Big South African eCommerce store to close

Jumia Technologies has announced that it will close its popular online shop, Zando, in South Africa by the end of the year.

Zando was launched in 2012 when the concept of online shopping was still relatively new to many South Africans.

Over the past fourteen years, Zando has become one of South Africa’s largest online fashion platforms, boasting a collection of over 550 brands.

It offers shoppers a diverse range of products, ranging from footwear and apparel to homeware, beauty products, and in-house brands like Utopia.

“Our commitment to variety, quality, and affordability ensures that our customers are always spoilt for choice,” Zando says on its website.

“By leveraging Jumia’s robust infrastructure, Zando has become a household name, making online fashion shopping accessible and enjoyable for millions of South Africans.”

However, many online fashion retailers in South Africa have struggled with the growth of Temu and Shein.

Zando tried to fight this onslaught from Chinese companies by launching its own international online shopping division called Zando Global.

Zando Global offers a trustworthy alternative for shoppers who want to buy international products without uncertainties.

“With the launch of Zando Global, we’re thrilled to provide South Africans with a solution that addresses their concerns about ordering internationally,” said Zando CEO Morgane Imbert.

“Now, they can enjoy the same sought-after products with the peace of mind that comes from shopping with a local company they know and trust.”

However, the latest announcement from Jumia Technologies shows that everything did not work as planned.

Jumia said closing Zando in South Africa, along with its operations in Tunisia, will allow it to focus resources on its most promising markets that have a stronger growth potential.

South Africa and Tunisia combined accounted for only 3.5% and 2.7% of total orders and 4.5% and 3.0% of GMV, respectively.

“The strategic decision to close operations in these markets is expected to improve overall operational efficiency across Jumia’s business,” the company said.

Jumia CEO Francis Dufay said he has focused on initiatives to strengthen their business and place them on a path to profitability.

“After a thorough analysis, we made the difficult decision to close down our operations in South Africa and Tunisia,” he said.

“Competitive and macroeconomic conditions in both markets have limited each country’s growth potential.”