CASE STUDY

Shoprite Holdings Ltd: Africa's largest fast$-$moving consumer goods retail

company

Background

From the moment the Shoprite Group opened its very first stores in $1979,$ it had a

bold vision for the future; one that would see the Group grow from strength to

strength with new acquisitions and innovative expansion strategies, building it into

the leading food retailer it is today. Shoprite Holdings Limited is an investment

holding company whose combined subsidiaries constitute the largest fast$-$moving

consumer goods $($FMCG$)$ retail operation on the African continent. The Group

operates a total of $2301$ corporate $($owned$)$ and $388$ franchise stores and $19$ trusted

brands. It provides employment to $143802$ people across its operations in $15$

countries, from Cape Town to Accra and the Indian Ocean islands. While the

Group's primary business is food retailing, its offering extends to a broad range of

goods and services including household products, furniture, pharmaceuticals and

financial services, among others.

Shoprite's mission is to deliver low prices in a world$-$class shopping environment

to customers across the African continent. Shoprite brings choice, quality products

and job creation to communities in all the countries it serves. Its low$-$cost promise

has been the foundation of the business for close to $40$ years and it is relentless in

its efforts to keep the business efficient and prices low. Food represents a

significant portion of expenditure for households. Affordability is one of the key

internal metrics of success of the Shoprite Group and price leadership remains a

focus throughout the business.

The number of South Africans who choose to frequent Shoprite supermarkets is

the Group's greatest validation, but consumers have chosen the Shoprite chain in

other ways as well. Shoprite has won six national consumer brand awards in the

last year, which is viewed as substantiation of the fact that the Group is delivering

on its promise of lowest prices every day on the things customers need most.