The USAID Southern Africa Trade and Investment Hub boosts trade and investment with and within Southern Africa.

View By Country: South Africa
View By Month: July 2020

A June 4, 2020 webinar hosted by the USAID Southern Africa Trade and Investment Hub has prompted 13 regional export firms to explore entry into the informal market in South Africa. The interest was spurred by a USAID TradeHub-facilitated presentation at the June 4 webinar from 5Minutes2Town, a South Africa-based firm that assists commercial brands to access the difficult, but lucrative, informal market through local spaza shops, salons or barbers, and pharmacies. 5Minutes2Town accesses and engages with over 60,000 outlets per month with broad geographical reach. At the June 4 webinar, 42 exporters and brands from Botswana, Eswatini, Lesotho, Malawi, Mozambique, Namibia, and Zambia had the opportunity to gauge the services offered by 5Minutes2Town and engage the distributor on how to access the South African informal market through innovative delivery systems. Subsequent discussions between webinar participants and 5Minutes2Town have led three of the 13 firms interested in this market segment to consider testing consumer appetite for their products. Among the strategies being considered by the USAID TradeHub to encourage this market entry is facilitating a cost-sharing mechanism to help mitigate the risk to export firms and incentivize their early investments.


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