CASE STUDY SA e-commerce growing by leaps and bounds Cape Town - E-commerce in South Africa is growing by leaps and bounds, according to Efi Dahan, general manager of PayPal in Israel and Africa. "The main trends we're seeing are growth in mobile spend due to increased mobile penetration in the country, and an increase in cross border shopping as consumers are looking for a larger variety of products at a better price," said Dahan."In terms of barriers, people are hoping to decrease the impact of shipping costs, which can be helped by using PayPal products like Refunded Return and Buyer Protection. We also believe that data shows a huge opportunity for South African merchants, as they have the potential to trade all over the world with minimal capital costs." Mobile commerce With high rates of mobile penetration in South Africa, online shoppers are increasingly opting to make purchases on their mobile devices - resulting in an estimated 65% growth in online spend via mobile device (smartphone or tablet) between 2015 and 2016, to reach an estimated R9.5bn, with momentum expected to continue. This provides an immense opportunity for online retailers, as mobile spend is projected to increase by 123% by 2018. In the last 12 months, 43% of cross-border shoppers stated that they shopped cross-border via smartphone while 21% stated they used a tablet for their cross-border purchases. Security According to the report, key factors for choosing a preferred payment method for cross-border shopping included security, convenience and trust. 1.1 Explain how E-commerce is growing in the South African market. (10) 1.2 Discuss mobile commerce and how it's improving in decreasing the impact of shipping costs. (10) 1.3 Provide a report on how South African consumers spend their income on online activity. (10) 1.4 Identify how online security can protect online consumers and the advantages of having online security.