Pick n Pay Investing in Technology to Drive Market Share Growth
Pick n Pay is strategically investing in technology to regain market share, especially in the on-demand grocery delivery market, where it competes with Shoprite Group’s Sixty60 and other retailers.
In its efforts to turn around its performance, Pick n Pay faced significant losses amounting to R3.2 billion in the year 2023. To lead the turnaround initiative, former CEO Sean Summers returned to the helm in September 2007.
Recent reports indicate a positive trajectory for Pick n Pay with a 3.6% year-on-year sales increase in its core South African supermarkets for the 17-week period ending on June 29, 2025. Collaborating with First National Bank’s eBucks rewards program has been part of the turnaround strategy.
Sixty60 gained an advantage during the Covid-19 lockdowns by tapping into the surge of e-commerce activities. Pick n Pay acquired the alcohol delivery app Bottles in October 2020, which forms the foundation for its online platform, asap!.
Despite ongoing competition from Sixty60, Pick n Pay is implementing strategic measures to catch up. Enrico Ferigolli, head of online operations at Pick n Pay, highlighted recent changes in customer-facing applications, indicating a unified customer experience.
Revamping Technology
In May, Pick n Pay introduced a revamped asap! app with enhanced features and expanded product offerings to its customers. The enhancements also extended to the Pick n Pay website, beginning rollout in June.
Although frontend updates are noticeable, Ferigolli emphasized the significant backend work involved in harnessing technology effectively. Amazon Web Services cloud infrastructure forms the backbone of Pick n Pay’s application ecosystem.
The integration of SAP in parts of Pick n Pay’s e-commerce infrastructure has improved stock management, enhancing the shopping experience for customers. The use of AI in supply chain forecasting and personalized product recommendations showcases Pick n Pay’s commitment to technological advancement.
Future of Shopping
Ferigolli envisions a future where online and in-store shopping experiences complement each other. He predicts that in-store shopping will maintain a significant market share, prompting large retailers to focus on experiential store layouts and designs to enhance customer engagement.
These changes aim to evolve the shopping experience, blending online convenience with in-store personalized services, creating a seamless customer journey.
