Temu and Shein Are Reshaping South African Shopping Habits And They’re Not Going Anywhere

Temu and Shein’s Unstoppable Grip on South Africa’s Online Shopping Scene

When Temu and Shein first landed on South Africa’s shores, they were treated as digital curiosities, another pair of flashy Chinese shopping apps promising ridiculously low prices. But by late 2023, that curiosity had turned into a shopping frenzy. From clothing to phone chargers, South Africans were filling virtual carts faster than local retailers could blink.

And while the initial hype has cooled, experts say Temu and Shein aren’t going anywhere.

The Retail Shake-Up Nobody Saw Coming

In just a year, these two platforms reshaped South Africa’s e-commerce landscape. Their appeal was simple but powerful: trendy items, shipped directly from China, at prices local brands simply couldn’t match.

The fallout was immediate. Big-name players like Takealot were forced to rethink their strategies even selling off its struggling fashion arm, Superbalist. Zando shut its virtual doors altogether, and smaller importers like Snatcher couldn’t keep up, closing shop after eight years in business.

Meanwhile, the local textile industry sounded the alarm. According to the Localisation Support Fund, Temu and Shein’s rapid rise cost South Africa an estimated 8,000 jobs in clothing and textile manufacturing. The South African Clothing and Textile Workers Union called their approach “smash-and-grab economics,” accusing the platforms of undercutting local businesses without contributing to the domestic economy.

SARS Cracks Down, But Is It Enough?

In response to mounting pressure, the South African Revenue Service (SARS) closed a major tax loophole that had given foreign e-commerce sites an edge. By removing the low-value import duty exemption, SARS aimed to level the playing field for local retailers.

However, as Andy Higgins, a veteran of South Africa’s online retail space and founder of Bob Group, put it: “Even with import duties in place, many of these Chinese platforms continue to offer compelling value compared to local retailers.”

According to Higgins, the February 2025 tax adjustments may have cooled the hype slightly, but the appeal remains. “Their scale, sourcing efficiency, and aggressive price positioning still resonate with cost-conscious South Africans,” he said.

Numbers Don’t Lie, They’re Still Winning

Recent data backs up Higgins’ view. Research from Yazi and Reveal found that Temu and Shein together account for roughly 13% of South Africans’ clothing spend, putting them just behind the country’s biggest players like Mr Price (14.7%), Pep (12.5%), Truworths (11.8%), and Ackermans (10.8%).

That means Temu and Shein are already ahead of brands like Bash, Sportscene, Jet, and Edgars a remarkable feat for two newcomers barely two years old in the local market.

The World Wide Worx Online Retail in South Africa Report further found that about 15.3% of online shoppers used Temu or Shein in 2024, half the usage rate of Takealot, a platform that’s been around for more than a decade.

The Bigger Picture: A Changing Consumer Mindset

Beyond market share, Temu and Shein’s success reveals something deeper about South African shoppers: price sensitivity is at an all-time high. With a weakening rand and rising living costs, consumers are chasing affordability more than brand loyalty.

On social media, shoppers have mixed feelings. While some praise the platforms for “making fashion affordable again,” others worry about quality, shipping delays, and the ethics behind ultra-cheap imports. Memes about “Shein hauls gone wrong” or Temu’s “too-good-to-be-true” gadgets are now part of the online culture but the clicks keep coming.

So, What’s Next?

While the tax clampdown has made imports pricier, analysts believe South Africa’s love affair with cheap, trend-driven online shopping isn’t fading anytime soon. Temu and Shein might evolve, adapting their logistics or pricing, but they’ve already proven they can outpace local competition.

In Higgins’ words, “These platforms are here to stay, just in a more competitive and regulated environment.”

And for South African retailers? The message is clear: adapt fast, or risk becoming another casualty of the Temu-Shein revolution.

Sourced: Moneyweb

{Source: Moneyweb}

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