The Covid-19 pandemic has fundamentally changed the role e-commerce plays in SA’s retail sector.The demand for digital commerce has advanced significantly since lockdown started, says Paul Lawrence, managing director, Tigers South Africa. “The term ‘4th Industrial Revolution’ has never been more pressing than it is now. Both the Cape region and the rest of South Africa can greatly benefit from expanding their digital markets.”It cannot go unsaid, however, that South Africa is unique. “Therefore it is important that we grow our economy in such a manner that there is more transparency, but as long as we operate in yesteryear’s structures, we will find very little positive momentum.” Lawrence’s outlook for the Cape is particularly positive. “The economy of the Western Cape, in particular, is predicted to grow 0.3% faster than the rest of South Africa over the next three years. With only a quarter of spending on digital channels in the country, there are enormous opportunities for freight – and particularly e-commerce – to make great str ides.”The liquor industry in particular has been identified as one of potential growth for online sales. “This industry has had to adapt to ongoing operational restrictions and regulations due to Covid-19, and online platforms have become very popular where sales can still be generated,” says Lawrence. “Since online demand has soared, many liquor manufacturers have not been able to keep up with fulfilment demand. Tigers has recently visited potential clients for e-Com liquor fulfilment, and we are hoping to onboard these businesses soon. Other popular trends include the solar business gaining great momentum in the Cape. This is another area where we have expertise for the freight/import, warehousing and distribution needs of this sector.”According to Lawrence, with small enterprises growing at a rapid rate, the e-commerce platform is an opportunity to place businesses online and accessible for the world to see, literally. “In turn, we are an ideal partner to ensure the fulfilment of their products with great integration capabilities.”One of the big challenges in the Cape is the inconsistent peaks and troughs – making warehouse usage requirements challenging. “Rather than renting large space while most of the space is empty most of the time, a good alternative is finding a 3rd party warehouse where you only pay for the space/pallet position occupied. This solution ensures margins are maintained optimally,” explains Lawrence.
