Shoprite, South Africa’s largest supermarket chain, announced on Friday that it will expand its on-demand grocery app, Sixty60, to include general merchandise. This move aims to capture a larger share of the burgeoning e-commerce market, which has seen significant growth in South Africa post-pandemic.
The pandemic has acted as a catalyst for e-commerce in South Africa, pushing retailers to invest heavily in their online platforms. In response to this rising demand, Shoprite’s upmarket brand Checkers, which was the first grocery retailer in South Africa to launch an on-demand delivery service, is now enhancing its offering. The updated Sixty60 app will allow customers to purchase over 10,000 larger items, such as small appliances, kitchen and home electronics, camping and outdoor gear, and gardening equipment. Notably, the service will provide same-day delivery within a 60-minute time slot.
“We’re confident that the next iteration of Sixty60 will again disrupt online retail in South Africa,” said Neil Schreuder, Chief of Strategy and Innovation for the Shoprite Group. The company is currently beta testing the new app version and has introduced a fleet of delivery vans to accommodate the larger products, diverging from their usual motorbike deliveries for grocery items.
Initially available to shoppers in Cape Town, the enhanced app is set for a national rollout. This strategic expansion positions Checkers to compete directly with the country’s leading e-commerce player, Takealot.com, owned by Naspers (NPNJn.J), and Amazon, which recently launched in South Africa.
The introduction of general merchandise on Sixty60 marks a significant step for Shoprite as it seeks to leverage its existing customer base and logistical capabilities to penetrate deeper into the e-commerce sector. The competitive landscape includes prominent rivals like Pick n Pay (PIKJ.J), SPAR (SPPJ.J), and Woolworths (WHLJ.J), all of which have been expanding their online presence.
Shoprite’s expansion into general merchandise is likely to enhance customer loyalty and attract new users to the Sixty60 platform. The service’s convenience and extensive product range are designed to meet the evolving needs of South African shoppers, who are increasingly seeking versatile and efficient online shopping experiences.
As Shoprite rolls out the new version of Sixty60 across the country, it will be closely watched by both competitors and consumers. The success of this initiative could reshape the e-commerce landscape in South Africa, setting new standards for online retail in the region.
