Along with the pandemic, the future of the consumer goods sector has arrived with a bang.
It took a pandemic, but consumers in South Africa have adopted online shopping – a change that is likely to be permanent.
“At the beginning of our last financial year, e-commerce was 1% of our turnover,” says Anthony Thunstrӧm, CEO at The Foschini Group (TFG). “By the end of the year, it was 2% – a 100% growth rate. We’re currently running at between 5% and 6%. It moved us forward by about three years.”
“I don’t see online sales going back,” says Bongiwe Ntuli, Chief Financial Officer at TFG. “I see it escalating further.”
Stores are ending up as showrooms
Despite the shift online, and the likely permanence of the trend, TFG still intends to expand the number of physical stores from which it operates.
TFG has thousands …