Over the years, Africa’s retail market has grown as a result of the influx of entrepreneurs into the space. Most of its youths that are either tired of working for someone or waiting for the government to provide jobs are now entrepreneurs. Also, many of them now use the e-commerce space to sell their products and service to people around them. Several merchants that don’t have a website have also taken to their social media platforms to sell their goods.
The increasing penetration of smartphones, easier access to broadband, the impressive growth of internet users and the growing trajectory of mobile e-commerce stores have really shown a paradigm shift in buying preferences.
Today, November 25, 2016, online/offline stores all over the world will be observing Black Friday, which comes up every year on the first Friday after Thanksgiving Day. Africa is also not left out on this day as the e-commerce sector in the continent has also witnessed tremendous growth. In seven Sub-Saharan countries, e-commerce makes up one to three percent of GDP and is predicted to make up 10 percent of total retail sales in key markets by 2025, with 40 percent annual growth over the next 10 years.
Several retailers in the continent are rushing to give discount offers today. Surprisingly, instead of waiting until the Black Friday, retailers even started giving their discount offer before the day while others are extending theirs to a few days after Black Friday.
As we all know, Black Friday is an American tradition that has quickly taken root in Africa. The day is known as a day where big deals and promotion are given to American shoppers. Countries that are rolling out big offers to woo buyers include Nigeria, South Africa, and Kenya.
Since we have more and more small business coming up in the African e-commerce sphere Black Friday would mean good business for them.
Here are three reasons why this means good business for them.
- Attract new prospective customers
On Black Friday, shoppers are usually adventurous because they want to buy from the best shop that gives them value for their money. It gives retailers an opportunity to attract new customers or buy goods that they would normally get from somewhere else.
- Increase in customer traffic
On Black Friday, retailers can see an increase in the number of customers to their shop or traffic to their website because of the offers that they have. However, small businesses need to be sure that they have the capacity to serve the customers they will attract in order not to damage their brand. Such as stock to service the demand and logistics to deliver if it is done online.
- Opportunity to get rid of old stock
It gives business the opportunity to get rid of old stocks which they may have to dispose of anyway. Instead of disposing of old stock without making any money from them retailers can sell them at give-away prices on Black Friday.
