energy to independent reportage of technology and finance and how they affect lives. Our incisive and analytical view of how technology news affects the daily life help individuals and organizations make up their minds. Quality journalism costs money. Today, we're asking that you support us to do more. Kindly support our effort to deliver technology and finance journalism to everyone in the world. Donate as little as N1,000. Bank transfers can be made to: UBA Plc 1017156876 Communication Week Media Ltd

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Mafab Communications Has Launched 5G Services- Findings

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Isa Ali Pantami, former minister of Communications and Digital Economy and Dr Musbahu Bashir, founder and chairman, Mafab Communications, at the launch
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Contrary to media some media reports yesterday, Mafab Communications, one of the companies granted Fifth Generation (5G) licences by Nigerian Communications Commission (NCC) has actually rolled out its 5G network services in Abuja since 2023.

Mafab Communications Has Launched 5G Services- Findings

According to Nigeria CommunicationsWeek findings, the rollout came almost a year since the telco paid $273.6 million for spectrum in the 3.5GHz band as part of a government auction.

Mafab Communications, has, not however kept to its promise to to strengthen its commercial operations by March 2025 as its services has remained skeletal since the media launch.

It said that it will roll out its high-speed 5G services through 102 operational sites strategically located in Kano and Abuja but that did not happen as at close of March.

An insider in the company, however assured that starting this month, subscribers with Mafab’s 5G routers will be able to enjoy ultra-fast connectivity on its expanding network.

This move aims to capture a wider share of Nigeria’s growing demand for 5G services.

Dr Musbahu Bashir, founder and chairman, Mafab Communications, said during the rollout launch that the telco will offer both voice and data services nationwide.

Additionally, Nigerian cities like Lagos, Port Harcourt, Enugu, Kano, and Kaduna have been listed for the deployment of 5G services while those not on the list will have services deployed at a later stage.

“The rollout of Mafab Communications 5G network is the beginning of immense opportunities for the country as it represents Nigeria’s capabilities and infinite possibilities,” he said.

“The prospect of increased job opportunities as a consequence of the value-chain benefits the technology will generate and offer is the dream we have all gathered here to launch today,” Bashir continued.

 


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Samsung Introduces Local Nigerian Languages to Galaxy Devices, Celebrating Cultural Diversity

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L-R: Stephen Okwara, Head, Product Management, Mobile Experience, Samsung Electronics West Africa; Joy Tim-Ayoola, Group Head, Mobile Experience, Samsung Electronics West Africa; Tae Sun Lee, Samsung Electronics West Africa CEO; Oge Maduagwu, Head of Marketing Samsung Electronics West Africa, and Nathan Lee, Regional Business Lead, Mobile Experience, Samsung Electronics West Africa, at the launch of Nigeria local language integration on Galaxy S25, A56, A36, and A26 devices, on April 03, 2025.
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Samsung Electronics has taken a bold step in enhancing user experience and inclusivity by introducing Hausa, Igbo, and Yoruba as official language options on selected Samsung Galaxy devices.

L-R: Stephen Okwara, Head, Product Management, Mobile Experience, Samsung Electronics West Africa; Joy Tim-Ayoola, Group Head, Mobile Experience, Samsung Electronics West Africa; Tae Sun Lee, Samsung Electronics West Africa CEO; Oge Maduagwu, Head of Marketing Samsung Electronics West Africa, and Nathan Lee, Regional Business Lead, Mobile Experience, Samsung Electronics West Africa, at the launch of Nigeria local language integration on Galaxy S25, A56, A36, and A26 devices, on April 03, 2025.

The feature, which is now available on the Galaxy S25, A56, A36, and A26 devices, reaffirms Samsung’s commitment to delivering innovative technology that speaks the language of its users.

With this groundbreaking update, Samsung users across Nigeria can now navigate their smartphones in their preferred local language, making technology more accessible, while also upholding our cultural heritage.

A Celebration of Culture and Technology

To mark the launch, Samsung hosted a cultural-themed press briefing featuring traditional music, local cuisine, and a showcase of the new language feature. Employees and guests attended in traditional Yoruba, Igbo, and Hausa attires, celebrating Nigeria’s rich cultural diversity.

Samsung also announced plans to expand local language support to more devices in the near future, reinforcing its dedication to making technology more inclusive for African users.

Empowering Users Through Language

The integration of Hausa, Igbo and Yoruba on Samsung devices reflects the brand’s mission to bridge the digital gap and enhance user engagement. Speaking at the press conference, Oge Maduagwu, Head of Marketing, Samsung Electronics West Africa, said, “At Samsung, we understand that technology is most powerful when it is accessible to all.

“By incorporating our local Nigerian languages, we are making our devices more intuitive and relatable, ensuring that millions of Nigerians can interact with their smartphones in the language they love and understand best”.

Seamless Language Transition on Galaxy Devices

Stephen Okwara, Head of Product Management, Samsung Electronics West Africa added, “The new local language feature is designed to deliver a seamless user experience, allowing customers to easily switch between languages. Users can activate Hausa, Igbo, or Yoruba on the Galaxy S25, A26, A36, and A56 by navigating to: Settings > Language & Input > Select Language

“This update enhances smartphone usability, particularly for those who prefer their native language over English, ensuring greater digital inclusivity, enhancing digital literacy and encouraging more users to engage with technology in their native tongues” He concluded.

Availability

Customers can visit all Samsung Experience Stores or authorized retailers in Nigeria to learn more and experience the feature firsthand.


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Sophos Reveals Key Findings: 56% of Cyberattacks Exploit Valid Credentials

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Sophos, a global leader of innovative security solutions for defeating cyberattacks, has released the 2025 Sophos Active Adversary Report, which details attacker behaviour and techniques from over 400 Managed Detection and Response (MDR) and Incident Response (IR) cases in 2024.

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The report found that the primary way attackers gained initial access to networks (56% of all cases across MDR and IR) was by exploiting external remote services, which includes edge devices such as firewalls and VPNs, by leveraging valid accounts.

The combination of external remote services and valid accounts aligns with the top root causes of attacks. For the second year in row, compromised credentials were the number one root cause of attacks (41% of cases). This was followed by exploited vulnerabilities (21.79%) and brute force attacks (21.07%).

Understanding The Speed of Attacks

When analyzing MDR and IR investigations, the Sophos X-Ops team looked specifically at ransomware, data exfiltration, and data extortion cases to identify how fast attackers progressed through the stages of an attack within an organization. In those three types of cases, the median time between the start of an attack and exfiltration was only 72.98 hours (3.04 days). Furthermore, there was only a median of 2.7 hours from exfiltration to attack detection.

“Passive security is no longer enough. While prevention is essential, rapid response is critical. Organizations must actively monitor networks and act swiftly against observed telemetry. Coordinated attacks by motivated adversaries require a coordinated defense. For many organizations, that means combining business-specific knowledge with expert-led detection and response. Our report confirms that organizations with proactive monitoring detect attacks faster and experience better outcomes,” said John Shier, field CISO.

Other Key Findings from the 2025 Sophos Active Adversary Report:

· Attackers Can Take Control of a System in Just 11 Hours: The median time between attackers’ initial action and their first (often successful) attempt to breach Active Directory (AD) – arguably one of the most important assets in any Windows network – was just 11 hours. If successful, attackers can more easily take control of the organization.

· Top Ransomware Groups in Sophos Cases: Akira was the most frequently encountered ransomware group in 2024, followed by Fog and LockBit (despite a multi-government takedown of LockBit earlier in the year).

· Dwell Time is Down to Just 2 Days: Overall, dwell time – the time from the start of an attack to when it is detected – decreased from 4 days to just 2 in 2024, largely due to the addition of MDR cases to the dataset.

· Dwell Time in IR Cases: Dwell time remained stable at 4 days for ransomware attacks and 11.5 days for non-ransomware cases.

· Dwell Time in MDR Cases: In MDR investigations, dwell time was only 3 days for ransomware cases and just 1 day for non-ransomware cases, suggesting MDR teams are able to more quickly detect and respond to attacks.

Ransomware Groups Work Overnight: In 2024, 83% of ransomware binaries were dropped outside of the targets’ local business hours.

· Remote Desktop Protocol Continues to Dominate: RDP was involved in 84% of MDR/IR cases, making it the most frequently abused Microsoft tool.

To shore up their defenses, Sophos recommends that companies do the following:

· Close exposed RDP ports

· Use phishing-resistant multifactor authentication (MFA) wherever possible

· Patch vulnerable systems in a timely manner, with a particular focus on internet-facing devices and services

· Deploy EDR or MDR and ensure it is proactively monitored 24/7

· Establish a comprehensive incident response plan and test it regularly through simulations or tabletop exercises

Read the full It Takes Two: The 2025 Sophos Active Adversary Report on Sophos.com.


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