Insyte Weekly: Edtech funding opportunity, Consumers' concerns over festive season debt, and more

This was an interesting week in the business world. Here’s a breakdown of some of the week’s top stories.

Media & Entertainment

As reported by IT News Africa, TechAccess has partnered with Siemon to enhance the availability of high-quality IT infrastructure solutions in South Africa. As Siemon’s value-added reseller, TechAccess will provide businesses with advanced IT network solutions, focusing on data centres, structured cabling, and smart building infrastructure. Siemon, a global leader with over a century of innovation in IT infrastructure, brings a range of copper and fibre cabling systems, data centre design services, and automated infrastructure management to the partnership. TechAccess will leverage its expertise to deliver these solutions locally, helping businesses adapt to emerging technologies like AI, IoT, and cloud computing. This collaboration underscores TechAccess’ commitment to offering cutting-edge solutions while aligning with Siemon’s global leadership in sustainable and high-performance IT infrastructure.

Amazon Music Unlimited now offers subscribers in the U.S., UK, and Canada access to one audiobook per month from Audible’s extensive library of over 1 million titles. This new feature enhances Amazon Music Unlimited as a leading audio entertainment platform, which already includes over 100 million HD songs, top ad-free podcasts, and spatial audio content. Individual and family plan subscribers can stream one audiobook at a time and continue to access selected titles beyond the monthly cycle. Users seeking additional audiobooks can opt for a separate Audible subscription or purchase titles through the Audible app. Steve Boom, Amazon's VP of Audio highlights this move as a way to expand audio streaming options, while Audible CEO Bob Carrigan emphasizes its potential to attract new audiobook enthusiasts. This integration introduces Audible’s premium storytelling to a broader audience, enriching the listening experience for Amazon Music subscribers.

Edtech

As revealed by Bizcommunity, Injini, in collaboration with the Mastercard Foundation, has opened applications for the 2025 Mastercard Foundation EdTech Fellowship. This program supports South Africa-based startups innovating in education by providing over R1 million in equity-free funding, mentorship, and tailored support such as product evaluation, market research, and skills development. The fellowship has achieved significant outcomes, with startups from earlier cohorts impacting over 1.9 million new learners and securing opportunities for growth and funding. The program emphasizes inclusivity, targeting youth, women, individuals with disabilities, and rural communities, while fostering partnerships within the education ecosystem. The 2025 edition promises enhanced benefits, including networking with industry leaders, pedagogical certification, and access to Carnegie Mellon University’s expertise. This initiative continues to strengthen EdTech’s impact across Africa.

Fintech

FinTechs are prioritizing modernization to remain competitive, with a strong focus on enhancing mobile capabilities and improving user experiences. According to the PYMNTS Intelligence report, 67% of FinTechs plan to expand mobile features in the next three years, emphasizing the importance of digital innovation. This modernization is driven by the need to enhance brand reputation and enter new markets, with 42% of FinTechs prioritizing image-building and 39% focusing on market expansion. Internal product testing, particularly involving employees, is key to ensuring product quality, with 44% of FinTechs favoring this method over consumer-based testing. Many also take a hands-on approach, with 50% developing tools in-house and 39% working with industry consultants to refine their offerings. While targeting Gen Z is recognized as important by 62% of FinTechs, only 42% view it as a top priority due to concerns about low deposits and credit utilization rates. Despite this, 60% see the potential for long-term growth and customer loyalty among this digitally native demographic, given their high levels of connectivity. FinTechs also face significant challenges, including regulatory compliance (34%) and system integration complexities (31%). However, financial and technological resources are largely sufficient to support current strategies. Overcoming these regulatory and operational hurdles will be crucial for sustained growth, with streamlined processes and collaboration helping FinTechs navigate the complexities of a highly regulated industry.

AI

According to Trevor Mogg, Perplexity has introduced a shopping feature as part of its Pro subscription service for U.S.-based users, with plans for global expansion. The new feature positions itself as a “one-stop solution” for researching and purchasing products, setting itself apart from competitors like Google and Amazon by integrating shopping capabilities directly into its AI chatbot. Users can refine searches conversationally and enjoy conveniences such as one-click checkout within the app, leveraging secure payment and shipping options. Notably, purchases made via the "Buy with Pro" feature come with free shipping, while transactions outside the app redirect users to the merchant's site. The platform also includes innovative tools like "Snap to Shop," which allows users to find products by uploading images, making it easier to identify items without knowing their names. Unlike traditional platforms, Perplexity emphasizes its "unbiased recommendations," claiming that its AI-driven results are free from sponsorships and rely on in-platform reviews to provide objective shopping insights. Products are displayed with detailed, user-friendly cards, making the shopping experience seamless and visually engaging.

Tourism

As reported by TTW, Leisure travel is expected to rise significantly in 2025, with travellers across Europe, Africa, and the Middle East planning an average of 5.5 trips, including domestic, short-haul, and long-haul vacations. Key trends include Heritage Holidays, where travellers explore their ancestry, and Bravecations, which involve adventurous activities like trying exotic foods or engaging in daring experiences. Sustainability remains a priority, with 72% of tourists considering environmental impact when planning trips and the use of AI in travel planning has surged, particularly among younger travellers. Accommodations are selected based on cleanliness, price, and location, but factors like sustainability and solo travel-friendly options are gaining importance. Despite the increase in travel, value remains crucial, with many opting for shoulder-season trips and deals to manage costs. Marriott International notes these trends reflect a transformative year for the industry, driven by a mix of innovation, sustainability, and value-focused travel decisions.

Retail

As reported by Malcolm Libera, the cost of groceries in South Africa has soared over the past three decades, with a middle-income grocery basket that cost R82.68 in 1995 now priced at R644.85 in 2024—a 680% increase, far exceeding the general inflation rate of 384%. Staple items like eggs (1,079%), cooking oil (853%), butter (842%), white bread (834%), and chicken (812%) have seen dramatic price hikes. These surges are driven by rising agricultural input costs, global supply chain disruptions, climate change, and industry-specific challenges like avian influenza affecting poultry. The steep increases disproportionately affect middle- and lower-income households, straining budgets and exacerbating food insecurity. Solutions such as subsidies and resilient farming investments are needed but present significant challenges.

According to Zachary Russel, nearly half of Americans feel financial stress during the holiday season, with inflation and higher costs impacting 61% of consumers' budgets. A significant portion (44%) feels pressured to overspend, particularly among Gen Z and millennials. Existing debt exacerbates the situation, as 43% of consumers head into the holidays with debt, and 33% owe over $5,000. Many anticipate incurring more debt to cover gifts (61%), holiday groceries (44%), and necessities like rent (29%). Payment methods include cash (49%), credit cards (42%), and savings (26%), with 16% planning to open new credit cards, a trend especially common among younger generations.

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