South African grocer and retailer Pick ‘n Pay is to spend R110-million to change its brand identity and introduce and repackage most of its product lines, it said on Monday.
However, the name “Pick ‘n Pay” will remain unchanged.
The company cost will be settled via combination of new investment and allocated refurbishment cost. Expenditure will be over two financial years.
The first 30 corporate stores — all flagship or high-volume stores — and 25 franchise stores will be transformed with the new visual identity before February next year, with all stores set to be completed during 2009.
Pick ‘n Pay will also increase its spend on electronic media in a bid to increase and consolidate its reach, and will change the way in which it communicates to consumers to increase and entrench differentiation.
The company will launch a new customer magazine, Fresh Living, designed to talk directly to a broad cross-section of its customers.
In a move designed to strengthen its position in the LSM 8-to-10 market, the company will also launch more than 450 new and repackaged lines in its “Fresh” range. These include more than 300 ready-to-eat (convenience) meals, more than 80 fresh produce lines and more than 50 new meat products. This will be followed by a range of more than 50 new organic offerings.
All these products will be phased into stores over the next six weeks.
South Africa’s biggest private label, No Name, will also undergo brand enhancement but will retain its name.
“Pick ‘n Pay is entering an accelerated period of change and it’s a very exciting time for us. We have undertaken an extensive strategy realignment process over the past nine months, of which our brand was a key component. During this time, we have listened to nearly 4Â 000 customers in a large-scale research and consultation exercise,” said Pick ‘n Pay chief executive Nick Badminton. — I-Net Bridge