It seems just like yesterday, when e-commerce stormed Africa, and ever since, it has grown increasingly every year despite the huddles. As we wind up things for the year 2015, predictions for the coming year 2016 are already flying out.
We take a look at George Kalebaila, senior research manager at IDC (International Data Corporation) Sub-Saharan Africa’s chat with ITWeb Africa on the challenge of predicting the future and offered further insight into some of the key trends to look out for next year:
Improved security
Security remains very key to the growth of ecommerce. People’s willingness to buy online is as a result of the trust level they have with the system. According to report some 63% of south Africa non online shoppers highlights online security as the main reason they don’t shop online. The safer ecommerce is the more people are willing to embrace it.
The (IDC) 2016 predictions, sees security moving to the cloud especially with mobile penetration on the increase in Africa. They highlighted that Africa would see a more integrated approach to security through cloud with mobile playing a huge role.
“In 2016 we will see biometrics, access security and IT security becoming integrated with mobile security. Security is now moving to the cloud especially with mobile because of the externalization of business processes because of mobile devices. Security and threat management will see a more integrated approach as the latest technology will evolve from the cloud and will be replicated across enterprise systems as it were.”
As online spending surges in Nigeria, South Africa and Kenya (which are the more major countries driving ecommerce in Africa), now is the time much more than ever to beef up security. Improved security would further encourage a business man to run an online store because he knows his customers trust the system enough to do business.
Smart cities would spore more participation in ecommerce
A connected city where everything is linked in a network through cloud. Predictions suggest more smart cities in Africa for 2016. The huge gap of development between the African rural and urban areas presents huge opportunities for business. A local farmer in a small rural village can make more sales due to more demands directed to her from a dropshipper who sells on cokodeal.com marketplace, and because almost every one of these rural settlers have a mobile phone or has someone who does, the farmer can communicate with people in the city on constant basis. We are likely to see a surge increase in drop-shipping who would bridge the gap of participation of the local manufacturers/producers with the ever competitive and changing world of business in the smart cities.
“Almost every mature citizen in South Africa for example has got a mobile phone and that creates a big opportunity for municipalities and metros to use that platform to engage their citizens and move into the 3rd platform, to use mobility and cloud services.”
However possible these predictions, one thing is certain- e-commerce is fast catching up in Africa and projecting into the future, it is safe to say 2016 holds huge opportunities in e-commerce ready to be tapped.
What are your thoughts on these predictions?
