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We increased our footprint in the LSM 4 – 7 market, showing strong growth in this sector from both Boxer and our Pick n Pay stores converted from Score. In addition, we have seen strong growth in Private Label, Liquor, and most notably Clothing. Our Clothing division has grown turnover significantly over last year, demonstrating the positive acceptance by customers of our clothing, which offers good quality at an affordable price.

We opened our new flagship store Pick n Pay on Nicol. It is not only a world-class retail destination, it is truly a store for the future, built on green design principles and operated according to international best practice on sustainability. Customer reaction has been overwhelmingly positive and we are looking to roll-out the most successful innovations to selected stores.

After nine months of wage negotiations we endured a national labour strike over our busiest trading period and subsequently were able to negotiate a three year wage deal with the Union.

A great deal of work was done on our new loyalty programme Smart Shopper and we were thrilled by customer reaction to its launch in March 2011. The programme was based on significant customer research and it will provide our Smart Shoppers with meaningful reward for their custom and revolutionise the way we engage with them. Information gathered from the programme will enable us to engage with suppliers on targeted promotions, enable us to provide more appropriate ranges and give us a deeper understanding of our customers’ needs. In the future, Smart Shopper customers will be able to donate their rewards to charity, providing an easy and effective way of investing in their communities.

During the year we opened four new Pick n Pay corporate supermarkets, 13 Pick n Pay franchise stores, 33 liquor stores (franchise and corporate), 11 clothing stores.

In the year ahead, we plan to open 12 new Pick n Pay corporate and seven new franchise supermarkets, as well as 10 clothing stores and approximately 45 liquor stores (corporate and franchise).  


This year Pick n Pay consolidated 3 inland regions into one, this should realise tangible improvements in operating efficiencies once completed.

The extension of the Longmeadow Distribution Centre has been completed. The 65 000 square metre facility now processes 50% of the groups inland grocery value. The DC has significantly improved service to stores compared with suppliers delivering directly and while the facility is not yet running at optimal capacity there are already tangible benefits.

The Pick n Pay team is making a concerted effort to get the Longmeadow DC right and then use the model as a template in the roll-out to the Western Cape, KwaZulu-Natal, Eastern Cape and an additional facility in Gauteng over the next 3 to 5 years.

The roll-out of SAP has been completed and there is now a fully integrated system across the Pick n Pay business. This should facilitate improved in-store disciplines, more efficient business processes and more timely information enabling better and faster decision making.


Pick n Pay is a family-controlled business. Four small stores were purchased in 1967 and the Group was listed on the JSE Limited, the recognised stock exchange in South Africa, in 1968 as Pick n Pay Stores Limited. 

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