Africa: packaging-free zones, market exit

Date : 04 December 2019

As South Africa-based Pick n Pay rolls out packaging-free zones, Botswana-based Choppies sells its operations in South Africa and Kenya’s Quickmart increases the pace of its expansion, we round up news from the region.

Pick n Pay trials packaging-free zone

Pick n Pay has added a packaging-free zone at its Constantia store in Cape Town. The zone comes after the retailer trialled ‘nude walls’ in 13 stores in Q3 2019, which it said had proved successful. The retailer said the new zone would include 88 dry grocery products across 15 different categories.

To limit their environmental impact, shoppers are encouraged to bring their own containers to store. However, Pick n Pay said it would help those who did not bring them, providing free paper bags and reusable containers are available for sale too. As part of the trial the retailer said it was aiming to identify the top 20 or 30 products and roll out packaging-free zones to more stores across the country.

Choppies exits South Africa following sale

Choppies has sold its more than 70 stores and three distribution centres in South Africa for ZAR1 (US$0.07). The sale comes after Choppies admitted the operations had been trading at a ‘substantial loss for the last two years’. Choppies said it had sold the operations to King Investments, which will also take on the subsidiaries’ debt and will provide a ZAR100m (US$6.8m) loan to the South Africa-based operations to enable it to continue operating.

Quickmart continues expansion in Kenya

Quickmart has announced plans to add five to six new stores by the end of 2021 as it looks to increase the pace of its store expansion in the country. The aims were announced at the opening of its newest outlet. The quicker pace of growth comes after Quickmart said it would merge with Tumaini Self Service, with the latter’s stores set to be rebranded under the Quickmart banner.

Engen and Clicks partner for loyalty programme benefits

Engen and Clicks have said they are to partner to enable Clicks ClubCard holders to earn points when they fill up for petrol at participating Engen forecourts. Commenting on the partnership, Engen’s general manager for retail, Seelan Naidoo, said: “This winning formula will now provide all Clicks ClubCard `customers with a truly convenient loyalty engagement and easier cashback earn, one we are extremely excited and proud to be a part of.

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