E-commerce is experiencing a drastic increase in South Africa, as the number of online shoppers is predicted to reach 25 million in 2021 which is a growth from 18 million in 2017. In the next two years, the average online spend is predicted to be approximately $189, 70.
The co-founders of auction.co.za, William Miller and Renaldo de Jager, believe that this boom in e-commerce can also be beneficial to car sales. They are of the belief that the ‘brick and click’ concept will transform how people financially interact with automobiles. Statistics reveal that the millennial customer base (in this case, individuals born between 1981 to 1996) in the car market is steadily increasing. 40 per cent of new vehicle sales in the United States by 2020 will be attributed to millennials.
Most online platforms work together with car dealerships and manufacturers to deliver a hassle-free car-buying experience, but Miller and de Jager believe that auction sites make this process much easier. Auction sites provide a one-stop environment, as well as providing more cost-effective alternatives than most traditional car-purchasing practices.
Miller and de Jager say that online auction sites provide a wide range of vehicles across numerous manufacturers, and also assist buyers with additional features for their vehicles, like GPS, blue-tooth and others. Purchasing a vehicle from an online auction is a two-way transaction and excludes non-essential personnel from participating in the transaction.
With the increase of the millennial population looking to purchase vehicles, Miller and de Jager are looking to ease this process with their online auction site auction.co.za.