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Delivery logistics, the emergence of a new online e-commerce in 2024

April 20, 2022

The emergence of new online shipping e-commerce business in Africa:

African countries have a lot of e-commerce opportunities, but businesses need to quickly solve problems with infrastructure, logistics, and financial inclusion if they want to make the most of them. African markets have embraced the e-commerce revolution since 2020.

One of the developing sectors in the food and agricultural market, which might be the online retail food destination as a global food shortage is predicted, new internet penetration, and emerging cross-border e-commerce marketplaces.

What is eCommerce Shipping?

Ecommerce shipping is the process of delivering goods purchased online to the customer's delivery address. This process involves a number of steps, including picking and packing the orders, labeling the packages, and arranging for transportation. Ecommerce shipping can be done by the merchant themselves or outsourced to a third-party logistics provider. South Africa’s e-commerce sector is growing rapidly since 2020. The country’s average eCommerce spending in the first half of the year increased by 30% compared to the year before. This increase was greatly influenced by the lockdown that was implemented in March 2020.

How much do couriers charge in South Africa?

Courier prices can vary depending on the service, distance, and weight. For small parcels anywhere in South Africa, our prices start at R107,00 ex VAT (source: eparcel.co.za April 2022). In 2021, South Africa’s e-commerce market was valued at $ 4,5 billion, and digital platforms have been widely adopted by customers across various sectors, including health, food, and retail. It is estimated that by 2027, the local e-commerce market will reach a value of $7.9 billion. (it-online.co.za/2022/02/18) "South Africa’s e-commerce market will reach more than R400 billion by 2025 on the back of more than 1 billion transactions per annum," (Source: Thokozani Dlamini)

What is a good e-commerce shipping strategy?

An e-commerce shipping strategy includes calculating shipping costs, choosing packaging options, and tracking shipments and returns.

E-commerce businesses need to carefully consider their shipping strategies in order to keep customers happy and reduce costs. Shipping costs are a major factor in online shopping, and customers are often reluctant to pay high shipping fees. If your pricing is too high, customers will abandon the shopping cart and you will lose the sale. It is important for e-commerce businesses to figure out ways to cut shipping costs while still providing good customer service.

Pickup is free in-store:

Offering free in-store pickup could be a win-win for you and your consumers if you have multiple physical sites or a good local business.

Benefits:

Customers can avoid the delay in delivery as well as the expense.

You can avoid adding another package to the weight of your internet business.

Real-time shipping rates:

Getting current quotes from carriers like The Courier Guy, Fastway, DPD Laser, Collivery MDS, and Pargo in real time rates will frequently bring you the best available rates while still covering your shipping expenses. By charging exactly what the carrier would charge you, you're ensuring the most cost-effective delivery alternative.

You can typically offer substantially lower shipping rates than your competitors while still paying for lightweight shipments or consumers situated near your warehouses.

Same-day delivery is available:

Same-day delivery is a strategy that sounds like it would be achievable, but achieving it opens up new markets that demand fast service.

It also allows you to serve your customers on the same day. This necessitates a well-oiled logistics organisation and ample resources. Increase your conversion rate by standing out from the crowd with the fastest delivery time.

Higher conversion, as well as the reputation you'll gain by offering same-day delivery, could lead to additional income.

There are a few key elements to an effective e-commerce shipping strategy:

Calculating shipping costs: Shipping costs need to be accurately calculated in order to avoid overcharging or undercharging customers. There are many factors that can affect shipping costs, such as the weight and size of the product, the distance it needs to travel, and any special handling requirements.

Ecommerce packaging options The type of packaging you use can have a big impact on shipping costs. For example, using your own brand packaging can be more expensive than using generic packaging. You also need to consider the environmental impact of your packaging choices.

How to track shipments and returns: Tracking shipments and returns is important for two reasons. First, it allows you to keep track of your inventory levels and ensure that products are delivered on time. Second, it helps you identify any problems with your shipping process so that you can make changes as needed.

Create an online store without physical shipping products.

It is possible to create an online store without shipping products. There are a few ways to do this. One way is to use a print-on-demand service. With a print-on-demand service, you can upload your design to a service provider's platform and they will print and ship the products for you. This is a great option if you want to sell physical products but don't want to deal with the hassle of shipping.

Another way to create an online store without shipping products is to sell digital products. This could include items such as eBooks, courses, or software. If you choose to sell digital products, you will need to set up a way for customers to download the products after purchase. Dropshipping is a type of e-commerce business model in which you sell products that are sourced from a supplier and then shipped directly to the customer.

It is also possible to create an online store that sells both physical and digital products:

In this case, you would need to set up shipping for the physical products and provide a way for customers to download the digital products.

What is the first step to creating an online store? You will need a domain name and hosting, as well as a platform on which to build your store. Once you have these things in place, you can start adding products and building your business.

Last-mile delivery in South Africa's townships:

Order Kasi is revolutionizing last-mile delivery in South Africa's townships by offering a reliable, affordable, and fast delivery service. Specializing in overcoming logistical challenges in these areas, it builds on community partnerships to ensure efficient service. The platform is designed with user-friendly features like online ordering and real-time tracking, aimed at enhancing e-commerce accessibility within underserved communities. Operating in specific regions within the Western Cape and KZN, including Khayelitsha and Umlazi, Order Kasi is a pioneering force in bridging the delivery gap in South African townships. For more information, visit their website at Order Kasi.

Free Shipping:

The free shipping e-commerce strategy is a way for businesses to encourage customers to shop with them by offering free shipping on orders over a certain amount. This can be a great way to increase sales and encourage customer loyalty. There are a few things to keep in mind when considering this strategy, such as your shipping costs and margins. You'll also want to make sure that you're offering free shipping in a way that makes sense for your business and your customers. But if done correctly, this free shipping e-commerce strategy can be a great way to increase sales and encourage customer loyalty.

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