How online platforms are changing shopping habits of South Africans on Black Friday

One of the biggest shopping days on the retail calendar in South Africa, Black Friday, commenced at midnight with a massive influx of shoppers scouring for major discounted deals. This year's Black Friday shopping extravaganza follows shortly after the discovery of a new Covid-19 variant in South Africa, prompting concerns about its impact on consumer spending habits. To gain insights into the expected spending trends for this Black Friday, CNBC Africa sat down with Paul Behrmann, the CEO at Payflex. Behrmann shared intriguing data insights, revealing a significant surge in Black Friday sales through their platform. By 10 o'clock in the morning, Payflex had surpassed last year's Black Friday sales total, indicating a remarkable uptick in online shopping activity and the growing adoption of 'buy now, pay later' options. The prevailing trend of online shopping dominance is evident in the purchasing preferences of consumers, with a notable emphasis on the fashion sector. Behrmann disclosed that approximately 60% of Payflex purchases were attributed to the fashion category, reflecting the evolving consumer behavior towards online retail in South Africa. The CEO attributed the accelerated growth in online shopping to the enduring impact of the Covid-19 pandemic, which has entrenched a habit of online shopping across various age groups. Behrmann underscored the pandemic's role in reshaping shopping behaviors, indicating a broader acceptance of online retail as a convenient and safe alternative. Moreover, the proliferation of online merchants and the seamless payment options offered by platforms like Payflex have contributed to the remarkable surge in online sales. Behrmann highlighted the role of flexible payment terms in empowering consumers to make smarter purchase decisions without accumulating excessive debt, fostering a positive shopping experience. As Black Friday unfolds amidst logistical challenges in the transport and logistics sector, Behrmann assured consumers of Payflex's commitment to partnering with reputable merchants who ensure timely delivery of goods. While logistical constraints may pose occasional delays, the overall infrastructure supporting online retail has significantly improved to streamline the shopping experience for customers. When quizzed about the potential to surpass pre-pandemic sales levels, Behrmann expressed confidence in Payflex's exponential growth trajectory. The CEO projected a threefold increase in sales facilitated through their platform, underscoring the transformative impact of online shopping on traditional in-store retail dynamics. In conclusion, Black Friday in South Africa has metamorphosed into a vibrant online shopping spectacle, buoyed by evolving consumer preferences and the convenience of digital retail platforms. The surge in online sales, propelled by innovative payment solutions like 'buy now, pay later', signifies a paradigm shift in the retail landscape, with online shopping consolidating its dominance in the post-pandemic era.