Pick n Pay’s home business is doing away with countrywide big-ticket appliance deliveries in a strategic reset for the group.
The company recently told its customers that it would scale back its home delivery service in its home unit, limiting operations to within a 50km radius of just four hypermarket stores in Gauteng, KwaZulu-Natal and the Western Cape.
The move does not affect its grocery business, under the company’s asap! app, which competes with the rest of the players in the industry.
The group said the decision would allow it to “improve delivery speed and reliability” in core areas.
Pick n Pay, in a note to clients, said it would deliver only to areas within a 50km radius of its hypermarket stores in Brackenfell, Faerie Glen, Durban North and Woodmead.
“This means that nationwide delivery will no longer be available, and we may no longer be able to deliver to your area,” the note reads.
“We understand that this may be disappointing and we truly value your support. This change allows us to improve delivery speed and reliability in the areas we do serve, and we plan to expand our reach again in the future.”
The company recently confirmed that it is rethinking its omnichannel offering with a major announcement scheduled for May.
However, the timing of this raises questions about Pick n Pay’s ability to compete in an industry in which online convenience is no longer a luxury, but an expectation.
Since 2019, Shoprite’s Checkers Sixty60 platform has transformed consumer habits and reset industry benchmarks for service and speed.
Sixty60 has expanded to more than 600 locations nationally and accumulated more than 5.2-million app downloads.
The group recently announced it would extend its Sixty60 services to select Shoprite stores. It said the Sixty60 delivery service would expand to 19 stores across eight provinces after a successful pilot in Gauteng and the Western Cape.
In the six months ended December 2024, Shoprite reported a 9.6% increase in total merchandise sales to R128.6bn, with Sixty60’s growth at 47%.
Beyond groceries, Shoprite has aggressively expanded into new categories such as clothing, general merchandise and pet care, demonstrating the scalability of its digital platforms.
Woolworths reported a 37.2% increase in online grocery sales over the past year.
Investments into data-driven personalisation, loyalty programmes and specialist platforms such as Woolies Dash and Shop the Edit have strengthened its omnichannel ecosystem.
Pick n Pay reported a 74.4% increase in online sales in 2024, driven by a strong performance from its asap! and Takealot’s Mr D, a partnership launched in 2022. On-demand sales grew by 102.3%. The contribution of the home division to the online sales is clear.
The asap! app, relaunched in October 2023 with improved functionality and AI-powered search, offers more than 28,000 products from more than 500 stores, including liquor outlets.
The stakes are high because online grocery shopping is no longer niche in SA. Originally driven by upper-income consumers, the online market is expanding rapidly into middle- and lower-income groups, thanks to aggressive pricing strategies, promotional campaigns and expanding accessibility across platforms.
As the battle for a better share of the burgeoning market intensifies, retailers are experimenting with solutions such as designated pickup points to reduce delivery costs.
Correction: May 5 2025
An earlier version of the story gave the impression that Pick n Pay’s grocery/food business has been affected by the announcement to end nationwide deliveries. This is incorrect as the decision is isolated to its home business. We regret the error and apologise for any inconvenience caused.
Comments from independent retail expert Lwazi Nxumalo have also been removed as they related to the inaccuracy.
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