The Coronavirus lockdown in South Africa has had a significant impact on many people’s finances. With salaries being reduced and retrenchments at an all-time high, many of us don’t have the same buying power we used to. But, for those who are still able to enjoy a few luxuries in life, a new model is making it even more manageable for South African consumers to buy the electronics they want and need. Whether it’s a brand-new smartphone, next-gen gaming console, or even essential home appliances, Rentoza’s unique ‘subscription’ model offers South Africans the opportunity to rent-to-own electronics with more manageable monthly payments.
Recent findings by Deloitte show that globally, the pandemic has seen consumers making an accelerated shift to subscription models instead of opting for ownership, with eight out of ten subscription-based businesses shown to have sustained or grown their subscriber base during this time. What’s more, a recent international survey has found that 71% of adults across 12 countries have subscription services and 74% believe that, in the future, people will subscribe to even more services and own fewer physical goods.
“Locally, we are seeing the same thing too,” says Mishaan Ratan, co-founder of Rentoza – Africa’s first on-demand subscription platform. “The subscription economy has been gaining traction for some time, with consumers increasingly opting for access to what they need over the burden of product ownership. But now, more than ever, South Africans are signing up for a variety of services and products ranging from entertainment and education to electronics and appliances.”
“As one’s life stage changes so do one’s needs, and we want to be able to provide the products our customers need on an ongoing basis without them having to buy these items outright. Ultimately, our offering is about aligning with people’s lifestyles.” Rentoza says it is constantly updating its inventory to give consumers access to the latest technology and consumer experience so there’s always something new to discover on the site.
Items currently listed on the Rentoza website include covetable electronics like the Xbox Series X console (from R1,600 p/m), Xbox Series S (R950), Hisense ULED smart TVs, Apple MacBook laptops, and even the DJI Mavic Air drone (from R 2,391.07 p/m).
Using Rentoza is simple and easy. You search the Rentoza website for the latest devices and appliances from leading global brands. Once you’ve found an item you want, you choose between a 6 and 12-month subscription term for the selected product, and then activate your subscription by capturing your debit or credit card details for their first monthly payment via Rentoza’s secure gateway. The product is then delivered to your door within 72 hours at no extra cost. Going forward, you are billed automatically on the same day you activated your subscription every month.
The rent-to-own option comes into play at the end of your subscription period. After your subscription expires, you have the option to keep the item with no additional payments or you can return your item and upgrade to what’s next – the choice is yours. If you choose to return your device and upgrade your product Rentoza will trade in your device and the cost of your next subscription will be discounted.
What’s more, all products and subscriptions include comprehensive insurance cover from Old Mutual so you needn’t worry about having to continue paying off the item should it be stolen or damaged.
The subscription model offered by Rentoza also offers South African consumers peace of mind knowing they won’t get themselves into a debt-spiral trying to pay off items at high-interest rates.
“Consumers simply pay an affordable monthly rate, and should they miss a payment, they won’t be blacklisted but the service or product will be revoked, explains Ratan. “Essentially, the subscription model is one of trust. In our business, there aren’t many who default on their payments because it is what they can afford.”
To become a subscriber, or for more information, visit the Rentoza website.