Parcelninja: Solving the local e-commerce puzzle
While global e-commerce is already a massive in d u s t r y, local e - c ommerce sa l e s remain paltry in comparison. According to analysts, less than 1% of retail sales in South Africa t a ke pl ace onl i ne. Although we have seen a few highprofile deals in the space, such as the merger bet ween takealot. com and Kalahari. com (t wo of SA’s major e-commerce players), the industry is still hovering on t he sidelines of SA’s consumer landscape.
Loca l pl ay e r s fa c e a ra f t of challenges, including shoddy connectivity and IT infrastructure, a consumer base that lacks experience a nd conf i dence onl i ne a nd poor fulfilment and logistics. It is this last barrier that local start-up Parcelninja is attempting to overcome. Launched i n 2013 by Justin Drennan, Ryan Drennan a nd Terence Murphy, Parcelninja provides c l oud- based warehousing and delivery solutions – thereby seeking to solve the last piece of the e-commerce puzzle. The Parcelninja founders a re no strangers to industry challenges having started t he popular online retailer WantItAll and partnering with Makro to handle a large part of the company’s e-commerce needs. The nimble startup is already providing e-commerce s er v i ces to s evera l online shops, i ncluding Superbalist, WantItAll, Grabit, DCStore, Juniva, Action Gear, Kids Emporium and Flook. It recently attracted a R20m investment from C5 Holdings, the parent company of C5 Capital – a London-based specialist data and cyber security fund manager.
Finweek caught up with the chief executive ninja Justin Drennan to f ind out more.