Previously, the news that Amazon planned to open a South African site in February this year spread like wildfire, and it also attracted the attention of many people in the cross-border circle.
However, people familiar with the matter recently revealed that Amazon may have to postpone this plan until the end of this year.
It is understood that Amazon's project in South Africa is code-named "Project Fela", and the e-commerce giant's plan also includes launching FBA services for third-party sellers in South Africa. And Amazon's Prime membership program will also be available to South Africans shortly after the launch of its platform.
However, Amazon CEO Andy Jassy said that they are focusing on solving the cost problem, including taking measures such as laying off more than 18,000 people and closing some warehouses. These actions have brought Amazon's South African plans into question.
Jassy said: "Amazon has withstood the test of the outside world and the downward economic conditions in the past year, and we will continue to do so in the future. Controlling costs will help us remain invincible in the long-term development."
According to a person close to Amazon's South African operations, the company has temporarily suspended the planned launch of the site in Nigeria, but is continuing to advance the South African site.
However, due to the impact of the general environment, Amazon may eventually decide to delay the launch of the South African site until the third or fourth quarter of 2023.
Amazon did not comment on matters related to the South African site.
However, although Amazon has been tight-lipped about its projects in South Africa, its imminent launch of a new site in South Africa has long been known in the e-commerce industry.
At present, Amazon has acquired and built enough warehouse space in South Africa, and is negotiating cooperation with local express companies and FMCG retailers.
Other sellers said that the Amazon.co.za domain had previously appeared in the country/region drop-down list on Amazon.com.
Moreover, Amazon has already recruited troops in South Africa for the promotion of the new site. Last year, Amazon posted a slew of job advertisements, including for management positions related to its South African market.
The news that the new site has been postponed this time may discourage some eager sellers, but if Amazon insists on launching the new site without sufficient preparation, the result will be unsatisfactory. Lay a solid foundation and spend more time providing a high-quality business environment for sellers.