SA loves to shop online

BE AWARE: Online shoppers have been warned about hidden costs.

BE AWARE: Online shoppers have been warned about hidden costs.

Published Nov 8, 2013

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Durban - I love browsing through online stores. It’s the best way to desk de-stress, but I can’t say I’ve bought anything more than travel tickets in front of the PC.

I bought a ring from a catalogue once and the design turned out to be more garish than I expected or wanted. I was stuck with the item despite mention of the Consumer Protection Act, which fell on deaf ears.

So I resolved to buy only what I could see first-hand and try on if possible.

However, at SA Fashion Week recently, women in the front row flaunted beautiful clothes and shoes they professed to having bought online with no fuss whatsoever.

These, of course, are women who get what they want. Think about it this way: looking for a very specific item, like aquamarine platforms to go with that dress you just bought, can be a lot easier when you’re using a search engine as opposed to mall trawling.

While shopping for me is and always will be a tactile pleasure, shopping online makes sense when you have a hectic schedule.

You don’t have to leave the house or office and often you find a wider selection on the web, making this a quicker and cheaper option.

According to The Online Retail Brands Report – South Africa 2013, conducted by Acentric Marketing Research, about 1.2 million South Africans are said to shop online – mostly for apps/ringtones, airline tickets, books (paper), DVDs and CDs, software, entertainment and clothing/shoes/fashion accessories.

Airlines and automotive have the greatest share of spend, followed by groceries.

Popular SA sites are Kalahari, Amazon, Bid or Buy, Woolworths, Gumtree, eBay, Olx and Zando. (The fashion girls also love 36 Boutique.)

The report seems to suggest that brands before unknown, that only exist online, appear to be growing at a faster rate than well-established big-name retailers – an indication that retailers and surely we consumers have no time to waste being technophobic.

Socialite and self-confessed shoe and fashion addict Shashi Naidoo, who recently began her blog Shashi’s Closet, says she is still getting used to shopping for clothes online.

“I love to shop online for books, wine and CDs. Gifts are going to be hit-or-miss anyway, so it doesn’t hurt to order online and have your parcel hand delivered – it adds a special touch. However, when it comes to clothes I want to know how a garment feels and fits. When shopping online you need to be familiar with sizes as they vary from one brand to the next. I find returns a mission and so I’m a bit wary.

“I’ve had one bad experience. I bought a piece of furniture online that turned out to be three times smaller than I expected. I was too lazy to return it,” confesses Naidoo.

A fractured pelvis, after a bad cycling accident, taught TV presenter Liezel van der Westhuizen the value of online shopping. She says she couldn’t get out of the house but managed to do most things on the web.

“I started doing my grocery shopping online in 2011 when I was bedridden for three weeks. My shopping arrived at the time I specified and the delivery guy even unpacked it and assisted me in packing away my groceries.

“It’s convenient and so now it has become a norm.

“I do clothing shopping online as well from various local sites. I find it easy to return items that don’t fit, and it’s ideal for me, as I hardly get time to go to the mall. I love buying shoes online. I also do all my Christmas shopping online.

She says, “If you make sure you’re using a legitimate shopping portal and a site that has the proper security measures in place when posting credit card details you’ll be fine.”

Norman George, Operations Director at international express, air and ocean freight company DHL Express South Africa says with the festive season fast approaching, consumers are increasingly choosing to purchase gifts online from retailers in South Africa and abroad due to the wide selection of products at competitive prices and the lack of geographical locations.

He says while online shopping has many benefits, not many South African consumers are aware of the regulations involved with importing products purchased online from international retailers, which could lead to consumers incurring additional expense.

“All shipments transported across international borders must be cleared through customs, where, depending on the type of goods being shipped, they may also be subject to certain other restrictions and regulations.”

When purchasing goods online from international retailers, George says it is important to bear the following factors in mind to avoid additional costs or a delay in delivery of the goods:

l Import taxes and duty: All South African taxes and import duty costs are calculated specifically on the value of the imported goods. Consumers should also be aware that certain products such as footwear and wines are calculated part in value and/or in quantity, and may be subject to permit requirements based on quantity, while others, such as clothing, jewellery, perfumes and mobile devices, may only be calculated on the value of the product. It is important to note that the import of any second-hand and used goods, even those imported for the purpose of donations (excluding clothing), is strictly prohibited for entry into the country without an import permit.

l Customs clearance: When shipping with certain express operators, no duties are payable for shipments below R500 in total and are processed under an informal clearance at customs. Where the shipment total value exceeds R500, full duties and taxes are payable depending on the commodity being shipped.

l Choose a suitable courier service: Citizens of South Africa are allowed to import goods using their identity number; however, if this information is not available at the time of import for shipment values exceeding R500, the shipment understandably cannot be cleared on arrival until the information is obtained from the customer. This delay ultimately defeats the purposes of using an express delivery service and therefore submitting all information required is crucial.

l Gifts: There is a value limit on gifts. Gifts are only acceptable between individuals and a full description of the contents is required, the generic description “Gift” is not accepted. Gifts up to a value of R400 can be cleared, but any value above that will be deemed commercial goods.

l Be aware of the different shipment costs: It is important to establish what costs the shipper and the customer will be responsible for prior to the shipping of the goods.

There are ultimately three main costs associated with the movement and clearance of goods with express operators: the cost of the goods payable to the shipper; the shipping costs to the customer’s door and the duties, taxes and customs clearing costs.

In most instances, the duties and taxes payable in the country of destination cannot be accurately determined by the shipper at the point of ordering the goods and these costs are not included by the shipper in their quotations to the customer. As a result, on arrival in South Africa, these charges are billed to and payable by the customer before the package can be claimed – often to the customer’s total surprise. This ultimately could result in the landed cost (the total amount of all costs) of the e-retail merchandise becoming much more costly for the buyer than expected and could potentially put them off repeat online purchases.

There are, however, e-retailers that offer Delivered Duty Paid (DDP) terms which confirms that all costs, inclusive of the duties, taxes and clearance costs, are payable by the shipper and that the customer is not responsible for any surprise costs.

It is advisable for consumers to speak to the online retailer or a local expert/service provider should they be unsure about any regulations that may apply to their purchase, concludes George. - The Mercury

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