Pick n Pay Leverages Tech in Retail Battle with Shoprite and Sixty60

Pick n Pay is investing heavily in tech to stay competitive in South Africa’s fast-growing on-demand grocery delivery market. After a tough few years, the retailer is seeing a revival, thanks to strategic moves by former CEO Sean Summers, who returned to lead the company in 2023.

A New Era of Tech and Retail

Pick n Pay’s turnaround efforts are driven by its increasing use of technology. Despite facing stiff competition from Shoprite’s Sixty60, the company is making progress. Recent reports show a 3.6% increase in sales in Pick n Pay’s core South African supermarkets for the 17 weeks leading up to June 29, 2025.

The retailer’s e-commerce push is highlighted by its strategic acquisition of the Bottles app in 2020. This purchase set the foundation for the ASAP! app, which has since been revamped to include features like Smart Shopper loyalty integration and a broader product range. The app now provides a more unified experience for shoppers, helping them earn points and access exclusive deals.

Behind the Scenes of Pick n Pay’s Tech Overhaul

While customer-facing features like the ASAP! app’s updated design grab attention, much of the real work is happening behind the scenes. Pick n Pay’s tech ecosystem is built on Amazon Web Services (AWS) cloud infrastructure, which powers everything from order picking apps to driver apps and marketing tools. This backend work is crucial to ensuring a smooth experience for both customers and staff.

The e-commerce infrastructure also integrates SAP, a powerful system that allows Pick n Pay to check stock levels and update customers in real-time about availability. These integrations ensure an efficient shopping experience, both online and in-store.

AI and Personalisation at the Forefront

Pick n Pay is also tapping into artificial intelligence (AI) to enhance its operations. The company’s use of AI dates back to 2021 when developers first began incorporating it into their code development. Today, AI helps refine the app’s search functionality and powers personalised product recommendations. This strategy aims to provide shoppers with a hyper-personalised experience, anticipating their needs and delivering tailored suggestions.

Looking ahead, improvements in AI and computer vision will likely make home shopping even more seamless. The next step in online retail may include systems that automatically reorder common household items like milk and cleaning supplies, making shopping even more convenient for customers.

In Store Experience Evolving with Tech

Despite the rapid rise of online shopping, Pick n Pay believes in the continued importance of physical stores. While e-commerce is expected to capture a growing share of the market, in-store shopping will still make up around 50% of sales in the coming years.

This shift will likely lead to an evolution in store layouts and customer experiences. For example, Pick n Pay is looking to enhance its in-store bakeries and butcheries, bringing a more personalised experience akin to what customers might expect from independent businesses. These changes reflect the company’s belief that online and offline shopping can coexist and evolve together.

As Pick n Pay continues to roll out these tech-driven initiatives, it’s clear that the retailer is focused on providing a seamless, efficient, and personalised shopping experience, both online and in-store. With this approach, the company aims to maintain its competitive edge and capture more of the growing online grocery delivery market.

Source: Tech Central 

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