EDGARS CHARTS GROWTH PATH AS TURNAROUND DELIVERS RESULTS
- Edgars is shifting from optimisation to growth following a successful turnaround strategy.
- Approximately 50 new generation community-based stores are planned over the next 2 years.
- Retailability is expanding its portfolio through continued investment in Edgars Beauty, Edgars Connect and Kelso.
While much of the South African retail sector remains focused on consolidation and efficiency, Edgars is moving forward with purpose, precision and renewed confidence in the growth potential of one of the country’s most enduring retail brands.
Having spent the past three years rightsizing its store network and aligning its physical presence to the economic profile of the communities it serves, the 97-year-old retailer says its repositioning strategy is delivering results and creating a platform for future growth.
“Our recipe for success is straightforward but takes real discipline to execute,” says Norman Drieselmann, CEO of Retailability.
“We respect the 97-year heritage of this brand deeply, but we run the business like a start-up that is completely fixated on its customers. That combination is powerful and it is working.”
The retailer’s store network tells the story of a business in confident motion. Edgars currently operates more than 100 stores across South Africa and is preparing to roll out a further 50 new generation community-based stores over the next 2 years, with the first locations scheduled to open in July and August.
The performance of right-sized stores has exceeded expectations, delivering stronger productivity and larger basket sizes while creating a more agile platform for growth. Since launching the rightsizing programme, Edgars has returned more than 100,000m² of space to landlords. That process has allowed us to create better shopping environments for customers while improving the profitability and long-term sustainability of our stores.
Beyond its mainline stores, Retailability continues to invest in complementary growth opportunities. The standalone Edgars Beauty network currently operates 18 stores, with further expansion planned as the brand grows its presence in the Boland, including Paarl and Stellenbosch.
July will also see the launch of Edgars Connect, the brand’s first dedicated standalone cellular store, extending the retailer’s reach into a high-growth category.
Retailability’s portfolio also includes Kelso, a standalone ladies fashion brand targeting the mass middle market. Following encouraging results from its pilot phase, the brand recently opened its fourth store at Tygervalley as it continues to evaluate future growth opportunities.
Drieselmann is emphatic that Edgars’ expansion is not growth for growth’s sake.
“We made very deliberate decisions to ensure that every store is the right size for the market it serves. The work we have done over the past three years has paid off. While optimisation remains ongoing, we are now equally focused on growth. We are now able to bring Edgars fashion and beauty back to communities where the brand was previously unable to trade sustainably. What we are doing now is responsible, strategic rollout, where we know exactly where we are going and why.”
The fundamentals that have underpinned the brand for nearly a century remain non-negotiable, an unrelenting focus on customer value, the agility to respond quickly to market shifts and a genuine connection with the communities Edgars calls home.
“At 97 years old, this brand still has significant growth ahead of it,” says Drieselmann.
“We see real opportunity and we are going after it with both the respect this brand deserves and the hunger of a business that is just getting started.”
