Takealot takes on Amazon with unlimited free delivery
Takealot has launched TakealotMORE, a new subscription service with monthly benefits – two days after Amazon launched in South Africa.
Takealot described this new product as a “groundbreaking subscription service that offers millions of South Africans exclusive monthly benefits to eliminate delivery costs and enhance shopping convenience”.
The online retailer said TakealotMORE has emerged as customer demand grows for faster, more cost-effective delivery solutions.
TakealotMORE has launched on Takealot’s website with plans to start rolling out on the Takealot App from Monday, 13 May.
Takealot shoppers can choose between the TakealotMORE Standard plan at R39 per month or the TakealotMORE Premium plan at R99 per month.
TakealotMORE also offers a free 7-day trial and the option to cancel at any time. The subscription service offers fast, free delivery and collect options on Takealot.
It also offers free delivery for orders on Mr D and Takealot’s on-demand offering, TakealotNOW
The service includes –
- Unlimited free same-day delivery & collect options
- Unlimited free standard, next-day delivery & collect with no minimum order
- spend for Premium subscribers
- Free shipping on bulky or heavy items like large appliances, furniture & more
- Free delivery for Mr D orders from Restaurants, Shops, Pick n Pay groceries and TakealotNOW products
Takealot Group CEO Frederik Zietsman said, “By launching TakealotMORE, we are not just revolutionising the online shopping experience; we’re redefining convenience and value for millions of South Africans.”
“Our commitment to providing accessible, cost-effective solutions drives us to continually innovate and enhance the way South Africans shop.”
“That’s why TakealotMORE has been purpose-built with a budget-friendly tiered approach so that every Takealot customer, no matter their needs, can experience more with every shop.”
Zietsman further hinted at the introduction of additional perks for TakealotMORE subscribers in the near future, promising an ever-evolving service.
The Amazon threat
The launch of TakealotNOW comes just days after Amazon launched in South Africa, with the two online retailers being pitted against each other in the country’s eCommerce market.
On 7 May 2024, Amazon South Africa launched its long-awaited marketplace in South Africa, offering local shoppers a range of products.
Upon launch, the eCommerce giant offered local shoppers the option of door-to-door delivery or using one of 3,000 pickup points. There is free delivery on their first purchase.
Amazon partnered with Pargo and The Courier Guy to serve its local delivery and logistics needs.
While it only launched its local marketplace this week, Amazon already has a strong customer base in South Africa.
Discovery Bank’s SpendTrend24 report showed Amazon’s US website is the third most visited eCommerce platform in South Africa.
The report further revealed that Amazon is among the most popular places for wealthy South Africans to spend their money.
Amazon’s South African launch comes amidst an eCommerce boom in the country. Online spending growth currently outpaces in-store fivefold.
The pace of this growth even surpassed other emerging market cities and was on par with cities in developed economies.
However, it will not be easy for Amazon to become the top dog in the South African eCommerce market.
Takealot, which currently dominates online shopping in South Africa, has a strong presence and excellent logistics.
Bob Group managing director Andy Higgins predicted that Amazon’s growth in South Africa would take longer than expected.
Higgins said one can never discount Amazon as they are the world’s most recognisable eCommerce brand with tremendous resources and skills.
However, expecting Amazon to come into South Africa and perform miracles from the get-go is misguided.
Higgins cautioned that it would likely take Amazon longer than most people think to establish extensive online operations. It will also struggle to beat Takealot.
“I believe local skills and expertise will outperform international resources, which means it will be difficult for Amazon to beat Takealot,” he said.
Amazon has what it takes to compete against Takealot and Bob Group, but that does not mean there will only be one winner.
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