Takealot Group is boosting investment in its online fashion retailer Superbalist , to modify its business model amid rising competition from Chinese multinational e-tailers. Once billed among South Africa’s biggest online clothing stores, Superbalist .com has taken a huge knock in performance over the years, with the retailer posting 7% gross merchant value (GMV) growth in its annual financial results released last month.
While online retail in SA has witnessed a remarkable ramp-up, reaching R71 billion turnover in 2023, local e-commerce players have been struggling to maintain the peak levels reached during the height of the pandemic. An additional challenge facing the sector in recent years is the rise of new online retailers entering the local market, shaking up the South African landscape with low-cost products manufactured mostly in China, and free shipping. These include Temu, Shein, Amazon, Wish, Made-in-China and Sunsky, among others.
Speaking during a recent media briefing in Cape Town, Takealot Group CEO Frederik Zietsman revealed the group is looking at optimising growth to boost competitiveness for its online platforms, with a focus on further innovating Superbalist’s business model. “Retail is a tough environment to be in; we went from COVID times to a super-depressed consumer environment,” commented Zietsman. “Superbalist has seen a difficult year over the last financial year, to be honest.
It was at the height of the storm when Shein came into the cou.
