As 40. 1% of South Africans access the internet through their mobile phones, it is evident that internet usage is increasing. 2013 saw 13. 6 million South Africans have access to the internet. The internet offers online shopping and it is a convenient way to shop as payment is made easy and the most impatient consumer does not have to wait in line. However, regardless of its inconvenience and the increase in internet usage, online shopping has not yet radically captivated the internet users of South Africa.
Citizens of South Africa complete 35% of their shopping online. The purchased goods that dominate their online shopping is categorized as the following:
- 22% of holiday deals are purchased online
- 33% of DVDs, music, and videos are purchased online
- 43% of tickets for events are purchased online
- 43% of travel expenditures are paid online
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There are benefits of shopping online which some South Africans take advantage
of. In a survey, results showed that 76% of people become loyal buyers for an online store once they find a good one; when they want to buy something online, they will always refer to specific online stores that have satisfied them in the past. Out of the participants of the survey, 74% claimed that online shopping is easy as it is convenient. However, 35% of participants do not feel that their payments are secure with online shopping and 41% of participants do not have a credit card to shop from many online stores that only accept credit cards. Therefore, there is still a big gap between online shoppers and those who do not shop online in South Africa.
Although mobile gaming is currently at its best in South Africa as the majority of South Africans browse the internet through their phones, this may not be the same success for mobile gaming and online gambling sites in South Africa. The mobile gaming and gambling industry requires virtual purchases which only a quarter of the survey’s participants have ever made, at least once, in their lives. Downloading apps are the new way to gamble on your phone but only 35% of apps are downloaded through a mobile phone whilst 11% of games are purchased online through mobile. Internet usage in South Africa is at its peak but whether the mobile gaming and mobile gambling industry are striving from this is questionable.
Gaming and gambling through a mobile require online payments. It’s already working in the Softswiss Casino. However, 67% of the survey’s participants indicated that they have no intention of making online payments. In addition, only people who can afford to risk their insecure fear of making payments will shop online, these people being South Africa’s more privileged population. This is evident in the fact that 73. 5% of internet users have higher education. While 1. 6% of South Africans were participating in online gaming during 2013, the majority of these citizens were privileged. Therefore, online trade and payments, which are involved in mobile gaming and gambling, are not appealing to the majority of South Africa.