Gumtree South Africa using Shepherd for secure online payment and deliveries
Gumtree South Africa, the online classified company, will be offering its buyers and sellers the option of using Shepherd, a Standard Bank-powered escrow service, to protect their payments and goods deliveries. Shepherd acts an independent third party: it holds payment for online purchases in trust, delivers the goods from the seller to the prospective buyer, and when the buyer has inspected and accepted the item, it releases the money to the seller.
According to local reports, Gumtree was set to start offering the Shepherd option for users trading high-value goods from today (15 July) – although we could not see it on the website yet.
Johan Nel, country manager of Gumtree SA, explained why the system has been introduced: “Classifieds are immensely popular, but there are risks associated with trading online, such as meeting someone in person that you don’t know, handling cash or the risk of non-payment after delivery.
“It’s our belief that, while millions of South Africans are already prolific traders online, there are as many who want to participate but are wary to do so. We want to remove those barriers and offer safe alternatives to the conventional face-to-face interaction.”
Shepherd’s MD, Martin Reynolds, said that Shepherd had a particular selling point: “What makes Shepherd unique, is the fact that they have partnered up with RAM Couriers, to also ensure the buyer is satisfied with the item. This eliminates personal contact and makes the whole process much safer.”
Craig Polkinghorne, Head of Business and Commercial Banking at Standard Bank, was quoted by local media as saying: “At Standard Bank we view safety and security as a top priority for our customers. We found it fitting to support Shepherd’s escrow service as it aligns with Standard Bank’s commitment to constantly deliver safe and convenient banking platforms and solutions to customers. Shepherd simply eliminates the payment risks associated with online shopping, enabling the buyer and seller to focus on completing the transaction.”
