Our strategic priorities
The customer and retail landscapes in our target markets are evolving rapidly. In South Africa, most retailers have large market shares (more than 10%) but are facing a low-growth market which is causing increased category and format innovation but also price competition. Retailers are experiencing margin pressure as operating costs increase above selling prices. Retailers across the board are cutting costs to support price leadership, driven by new capabilities in digital and analytics.
Continued success in the current retail environment requires that Massmart: fully leverages Group scale and achieves market-leading efficiency in order to support potentially lower gross margins; innovates and expands into new value pools (whether retail formats, new market channels or product categories) to capture market share and create growth opportunities; builds distinctive, new capabilities in digital and analytics to allow better commercial and operational efficiency and becomes increasingly customer centric; and leverages its knowledge of consumers to build a distinctive customer value proposition.
Improve and grow our core business
To drive the growth and profitability of the core South African business over the medium term
Growth into selected sub-Saharan African countries through opening Builders Warehouse, Game and Masscash stores
To expand, improve and refine our online/omnichannel offering in Game, DionWired, Makro and Massbuild