ANC members allegedly attacked at commemoration event
March 25, 2024
Minister warns of E-commerce threat to local firms
March 25, 2024
The rise of popular online marketplaces Temu and Shein in South Africa has brought
logistical challenges for the companies’ local handling partners. Temu’s aggressive
marketing strategy, including extensive promotion efforts costing millions of rands, has
fueled remarkable growth in orders from South African consumers.
Temu’s parent company allocated an estimated US$3 billion for marketing in the US
alone last year, making it Facebook’s largest advertiser with a projected US$1.2 billion
spend on the platform in 2023. As Temu doubles down on marketing this year, demand
is expected to surge further.
Buffalo International Logistics, responsible for processing Temu and Shein orders in
South Africa, has struggled to keep up with the high volume. Some customers have
aired grievances on review platforms like Hellopeter over delays in receiving their
packages amidst the overwhelming order influx.
While the companies’ popularity reflects consumer appetite for affordable online
shopping options, managing rapid expansion alongside delivery expectations presents
an ongoing test. As scrutiny mounts around alleged tax avoidance by Shein, the
Chinese e-commerce giants navigate both operational hurdles and mounting regulatory
unease.
