Takealot Group CEO Frederik Zietsman revealed that Takealot.com is profitable as of the 2024 financial year.He stated that while the Takealot Group – comprising Takealot.com, Mr D, and Superbalist – incurred a trading loss, both the Takealot.com and Mr D businesses are now making trading profits individually.The principle behind the J-curve is that as a company recovers from its fixed-cost expenditures, it can start to grow rapidly.
He also said that according to data reported by Stats SA, Takealot is increasing its market share in most, if not all, of its key categories. Naspers also reported 16% GMV growth for Mr D, despite South Africans buying fewer takeaways in a more challenging financial climate. Zietsman explained that the Takealot Group is considering repositioning the offering, which will directly impact how long it takes for the Takealot Group to become profitable.
“The rise of e-commerce platforms such as Shein and Temu in South Africa underscores a growing concern that threatens the nation’s reindustrialisation and localisation efforts,” Naspers stated. The South African Revenue Service has said such small parcels would be taxed at the appropriate rate from 1 July. For clothing, this means a 45% duty and 15% VAT.