Takealot township delivery plans

Takealot says it plans to expand its delivery operations into South African townships, a market under-served by the e-commerce sector.

To do so, it has launched a pilot programme in cooperation with the Mpumalanga municipal government to raise awareness about the opportunities e-commerce offers the province’s residents.

The programme involves the hiring of 1,000 last-mile delivery drivers, which Takealot’s head of external affairs, Tshepo Marumule, said would not only work for Mr D but also Takealot.

“People need to know that they don’t have to go all the way to Mbombela to have access to what they need as they can have it delivered,” he said.

Marumule believes that exposing more of the province’s residents to the benefits of e-commerce will soon create an increased demand for drivers in the area and, thus, jobs.

Because many are cautious and hesitant about riding traditional motorcycles, Takealot is providing electric bicycles to some of its riders as a starting point.

Electric bicycles are particularly beneficial to riders in cities with bike lanes as this allows for additional rider safety, according to Marumule.

Many major last-mile delivery services, such as Uber Eats and Mr D, ceased operations in some townships due to safety concerns, allowing smaller entrants to fill the gap.

Bob Group managing director Andy Higgins told MyBroadband that the costs of delivering to these areas are much higher than standard metros.

“Currently, many courier companies impose premiums or surcharges for deliveries to these areas, which they consider high-risk,” Higgins said.

“For example, delivery costs to townships can be multiple times higher than in standard metro areas, creating a barrier to affordability and accessibility for these consumers.”

Takealot’s first effort to boost e-commerce in South African townships came earlier this year when it launched the Takealot Township Economy Initiative in conjunction with the Gauteng Provincial Government.

As part of the initiative, Takealot promised a R150 million investment into township e-commerce in Gauteng.

The initiative comprised six Takealot programmes:

• Takealot personal shopper programme
• Takealot delivery team driver development programme
• Takealot township franchise development programme
• Mr D Mzansi Trailblazer restaurant programme
• Superbalist stock reseller programme (Takealot has since sold Superbalist)
• Takealot marketplace SME and local industrialisation programme

Takealot explained that its personal shopper programme allows people to earn supplemental income by purchasing products on the Takealot platform on behalf of the public.

They help consumers navigate the platform and get the best deals while earning commission fees for their service.

There is no cap on the commission personal shoppers can earn.

The programme aims to recruit and onboard 5,000 Personal Shoppers in designated underserved areas by 2028.

Takealot’s delivery team driver development programme will address the urgent need for skilled drivers by training South African citizens interested in working in the on-demand delivery space.

It intends to onboard 2,000 Drivers who will join the Takealot Franchise Network within five years.

Drivers can work full-time or part-time and receive free training with the opportunity for further development.

Takealot’s township franchise development programme will offer ten franchisees financial and technical support training over the next five years.

The goal is to develop entrepreneurs and offer them the chance to expand their business skills while encouraging local economic growth in underserved areas.

A Takealot franchise is a base for collecting and delivering items ordered from the platform.

Unlike other franchise operations, Takealot franchise owners don’t pay any royalties to the Group.

Franchisees who run these hubs are entrepreneurs with some business experience and know-how.

The Mr D Mzansi Trailblazer restaurant programme aims to give independent restaurants a competitive advantage by offering trading benefits that boost sales on the delivery platform.

Joining the platform will be free of sign-up fees, and regular training will be offered to help restaurateurs use the available tools.

Advertising credit to the value of R1,000 for the first three months of trading on Mr D will be followed by further credits.

The Takealot marketplace SME and local industrialisation programme aims to transform townships into economic hubs by supporting local manufacturers.

Takealot said it would provide expert support, waive subscription fees for 12 months, offer dedicated onboarding and training, allocate free advertising credits for product launches, and provide one-year Proudly SA memberships for qualifying manufacturers.