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Our strategy

To become the healthiest and strongest retailer in Africa with the best long-term prospects
STABILISE
Through strong execution of our Turnaround plan
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FOCUS
Divest non-core assets to drive sustainable profitable growth
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INVEST
Accelerated growth in e-commerce, key categories and geographies
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Our Turnaround efforts are stabilising the business and driving renewed financial health, as reflected in our performance

Group operating model
We have established a customer centric efficient operating model with centralised support functions
Portfolio optimisation
We are repositioning our portfolio for growth through continued portfolio optimisation

Game reset
To return to profitability we have:

  • Strengthened margin performance
  • Elevated customer experience
  • Improved cost management

Wholesale integration Integrating
Wholesale assets into a wholesale and B2B powerhouse
Supply chain optimisation
Delivering an integrated supply chain for reliable, cost-effective on-shelf availability taking advantage of procurement scale
Cost reset
We have revised our cost base at all levels through our Smart Spend programme

In 2021 we will harvest maximum value from our Turnaround initiatives:

Group operating model
Implementation of two business units supported by Centres of Excellence completed by Q1
Portfolio optimisation
Complete divestiture of non-core/non strategic store assets
Game reset
Roll out Game store Re-imagined Accelerate and complete roll out of successful apparel introduction

Wholesale integration
Unify IT systems and enhance our e-commerce offering Pilot standalone Powered by Makro liquor store format
Supply chain optimisation
Go live with two state of the art DCs Achieve a ‘one best way’ approach leveraging Walmart supply chain expertise Centralise volume through our DC network to >40%
Cost reset
Contain expense growth below sales growth through execution against our R1.9 billion expense reduction ambition

Beyond 2021 – Shifting to refining our portfolio focus further and growing the business

Invest
Accelerated growth in e-commerce, key categories and geographies Our future strategic positioning Massmart will become a stronger business that leverage core strengths

 

2020
2021 AND BEYOND Ensuring we are relevant in the future