The South African government is entering into the digital commerce space with the launch of two new eCommerce platforms designed to boost local manufacturers and small businesses. Minister of Trade, Industry and Competition Parks Tau will officially launch both platforms on July 1, 2025, marking a significant government intervention in the country’s growing online retail market.
The two platforms, developed in partnership with Proudly South African, are Shop Proudly SA and Market Access Platform (MAP). Shop Proudly SA targets everyday consumers, while MAP focuses on business-to-business transactions and procurement.
Two Platforms, Different Audiences
Shop Proudly SA operates as a traditional business-to-consumer platform where South African shoppers can browse and purchase locally manufactured products. The platform aims to make it easier for consumers to find and support South African-made goods in a market currently dominated by international players.
The Market Access Platform takes a different approach, targeting corporate procurement officers and large businesses. MAP functions as a database of vetted local manufacturers and service providers, designed to help companies meet their local procurement targets and support transformation goals.
“These platforms are meant to provide seamless and centralised portals that will make it easier for consumers and procurement officers to source locally manufactured products and services,” said Minister Tau.
Challenging Established Players
The timing of this launch comes as South Africa’s eCommerce market shows explosive growth. The market reached $35.2 billion in 2024 and industry analysts project it will hit $74.8 billion by 2033, representing a compound annual growth rate of 8.79%.
However, this market is heavily concentrated among a few major players. Takealot dominates with 66% of online shoppers using the platform in 2024, holding between 15-20% of the total eCommerce market share. The platform generated $360 million in online revenue in 2024, making it the largest eCommerce retailer in South Africa.
International competition has also intensified, with Chinese platforms Shein and Temu gaining significant traction since their 2024 launches in South Africa. These platforms have put additional pressure on local retailers by offering extremely competitive pricing on imported goods.
Supporting Local Manufacturing
The government platforms launch with over 1,700 locally manufactured products spanning all sectors of the South African economy. This represents a direct attempt to help local manufacturers regain ground lost to imports in recent years.
Proudly South African CEO Eustace Mashimbye explains that MAP specifically addresses a gap between large corporations and local suppliers. “MAP is a database of reliable, local manufacturers and service providers from which businesses that have undertaken to increase their uptake of local products and services can procure,” Mashimbye said.
Member companies of Proudly South African automatically qualify for listing on MAP as suppliers. Procurement officials can list tender opportunities on the platform and get matched with relevant suppliers based on their preferential procurement requirements.
Economic Impact Focus
The platforms form part of a broader government strategy to support small, medium and micro enterprises while creating jobs and strengthening economic resilience. This aligns with South Africa’s ongoing transformation objectives and local content promotion initiatives.
The launch comes at a crucial time for South Africa’s retail sector. Online retail now represents 6% of total retail sales in the country, up from previous years, with the sector generating R71 billion in sales value in 2023 – a 29% increase from R55 billion in 2022.
Minister Parks Tau, who took office as Minister of Trade, Industry and Competition in July 2024, has made economic transformation and support for local industry key priorities. The 55-year-old former Johannesburg mayor brings extensive experience in local government and development initiatives to the role.
Testing Government Ecommerce
The success of these platforms will depend heavily on their ability to compete with established players on user experience, product selection, and pricing. Government-backed eCommerce initiatives in other countries have shown mixed results, with success often hinging on execution quality rather than just policy support.
The platforms face the challenge of convincing both consumers and businesses to change established purchasing patterns. Takealot’s dominance stems from years of investment in logistics, user experience, and customer service infrastructure that will be difficult to replicate quickly.
However, the focus on local content gives these platforms a unique positioning that could appeal to patriotic consumers and companies with transformation mandates. The success of the initiative will likely be measured not just in sales volume but in its impact on local manufacturing employment and economic transformation goals.
Both platforms go live on July 1, 2025, when South African consumers and businesses will get their first chance to test whether government-backed eCommerce can compete in the digital marketplace.
