The Shoprite Group has launched a new business division, called Shoprite Next Capital, dedicated to capacitate and grow commercially-viable SMMEs.
Township economy a top priority for SA business leaders
The rising cost of living for South African consumers is pushing shoppers to purchase more private label products during their routine shopping trips, as a way to keep costs down.
Senegal-based wholesale e-commerce startup Kwely has raised an additional $700,000 in its Series Seed from WIC Capital, Loftyinc Capital, Haskè Ventures and other notable investors, completing its $1m round.
Driven by changing consumer trends, the aftermath of Covid-19 lockdowns and a need to differentiate themselves, South African retailers are increasingly diversifying their offerings, says Arthur Butler, sector head: retail at FNB Franchising.
NielsenIQ South Africa has released its monthly State of the Retail Nation analysis which shows that total annual retail sales at South African retail outlets were R516bn, representing a 14.4% annual increase. The ‘latest month’ (5 weeks ending 3 April 2022) shows sales of R53bn representing a 10.1% month increase versus the same period last year.
Local entrepreneur and founder of Oratile Kids, Tshepiso Monamodi, started her soft leather shoe business with just one sewing machine – which she did not know how to operate – today, she supplies soft leather shoes for toddlers to Clicks.
Gauteng Premier David Makhura is adamant that the the Township Economic Development Bill that was passed by the Gauteng legislature is a gamechanger that will remove red tape that prevents many township businesses from growing or simply establishing.
The South African Informal Traders Alliance (Saita), together with the Commission for Conciliation, Mediation, and Arbitration (CCMA), will run a one-year programme to upskill informal businesses in effective labour and employee relations practices. It will be rolled out nationally and facilitated online.
Retail giant Mr Price has signed a R3.3bn deal to acquire a controlling stake in the Studio 88 Group, which operates fashion retail brands including Studio 88, SideStep, Skipper Bar and John Craig.
Euromonitor International estimates the combined value of traditional, modern, and e-commerce retailing in sub-Saharan Africa at USD380 billion in 2021, contributing 20-50% of GDP on average.
Apart from the obvious turnover pressures that Covid-19 and the global lockdowns placed on businesses around the world, the crisis also revealed some concerning weaknesses, or instabilities, in many organisations’ supply chains.
South African retailers are set for a strong Easter trading season, with general dealers, clothing and textiles stores, as well as specialist food, beverages and tobacco retailers expected to be among the strongest who will gain.