Momentum builds for Pick n Pay’s own label
The retailer has set its sights on 30% own-product penetration as it builds a supplier base
Pick n Pay wants almost a third of its in-store products to be its own brands within a few years, says CEO Richard Brasher. The retailer, the shares of which surged 8.9% on Thursday after it said festive season sales rose more than its peers, plans to lift “own brand participation” from 19% to 30% in coming years. Brasher said Pick n Pay was building its supplier base for its own brands, “and I think customers like our brand so I feel like we’ve got momentum”. “The restriction is not ambition and I feel like over the next 18 months to two years we should see some real momentum building in this area.” Pick n Pay would look to replace weaker brands in its stores with its own, he said. The group said it had “an exceptional fourth quarter”, with the South African business growing sales by 8%, “well ahead of the market”. Brasher said this was thanks to better productivity after Pick n Pay spent R250m on voluntary severance packages. It also benefited from having 124 net new stores, refur...
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