South African retailer Makro, which is owned by Johannesburg Stock Exchange-listed Massmart, has announced the launch of an online shopping app as part of the parent company’s long-term digital and e-commerce transformation strategy.

According to Makro, the app has over 120,000 products already available and will enable customers to buy products across its categories in a way that saves them time and money.It will also use automated IP detection and GPS delivery address location to enable a 2-day delivery and optimised courier costs.

Speaking on the launch of the app, Jean Ochse who is the executive for B2C apps at Massmart mentioned that with the retail space having evolved, there’s a growing need to provide the consumer with multiple shopping experiences in multiple channels and the new app aims to supplement the retailer’s in-store and online shopping channels.

Massmart claims that it has recorded an over 100% growth in online sales compared with the same period last year and is the second-largest retail website traffic generator in South Africa, achieving a 56% increase in e-commerce gross merchandise value (GMV) in 2021.

According to data from Statista, ecommerce revenue in South Africa is expected to show an annual growth rate (CAGR) of 17.81%, resulting in a projected market volume of US$13.83 billion by 2025. 

Taking this into consideration, it would seem like Makro’s bet in the online retail arena is well placed if it can find a way to handle competition from the country’s ecommerce incumbents like TakeALot and Superbalist.

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