As consumer behaviour continues to shift in a digitally connected world, South African retailers are facing a critical turning point. With online retail sales making up just 6% of total sales in 2023—far behind the United States (16.2%) and the United Kingdom (26.2%)—the local industry must rethink how it engages modern shoppers. Enter omnichannel shopping: not just a buzzword, but the future of sustainable retail growth in South Africa.
Unlike multichannel strategies, which simply offer different touchpoints, omnichannel shopping focuses on seamless integration across online, mobile, and physical platforms. From browsing on an app to paying in-store, customers expect frictionless experiences—and they’re rewarding the brands that deliver.
Payment flexibility drives adoption
Recent trends reveal that omnichannel isn’t just about where consumers shop but how they pay. During Black Friday 2023, 55.2% of PayJustNow’s Buy Now Pay Later (BNPL) transactions occurred in-store, while 44.8% happened online. This split underscores a powerful insight: South African consumers want choice and flexibility, not just convenience.
BNPL and alternative payment methods are becoming critical tools for retailers to boost basket sizes and conversion rates. Beyond that, platforms like PayJustNow offer deep analytics that help retailers track shopper behaviour and refine marketing strategies—an edge that traditional POS systems rarely provide.
Integration still a hurdle—but progress is happening
The key challenge for South African retailers lies in streamlining payment systems across digital and physical channels. A fragmented payment landscape has historically hindered smooth integration, with third-party providers controlling both settlements and customer data. But this is changing.
Payment service providers are increasingly prioritising merchant control and direct relationships with consumers. Brands like Retailability—which includes Edgars, Legit, Keedo and others—have implemented an omnichannel strategy that has delivered over 90% year-on-year growth in transaction value during peak periods via PayJustNow’s platform. Exclusive deals, cross-platform visibility, and flexible payments are proving to be powerful retail growth levers.
What lies ahead for South African retail?
The local market may not replicate the e-commerce dominance seen in developed economies, but consumer expectations are clearly evolving. South African shoppers still value the tactile experience of in-store shopping, but they also want online browsing, fast returns, and financial flexibility at their fingertips.
Retailers who adapt now—by investing in unified systems and partnering with tech-forward PSPs—will be well-positioned to capture the loyalty of Gen Z and millennial consumers entering their prime spending years. Omnichannel shopping is no longer optional—it’s a strategic imperative for staying relevant.
Bottom Line: Retailers must embrace integration, data-driven payment options, and consumer-centric design to succeed in South Africa’s retail future. Those who do will not only survive the transformation—but lead it.