One of Africa’s largest diversified financial services groups, Absa, has reported a significant rise in the total value of e-commerce transactions over the past year \u2013 with signs pointing to peak around Black Friday.<\/p>\n\n\n\n
According to the bank’s data, total e-commerce turnover has increased 25% year-on-year in the first quarter, 16% year-on-year in the second quarter and 19% year-on-year in the third quarter.<\/p>\n\n\n\n
Between the start of 2023 and the third quarter of 2024, the average value of e-commerce transactions increased from approximately R350 to R430. <\/p>\n\n\n\n
In contrast, the average value of in-store retail transactions saw a modest decline, falling from around R350 to R340 over the same period.<\/p>\n\n\n\n
Absa said that this data suggest that consumers are increasingly embracing the convenience, variety and efficiency of online shopping, which bodes well for retailers with an online presence ahead of Black Friday.<\/p>\n\n\n\n
\u201cWe’ve observed a shift towards higher online spending, with fewer but higher-value transactions indicating a preference for larger purchases online,\u201d said Chris Wood, Managing Executive for Product at Absa Relationship Banking. <\/p>\n\n\n\n
\u201cIn physical stores, both total transaction numbers and turnover are growing steadily, though at a lower average ticket price, suggesting that consumers are making smaller, more frequent purchases. <\/p>\n\n\n\n
This trend aligns with general consumer behaviour in South Africa, where shoppers show confidence but are mindful of purchase sizes,” added Wood.<\/p>\n\n\n\n
Absa said that it expects continued growth in total online and in-store spending, particularly around the Black Friday period.<\/p>\n\n\n\n