THIS IS Pick n Pay

Since 1967 when consumer champion Raymond Ackerman purchased the first four stores in Cape Town, the Ackerman
family’s vision has grown and expanded to encompass stores in South Africa, Namibia, Botswana, Zambia, Swaziland and Lesotho. Additionally Pick n Pay owns a 49% share of a Zimbabwean supermarket business, TM Supermarkets.

The Pick n Pay Group, managed through its South Africa and Rest of Africa divisions, is a grocery and general merchandise retailer, selling a wide range of products at great prices, in stores where our customers are welcomed and treated with respect. We put customers at the heart of our business. Through its Pick n Pay and Boxer brands, the Group serves customers across the diverse spectrum of South African society, and is expanding its reach into the African continent. More than half of all South Africans shop regularly in our stores and we have some of the most loyal customers in the country.

The Group continues to develop and grow as a multi-format, omni-channel business. Our offer to customers focuses on food, non-edible groceries, clothing, liquor and tobacco, health and beauty products, building and hardware and general merchandise. The offer also includes additional value-added services such as financial transactions at till points (including mobile money), ticketing services and the sale of gift cards. In addition to manufacturer-branded products, we have a number of Pick n Pay and Boxer private label products to suit every budget.

The Group operates on both an owned and franchise basis. Our stores range from large hypermarkets where customers can buy everything under one roof through to small convenience stores where customers can shop quickly for their immediate needs. In addition, we have a small and growing online business, giving customers the opportunity to shop from their homes and have their order delivered to their door in one-hour time slots.

The Rest of Africa gives us the opportunity to grow into new markets, representing a second engine of growth for the Group. Today we have 116 stores outside South Africa, which generated segmental revenue of over R3.7 billion this year and contributed meaningfully to our profits. We tailor our ownership model in each country to what is appropriate to the local environment, whether establishing owned stores, franchised stores or a part-investment in an independent operation.

The Group is developing its centralised distribution channel, with a strategic focus on accelerating the level of central supply in its business. Supply is currently 45% centralised, with an aim to take this to over 60% by the end of the 2016 financial period. The Group operates 10 distribution centres across the country catering for groceries, fresh and perishable produce, and clothing. Our two largest distribution centres are Longmeadow in Gauteng (fresh produce, perishables and groceries) and Philippi in the Western Cape (groceries only).

The Group benefits from an outstanding IT infrastructure, with an end-to-end SAP system, which allows for automated and centralised processing, including the forecast and replenishment of inventory.

Our world-class point of sale system has ably supported the launch of our Brand Match campaign and has contributed to our Smart Shopper loyalty programme being voted South Africa’s favourite loyalty programme.

The Group has 1 242 stores, including TM Supermarkets, across all formats and is supplied by more than 7 000 suppliers and service providers.

We employ 48 700 people in our owned stores and operations which, with franchised stores, extends to over 70 000 people working under the Pick n Pay and Boxer banners in seven countries. Working at Pick n Pay is more than a job; it is an opportunity to learn, develop new skills and benefit through teamwork. We are committed to training, developing and empowering our people.

For almost five decades Pick n Pay has played a valuable role in the economic and social development of southern Africa. Our size and reach enables us to make a difference across the southern African continent. We are a strong brand, much loved by society, built on a genuine desire to make life better for our customers and to make a positive contribution to the communities in which we live and work. Brand loyalty is what challenges us and drives us to improve every day to meet the needs of all our stakeholders.

The Group will continue to address the socio-economic challenges faced by the communities it serves through the supply of high-quality, affordable food for all customers, while providing significant employment and economic opportunities across its value chain.