As part of the lockdown restrictions that were announced by Pres Cyril Ramaphosa, all online stores are prohibited from selling and transport non-essential items.

This means that more than half of all online stores are affected and Takealot CEO Kim Reid expects the national lockdown in South Africa to cost the company around R350 million as he told Reuters that the company is in distress as its sales have dropped since the lockdown.

In as much as Takealot quickly adopted in selling essential items like sanitizers, healthcare products and baby products – it was just not enough as this is only accounting for 15% of the company’s total sales.

Takealot had to also cancel all orders that were made a few days before the lockdown came into effect as they could not be fulfilled before the lockdown came into effect.

Due to these problems being faced by online stores, there has been a call for the Government to ease these restrictions on eCommerce stores so they can sell and deliver as they argue that selling online actually promotes social distancing and does help curb Covid-19.

Other countries like the US and the United Kingdom have allowed their respective eCommerce stores to continue running as normal during the lockdown.

 

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