A new report from Accenture reveals that 95% of South African leaders think that e-commerce is growing faster than they can adapt, and are finding it costly to be where customers are.
Meanwhile, global e-commerce companies with a wealth of know-how are rapidly intensifying competition. The influx of best-in-class global players into the South African market is reshaping industry dynamics, posing a challenge for local companies across the board. “About 100% of South African executives surveyed think they’ve made the right investments in e-commerce. These executives’ strong confidence surprised us. It may reflect that they assess their eCommerce business channel by channel rather than as an integrated capability that needs ongoing reinvention. It is also possible that the high level of confidence emanates from the short-term gains accrued lately at the expense of a long-term strategy,” says Mutuma.
Topping the list but making up just 20% of respondents are Champions. Champions are doing it right, taking a life-centric and innovative approach to their e-commerce strategies, achieving 85% more revenue growth and 31% more profitability than their peers. Champions are taking a life-centric and innovative approach to their eCommerce strategies, achieving 85% more revenue growth and 31% more profitability than their peers. They’re bold and making big moves in terms of technological advancement, growing talent, and transforming organisational structures. Most importantly, they see consumers as people first, aiming to meet their needs holistically and effectively.
The first involves prioritising investments that drive better experiences over operational and talent investments – a path often pursued by Consensus companies with multiple leaders influencing decision-making. These organisations must take a more holistic approach or risk being stuck with technology that they are unable to optimise due to fragmented structures.