Pick n Pay Stores

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Pick n Pay Stores Ltd.
Public
Traded asJSE: PIK
ISINZAE000005443 Edit this on Wikidata
IndustryRetail
Founded1967[1]
HeadquartersKenilworth, Cape Town, South Africa
Number of locations
1,628 (968 company-owned and 660 franchised)[2]
Area served
Southern Africa
Key people
Gareth Ackerman
(Executive chairman)
Richard Brasher
(CEO)
RevenueIncrease R83.5 billion (2018)[2]
Increase R15.25 billion (2018)[2]
Increase R1,29 billion (2018)[2]
Total assetsIncrease R18.98 billion (2018)[2]
Total equityIncrease R4.02 billion (2018)[2]
Number of employees
85,000[2]
Websitehttps://www.pnp.co.za

Pick n Pay is the second largest supermarket chain store in South Africa, established in 1967. It can also be found in other regions of southern Africa, such as Botswana, Zambia, Zimbabwe, Lesotho, Namibia, Swaziland, and had plans to open in Malawi but has yet to do so. Raymond Ackerman purchased three Pick n Pay supermarkets from Jack Goldin in Cape Town, and served as executive chairman until his retirement in 2010. His eldest son, Gareth, is the current chairman.[3]

Due to a slump in profits in July 2011 the company told labour unions that it would lay off 3,137 of its 36,673 staff.[4]

As of 2018, the company was operating over 1,600 locations across 7 countries in Southern Africa. In that year's annual report, the company announced a planned expansion into Nigeria, and that it was considering expanding into Ghana. Pick n Pay also operates stores under the Boxer brand in South Africa and Swaziland.[2]

Acquisitions[edit]

In mid 1994, Pick 'n Pay acquired the Score & Rite Valu Supermarket chains from the Johannesburg-based Metro Group.[citation needed] At the time, Score stores ranged from standard urban stores to informal, "Spaza" rural type outlets in South Africa's previously segregated Bantustan homelands and in Lesotho, Botswana and Swaziland (approximately 160 stores), These stores targeted lower income, black and coloured population groups with basic food, and other essential products. The approximate 40 Rite Valu stores based in South Africa only, catered for predominantly white groups in smaller towns in the greater Transvaal province. The attractiveness of the acquisition may have been attributed to the year-on-year growth of both chains over the prior 4 years, and the almost blatant copying of Pick 'n Pay's "in-house" products, which saw Score and Rite Valu developing their own, cheaper house brands and packaging through Johannesburg based ad agency Rayner Francis-Pope & Associates, The success of the strategy led to an increase in cyclical sales, margins and over all growth. South Africa's first democratic elections and change of government could have also been a driving factor in Metro Group's willingness to sell.[citation needed] Shortly after being consolidated into Pick 'n Pay's marketing channel managed by the Hedley Byrne agency, the Score and Rite Valu brands were eventually phased out.

Rebranding[edit]

Small format Pick n Pay store in Kenilworth, Cape Town, showing current branding.
Pick n Pay store in Windhoek, Namibia, with old logo.

The Pick n Pay brand, which had previously remained largely unchanged since the 1970s, was redesigned in 2007. On 12 November 2007, the company announced a brand transformation in the form of a brand redesign, new uniforms, advertising campaigns, and the slogan "Inspired by You". This rebranding of the iconic Pick n Pay brand led to the disappearance of the apostrophe which appeared before the "n", which led to uproar among those working for the preservation of the apostrophe.

Store types[edit]

  • Pick n Pay Hypermarkets (owned: 20 stores)
  • Pick n Pay Supermarkets (owned: 237 stores)
  • Pick n Pay Family (franchise: 2 stores)
  • Pick n Pay Liquor (owned: 214 stores; franchise: 181 stores)
  • Pick n Pay Local (owned: 31 stores)
  • Pick n Pay Clothing (owned: 156 stores; franchise: 17 stores)
  • Pick n Pay Express (franchise: 111 stores)
  • Pick n Pay Pharmacy stand-alone(owned: 3 stores)
  • Pick n Pay Mini-markets and Daily (franchise: 20 stores)
  • Pick n Pay Spaza (franchise: 6 stores)
  • Boxer formats (owned: 229 stores)

Australia[edit]

In 1984 a Pick n Pay Hypermarket was opened in Aspley, Queensland, and in Sunnybank Hills, Queensland, Australia in 1994. It was bought by Coles Myer in the 1990s.

When the Aspley store opened, they invited all mothers who had given birth on the store's grand opening date of 7 November 1984 to bring their newborn children each year for a birthday party. These birthday parties lasted until the mid 1990s when the store was bought out.

On 1 July 2010, it was announced that all 85 stores Franklins had been sold to Metcash for A$215 million, to become part of the IGA chain. The stores will be sold individually to independent retailers.[3] Franklins' last store was located at Westfield Miranda, this being the final Franklins in Australia closed in April 2015.

References[edit]

  1. ^ Pick n Pay website, About Us
  2. ^ a b c d e f g h "Annual Report 2018" (PDF). Pick n Pay. Retrieved 2019-05-18.
  3. ^ Marrs, Dave (2010-03-11). "South Africa: Ackerman Retires But Keeps Hand in". Business Day (Johannesburg). Retrieved 2017-08-30.
  4. ^ Pick n Pay to Slash Jobs as Profit Drops

External links[edit]