SHOPRITE HOLDINGS LTD
Shoprite Holdings Ltd comprises the following entities: the Shoprite Checkers supermarket group, which consists of 424 Shoprite supermarkets; 167 Checkers supermarkets; 28 Checkers Hypers; 256 Usave stores; 248 OK Furniture outlets; 17 OK Power Express stores; 49 House & Home stores; 145 Hungry Lion fast food outlets; 136 Medirite pharmacies and 165 LiquorShops. Through its OK Franchise Division, the Group procures and distributes stock to 29 OK MiniMark convenience stores; 15 OK Foods supermarkets; 85 OK Grocer stores; 31 Megasave wholesale stores; 30 OK Value stores; 68 Sentra stores and buying partners, as well as 111 Friendly supermarkets and 11 Friendly Liquor stores.
The Shoprite Group has a broad customer base which closely mirrors the demographic profile of the country and 23,237 million customers shop at the Group's supermarkets each month. The various store formats within the Group cater for all income groups with the Checkers, Checkers Hyper and House & Home stores focussing on the higher income groups and Shoprite and OK Furniture focussing on the broad middle to lower market. The latest format introduced by the Group, Shoprite Usave, focuses on the lower-end of the market.
The primary business of the Shoprite Group of Companies is food retailing to consumers of all income levels. Management's goal is to provide all communities in Africa with food and household items in a first-world shopping environment, at the Group's lowest possible prices. At the same time the Group, inextricably linked to Africa, contributes to the nurturing of stable economies and the social upliftment of its people.
Through the years supermarkets in the Shoprite stable have proved to be firm favourites with South African consumers. Consumers turn in increasing numbers to the Group’s three supermarket chains, and according to recent research from AMPS the Group’s chains are now being frequented by 66,5% of all South African shoppers.
The group now employs over 100 000 people and of these, more than 11 000 work in its stores outside South Africa.
Shoprite, the largest of the three in terms of turnover and the number of stores, remains the dominant player in the middle to lower income sectors despite an increase in competition. It countered this by expanding its presence in economically disadvantaged residential areas in particular with full-service supermarkets that include pharmacies providing increased access to prescription and self-medicating remedies. During 2011, a net 11 new stores were opened to bring the total in South Africa to 331.
Checkers further entrenched its position in the higher income consumer segment to the extent that 53% of its customers now fall within LSM 8-10. The brand’s repositioning has been successful and as a result the format is often considered the preferred anchor tenant for many new shopping centres countrywide. It was, for the third consecutive year, the fastest growing supermarket chain in the country. It continued to expand its ranges of specialist offerings, such as estate wines, exotic cheeses, and branded fresh meat products.
Usave’s low cost structures enable it to consistently sell comparable products at lower prices than its competitors. Its strategic role in an increasingly competitive local market has grown during the reporting period. In order to gain access to desirable sites, it is implementing innovative ways of developing stores in conjunction with landowners. It will be intensifying its store opening programme in the new financial year.
The idea of enabling customers to do all their shopping under one roof was further expanded with the introduction of in-store pharmacies (under the name MediRite) and liquor outlets (under the name LiquorShop). The latter are located at or very close to the entrances to Shoprite or Checkers supermarkets. Both extend a service to customers and, in doing so, enhance their shopping experience. In 2011 MediRite increased its number of outlets from 104 to 121 has plans to open a further 22 in the new financial year.
MediRite pharmacies enjoy secure supply lines from its fellow subsidiary, Transpharm Pharmaceutical Wholesalers, which now has depots in Cape Town as well as Gauteng, providing 93% of their total product range and offering the opportunity of direct purchases from international markets.
Despite the subdued growth experienced by the liquor industry as a whole, LiquorShop grew significantly, opening 37 outlets in key areas to bring its number of outlets to 120. Growth will accelerate further in the new financial year, with 40 new outlets on the cards, dependant of the granting of operating licences. LiquorShop offer a comprehensive collection of spirits and other alcoholic drinks.
Several years ago, the Group introduced the Money Market concept to enhance its offering of a one-stop shopping experience through its supermarkets. The Money Market counters continue to expand their range of services, from money transfers and flight and bus tickets to the payment of electricity bills, municipal services and traffic offences. As part of this service, tickets for almost all major sports, cultural and entertainment offerings are offered through Computicket, the country’s largest ticket vendor.
Our banners / stores
Nicolway Bryanston Shopping Centre reports excellent first-year trade
15/05/2013 - 10:47
Achieving consistent growth in spend and a devoted shopper base, Nicolway Bryanston Shopping Centre has made its first year of trade, and its unusual concept, a success story.
R900m pledge for digital jobs in Africa
10/05/2013 - 08:35
The Rockefeller Foundation will pledge close to US$100 million (R900m) to create digital field jobs in Africa, it was announced at the World Economic Forum on Africa on Thursday (9 April).
Nigeria: ‘Retail Sector Has Witnessed Tremendous Growth’
07/05/2013 - 09:40
For the President of DMSRetail West Africa, Joseph Ebata, the retail sector in Nigeria has witnessed a huge growth, despite the challenges bedeviling it.
Steepest PC market decline yet for MEA
29/04/2013 - 08:00
The Middle East and Africa PC market experienced a significant decline of 14.1% year on year during the first quarter of 2013, with tablets eating into market share in South Africa.
Pick n Pay shares down after poor results
24/04/2013 - 10:01
Johannesburg - Pick n Pay Stores [JSE:PIK] retailers were down almost 3% on Tuesday morning following the release of their annual results.
Pick n Pay to face off with Shoprite
15/04/2013 - 09:38
Recognising the strong buying power of emerging markets in Durban’s outer lying suburbs, Pick n Pay has acquired a property in Chatsworth which will see it go head-to-head with competitor Shoprite’s store on the opposite side of the road.
Supermarkets respond to meat report
15/04/2013 - 08:28
Johannesburg - Popular supermarkets including Pick n Pay, Shoprite, Woolworths and Spar have responded to a City Press report that identified them as stocking incorrectly labelled meat products.
Retailers‚ industrials underpin JSE
09/04/2013 - 10:07
Johannesburg - SA stocks recovered slightly from last week’s declines on Monday‚ as retailers and industrials led the market higher.
Clicks gains on retail market recovery
12/03/2013 - 09:05
Johannesburg - Clicks climbed the most in almost seven months as food and drug retailers continued to recover from an early-year slump driven by slower consumer spending.
Mandela wine launched in US
04/03/2013 - 07:58
A wine company bearing the name of the former president Nelson Mandela has been established in the United States, the Sunday Sun reported.