{"id":818471,"date":"2025-03-27T15:50:00","date_gmt":"2025-03-27T13:50:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=818471"},"modified":"2025-03-27T15:46:39","modified_gmt":"2025-03-27T13:46:39","slug":"big-changes-for-pick-n-pay","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business-opinion\/818471\/big-changes-for-pick-n-pay\/","title":{"rendered":"Big changes for Pick n Pay"},"content":{"rendered":"\n

Pick n Pay has opened a new store in KwaZulu-Natal’s Westown Square, marking a significant milestone in the group’s turnaround strategy. <\/p>\n\n\n\n

Pick n Pay has recently closed many stores across South Africa, shutting down poor-performing outlets as part of its \u2018back to basics\u2019 turnaround strategy.<\/p>\n\n\n\n

Pick n Pay CEO Sean Summers previously warned that over 100 stores would close or be converted to Boxer stores as part of the turnaround.<\/p>\n\n\n\n

The group closed 32 supermarkets, including 24 company-owned and eight franchise stores, in the 45 weeks ending 5 January 2025.<\/p>\n\n\n\n

This comes amid the group’s poor financial performance. It posted a R3 billion loss in the 2023\/24 financial year, with its core Pick n Pay grocery business performing poorly.<\/p>\n\n\n\n

The group became technically insolvent, but was able to raise billions in cash via a two-step recapitalisation plan. This included a R4 billion rights offer and an IPO of Boxer worth R8 billion.<\/p>\n\n\n\n

Following the recapitalisation, the group started focusing and streamlining its business, especially regarding the Pick n Pay brand, homing in on locations that would prove to be more lucrative.<\/p>\n\n\n\n

The group has now opened a store in the newly launched Westown Square, which points to a further strategic focus as it looks to improve performance.<\/p>\n\n\n\n

The 50,000 sqm Westown Square in Shongweni opened today and is the anchor of the new R15 billion Westown development <\/a>between Durban and Pietermaritzburg.<\/p>\n\n\n\n

The development is set to draw in an affluent consumer base, with the Square specifically targeting high-LSM clientele with upmarket offerings.<\/p>\n\n\n\n

On top of opening a Pick n Pay store to be party of this, the group is also opening a Pick n Pay Clothing and Liquor store in the centre.<\/p>\n\n\n\n

Big Changes<\/h2>\n\n\n\n
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Source: Pick n Pay<\/figcaption><\/figure>\n\n\n\n

The new store is also a signifier of Pick n Pay’s turnaround in other ways.<\/p>\n\n\n\n

It will have key features that Pick n Pay is incorporating into its refreshed store format to improve the customer experience.<\/p>\n\n\n\n

This includes an expanded fresh produce section, an improved product range, and a stronger focus on convenience.<\/p>\n\n\n\n

Westown Square store customers will be able to enjoy a vibrant, fresh produce area with farm-fresh fruits and vegetables. It will also feature a full-service butchery.<\/p>\n\n\n\n

The improved in-store bakery also offers artisan breads, pastries, and cakes that are baked daily, while the deli offers several ready-to-go meals.<\/p>\n\n\n\n

New features also include a sushi counter and The Roasty sit-down coffee bar. Pick n Pay Liquor will also offer an extensive range of wines, spirits and local craft beers. <\/p>\n\n\n\n

\u201cWe\u2019ve implemented several improvements in the Westown store that we are already rolling out as part of our targeted store revitalisation programme, which is currently underway,” said Summers.<\/p>\n\n\n\n

“These features are designed particularly around freshness and our fresh produce areas, the variety offered to customers, and customer convenience at its core.” <\/p>\n\n\n\n

\u201cWe have made enormous progress on resetting our store estate, which is fast, resulting in a much more efficient and customer-focused estate.”<\/p>\n\n\n\n

He added that the bulk of the estate reorganisation is behind the group, and now it will focus on store revitalisation and opening strategically located new stores.<\/p>\n\n\n\n

Several store improvements were part of the \u2018Super Seven\u2019 initiative. These seven stores received improved layouts, a more tailored product selection and intensive staff training. <\/p>\n\n\n\n

The group said that these stores have shown incredible success, with some seeing sales growth of up to 100% and a positive trend in overall customer feedback. <\/p>\n\n\n\n

Pick n Pay added that it is strengthening its customer partnerships as it accelerates its turnaround. It has become a tier-one sponsor with SA Rugby and is now the primary grocery partner for FNB eBucks.<\/p>\n\n\n\n

\u201cWe are focused on the road ahead. While there is still work to do, we are making good progress and are excited to keep driving this momentum forward,\u201d concludes Summer.<\/p>\n\n\n\n

Westown Pick n Pay Images<\/h2>\n\n\n
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Source: Pick n Pay<\/figcaption><\/figure><\/div>\n\n
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Source: Pick n Pay<\/figcaption><\/figure><\/div>\n\n
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Source: Pick n Pay<\/figcaption><\/figure><\/div>\n\n
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Source: Pick n Pay<\/figcaption><\/figure><\/div>\n\n
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Source: Pick n Pay<\/figcaption><\/figure><\/div>\n\n
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Source: Pick n Pay<\/figcaption><\/figure><\/div>\n\n
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Source: Pick n Pay<\/figcaption><\/figure><\/div>\n\n
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Source: Pick n Pay<\/figcaption><\/figure><\/div>\n\n
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Source: Pick n Pay<\/figcaption><\/figure><\/div>\n\n
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Source: Pick n Pay<\/figcaption><\/figure><\/div>","protected":false},"excerpt":{"rendered":"

After a difficult period for Pick n Pay, CEO Sean Summers says the group is shifting gears, and opening new stores with upmarket features and improved service.<\/p>\n","protected":false},"author":95,"featured_media":722252,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[4067],"class_list":["post-818471","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-opinion","tag-pick-n-pay"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/818471","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=818471"}],"version-history":[{"count":8,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/818471\/revisions"}],"predecessor-version":[{"id":818502,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/818471\/revisions\/818502"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/722252"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=818471"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=818471"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=818471"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}