Incentives a strategic lever as SA’s auto sector transforms rapidly

Oct 26, 2026 | Lesaka Payouts

An influx of new international brands, evolving consumer expectations and mounting operational pressures are reshaping how manufacturers and dealer networks compete in South Africa’s automotive sector, which is undergoing a profound shift.

In this environment, performance incentives are no longer a ‘nice to have’ but are becoming a strategic lever for growth. Against this backdrop, Lesaka Payouts is seeing increased demand for modern, scalable incentive solutions that can keep pace with the industry’s changing dynamics.

“Automotive has always been a high-performance, target-driven environment, but what we are seeing now is a shift in how incentives are used,” comments Amelia Willaims, Head of Lesaka Payouts. “They are no longer just about rewarding sales. They are about driving behaviour across the entire value chain, from showroom to service bay.”

The need for flexibility and scale

At the centre of this shift is the need for flexibility and scale. With payout limits of up to R200 000, rapid reload functionality, and seamless e-commerce integration, Lesaka Payouts’ platform enables OEMs and dealers to manage multiple incentive streams, from monthly commissions to customer-facing campaigns, within a single ecosystem.

The urgency behind this evolution is clear. South Africa’s automotive landscape is being reshaped by a wave of new entrants, particularly from China. Brands such as Chery, GWM/Haval, and most recently Changan (via Jameel Motors), are rapidly gaining market share through competitive pricing, aggressive dealer expansion, and digitally enabled customer engagement.

“These brands are highly agile and quick to adopt modern incentive mechanisms to accelerate market entry,” notes Williams. “That puts pressure on established players to respond with equally sophisticated tools that can drive sell-through and build long-term loyalty.”

Operating seamlessly across multiple touchpoints

What distinguishes the current generation of incentive platforms is their ability to operate seamlessly across multiple touchpoints within the value chain. In sales performance, for example, high-value, tiered commission structures are being used to reward dealership teams while accelerating the uptake of new vehicle models.

Incentive platforms are also playing an increasingly important role in service and compliance by encouraging customers to complete safety recalls and maintenance campaigns, particularly as global regulatory standards continue to tighten.

In addition, they are helping to drive spend on parts and accessories through OEM-controlled e-commerce channels, enabling manufacturers to protect margins while boosting genuine parts sales. By consolidating these use cases into a single platform and card, OEMs gain greater visibility and control, while simplifying programme management across large dealer networks.

Automotive sector an economic cornerstone

This shift comes at a critical moment for the industry. The automotive sector remains a cornerstone of South Africa’s economy, contributing approximately 5.3% to GDP and 22% to manufacturing value-add, according to NAAMSA, while supporting tens of thousands of jobs across OEMs and component suppliers.

Yet the sector is also navigating significant headwinds, from global supply chain volatility to the long-term transition toward electrification. In this context, maintaining dealership performance and aftersales revenue has become essential.

“Incentives are one of the most effective ways to sustain momentum in a challenging environment,” says Williams. “They ensure that sales teams remain motivated, service campaigns achieve compliance targets, and parts channels continue to perform.” Ultimately, the value of modern incentive platforms lies in their ability to connect recognition directly to measurable business outcomes.

“What we offer is not just a prepaid card. It is a unified platform that enables multiple campaigns, supports both open- and closed-loop spending, and delivers real-time impact,” concludes Morebodi. “In a competitive market, that ability to act quickly and at scale is what turns incentives into results.”

Ends

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Notes to the Editor
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About Lesaka Payouts

Lesaka is a South African fintech company driven by a purpose to digitise commerce in Southern Africa. We offer services to three segments: consumers, merchants and enterprises. 

We offer a multiproduct platform that provides transactional accounts, lending, insurance, merchant acquiring, cash management, software and Alternative Digital Products (ADP). 

Lesaka has a primary listing on NASDAQ (NASDAQ:LSAK) and a secondary listing on the Johannesburg Stock Exchange (JSE: LSK). Visit www.lesakatech.com for additional information about Lesaka.

 

Lesaka Payouts Contact

Amelia Williams

Head: Lesaka Payouts

Phone: (011) 343 2000

Email: amelia.williams@lesakatech.com

Website: https://lesakatech.com/

 

Media Contact

Andile Mbethe

Account Executive
NGAGE Public Relations
Phone: (011) 867-7763
Cell: 073 565 6536
Email: andile@ngage.co.za
Web: www.ngage.co.za

Browse the NGAGE Media Zone for more client news articles and photographs at http://media.ngage.co.za

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