Amazon was planning to launch a local marketplace in South Africa in Q1 2023 – this has now been postponed until the end of the year. This comes from a source familiar with the matter in the company, speaking to local journalists. Amazon has already secured warehouse space locally and already has a base of operations in Gardens, Cape Town. It is also still building its South African campus, which is a mega-complex in Salt River, Cape Town.
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Codenamed “Project Fela”, the eCommerce giant’s plans also included the launch of its “Fulfillment by Amazon” service for third-party sellers. The company is also planning to launch a local version of its Amazon Prime membership programme, touted to launch soon after the marketplace opens. It is expected it will work similarly to the programme in the US and Europe and should also include the Amazon Prime Video subscription streaming service at no additional cost.
Of course, with the current global economic climate, things are a bit difficult for the tech industry in general at the moment and Amazon has announced it is laying off more than 18,000 employees worldwide.
“Amazon has weathered uncertain and difficult economies in the past, and we will continue to do so,” Amazon CEO Andy Jassy said. “These changes will help us pursue our long-term opportunities with a stronger cost structure.”
While Amazon is keeping mum on the project, its imminent marketplace launch in South Africa has been one of the worst-kept secrets in the eCommerce industry. The Amazon.co.za domain has also previously appeared in the country drop-down list on the Amazon.com website. Amazon is also hiring people in swathes in South Africa, including various managerial positions relating to its “ZA marketplace.”
We expect to get official news from Amazon regarding its local launch in the coming months.
