ETAiLRetail in brief 1 in brief Powered by: Retail Brief Africa MAY ISSUE 2021 Powered by: Retail Brief Africa FEBRUARY ISSUE 2023 Constipation can leave your little one’s tummy feeling bloated and uncomfortable. 1 When in need of relief from constipation, trust LACSON Syrup. S0 LACSON. Reg. No.: Z/11.5/0055. Each 5 ml of syrup contains 3,3 g of lactulose. Trademarks are owned by or licensed to the Aspen Group of companies. © 2023 Aspen Group of companies or its licensor. All rights reserved. Marketed by Pharmacare Limited t/a Aspen Pharmacare. Co. Reg. No.: 1898/000252/06. Healthcare Park, Woodlands Drive, Woodmead, 2191. ZAR-LAU-02-23-00001 02/2023 1. Healthline. Wells D. Abdominal Pain And Constipation. [updated 2019 March 07; cited 2022 December 05]. Available from https:// www.healthline.com/health/abdominal-pain-and-constipation 2. LACSON IMS TPM Data September 2022. Suitable for the whole family Suitable for use in children under 1 year of age Suitable for use during pregnancy and breastfeeding Marketed by Aspen Pharmacare www.aspenpharma.com Hotline 0800 122 912
Retail in brief 2 Relief IS FINALLY IN SIGHT! Not recommended for use in children under 6 years of age. S0 BROOKLAX Senna Laxative Chocolate. Reg. No. 35/11.5/0168. Each chocolate tablet contains 30 mg Sennoside A and B as calcium salts. S0 BROOKLAX Bisacodyl Laxative Pills (Enteric-coated tablets). Reg. No.: 36/11.5/0104. Each enteric-coated tablet containsBisacodyl 5 mg. Trademarks are owned by or licensed to the Aspen Group of companies. © 2023 Aspen Group of companies or its licensor. All rights reserved. Marketed by Pharmacare Limited t/a Aspen Pharmacare. Co. Reg. No.: 1898/000252/06. Healthcare Park, Woodlands Drive, Woodmead, 2191. ZAR-BIS-02-23-00001 02/2023 BROOKLAX is available in a chewable chocolate tablet to enable easy dosing and offer effective relief should your child suffer from occasional constipation. ALSO AVAILABLE IN PILL FORMAT! Marketed by Aspen Pharmacare www.aspenpharma.com Hotline 0800 122 912
Catch up on all the latest CONTENTS industry news, updates, and insights you’ve missed from the app in this one-stop retail resource powered by Retail Brief Africa. Download Retail Brief Africa on Google Play and iStore to stay in the loop with daily news updates and easily shareable content. Share your stories and comments with us. We would love to hear from you. Editorial: Advertising Sales: Jessi Wesson: [email protected] Kamisha Ranchod: [email protected] 4. Top Stories 8. Retailer News 24. Spotlight on Sustainability 20. New Partnerships and Appointments 16. Brand Activations & New Products 28. Case Study/Opinion Piece Relief IS FINALLY IN SIGHT! Not recommended for use in children under 6 years of age. S0 BROOKLAX Senna Laxative Chocolate. Reg. No. 35/11.5/0168. Each chocolate tablet contains 30 mg Sennoside A and B as calcium salts. S0 BROOKLAX Bisacodyl Laxative Pills (Enteric-coated tablets). Reg. No.: 36/11.5/0104. Each enteric-coated tablet containsBisacodyl 5 mg. Trademarks are owned by or licensed to the Aspen Group of companies. © 2023 Aspen Group of companies or its licensor. All rights reserved. Marketed by Pharmacare Limited t/a Aspen Pharmacare. Co. Reg. No.: 1898/000252/06. Healthcare Park, Woodlands Drive, Woodmead, 2191. ZAR-BIS-02-23-00001 02/2023 BROOKLAX is available in a chewable chocolate tablet to enable easy dosing and offer effective relief should your child suffer from occasional constipation. ALSO AVAILABLE IN PILL FORMAT! Marketed by Aspen Pharmacare www.aspenpharma.com Hotline 0800 122 912
Retail in brief 2 Marketed by Aspen Pharmacare www.aspenpharma.com Hotline 0800 122 912 Find Relief, Restore Regularity: Trust Aspens Medicine Cabinet Essentials! Antiseptics and Disinfectants Antidiarrheal and Laxatives S0 BROOKLAX Senna Laxative Chocolate. Reg. No. 35/11.5/0168. Each chocolate tablet contains 30 mg Sennoside A and B as calcium salts. S0 BROOKLAX Bisacodyl Laxative Pills (enteric-coated tablets). Reg. No.: 36/11.5/0104. Each enteric-coated tablet contains Bisacodyl 5 mg. S0 LACSON. Reg. No.: Z/11.5/0055. Each 5 ml of syrup contains 3,3 g of lactulose. S0 GASTROPECT. Reg. No.: E/11.9/1546. Each 5 ml suspension contains light kaolin 1,00 g and pectin 0,05 g. S0 HAMBURG Tea. Reg. No.: E/11.5/0704. Each 550 mg contains 537,5 mg senna leaves which is equivalent to 13,4 mg, hydroxyanthracene glycosides as sennoside B. S0 LENOLAX (Enema). Reg. No.: E/11.5/819. Each 1ml contains sodium dihydrogen phosphate dihydrate equivalent to 160 mg sodium dihydrogen phosphate monohydrate and disodium phosphate dodecahydrate equivalent to 60 mg disodium phosphate heptahydrate. S0 LENOLAX Paediatric (Enema). Reg. No.: E/11.5/1982. Each 1ml contains sodium dihydrogen phosphate dihydrate equivalent to 160 mg sodium dihydrogen phosphate monohydrate and disodium phosphate dodecahydrate equivalent to 60 mg disodium phosphate heptahydrate. S0 LENNON Glycerin Suppositories For Adults. Reg. No.: E/11.6/1495. Each suppository contains 2,14 g glycerin. S0 LENNON glycerin suppositories for infants and children. Reg. No.: E/11.6/1540. Each suppository contains 1,12 g glycerin. S0 GERMOLENE Ointment. Ref. No.:G1847 (Act 101/1965). Each 100 g contains anhydrous lanolin 38,716 g, maize starch 7,840 g, zinc oxide 7,840 g, methyl salicylate 2,960 g, phenol 1,184 g, octaphonium chloride 0,300 g, menthol 0,012 g. S0 PREP Cream Ref. No.: G1529 (Act 101/1965). Each 100 g contains: Borax 1,043 g, Camphor 720,8 mg, Phenol 213,0 mg, Menthol Levo 128,0 mg, Thymol 41,584 mg and Clove oil 0,042 ml. Trademarks are owned by or licensed to the Aspen Group of companies. © 2023 Aspen Group of companies or its licensor. All rights reserved. Marketed by Pharmacare Limited t/a Aspen Pharmacare Co. Reg. No.: 1898/000252/06. Healthcare Park, Woodlands Drive, Woodmead, 2191. ZAR-BIS-02-23-00002 02/2023
Retail in brief 3 Marketed by Aspen Pharmacare www.aspenpharma.com Hotline 0800 122 912 Find Relief, Restore Regularity: Trust Aspens Medicine Cabinet Essentials! Antiseptics and Disinfectants Antidiarrheal and Laxatives S0 BROOKLAX Senna Laxative Chocolate. Reg. No. 35/11.5/0168. Each chocolate tablet contains 30 mg Sennoside A and B as calcium salts. S0 BROOKLAX Bisacodyl Laxative Pills (enteric-coated tablets). Reg. No.: 36/11.5/0104. Each enteric-coated tablet contains Bisacodyl 5 mg. S0 LACSON. Reg. No.: Z/11.5/0055. Each 5 ml of syrup contains 3,3 g of lactulose. S0 GASTROPECT. Reg. No.: E/11.9/1546. Each 5 ml suspension contains light kaolin 1,00 g and pectin 0,05 g. S0 HAMBURG Tea. Reg. No.: E/11.5/0704. Each 550 mg contains 537,5 mg senna leaves which is equivalent to 13,4 mg, hydroxyanthracene glycosides as sennoside B. S0 LENOLAX (Enema). Reg. No.: E/11.5/819. Each 1ml contains sodium dihydrogen phosphate dihydrate equivalent to 160 mg sodium dihydrogen phosphate monohydrate and disodium phosphate dodecahydrate equivalent to 60 mg disodium phosphate heptahydrate. S0 LENOLAX Paediatric (Enema). Reg. No.: E/11.5/1982. Each 1ml contains sodium dihydrogen phosphate dihydrate equivalent to 160 mg sodium dihydrogen phosphate monohydrate and disodium phosphate dodecahydrate equivalent to 60 mg disodium phosphate heptahydrate. S0 LENNON Glycerin Suppositories For Adults. Reg. No.: E/11.6/1495. Each suppository contains 2,14 g glycerin. S0 LENNON glycerin suppositories for infants and children. Reg. No.: E/11.6/1540. Each suppository contains 1,12 g glycerin. S0 GERMOLENE Ointment. Ref. No.:G1847 (Act 101/1965). Each 100 g contains anhydrous lanolin 38,716 g, maize starch 7,840 g, zinc oxide 7,840 g, methyl salicylate 2,960 g, phenol 1,184 g, octaphonium chloride 0,300 g, menthol 0,012 g. S0 PREP Cream Ref. No.: G1529 (Act 101/1965). Each 100 g contains: Borax 1,043 g, Camphor 720,8 mg, Phenol 213,0 mg, Menthol Levo 128,0 mg, Thymol 41,584 mg and Clove oil 0,042 ml. Trademarks are owned by or licensed to the Aspen Group of companies. © 2023 Aspen Group of companies or its licensor. All rights reserved. Marketed by Pharmacare Limited t/a Aspen Pharmacare Co. Reg. No.: 1898/000252/06. Healthcare Park, Woodlands Drive, Woodmead, 2191. ZAR-BIS-02-23-00002 02/2023
Retail in brief 4 Top Stories Here are some of the top stories our readers found most interesting this past month: Read more: https://retailbriefafrica.co.za/pick-n-paybecomes-first-retailer-to-remove-barrier-bags-at-tillpoints/ Read more: https://retailbriefafrica.co.za/nielseniqreport-reveals-sas-unsettled-consumer-outlook/ Pick n Pay becomes first retailer to remove barrier bags at till points NielsenIQ Report reveals SA’s unsettled consumer outlook Read more: https://retailbriefafrica.co.za/the-shopritegroup-opens-bursary-applications-for-the-2023-and2024-academic-years-2/ The Shoprite Group opens bursary applications for the 2023 and 2024 academic years The Shoprite Group invites high-achieving students to apply for its comprehensive bursaries for the 2023 and 2024 academic years. Read more: https://retailbriefafrica.co.za/retail-andconsumer-goods-ceos-pen-letter-to-ramaphosaaddressing-dire-consequences-of-energy-crisis/ Retail and consumer goods CEOs pen letter to Ramaphosa addressing dire consequences of energy crisis Retail and consumer goods CEOs pen letter to Ramaphosa addressing dire consequences of energy crisis is addressed. Pick n Pay has removed all plastic barrier bags from its till points – a first in South Africa that will prevent over 20 million of these small bags from entering the environment. According to NielsenIQ 41% of South Africans feel they are in a worse financial position compared to a year ago although this is fairly in line with the global average of 40%.
Retail in brief 5 Gout is a chronic condition associated with co-morbidities and poor health-related quality-of-life 1 Hypertension Cardiovascular disease 2 Obesity 2 Diabetes mellitus 2 allopurinol 100 mg tablets 300 mg tablets PURICOS References: 1. Chandratre P, Mallen CD, Roddy E, Liddle J, Richardson J. “You want to get on with the rest of your life”: a qualitative study of health-related quality of life in gout. Clin Rheumatol. 2016;35(5):1197-1205. 2. Nuki G, Doherty M, Richette P. Current management of gout: practical messages from 2016 EULAR guidelines. Pol Arch Intern Med. 2017;127(4):267 -277. 3. Richette P, Doherty M, Pascual E, Barskova V, Becce F, Castañeda-Sanabria J, et al. 2016 updated EULAR evidencebased recommendations for the management of gout. Ann Rheum Dis. 2017;76(1):29 -42. 4. FitzGerald JD, Dalbeth N, Mikuls T, Brignardello-Petersen R, Guyatt G, Abeles AM, et al. 2020 American College of Rheumatology guideline for the management of gout. Arthritis Care Res. 2020;72(6):744 -760. 5. IMS Data July 2022. PURICOS-100. Reg. No.: K/3.3/305. Each tablet contains allopurinol 100 mg. PURICOS 300. Reg. No.: L/3.3/257. Each tablet contains allopurinol 300 mg. For full prescribing information refer to the professional information approved by the medicines regulatory authority (08/2020). Trademarks are owned by or licensed to the Aspen Group of companies. © 2022 Aspen Group of companies or its licensor. All rights reserved. Pharmacare Limited. Co. Reg. No.: 1898/000252/06. Healthcare Park, Woodlands Drive, Woodmead, 2191. ZAR-ALL-08-22-00003 10/2022. For first-line, long-term management of gout 3,4 South Africa’s most sold ULT 5 TREAT TO TARGET
Retail in brief 6 Introducing Red & Black Jellies & Sweet & Sour Fruit Jubes…
Retail in brief 7 Introducing Red & Black Jellies & Sweet & Sour Fruit Jubes…
Retail in brief 8 Retailer News Powered by Retail Brief Africa Retail and consumer goods CEOs pen letter to Ramaphosa addressing dire consequences of energy crisis South Africa’s largest retailers and consumer goods companies have penned a letter to President Cyril Ramaphosa warning that stable supplies of food, medicines and other essential goods cannot be guaranteed unless the load-shedding crisis is urgently addressed. The open letter was issued on behalf of the CEOs of member companies belonging to the Consumer Goods Council Of South Africa (CGCSA). These companies included Massmart, Famous Brands, Coca-Cola, Tiger Brands, Exclusive Books, Pick n Pay, Shoprite, PepsiCo, Mars, Burger King, OBC, BAT East and Southern Africa, Bidfood and Magaliescitrus. https://retailbriefafrica.co.za/retail-and-consumergoods-ceos-pen-letter-to-ramaphosa-addressing-direconsequences-of-energy-crisis/ Retailer News Continues on page 10 The Shoprite Group opens bursary applications for the 2023 and 2024 academic years 2024 academic years. Students enrolled for degree studies in Criminology, Accounting, Information Technology, E-Commerce, Retail Business Management and more can now apply for funding, which covers tuition fees and oncampus accommodation. In the last financial year, the retailer spent over R16 million on its bursary programme, which funded 206 students. As the largest private sector employer in South Africa, the Group is one of the top graduate employers in the country. In 2022, for the second consecutive year, the retailer was awarded the Gradstar Students’ Choice Award for Retail Employer of Choice, an award voted for by students. Apply for a comprehensive bursary from the Shoprite Group before 30 April 2023. https://www.shopriteholdings.co.za/ careers/bursaries.html https://retailbriefafrica.co.za/the-shoprite-group-opensbursary-applications-for-the-2023-and-2024-academicyears-2/ Increased innovation drives growth of Pick n Pay’s plant-based range Pick n Pay has doubled the number of plant-based products it stocks in the past two years, and sales continue to grow year-on-year, with newness driving this growth amongst local customers. Pick n Pay now stocks over The Shoprite Group invites high-achieving students to apply for its comprehensive bursaries for the 2023 and
Retail in brief 9 Formulated to act as a 4-in-1 primer, sealer, waterproofer and topcoat to help save on costs, labour and time. Medal Acryloseal and Medal Acrylotex are available in white and a range of on-trend colours. MATT FINISH FOR INTERIOR AND EXTERIOR SURFACES FINE TEXTURED FINISH FOR EXTERIOR SURFACES MATT FINISH FOR INTERIOR AND EXTERIOR SURFACES FINE TEXTURED FINISH FOR EXTERIOR SURFACES to help save on costs, labour and time. Medal Acryloseal and Medal Acrylotex are available in white and a range of on-trend colours. 1 2 3 4 SEALER PRIMER WATERPROOFER TOP COAT The Reliable, coste ective solution that covers all the bases FOUR-IN-ONE www.medalpaints.co.za @medalpaintssa Medal Paints South Africa medalpaint 7
Retail in brief 10 Retailer News Continued from page 8 Massmart voted top SA employer again Builders launches Product Finder tool for impossible-to-find items, even if it doesn’t stock them Specifically, Massmart scored most highly under the Top Employer Institute pillars of unite, develop, steer and attract. https://retailbriefafrica.co.za/massmart-voted-top-saemployer-again/ In an effort to assist customers in their hunt for those hardto-find items, Builders, the leading home improvement, DIY, and building materials retailer, has launched a new online tool called Product Finder. This new solution utilises a dedicated team of Builders Sales Specialists to locate and source niche décor and outdoor products, a tool, storage solutions, or fittings, whether customers saw the item online, spotted it in a magazine, or encountered it outside the country. Best of all, the platform can even find items the retailer doesn’t stock. Builders says the new tool will also help the retailer determine which products to include in its in-store range based on search trends and that it will continuously monitor the platform and scale its team to ensure it can keep up with the demand. https://retailbriefafrica.co.za/builders-launchesproduct-finder-tool-for-impossible-to-find-items-evenif-it-doesnt-stock-them/ The Top Employers Institute has announced Massmart as a Top Employer in South Africa for the second consecutive year, ranking the organisation in the top 25% of participating employers globally. The program has recognized and certified 2051 participating employers in 121 countries, across 5 continents and being certified as a Top Employer showcases an organisation’s dedication to a better world of work, exhibited through excellent HR policies and people practices. 300 plant-based products (across all brands) and has introduced 150 new products in the past 24 months. The products range across grocery, frozen and non-edible categories such as household, beauty and toiletries. Some of the best-selling products include plant-based milks and yoghurt, plant-based butter, ready meals, dairy-free frozen dessert, and tofu and feta ranges. Fresh plant-based products are fast emerging as a popular category and reported a growth of over 25% last year. Pick n Pay has worked with numerous local small suppliers to expand their range. Some of them include On the Green Side, which has seen incredible success as a chicken alternative, and ice cream alternatives from Gaia & I and Malie’s Frozen Dessert. It also stocks popular ranges from Fry’s and local brand Herbivore, and more recently began stocking a new frozen meat alternative range from Meatless Farm in selected stores. https://retailbriefafrica.co.za/increased-innovationdrives-growth-of-pick-n-pays-plant-based-range/ Continues on page 12 Pick n Pay removes over 3,500 tonnes of salt and sugar from private label foods over five years Pick n Pay has taken significant steps to improve the health of South Africans by removing over 3,500 tonnes of
Retail in b Retail in brRief ief 119 THE LINK BETWEEN FARMERS AND CONSUMERS
Retail in brief 12 Continued from page 10 Global retail industry organisation Shop! launches in SA salt and sugar from its private label range over the last five years. In 2017, the retailer set about improving the nutrition credentials of their private label range with a focus on reducing sodium and sugar content. This redevelopment has resulted in over 1,000 tonnes of salt and 2,500 tonnes of sugar being removed from the product range since then. Pick n Pay launched its Live Well brand in 2019. It has quickly diversified to meet the growing demand for healthier food. It now caters to various dietary needs such as plant-based, gluten-free, low-carb and organic. There are now over 450 Live Well products. To further promote healthy eating, Pick n Pay has also enriched over 40 lines of its own brand cereals and porridges to help boost the intake of key vitamins and minerals. Additionally, it introduced a range of healthier food options designed specifically for children, with a focus on minimising salt and sugar content and using only natural colourants. The retailer also distributes nutrition education posters and curriculum-aligned worksheets to over 3,300 schools in rural and urban areas throughout South Africa through its Pick n Pay School Club platform. https://retailbriefafrica.co.za/pick-n-pay-removes-over3500-tonnes-of-salt-and-sugar-from-private-labelfoods-over-five-years/ Retailer News SA retail sales down 0.6% in December Retail Sales Stats SA reports that South African retail trade sales decreased by 0.6% year-onyear in December 2022. The largest negative contributors to this decrease were retailers in: pharmaceuticals and medical goods, cosmetics and toiletries (-5.2% and contributing -0.3 of a percentage point); and hardware, paint and glass (-3.9% and contributing -0.3 of a percentage point). In 2022, retail trade sales increased by 1.7% compared with 2021. Five of the seven types of retailer showed positive year-on-year growth rates over this period. The main contributor was retailers in textiles, clothing, footwear and leather goods (6.8% and contributing 1.1 percentage points). Seasonally adjusted retail trade sales decreased by 0,6% in December 2022 compared with November 2022. This followed month-on-month changes of 1.0% in November 2022 and 0.2% in October 2022. Retail trade sales decreased by 0.2% in the fourth quarter of 2022 compared with the fourth quarter of 2021. The largest negative contributors to this decrease were retailers in hardware, paint and glass (-5.2% and contributing -0.4 of a percentage point); pharmaceuticals and medical goods, cosmetics and toiletries (-4.7% and contributing -0.3 of a percentage point); and food, beverages and tobacco products in specialised stores (-2.4% and contributing -0.2 of a percentage point). The largest positive contributor was retailers in textiles, clothing, footwear and leather goods (4.3% and contributing 0.8 of a percentage point). Seasonally adjusted retail trade sales increased by 0.3% in the fourth quarter of 2022 compared with the third quarter of 2022. The largest contributor to this increase was retailers in textiles, clothing, footwear and leather goods (3.0% and contributing 0.5 of a percentage point). Shop!, the global trade association dedicated to enhancing retail environments and experiences, has launched a South African chapter – and it’s looking to rapidly grow its membership across a range of retail stakeholders as it builds towards an industry awards event at the end of 2023. With chapters around the world, Shop’s mission is to engage its members with education, insights and events that help drive the evolution of retail. Shop’s global membership includes major retailers, agencies with shopper and digital offerings, production houses, POS manufacturers and brands. The Shop Awards will be launched in March, with the event towards the end of the year that celebrates work that has delivered tangible results and moved the dial meaningfully in the retail space. The local chapter is currently setting up its infrastructure, with the imminent launch of its website www.shopassociation.africa. https://retailbriefafrica.co.za/global-retail-industryorganisation-shop-launches-in-sa/
Retail in brief 13
Retail in brief 14 Introducing Red & Black Jellies & Sweet & Sour Fruit Jubes…
Retail in brief 15 Introducing Red & Black Jellies & Sweet & Sour Fruit Jubes…
Retail in brief 16 Brand Activations & New Products Brand Activations & New Products Tiger Brands certified ‘Top Employer’ – 8th year running Tiger Brands has been named a Top Employer in South Africa for the eighth consecutive year by the Top Employers Institute. The Top Employers Institute offers a global certification programme that allows organisations to assess and improve their people practices and processes and recognises excellence in these areas. The Top Employers Institute certification programme assesses organisations across six Human Resources focus areas – Steer, Shape, Attract, Develop, Engage and Unite, each containing assessment themes. Of the assessment themes, Tiger Brands achieved its greatest improvement on the previous year in the areas of Leadership Development, Talent Acquisition, Employee Wellbeing, Diversity and Inclusion and Digital HR. https://retailbriefafrica.co.za/tiger-brands-certified-topemployer-8th-year-running/ Cadbury Dairy Milk’s new 80g mould redesign offers an enhanced customer experience Powered by Retail Brief Africa Cadbury Dairy Milk 80g slabs now feature bigger chocolate blocks reflecting a size increase from 3.8g to 5.7g per block to create a new 14-block slab. The move comes as a result of consumer feedback, showing a preference for a bigger chocolate block. While chocolate lovers can still expect the same tasty Cadbury Dairy Milk quality that they have come to expect from each slab, the new format slabs not only amplify the taste experience but reflect the brands generous nature embodied in its iconic Glass & A Half logo promise. The on-shelf slab size impression and packaging remains the same, but once the packaging is removed, the new format offers consumers a more substantial visual perception of value and an even better product experience. Cadbury has communicated the change to consumers through in-store point of sale as well as a digital and PR campaign to ensure that the messaging is clear – it’s still the same Cadbury Dairy Milk taste fans love now with even more Cadbury enjoyment in each bite! https://retailbriefafrica.co.za/cadbury-dairy-milks-new80g-mould-redesign-offers-an-enhanced-customerexperience/ Continues on page 17
Retail in brief 17 Amajoya launches Creamy Milkshake Flavoured Toffee Chews Continues on page 18 One of the largest dairy manufacturers in South Africa, Woodlands Dairy, has launched into the dairy alternative category with their oat drink range, Harvest. The launch comes as demand in dairy alternatives continues to grow both locally and abroad. Says Marisa Maccaferri, Marketing Executive for Woodlands Dairy and First Choice: “The market for plant-based dairy alternatives is growing worldwide. There are various drivers behind this change in consumption habits. Dairy alternatives have come a long way in terms of taste delivery, consumer diets are changing, and some consume dairy alternatives due to allergies or intolerances.” Available in Plain and Barista (no added sugar) and Chocolate and Vanilla (sweetened), Harvest is priced competitively as it is locally manufactured, and available in 1l (Plain, Chocolate, Vanilla and Barista; RSP R39.99) and 250ml (Plain; RSP R11, 90). https://retailbriefafrica.co.za/woodlands-dairylaunches-new-dairy-alternative-brand-harvest/ Powered by Retail Brief Africa Brand Activations & New Products Woodlands Dairy launches new dairy alternative brand, Harvest Continued from page 16 Amajoya has been making everyday moments extraordinary for over a decade, and they’re launching something new to tickle our tastebuds. The new Amajoya Milkshake Flavoured Toffee Chews allow you to experience the taste and feel of a real milkshake like no other candy can. Mixed with a swirl of real dairy and Amajoya magic, Toffee Chews are available in three exciting milkshake flavours: strawberry, banana and chocolate. Amajoya’s Toffee Chews, Original and Signature Smooth Candy, Original and Signature Toffees, or Sugar-Free range is available in Spar, Makro, Clicks, Dis-Chem, Pick n Pay, Checkers, and Shoprite stores nationwide. https://retailbriefafrica.co.za/amajoya-launchescreamy-milkshake-flavoured-toffee-chews/ Retail in bRief 5
Retail in brief 18 PURA Beverages celebrates and rewards community heroes for giving a PSHT! Five inspiring change-makers from around the country have been rewarded for the incredible difference they make in their local communities. This comes after local better-for-you beverage brand, PURA Beverages Company launched an initiative that recognises local people who are making a difference by uplifting their communities and the world around them. The initiative had a simple message: What the world needs now is more people who “Give a PSHT!” and asked the public to share what they care about or nominate people they felt needed to be recognised and rewarded for the work that they are doing in their communities. After receiving multiple nominations from change makers around South Africa, five finalists were shortlisted. Their good deeds range from providing school shoes to underprivileged children, offering educationbased opportunities to school children in rural areas, rescuing horses and ponies, and supplying resources to impoverished farm workers. https://retailbriefafrica.co.za/pura-beveragescelebrates-and-rewards-community-heroes-for-givinga-psht/ Brand Activations & New Products Powered by Retail Brief Africa Continued from page 17 Spar launches McCOY Plant-Based Pies as a meat alternative McCOY, a brand exclusive to Spar, is again disrupting the South African pie market with their new ready-to-eat, plantbased pies, available in two delicious plant-based variants: à la king and pepper. McCOY pies, well known for their bigger size (weighing in unbaked at 250g), 55g more than the average single-serving pie currently available on the market) and unique, slow-cooked fillings, have fast become a go-to meal for the everyday consumer. These pies are made with the same unique light and crispy pastry, with the lattice pattern that McCOY pies have become known for. Perfect for an on-the-go lunch or served for supper with a salad on the side, Spar’s latest addition to their exclusive McCOY pie range is bound to find favour with flexitarians and lacto-vegetarians looking for a meat alternative. https://retailbriefafrica.co.za/spar-launches-mccoyplant-based-pies-as-a-meat-alternative/ Retail in bRief 5
Retail in brief 19 Join 2,500+ of Africa’s brightest minds in retail, fintech, cybersecurity, fulfilment and logistics, and marketing. For two days on 18-19 April 2023, ECOM Africa presents 5 tracks, consisting of hyper-focused keynotes, panels, and live Q&A sessions to give you practical insights and expert guidance to help take your business to the next level. Welcome to the future of commerce @Ecomafricacon ECOM Africa ECOM Africa ecommerce_africa2023 9 Edition th 18 - 19 April 2023 CTICC | Cape Town | RSA For delegate opportunities: For sponsorship opportunities: Pete Chinanzvavana [email protected] Roderick Benjamin [email protected] Glanville Valentine [email protected] Marc Olivier [email protected] ecommerce-africa.com
Retail in brief 20 New Partnerships and Appointments New Partnerships and Appointments Unilever appoints Hein Schumacher as new CEO Spar appoints Mike Bosman as interim CEO until permanent head is found Unilever has announced the appointment of Hein Schumacher as its new Chief Executive Officer, following an extensive, global search process. Hein will replace Alan Jope, who announced in September 2022 his intention to retire from the company. Schumacher is currently CEO of the global dairy and nutrition business Royal Friesland Campina and became a non-executive director of Unilever in October last year. He will begin as Unilever CEO on 1 July 2023, after a one-month handover period. https://retailbriefafrica.co.za/unilever-appoints-heinschumacher-as-new-ceo/ Spar Group has appointed Mike Bosman, its newly installed chairman, as its interim CEO following the exit of Brett Botten who left the group in early January 2023. Bosman will temporarily replace Botten until a until a permanent successor is found. Once the new CEO takes up their role, Bosman will return to the position of independent nonexecutive chairman of the board. The announcement of 57-year-old Botten’s departure was part of a larger board shakeup, which also sees former chair Graham O’Connor exiting the board after the group’s annual meeting in February. Botten served as CEO for just under two years. The management board shuffle was made in the midst of Spar facing governance issues and various allegations of fraud and discrimination. Bosman took the position of executive chairperson with effect from 1 February, the retailer said in a Sens announcement. https://retailbriefafrica.co.za/spar-appoints-mikebosman-as-interim-ceo-until-permanent-head-is-found/ Powered by Retail Brief Africa Retail Brief Africa Continues on page 21 AFRICA’S ONLY DAILY NEWS APP FOR RETAILERS
Retail in brief 21 Leading home improvement, DIY and building materials retailer, Builders has announced the appointment of Karen Ferrini as Vice President of Builders and member of the Massmart Executive Committee. Effective 1 February 2023, Ferrini takes over Herman Venter’s position following his appointment to Group Chief Merchandise Officer (CMO). With almost 25 years’ experience in retail and FMCG, Karen joined Builders in 2009 as Africa Executive, soon after which she was given added responsibility for Builders’ Superstores. She was appointed Operations Vice President for all Builders stores in December 2019, a role she undertook for over 3 years ahead of being appointed in her new role. Prior to joining Builders, Karen held various positions at Procter and Gamble. During her 11- year tenure she held positions that spanned Engineering, Manufacturing, Warehousing & Distribution and Customer Service. https://retailbriefafrica.co.za/builders-appoints-karenferrini-as-new-vice-president/ Builders appoints Karen Ferrini as new vice president Powered by Retail Brief Africa New Partnerships and Appointments Continued from page 20 Cell C welcomes back Stephen Morony as the new chief officer wholesale business Retail Brief Africa AFRICA’S ONLY DAILY NEWS APP FOR RETAILERS Retail Brief Africa AFRICA’S ONLY DAILY NEWS APP FOR RETAILERS Cell C announced the appointment of Stephen Morony as the new Chief Officer: Wholesale Business effective from the 01 January 2023. He returns to Cell C, having been responsible for the end-to-end management of Cell C’s Mobile Virtual Network Operator (MVNO) as the Executive Head for six years. In his new role he will focus on building the Wholesale Business division, a critical growth pillar for Cell C. He will also be responsible for leading the creation of a robust wholesale digital solutions platform and entrenching Cell C’s positioning as a leader and preferred provider for MVNOs. Another key focus area will be to secure new business opportunities in the SME and public sector space. https://retailbriefafrica.co.za/cell-c-welcomes-backstephen-morony-as-the-new-chief-officer-wholesalebusiness/
Retail in brief 22 Introducing Red & Black Jellies & Sweet & Sour Fruit Jubes…
Retail in brief 23 Introducing Red & Black Jellies & Sweet & Sour Fruit Jubes…
Retail in brief 24 Spotlight on Sustainability Powered by Retail Brief Africa Coca-Cola Beverages SA expands roll-out of 2L returnable PET bottles to reduce plastic waste in Free State and Northern Cape CCBSA will roll-out its innovative 2L returnable also known as refillable PET bottle (RefPET) in Mangaung in the Free State and Northern Cape, as part of its commitment to reduce environmental waste. Since 2019, CCBSA has successful launched RefPET in the Eastern Cape, Gauteng, Limpopo, North-West, Mpumalanga and parts of the Free State and plans to expand this offering to offer consumers value for money, while including them as an important part of the recycling value chain. As part of its responsibility to help address this challenge, Coca-Cola Beverages South Africa, a subsidiary of CocaCola Beverages Africa (CCBA), and a bottler for The CocaCola Company, has committed to help collect a bottle or can for every single one it sells by 2030, use 50% recycled content in all packaging and make 25% of its packaging reusable by the same year, while making all its packaging 100% recyclable by 2025. https://retailbriefafrica.co.za/coca-cola-beveragessouth-africa-expands-roll-out-of-2l-returnable-petbottles-to-reduce-plastic-waste-in-free-state-andnorthern-cape/ Spotlight on Sustainability Brambles, a global leader in supply chain solutions operating locally through the CHEP brand, has been recognised as one of the world’s most sustainable companies for the third consecutive year. The company climbed to third place on Corporate Knights’ Global 100 list for 2023, which was announced at the World Economic Forum conference in Davos, Switzerland. Launched in 2005, the annual ranking by Corporate Knights assesses and compares 6,720 of the world’s largest publicly traded companies, based on the social and environmental impact of their operations, revenues and investments. Brambles’ performance in 2023, which improved from tenth to third position in the overall global ranking reflects the positive impact of its circular business model on global supply chains. In South Africa, this circular model has come to life through CHEP’s collaborative ‘share and reuse’ approach which aims to move more, with less, thus creating working solutions to the prevalent waste problem in the world. https://retailbriefafrica.co.za/chep-recognisedas-leader-in-the-circular-economy-by-leadingsustainability-research-and-ranking-index-firm/ CHEP recognised as leader in the circular economy by leading sustainability research and ranking index firm Continues on page 25
Retail in brief 25 Spotlight on Sustainability Powered by Retail Brief Africa Australia to spearhead ‘paperisation’ of confectionery packaging in AsiaPacific Royal Canin boosts forklift fleet with electric units from GLTC Leading multinational confectionery makers, Nestlé and Mars Wrigley Australia are set to test-launch their iconic chocolates and candy brands in paper packaging in Australia in 2023. The move, if successful, will trigger the ‘paperisation’ of confectionery packaging in Australia, and potentially the Asia-Pacific (APAC) region. With this, paper & board packaging can challenge the dominance of flexible packaging in the Australian confectionery market, says GlobalData, a leading data and analytics company. Nestlé pioneered the transition from plastic to paper packaging in the confectionery industry with the introduction of its iconic Smarties chocolates brand in the first-of-its-kind fully recyclable paper packaging in June 2020. In January 2023, the Swiss food giant announced plans to trial paper-based wrappers for its popular KitKat chocolate bars in Coles Supermarkets in Australia. The company has a head start over Mars Wrigley Australia, which also plans to launch its Mars Bar, Snickers, and Milky Way chocolate bar lines in paper-based packaging in April 2023. https://retailbriefafrica.co.za/australia-to-spearheadpaperisation-of-confectionery-packaging-in-asiapacific/ As part of its five-year fleet replacement programme, leading manufacturer of cat and dog food, Royal Canin South Africa, has taken delivery of 11 new electric forklifts from Goscor Lift Truck Company (GLTC). To maintain efficient materials handling operations at its dog food production facility and raw materials storage warehousing, Royal Canin South Africa replaces its materials handling equipment fleet every 60 months, confirms Phaphama Malashe, Indirects, Royal Canin South Africa. This time, the company has decided to upgrade its fleet with a mixture of Doosan and Crown forklifts from GLTC. The units in question include Crown ESR5260-2.0 electric reach trucks and Crown SHR5520-1.35 pallet stackers, as well as Doosan B25S-7 and Doosan B18T-7 electric forklifts. With the addition of these units, the company now runs a total of 12 forklifts in its fleet. https://retailbriefafrica.co.za/royal-canin-boostsforklift-fleet-with-electric-units-from-gltc/ Continued from page 24 Retail in bRief 5
Retail in brief 26 Has a product on the store shelf caught your eye? Is the brand campaign connecting with all the right emotions? We love to see it. Send us your pics! Seen in the Trade A colourful new range of Plant Love products and display in Woolworth’s stores New clean beauty nail polish formula from Essence beauty Meridol introduces its new gum heath toothbrush in Pharmacy retailers Krispy Kreme winning at driving in-store sales with its classis digital displays Informative Little Me digital product display at Checkers An assortment of new body creams and hand and body lotions from Sorbet Woolworths has expanded its spice range to include a variety of new meat seasonings
Retail in brief 27 SAPICS “Early bird” discount offered for 45th annual Sapics Conference “Early birds” have until 31 March 2023 to qualify for discounted fees for the 2023 Sapics Conference and Exhibition, Africa’s leading event for supply chain professionals. T he “Early Bird” registration option provides delegates with a substantial discount on their fees for the 2023 conference – if they book their place and pay the registration fee before this offer closes at the end of March, Sapics, The Professional Body for Supply Chain Management, has announced. Now in its 45th successful year, the annual Sapics Conference is Africa’s foremost knowledge sharing and networking event for supply chain professionals. It takes place in Cape Town from 11 to 14 June 2023. “In these tough times, we are pleased to be able to offer delegates a significantly discounted price for June 2023 if they take up the Early Bird offer. By enabling companies and individuals to budget now, we hope to ensure that they don’t miss out on Africa’s premier supply chain conference,” says Sapics president MJ Schoemaker. Reflecting the unprecedented challenges facing supply chain professionals in today’s increasingly volatile, uncertain and complex business arena, Sapics has announced that the theme of the 2023 Sapics Conference is “Forward Thinking Supply Chains”. “The past two and a half years of disruption have shown that traditional and historic supply chain processes are insufficient,” Schoemaker states. “Companies have increasingly discovered that what they were doing could not contend with the constantly changing environment and new challenges. “In addition to COVID-19, supply chains have been impacted by numerous other chaotic disruptions in recent years, including the blockage of the Suez Canal, riots and unrest in parts of South Africa and issues at the Port of Durban, the COVID-induced container shipping crisis, and the power crisis across Asia and Europe.” She notes that 2022 was yet another interesting and challenging year for supply chain professionals, as they continued to manage the disruption and volatility of the world. “Just as we thought that our supply chains could not be stretched any further, we all watched in horror as disasters of floods and droughts affected South Africa. Business continuity has been difficult and cracks in the armour of resilience are showing. “It is clear that companies must do things differently to mitigate the risks and succeed in today’s challenging and constantly changing environment. “What we need are forward thinking supply chains, so that businesses, communities and economies can withstand future disruptions and volatility. In 2023, the focus must be on future proofing supply chains, so that they are equipped to anticipate disruptions and have processes to manage them,” Schoemaker stresses. “These are turbulent times. The Sapics Conference aims to equip delegates with all the knowledge, strategies, tools and techniques needed to optimise supply chains in an environment where constant change is standard and disruptive events need to be managed,” she says. For further information, or to secure your “Early Bird” discounted registration, call the Conference Secretariat at Upavon Management on 011 023 6701 or email info@ upavon.co.za. Up-to the-minute information is also posted on the Sapics conference website: https://conference.sapics. org/.
Retail in brief 28 Ecom Africa 2023 The biggest e-commerce show in Africa opens its doors to free visitors Having run for nine concurrent years, ECOM Africa is Africa’s biggest e-commerce gathering. Over the years, it has solidified itself as the place to be for e-commerce, retail, finance and IT professionals to be for the latest insights into the industry. Not only does it boast one of the most engaging and interactive expo floors on the continent, but the conference floor has proven, year after year, to be a highly educational platform for industry players. With just over two months left to the event, the event organisers have opened up free passes to the event. After a rush for tickets over the last two months, seats on the conference floor are now running low, and the organisers have seen a demand for extra tickets increase over the last few weeks. Free ticket holders will gain access to the expo floor, as well as access to the on-the-floor stage hosting 20+ speakers covering topics such as retail and e-commerce and the future of marketing. With leading retail and e-commerce brands gathering together for two days, attendees will gain valuable insights into the future of commerce. Already, industry elite have booked to attend the event. Brands like Momentum, Birkenstock, PUMA, Babylonstoren, Toyota, Johnson & Johnson, Tiger Brands, Jockey, CTM, Bathu, Footgear, Dermalogica, and many more are guaranteed to attend the event. Technology brands in attendance include Worldpay, Zoho, AWA, MHD Digital, GFK, BCX, Skynet, LOR, Neptek, Vectra, Dataweave, Bob Group, and many others covering solutions from customer experience to payments to fulfilment. Free pass holders will also be given the opportunity to extend their attendance of the event. Standalone tickets to the highly exclusive networking party will be on sale, allowing holders to meet fellow industry players and brands in a more informal environment. The ECOM Engage networking party will take place on 18 April and promises an evening of music, snacks, drinks, and conversation with the movers and shakers in African commerce; speakers and delegates alike. Tickets for entry to the full conference, although limited, are still available. These tickets offer full entry to two full days of keynotes and panel discussions from 60+ speakers covering topics in retail and e-commerce, payments, cybersecurity, fulfilment and logistics, and the future of marketing. Conference pass holders, automatically gain access to the expo floor, networking party, and matchmaking services over the two days. Should you be interested in a free ticket, register here, or register yourself or your team and get your all-access pass before they run out.
Retail in brief 29 Case Study/Opinion Piece Convenience stores must automate or face being left behind Convenience retailers looking to stay relevant must improve, streamline, and automate in-store operations to elevate the customer experience. This is according to Andrew Blatherwick, Chairman Emeritus and Advisor at RELEX Solutions. Previously, a convenience store’s main competition was simply another c-store until recently. That’s changed, however, as quick commerce businesses have made aggressive moves into the convenience space, promising delivery of small baskets within as little as 10 minutes. With competition increasing, the value of levelling digital technologies and automation solutions in retail is rising. According to McKinsey, 30% to 40% of retail tasks related to processes such as merchandise planning or the supply chain can be automated. Andrew Blatherwick stated: “C-stores face unique challenges due to their small footprint and high cost per square foot. They must balance high availability with the ever-present risk of waste and lack of backroom space to hold safety stock. They also need to ensure that their customers can find exactly what they want and quickly make a purchase.” Space and inventory management are equally important for c-store staff: • Stores have a limited number of associates available to handle all essential tasks, such as stocking shelves (including fresh items) and keeping aisles free of clutter, while also checking out customers. • Store-level planograms, which are difficult to create manually, are highly valuable to guide staff in maximizing existing space and optimising replenishment schedules. • Shipments to replenish existing items, stock new products or support short-term promotions must arrive on an as-needed basis and be ready to go directto-shelf. Blatherwick continued: “C-stores must move toward a technologically advanced, unified system that uses a single source of data to inform decisions about operational tasks, helping them stay competitive in a rapidly changing landscape where there are so many moving parts to supply chain management. “They also need a system to automate these decisions– from replenishment orders, to staff scheduling, to space planning– and further streamline store operations to ensure quality customer service.” Blatherwick concluded: “It’s unlikely that brick-and-mortar convenience stores, five years from now, will be replaced by delivery services. “Yet, without striking a careful balance between protecting margins and maximising the shopping experience, c-stores stand to lose in-store customers who would rather pay a bit extra to have their basket come to them, taking a hit to their top and bottom lines.”
Retail in brief 30 The great supply chain disruption continues in 2023, warns professional body for supply chain management Unprecedented disruptions and volatility in recent years have stretched supply chains to breaking point. In 2023, we can expect the “Great Supply Chain Disruption” to continue to challenge industries around the world, according to Sapics, The Professional Body for Supply Chain Management in Southern Africa. Case Study/Opinion Piece War, raw materials shortages, rising energy costs and extreme weather conditions are just some of the factors that will disrupt global supply chains in 2023, warns the non-profit organisation that is striving to elevate, educate and empower the community of supply chain professionals across Africa. “In South Africa, the electricity crisis will continue to challenge businesses across all sectors. The negative impact on energy-intensive and irrigation dependent agricultural industries in particular will resonate through the entire supply chain – from the farm to consumers, who will have to pay more and have fewer competitive options available on supermarket shelves,” says Sapics president MJ Schoemaker. “This year, businesses must strive for optimised execution, risk reduction, and enhanced agility and responsiveness in their supply chains. It will also be critical to identify new ways to gain a real competitive advantage,” she stresses. Latest supply chain trends The latest supply chain trends report compiled by the US-based Association for Supply Chain Management (ASCM), of which Sapics, is a Premier Elite channel partner, unpacked the latest supply chain trends that businesses must leverage in 2023 to achieve these goals. The report ranked big data and analytics as the most important topics in supply chain in 2023. They enable organisations to mitigate disruption through greater visibility, synchronised planning and execution, data-driven decision- making, predictability and supply chain agility. The implementation of predictive and prescriptive analytics — as well as advances in big data, algorithms and robotics — will have wide-reaching effects in 2023, the report found. Digital supply chains were ranked second in ASCM’s key trends in 2023. “Leading organisations will be advanced in their adoption of digital supply chain capabilities. If not, they will be left behind by agile, more proficient competitors,” cautions Schoemaker. She notes that supply chain risk and resilience will be prioritised by successful organisations in 2023. The diversification of suppliers, production capabilities and transportation processes will be some of their key strategies, according to ASCM’s trends report, Forwardthinking organisations will also explore alternative materials and non-traditional partnerships, while many supply chains will become more compact and localised. Resilient supply chain design will also be critical to mitigating adverse events faster than the competition, providing excellent customer service, and generating value and market share. Artificial intelligence In 2023, artificial intelligence and machine learning will have a much greater impact on supply chains because processing huge datasets in real time demands these capabilities. Using smart logistics solutions, based on the internet of things and nextgeneration robotics, will be a focal point of supply chain design. The ASCM report foresees more supply chain transformation via intelligent robotics in 2023. “Labour shortages, supply disruptions and demand surges are compelling organisations to tap into robotics. Driven by rapid technological advancements and greater affordability, both mobile and stationary robots will assist workers with warehousing, transportation and last-mile delivery tasks. Safer, more efficient warehouses, with fewer people in them, will drive
Retail in brief 31 Case Study/Opinion Piece down costs. Although the initial capital investment will be high, the cost savings are primed to be dramatic. ”According to Schoemaker, there is certainly a robotics trend in South Africa but she says that loadshedding may put a spanner in the works unless the businesses have their own energy source. “In South Africa, finding the balance between efficiency and employment is also difficult,” she adds. “Many companies are cross skilling their staff to be more diverse and therefore are able to place them in other roles.” Data security and cybersecurity are also hot topics that will impact supply chains this year. The more digital supply chains become, the more vulnerable their global networks are to cyberattacks. “This interconnectedness means supply chain partners can inadvertently expose each other and their customers to privacy breaches, identity theft and worse,” ASCM’s report noted. More organisations will invest in redundancy, firewalls, advanced anti-hacking technologies and employee training in 2023. Sustainable supply chains Circular and sustainable supply chains will be on the agenda of all organisations aiming to future-proof their businesses. “There is growing recognition that the traditional linear business model of take, make and waste must change. It has ecological as well as economic disadvantages, making raw material more expensive and increasing the likelihood of shortages and volatility,” explains Schoemaker. Continuous logistics disruptions in 2023 will drive the need for constant master data maintenance, as well as refined logistics parameters and inventory levels. “Logistics organisations must create the conditions necessary for a seamless interaction among multiple transportation networks and their digital replicas,” ASCM’s report recommended. It also found that many of them will be rethinking the physical connections among warehouses, highways, ports, waterways and air transportation. Looking at the situation in South Africa, Schoemaker notes that transportation in the country is mainly road freight due to the deteriorating rail infrastructure. She says that issues at the ports – whether strikes or failing machinery – are challenges for the trucking industry as well as for businesses. “Alternative routes may become a necessity and improved security for the truck. Due to the fact that loadshedding is constantly being adapted to different levels, it is very difficult to plan when freight is needed, which will also impact cost as well as the efficiency of supply chains. “While supply chain challenges will continue in 2023, we can expect to reap the benefits of lessons learnt in recent years,” Shoemaker contends. “The pandemic and other disruptions highlighted the importance of supply chains for everyone. Supply chain management is better understood today. It is an increasingly attractive and sought after profession. “There is more emphasis on supply chain qualifications and continuous skills development. As the Professional Body for Supply Chain Management, Sapics will continue its drive to professionalise supply chain management. By professionally designating individuals, Sapics aims to increase supply chain management competence, knowledge and skills, and industry professionals will have prescribed values and ethics to uphold. This will enable the profession to rise to the challenges of the continuing Great Supply Chain Disruption,” she concludes.
Retail in brief 32 Case Study/Opinion Piece Forty percent of South African consumers say they are in a worse financial position this year compared to a year ago – but CPG categories remain central to 2023 consumer spending intentions. NielsenIQ Report reveals SA’s unsettled consumer outlook • 43% of surveyed consumers already feel like they are living in a recession. • 74% say that increased costs of living are to blame for their recent financial struggles. • 32% have turned to online to get better deals, save on gas and minimize shopping trips. According to NielsenIQ 41% of South Africans feel they are in a worse financial position compared to a year ago although this is fairly in line with the global average of 40%. Of those respondents, 74% are increasingly burdened by the high cost of living while 42% say they have been impacted by the economic slow down and 32% say they have faced huge changes adapting to ongoing pandemic disruptions. These findings are part of the latest NielsenIQ Thought Leadership Report on “Consumer Outlook 2023″, that provides a deep dive into the mindset and sentiment of consumers around the world. What it has found is that volatility in everything from prices to weather events has created unsettled consumers who having just lived through recent inflation highs, and not knowing when to brace for the next set of extreme circumstances, are displaying a cautiousness that is likely to linger for some time. The report also highlights specifically for South Africa: • 37% of consumers are expecting the economic downturn to last for 12 months or more, with 26% claiming they only have enough money for food, shelter, and the basics. • Consumers’ biggest concern over the next 6 months is the increase in food prices (51%), as well as concerns over job security (20%). • Transport costs is amongst the top category that consumers plan to spend more on (29%) in 2023 compared to the previous year, and interestingly, even with the additional burdens on family spending, consumers are still planning to spend as much on Groceries and household items in 2023 as before (48%). • High inflation and by effect higher product prices, have pushed consumers towards Discounters (49%), chasing Promotions (36%) and buying in bulk (50%) while 56% are super keen to take advantage of Loyalty schemes. • 32% have also turned to online shopping to get better deals, save on petrol and minimise trips to stores. • Consumers plan to spend less on most discretionary spending categories, where out-of-home dining (23%), out-of-home entertainment (32%) and clothing (36%) are leading areas where they are planning to trim their wallet allocation. What is setting the spending tone for 2023? Overall, financial concerns and job security have risen to the forefront. At the same time, mental and physical wellness are deemed equally important on the global scale. “A mix of financial and health-focused priorities”, clarifies Lauren Fernandez, Global Director, NIQ Thought Leadership. “We can’t forget that within this trifecta of priorities, our financial wellness is often what feeds our ability to service and nurture mental and physical health. As a result, the financial focus of today’s consumer outlook comes to the forefront”, comments Fernandes. A look at the consumer wallet for the year ahead, shows that South African consumers will shift spending towards maintaining contributions to futurefocused mainstays, such as financial services (50%) and paying off debt (35%), while also increasing their spending on groceries and household items (33%) and contributing more to education for themselves or their families (23%). “42% of those surveyed mention that financial health and job security are on par with mental and physical wellness (40%) as the leading areas of greater. importance, while equally important is the fact that 25% state that they are planning to spend more on Health/Wellness products in 2023”, comments Ged Nooy, NielsenIQ Managing Director in South Africa. Click here to read more on this topic: https://nielseniq.com/global/ en/insights/analysis/2023/consumeroutlook-2023-the-unsettled-state-ofglobal-consumers/.
Retail in brief 33 A new global survey of 5000 consumers reveals critical changes to consumer spending amid inflation and economic uncertainty. These findings highlight current sentiment on spending and what it will take to earn consumer loyalty in 2023. Personalisation, data security, and speed drive customer loyalty amid uncertainty — Salesforce research Case Study/Opinion Piece Retail, travel, hospitality, media and entertainment most at risk as consumers rethink spending Consumers are thinking more critically about where they will spend their money in 2023, with 81% saying they will reassess their budget over the next 12 months. Retailers are most at risk. Seventy-nine percent of consumers say they will reassess their spending with retail brands over the coming year. Travel and hospitality and media and entertainment also face the potential for lowered spend, with 78% and 70% of consumers, respectively, reporting reassessment plans in those sectors. Personalised, real-time experiences drive loyalty for spend-conscious consumers An economy plagued by inflation and staffing shortages hasn’t lowered consumers’ expectations for top-notch service. Fifty-two percent, in fact, expect a better experience from their favourite brands as a result of the current economic climate. The good news is these same consumers are clear about what they believe makes an improved experience. Consumers also expect brands to use their data to offer more relevant customer services, with over 60% reporting they expect companies to react instantly with the most up-todate information when transferring across departments. Bolstering trust can also be an opportunity for loyalty; 76% of consumers say that companies that provide data security will encourage their loyalty. Disconnected experiences spark frustration for consumers On the flip side of the coin, consumers were also willing to report what made for a poor experience. They reported top frustrations ranging from disconnected experiences (40%), to being asked questions that they’ve answered before (35%), and being offered products that aren’t relevant to them (33%). When added together, frustrating experiences create negative brand perceptions — and possibly, a future customer lost. According to 52% of consumers, poor quality service is the primary reason that prevents them from making a repeat purchase. Real-time data drives exceptional customer experiences Research shows that personalised customer experiences are no longer ‘nice to have,’ they are essential to competing in a changing economy. Real-time data offers a path for companies that want to compete in this new economy and deliver the personalised experiences consumers expect. When pulled together into a single source of truth, real-time data offers rich and actionable insights that can help deliver intelligent and connected customer experiences. “Companies that want to increase customer loyalty must leverage real-time, intelligent, and automated technology solutions that support seamless connected experiences and personalised journeys,” continued McLarty. “Businesses must be capable of both understanding and acting on their data. This will mean the difference between thriving or surviving as businesses navigate challenges in 2023.”
Retail in brief 34 Case Study/Opinion Piece The 8 essentials for a winning customer experience strategy in 2023 Once a major differentiator between companies, customer experience is now essentially a matter of survival. Aside from the fact that almost 90% of organisations now claim to compete primarily on customer experience, things have seldom been tougher for the customers they create products and services for (unless they happen to cater to the one percent). By Dori-Jo Bonner, Digital Engagement Strategist,Tilte All around the world, inflation and soaring energy prices have put consumers under incredible financial pressure. As such, most people are looking for expenses to cut back. And if your organisation doesn’t provide the kind of great customer experience that makes people feel valued, and which engenders trust and loyalty, they will go somewhere else. While that’s especially true for purchases, often seen to be grudge purchases, such as insurance, every sector will feel the impact in the coming months. It’s
Case Study/Opinion Piece therefore critical that you put the right customer experience strategy in place. While the exact details of what that strategy looks like will vary from organisation to organisation, there are several common pillars that should form the basis of any winning customer experience strategy. 1. Have a customer experience goal On its own, the term customer experience can feel quite nebulous. Obviously, you want your customers to have the best possible experience, but you also need to define more specific goals when it comes to customer experience. Ask yourself whether you’re most concerned with boosting customer retention, engagement, loyalty, or any other measure of customer engagement and build your strategy around that goal. In fact, what you might find is that you may have concerns around all the phases of your customer lifecycle. And for this, focusing on the entire journey might be your primary goal. 2. Examine your new and potential customer’s online behaviour and feedback You can’t build a good customer experience if you don’t know your customers and how they interact with your organisation. It’s therefore critical that your organisation use the most relevant available listening tools – including surveys, emails, and social media messages – to better understand them and get the feedback you need to build the best customer experience possible. 3. Encourage interaction with your brand during, rather than at the end of, the customer experience journey If you’re only proactively interacting with customers once they’ve made a purchase, you’re not providing the optimal experience. For everyone who successfully makes a purchase, you’re potentially missing out on dozens of others who (for various reasons) abandon their journeys part of the way through. If you interact with and help customers at every step of the journey, through tools like chatbots or WhatsApp messaging services, you’ll demonstrate far more effectively that you care about their wants and needs. 4. Add in customer engagement tools Did you know that some of the biggest customer engagement wins can be automated? Using digital communication tools such as SMS, email, chat and in-app messaging, you can increase your organisation’s direct communication with customers without dramatically increasing inhouse resources. 5. Personalisation is no longer a nice to have – its a must Nobody likes to feel like they’re just another faceless customer, especially if they’ve bought products or services from the same company for years. Think back to your school days. Imagine if you’d put your hand up to answer a question in the third term and the teacher you’d had all year said something like, “yes, you”. Imagine how you’d feel. If you’re sending out generic messages and offers to your customers without giving any sense that you actually understand who they are and what their history with your organisation is, then you’re going to struggle to build the kind of customer experience that engenders retention, loyalty, or any of the other goals you’ve set out for your organisation. 6. Get comfortable with analysing customer data Of course, you’re going to struggle to achieve that kind of personalisation without having and, more importantly, understanding customer data. Every organisation should have the ability to analyse customer data and that should apply across the entire organisation. It’s not always possible for this capacity to be built up immediately. In those instances, organisations can work with partners that understand how to do it and help them build up metrics that matter and help drive customer engagement 7. Add in experience enhancements A great customer experience today, may not even be a good one tomorrow. As such, organisations should constantly look to find ways to enhance their customer experience. Enhancements such as personalised video, digital signatures, VOC forms, and new surveys can go a long way when it comes to helping organisations build experiences that allow them to stand out from the competition. 8. Outsource managed services where need be As important as it is for organisations to build up their customer experience capabilities, they still need to focus on the business of doing business. If you’re a retailer, for example, you shouldn’t also have to be a media company or a reporting and analytics company. By outsourcing some managed service functions, your organisation can focus on what it’s actually good at while allowing the experts to help you build a great customer experience. Consistent efforts required While focusing on the above pillars can go a long way in helping your organisation build a winning customer experience, it’s also important to remember that it isn’t a once-anddone kind of thing. Instead, it’s critical to put in consistent efforts and ensure that your customer experience is always evolving into the best possible iteration of itself.
Retail in brief 36 Q&A: Njabulo Sithole KZN baker sets his sights on becoming SA’s leading confectionery supplier I n 2014, Njabulo began trading from his home kitchen, selling baked goods to local schools. Orders started streaming in and a few months later he was ready to move to a proper business facility to accommodate his growing business. He now employs 40 staff at the Bakers Creationz facility in Maphephetheni where they produce more than 12,000 snowball products for Pick n Pay every week. The retail giant recently recognised the confectionery business as its top small supplier for 2022. The small supplier awards recognise suppliers for their performance, sales growth and ability to create jobs during the course of the year. Sithole is also past participant of the SAB Foundation Tholoana Enterprise Programme. Here, we chat with Njabulo about the Bakers Creationz story, the challenges he has faced along the way, as well as what's next for the company. Njabulo, tell us about yourself and Bakers Creationz. What inspired the idea for the company and how did you get started? NS: Growing up it was always my dream to run my own business, but I had no clue what business it was By Jessi Wesson KwaZulu-Natal-born baker and entrepreneur, Njabulo Sithole's passion for baking has taken him from humble beginnings in his home kitchen to owning and running a successful confectionery business that supplies premium cakes, muffins and signature coconut-coated snowballs to nearly 200 Pick n Pay stores. going to be. I always loved cakes and always found something that I wanted to change or adjust from the shop bought cakes. I started experimenting with baking when I was introduced to cooking. It grew on me so quickly that I started developing my own recipes. When my baked cakes were always praised at home by family members and relatives, I realised that I had the potential to start my business. After I put a business plan together and received approval for funding, I left my job at that time. Unfortunately, there were complications as the funding never came through. I had to find a way to get started regardless, so I decided to start by selling to local schools and neighbours while baking from the home oven. That helped raise funds to develop the business. After a few months, I was able to move the business out of my home kitchen to a proper business premises. That is when I started supplying to small retailers and eventually grew to supply the likes of Pick n Pay, Spar, Total Café Bonjour, Engen, Caltex Fresh Stop, Shell and many other independent retailers. Can you tell us about some of the challenges you’ve had to face along the way? NS: My business operation is based in a rural area where infrastructure is limited. Setting up such an operation requires funding which has been a challenge to gain access to. Some funders loved the idea; however, they did not believe in the location. As a result, the funding was declined. The process of upgrading electricity supply took over two years. It also took over two years to achieve the food safety compliance required by the industry. What are the key ingredients of Bakers Creationz’ success? NS: Doing what I love and the passion I have for cakes as a cake eater myself. These ingredients keep me going despite the challenges I face on a daily basis. The mentorship and support I receive from SAB Foundation is what ensures the financial viability and growth of my business. How has the funding Bakers Creationz received through the SAB Foundation helped to support and grow the business to date? NS: The SAB Foundation Tholoana Enterprise Programme assisted me in developing my idea and vision
Retail in brief 37 into a reality. Through their funding, I was able to achieve the food safety compliance certification and buy production equipment to build on the current production capacity we had. This enabled us to launch our Snowball cake with Pick n Pay retailers throughout South Africa. The SAB Foundation is by far the best organisation that supports and grows small businesses. I have benefitted so much through the technical assistance, mentorship and financial support that has enabled me to grow my business. What confectionery trends are you excited to see in the industry and implement in 2023? NS: More consumers are becoming health conscious about what they consume. As a result, our products development team is working tirelessly to incorporate that in our products to continue appealing to our targeted market. How has loadshedding impacted operations and what solutions/ strategies have you implemented to help combat this? NS: A lot of businesses, especially small ones, have closed down as it becomes impractical to continue with the business operations under the impact of loadshedding. Our business is no exception from this; However, we are fortunate that our doors are still open with the assistance of a back-up generator that we received through support from the SAB Foundation Tholoana Enterprise Programme. Running our business operation using a generator is quite expensive. This impacts negatively on our margins, as we need to keep our pricing competitive. What's next for you and Bakers Creationz? What can we expect to see from the company over the coming years? NS: Our vision is to become a leading confectionery supplier in South Africa. The roll out plan is already being implemented and we already have our products available in the majority of regions in the country - 200 Pick n Pay Stores and over 150 garage shops and independent retailers in Durban and surrounding areas. Receiving the 2022 supplier of the year recognition from Pick n Pay was a sign that we are on the right track. In the coming years, expect to see more of our product ranges in most retailer's bakery sections. Also, expect more visibility of the brand through social media and digital platforms. Any advice for entrepreneurs looking to achieve commercial success in the FMCG space? NS: The advice I can offer is to first do your research in order to know the necessary requirements to start your business. Gain insights into the industry that you will be entering, then start using the resources you have at your disposal and grow from there. Do not wait for funding to start your business. Funding should help you to grow, not to start.
Retail in brief 38 Case Study/Opinion Piece The ‘sober curious’ trend is on the rise, driven by increasing consumer demand for non-alcoholic products that provide an elevating drinking experience. IWSR, the leading source of data and insight on the global beverage alcohol market, the no/low alcohol category value surpassed $11 billion in 2022 up from $8 billion in 2018. Rise in ‘sober curious’ trend drives non-alcoholic drinks category to record highs No/low-alcohol consumption is estimated to increase by a third by 2026, spearheaded by growth of non-alcoholic products which are expected to account for over 90% of the forecast total category volume growth. The study cites improved taste, production techniques and a diversification of consumption occasions that are driving nonalcoholic’s dominance over low alcoholic in many markets and they expect the non-alcoholic category volume to grow at a compound annual growth rate (CAGR) of +9% between 2022 and 2026. Interestingly, non-alcoholic spirits will see some of the more dynamic growth as brand owners invest in innovation and products are given more space by retailers and on-trade, the study states. Karl Fielding, VP for the Middle East and Africa for Lyre’s, the world’s most awarded non-alcoholic spirits company, says that the non-alcoholic sector is undergoing a revolution in terms of popularity as an increasing number of people are choosing to avoid alcohol on certain occasions or abstain from it completely. “Consumers’ palates are becoming more adventurous and sophisticated in cuisine and beverage choice,” he explains. “High end independent restaurants are at the forefront of catering to these desires and that’s where we are seeing the most demand for Lyre’s products.” He points out that the ‘sober curious’ and ‘better for you’ lifestyle is driven by many factors. “The 18–35-year-old demographic are spending more time than ever across social sharing platforms and building their own identity,” he explains. “We know that post Covid consumers are spending more time being social, out with friends, but also want to capitalise on their free time with rewarding experiences like going to the gym and experimenting with things like mixology and cooking.“ He continues: “…the entire nonalcoholic category has grown significantly; this is really driven by an increase in moderating alcohol consumption and a thirst for elevated drinking experiences for drinkers and non-drinkers alike. Globally nearly a third of people are not consuming alcohol when they are out.” Fielding says that the ‘mindful drinker’ – consumers that are moderating their consumption of alcohol. “Whether this is taking part in ‘non-drinking’ months and occasions or just drinking less when they are out, people are driven by taste and experience rather than alcohol strength. “This has led to the growth of both the non-alcoholic and low-alcoholic cocktail trend.” Frictionless drinking – swapping non-alcoholic and alcoholic drinks interchangeably is all about moderation. “We know that more people are drinking less, rather than not drinking at all,” he says. “This may mean switching from alcoholic drinks to non-alcoholic whilst out or choosing to reduce the number of occasions that they consume alcohol. The availability of sophisticated non-alcoholic options now gives consumers a better, more socially inclusive option when out as opposed to say water or soda.” Lyre’s is the world’s most awarded non-alcoholic spirit and is available in over 60 countries. Lyre’s launched in South Africa in 2022 offering a range of equivalents to the most popular spirits in a non-alcoholic format including Dry London Spirit (Gin alternative), Italian Spritz (for a classic spritz), American Malt (Bourbon alternative), Coffee Originale (for an Espresso Martini) and White Cane Spirit (perfect as an alternative to White Rum). “From our in-depth focus groups, we did with non-drinkers we found the consistent complaint about mocktails was their sugar content and the basic flavour profile, therefore there is a clear gap in the market for a wellcrafted cocktail imbued with complex and sophisticated flavours and this is what Lyre’s is catering to,” he concludes.