A South African Side Hustle: To Lease or Build an Online Store Platform

Abstract

Consumers from developing countries seek products such as digital platforms from developed countries. This phenomenon has been observed in South Africa where local companies subscribe to software created in developed countries. This study took an autoethnographic approach to understanding why one local online retailer opted to use an e-commerce platform (Shopify) created in Canada instead of enlisting the services of a South African technology provider. It was found that software companies from developed countries offer product trials with sufficient features allowing potential customers to “test drive” software before making a purchase. They also offer flexible pricing and month to month contracts. Their “off the shelf” solutions also meet the expectations of customers who want to reduce their Time to Market strategies. These findings have been used to devise recommendations that South African technology providers could incorporate to redefine their product offerings making them more attractive to the local market. These recommendations include offering customisable solutions with flexible pricing options. It is also recommended that a free software trial with sufficient features over an acceptable duration should be offered.