Payments and e-commerce in the South Africa

Discover how South Africans like to shop and pay online

South Africa

General Information

Population 60.0 m
Population 15 + 42.7 m
Online population 38.5 m
Area 1,221,037 km²
Currency ZAR
GDP 415.3 bn $US
GDP per capita 6,917 $US

Card-based payments
Cash-based payments
Bank transfer
Wallets
Other

[{"label":"Card-based payments","value":"44"},{"label":"Cash-based payments","value":"10"},{"label":"Bank transfer","value":"19"},{"label":"Wallets","value":"19"},{"label":"Other","value":"8"}]

Banked population

South Africa 72%
Middle East & Africa 46%
World 67%

Credit card penetration

South Africa 10%
Middle East & Africa 8%
World 19%

Internet penetration

South Africa 64%
Middle East & Africa 47%
World 62%

Smartphone penetration

South Africa 78%
Middle East & Africa 43%
World 70%

From 2022 to 2028, South Africa’s social-commerce market is forecast to grow by 108%, to reach a value of over 1 billion $US.

Mobile’s average share of South African e-commerce is 46%, but in February 2022 m-commerce peaked at 63% — suggesting mobile shopping continues to grow in popularity.

There are already 109 million mobile connections in South Africa and the number of individuals with a mobile phone grew by 5% between 2021 and 2022.

Between 2022 and 2027, the value of digital payments in South Africa is expected to grow from 14 bn $US to 25 bn $US.

Asked what they most like about online shopping, 49% of South Africans said convenience and a massive 77% said they use e-commerce to avoid crowds.

Future e-commerce trends (2021-2026)

B2C e-commerce ($US billion)

2022 4.9

2023 5.9

2024 7.0

2025 8.2

2026 9.4

E-commerce spending per capita ($US)

2022 81

2023 96

2024 113

2025 130

2026 148

E-commerce spending as % of GDP

2022 1.2%

2023 1.4%

2024 1.6%

2025 1.7%

2026 1.9%

South Africa

The E-Commerce Market

Top e-commerce segments

Fashion: 32%
Toys, Hobby & DIY: 27%
Electronics & Media: 18%
Furniture & Appliances: 15%
Food & Personal Care: 8%

Cross-border e-commerce

% of online shoppers who have shopped cross-border – 66%

Top 3 cross-border shopping origin markets

China
Germany
US

B2C e-commerce growth 20->21

South Africa 18.9%

E-commerce % of total retail

South Africa 4%
Middle East & Africa 9%
World 20%

E-commerce completed on a mobile device

South Africa 46%
Middle East & Africa 47%
World 53%

The Credit Card Split

Visa
Mastercard
American Express
Other

[{"label":"Visa","value":"51"},{"label":"Mastercard","value":"47"},{"label":"American Express","value":"1"},{"label":"Other","value":"1"}]

E-commerce market size 4.0 bn $US
E-commerce spending per capita 66 $US
E-commerce spending as % of GDP 1.1%

_{The information on our Insights pages has been compiled by us in cooperation with Datamatics and Wright & Brown. The data shown is partially owned by us and partially owned by GlobalData. © 2021 by PPRO Financial Ltd. No data and information can be used for any further publication without the explicit approval of PPRO.}

South Africa

Local Payment Methods

BitPay

Type Cryptocurrency Wallet Regions Asia Pacific, Eastern Europe & the CIS, Middle East & Africa + 3 Hyperwallet

Type Bank transfer, Prepaid voucher, Gift card Regions Asia Pacific, Eastern Europe & the CIS, Middle East & Africa + 3 Market relevance High PayPal

Type Wallet Regions Asia Pacific, Eastern Europe & the CIS, Middle East & Africa + 3 Market relevance High Paysera

Type Wallet Regions Asia Pacific, Eastern Europe & the CIS, Middle East & Africa + 3 Market relevance High PayU

Type Bank transfer Regions Asia Pacific, Eastern Europe & the CIS, Middle East & Africa + 2 Market relevance High Skrill

Type Wallet Regions Asia Pacific, Eastern Europe & the CIS, Middle East & Africa + 3 Market relevance High Allied Wallet

Type Wallet Regions Asia Pacific, Eastern Europe & the CIS, Middle East & Africa + 3 Market relevance High UnionPay SecurePay

Type Local payment card Regions Asia Pacific, Eastern Europe & the CIS, Middle East & Africa + 3 Market relevance High Apple Pay

Type Wallet Regions Asia Pacific, Eastern Europe & the CIS, Middle East & Africa + 3 Market relevance High DaoPay