CHRIS GILMOUR: Tiger needs to sink its claws into house brands
Distributor owned brands are the future of retailing, especially in SA where commodity-type, low-margin food dominates
Tiger Brands that has been around for more than a century. The past few have been punctuated by scandal, product recalls and the deadly listeriosis outbreak. That the iconic brand has been able to absorb those negatives and still come out looking reasonably good is a mark of its resilience.
Being a food producer in SA, where demand is predominantly for commodity-type, low-margin food isn’t not easy, yet Tiger has managed to harness efficiency and innovation in sustaining its profit margins. Costs have soared — notably diesel used in generators when load-shedding affects the group’s manufacturing facilities...
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