Bidorbuy has held the title of South Africa\u2019s largest online marketplace for years, but is facing a challenge from the country\u2019s largest online shopping website, Takealot.<\/p>\n
Armed with R960 million<\/strong><\/a> in new funding and a drive to dominate online shopping, Takealot is an\u00a0800-pound gorilla nobody can ignore.<\/p>\n Several\u00a0online shopping sites, like Makro, have also launched marketplaces, but it will take time for these platforms to gain momentum.<\/p>\n The battle between Takealot and Bidorbuy can be compared to Amazon and eBay in the United States, which are fighting for market share.<\/p>\n While Amazon is much larger than eBay, the latter still serves\u00a0millions of users each month.<\/p>\n Many commentators predict that Amazon and eBay will continue to coexist as competitors for the foreseeable future.<\/p>\n The same may happen in South Africa, with Takealot and Bidorbuy – but it will depend on how each company reacts to changes in the market.<\/p>\n When looking at the market position and financial situation of Takealot and Bidorbuy, there are several\u00a0differences.<\/p>\n While Takealot has deeper pockets than Bidorbuy, it is burning through cash and still has to prove that it can turn a profit.<\/p>\n Takealot\u2019s major shareholders \u2013 Naspers and Tiger Global Management – may stop funding the company in future.<\/p>\n When this happens, Takealot will be under financial pressure, which may remove some of the competitive advantage it currently enjoys.<\/p>\n While Bidorbuy\u2019s finances are not public, it is believed it is not losing money and is more financially stable than Takealot.<\/p>\n Bidorbuy has also used much less money to establish itself in the market, which means it faces less pressure from shareholders to deliver massive profits.<\/p>\n One of the biggest advantages which Takealot\u2019s marketplace offers is the experience it provides\u00a0buyers.<\/p>\n Takealot holds all sellers\u2019 products in its warehouses, which means shipping is done through a\u00a0trusted network.<\/p>\n Takealot\u2019s controlled environment is typically preferred by buyers, who often have to deal with Post Office deliveries when dealing with Bidorbuy sellers.<\/p>\n While Takealot\u2019s system guarantees better delivery times, it does create inefficiencies and additional costs for sellers.<\/p>\n One of the biggest benefits to sellers on Bidorbuy is the lower fees charged by the platform.<\/p>\n Takealot\u2019s fees<\/strong><\/a> are around double that of Bidorbuy<\/strong><\/a>, which means many sellers prefer using the auction platform.<\/p>\n While standard \u201cbuy now\u201d services are more popular than online auctions, many people still enjoy\u00a0the latter.<\/p>\n Takealot does not offer auctions, and Bidorbuy is the dominant player in the South African online auction market.<\/p>\n Bidorbuy is also the preferred platform for sellers who deal in collectables – like stamps, coins, antiques, and art.<\/p>\n While Takealot is likely to dominate Bidorbuy on\u00a0products like computers, electronics, books, movies, and games, it will not be as strong when it comes to niche products.<\/p>\n MyBroadband asked two of South Africa\u2019s prominent eCommerce experts \u2013 who asked to remain anonymous – about the battle.<\/p>\n The first commentator said Takealot and Bidorbuy are two different businesses, and both businesses are likely to be successful.<\/p>\n The second commentator said Takealot is going to be the likely victor, especially with its latest round of funding, which will enable it to strengthen its marketplace.<\/p>\n He said many sellers who migrated from Bidorbuy to Takealot have seen a dramatic increase in sales, which does not bode well for Bidorbuy.<\/p>\n He said the erratic experience, especially related to delivery, associated with Bidorbuy will hurt the platform in the long term.<\/p>\n Takealot was asked for feedback regarding its\u00a0market position and plans, but it\u00a0did not provide a reply.<\/p>\n Bidorbuy said it would prefer not to comment on the matter.<\/p>\n Bidorbuy has held the title of South Africa\u2019s largest online marketplace for years, but is facing a challenge from the country\u2019s largest online shopping website, Takealot.<\/p>\n","protected":false},"author":23,"featured_media":102875,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_sma_x_autopost_status":"idle","_sma_x_autopost_error":"","_sma_x_post_id":"","_sma_facebook_post_id":"","_sma_instagram_post_id":"","_sma_threads_post_id":"","_sma_x_attempts":0,"footnotes":""},"categories":[19],"tags":[723,3636,3720,35,849,42654,995],"class_list":["post-207306","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-amazon","tag-bidorbuy","tag-ebay","tag-headline","tag-makro","tag-marketplace","tag-takealot"],"_links":{"self":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/207306"}],"collection":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/users\/23"}],"replies":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/comments?post=207306"}],"version-history":[{"count":2,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/207306\/revisions"}],"predecessor-version":[{"id":207652,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/posts\/207306\/revisions\/207652"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media\/102875"}],"wp:attachment":[{"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/media?parent=207306"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/categories?post=207306"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mybroadband.co.za\/news\/wp-json\/wp\/v2\/tags?post=207306"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Takealot vs Bidorbuy – Finances<\/h3>\n
Takealot vs Bidorbuy – Delivery<\/h3>\n
Takealot vs\u00a0Bidorbuy – Fees<\/h3>\n
Takealot vs\u00a0Bidorbuy – Services and products<\/h3>\n
Takealot vs\u00a0Bidorbuy – eCommerce experts comment<\/h3>\n
Takealot and Bidorbuy – No comment<\/h3>\n
Now read:\u00a0Takealot gets R960 million from Naspers<\/a><\/h3>\n","protected":false},"excerpt":{"rendered":"