South Africans Say Goodbye to Pick n Pay as Store Closures Continue

Shoppers across South Africa are bidding farewell to their local Pick n Pay stores as the retailer aggressively shuts down underperforming locations. With 32 supermarket closures in just 45 weeks, including both company-owned and franchise stores, Pick n Pay’s presence is shrinking in the retail landscape.

This move is part of CEO Sean Summers’ turnaround strategy, which aims to cut losses, improve profitability, and refocus the brand’s position in the market.

Why is Pick n Pay Closing Stores?

In early 2024, Pick n Pay announced a massive restructuring plan to close or convert 112 stores nationwide. Summers explained that many stores had become financially unviable due to demographic changes, poor locations, and increased competition.

His plan includes:
Closing 35 underperforming stores permanently.
Converting 70 stores into Boxer outlets to better serve lower-income shoppers.
Strengthening existing Pick n Pay stores to improve profitability.

“We will close and get rid of the stores that have no future,” Summers stated.

Pick n Pay’s Declining Sales and Market Performance

The latest trading update for the 45 weeks ending 5 January 2025 revealed a 0.1% decline in sales, despite an internal selling price inflation of 2.4%. If store closures are excluded, Pick n Pay’s like-for-like sales increased by 1.9%, but still fell short of inflation.

However, Summers remains optimistic, citing a 3.0% improvement in sales momentum in the final 19 weeks of the period, indicating that the restructuring plan is starting to take effect.

Shoprite and Checkers Taking Over Pick n Pay Spaces

As Pick n Pay exits shopping centers, rival retailers Shoprite and Checkers are rapidly filling the gaps.

For example:

• The Pick n Pay in Montana Crossing will be replaced by a Checkers Emporium in Q3 2025.
• The Pick n Pay QualiSave in Springfield Value Centre will become a Shoprite store in Q2 2025.

This shift underscores Shoprite’s dominance in the market, as it continues to expand aggressively while Pick n Pay retreats.

The QualiSave Blunder: A Costly Mistake

Summers has openly admitted that the Pick n Pay QualiSave concept was a failed experiment. Launched in 2022, the idea was to rebrand 40% of Pick n Pay supermarkets under the QualiSave banner to compete in lower-income areas.

However, Summers called it “absolutely nuts”, saying it alienated customers and confused the market. As a result, the company has started:
Reverting QualiSave stores back to Pick n Pay.
Rebranding other QualiSave stores into Boxer outlets.

“People were highly offended, and I don’t blame them. They want their Pick n Pay,” Summers admitted.

What’s Next for Pick n Pay?

Despite the struggles, Summers believes that refocusing on two strong retail brands—Pick n Pay and Boxer—will ensure long-term stability.

The coming months will reveal whether Pick n Pay’s streamlined strategy can help it regain market strength—or whether Shoprite and Checkers will continue to dominate South Africa’s retail sector.

What do you think about Pick n Pay’s store closures?

Pick n Pay Closes 32 Stores in South Africa Amid Turnaround Strategy

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