Question 5 (Marks: 30)

Read the extract below based on TakeALot.com and answer the questions that follow.

Takealot.com was officially launched in June 2011, following the successful acquisition of an existing eCommerce business called Take2 by the USbased investment firm, Tiger Global Management and Kim Reid in October 2010. Today, takealot.com is the leading eCommerce retailer in South Africa and one of the largest, most innovative eCommerce retailers on the African continent. The business was initiated with a simple vision in mind: To be the largest, simplest, and most customercentric online shopping destination in Africa. It has rapidly evolved since inception, opening and expanding warehouses in Johannesburg, Durban and Cape Town, while expanding department selection to over 21 departments across Electronics, Lifestyle, Media & Gaming and Fashion. For takealot.com, 2014 was a truly pivotal year with the announcement of a $100m investment from Tiger Global. This was quickly followed by the purchase of Mr Delivery which gave the business ownership over its own logistics network through the Takealot Delivery Team division (formerly Mr D Courier) and its own appbased ondemand food delivery service through the Mr D Food division. The same year saw the successful acquisition of Superbalist.com, a curated design and fashion website, and culminated in the announcement that Naspersowned Kalahari.com would be merging businesses with takealot.com building the premier online shopping destination in Africa. The merge was successfully completed on 1 May 2015 when all Kalahari customer accounts were successfully transferred to takealot.com. Now, takealot.com is South Africas largest, most innovative ecommerce retailer, with over 2000 employees. At the core of everything we do is our customer. We are passionate about providing great customer experiences, beginning with the moment you land on our site or app, until the product you order is delivered safely into your hands.

Q.5.1 Services have very identifiable characteristics. In your own words, discuss any three characteristics of services in relation to Takealot.com. (15)

Q.5.2 Suppose you have a newly booming culinary business based in the heart of Johannesburg. As a result, you want to make use of Mr. Deliverys services to deliver your homecooked meals to the surrounding areas. Use the guidelines for purchasing services and explain how you would use these guidelines to assist you in your use of Mr. Deliverys services. Note: You are to discuss at least three guidelines.