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14 April 2025

TikTok And Takealot Redefine Brand Discovery For Gen Z

TikTok's search trends reshape how brands connect with young consumers while Takealot maintains dominance in South African e-commerce.

As the digital landscape continues to evolve, TikTok is reshaping how Generation Z discovers brands, moving away from traditional search engines like Google. This shift is particularly pronounced as brands leverage TikTok's unique research methods to tap into emerging trends that resonate with younger consumers.

According to a recent article published on April 14, 2025, TikTok's innovative approach allows brands to explore keywords that might not typically appear in Google searches. Terms such as 'haul' and 'foodtok' are becoming increasingly relevant in the marketing strategies of companies looking to connect with Gen Z.

Meanwhile, across the globe in South Africa, the e-commerce platform Takealot remains a dominant force in the online shopping arena, despite the entry of new competitors like Amazon, Temu, and Shein. Data from Google Search Trends indicates that Takealot's position is not seriously threatened, even as these rivals attempt to capture the market.

In May 2024, the launch of Amazon.co.za briefly caused a spike in searches for the retail giant, surpassing Takealot for a short time. During the week from May 5 to May 11, 2024, searches for Amazon peaked at 69, which was 15 more than Takealot's 54 searches. However, this surge was short-lived, as interest in Amazon quickly diminished in the weeks that followed.

Takealot's search frequency rebounded, climbing to 63 searches between May 19 and May 25, while Amazon's searches dropped to 28, with Temu and Shein trailing at 22 and 37, respectively. This trend highlights Takealot's resilience in the face of increasing competition.

Temu, which launched in January 2024, has attracted attention for its affordable prices, yet it has not managed to exceed 31 searches in any single week from April 2024 to April 2025. In contrast, Takealot's performance during the Black Friday shopping period from November 24 to November 30, 2024, showcased its dominance, with searches for the platform reaching 100—72 more than Amazon, 62 more than Shein, and 77 more than Temu.

The financial results for Takealot's parent company, Naspers, for the half-year ending September 2024, revealed that while Amazon and Temu have slowed Takealot's growth, the company still reported strong revenue and gross merchandise value (GMV) growth. Naspers noted that Takealot experienced an 11% revenue growth and GMV growth during this period, with GMV climbing to R746 million, up from R654 million in the same timeframe in 2023.

Despite the challenges posed by new entrants, Naspers emphasized that Takealot is focused on defending its market share while adapting to changing shopping patterns, particularly in the aftermath of load-shedding events that have affected the retail landscape.

In a strategic move to counter Amazon's entry, Takealot launched its subscription service, TakealotMore, during the same week Amazon.co.za went live. This service mirrors Amazon's Prime membership, offering benefits such as free deliveries and collections. Takealot described TakealotMore as a "groundbreaking subscription service" designed to enhance shopping convenience for millions of South Africans.

As the competition heats up, both TikTok and Takealot exemplify how digital platforms are transforming consumer behavior and brand discovery. TikTok's hands-on research method allows brands to engage with Gen Z in a way that feels authentic and relatable, while Takealot continues to solidify its position as the go-to e-commerce platform in South Africa.

With TikTok's influence only expected to grow, brands must adapt their marketing strategies to align with the preferences of younger consumers who favor dynamic and interactive content. TikTok has become a powerful tool for brand discovery, with its algorithm favoring content that resonates with users, making it essential for brands to stay ahead of emerging trends.

In the world of online retail, Takealot's ability to maintain its market leadership amid rising competition speaks volumes about its adaptability and understanding of local consumer needs. As Naspers continues to report growth despite the challenges, Takealot's commitment to enhancing the shopping experience positions it well for future success.

Ultimately, the ongoing evolution of e-commerce and brand discovery through platforms like TikTok and Takealot reflects a broader shift in consumer behavior, where engagement and convenience take precedence. Brands that can navigate this landscape effectively will likely emerge as leaders in the new digital economy.