SACSC congress sees retail development in Africa growing

'Shift - Adapt, Adjust, Advance' is this year's theme and 'continental shift' is a major element of this year's conference, looking at the vast and exciting potential for retail and business on the African continent.

African lion of retailing grows

"African retailing is really South African retailing, where almost all of the continent's bustling commerce activity takes place. Considering the lack of globalization, South African retail companies, particularly their food retailers, are large in comparison to other retailers around the world," notes the 2011 Global Powers of Retailing Deloitte Touche Tohmatsu and Stores Magazine report.

This 14th listing ranks 250 retailers from 32 different countries and, over the last year Shoprite Holdings moved from a global ranking of 130 into the 95th position. "Such upward movement on the global retailing stage is truly impressive," says the report.

Pick n Pay and Massmart Holdings experienced similar upward movement and two new South African companies broke onto the list in 2011 - Woolworths and Metcash Trading.

According to 'Lions on the Move - the Progress and Potential of African economies' research report, by McKinsey Global Institute and McKinsey and Company's Africa offices, "today, while Asia's tiger economies continue to expand rapidly, we foresee the potential rise of economic lions in Africa's future."

Mutsa Chironga, who led the project team for this research, will be addressing the Congress on the findings of this project, released last year, which anticipates that Africa's collective GDP in 2020 will be US $2.6 trillion, with US $1.4 trillion consumer spending in 2020 and 128 million African households having discretionary income. Retail is amongst consumer-facing industries which comprise one of four groups of industries in Africa that will make up this annual revenue by 2020.

It projects that 50% of Africans will be living in cities by 2030 and that the continent's top 18 cities could have a combined spending power of US $1.3 trillion by this time.

"Today the rate of return on foreign investment in Africa is higher than in any other developing region. African economies provide opportunities to create markets, establish brands, share industry structure, influence customer preferences and establish long-term relationships," according Lions on the Move.

More African perspectives

Global citizen, African specialist and research expert Tendai Mhiza believes opportunities abound across Africa. She will share her insights on possibilities that abound across the real Africa of today, which is bursting with potential and hope from a business perspective.

"An insightful view of the industry will be presented with a superb collection of top speakers, which will address the challenges, examples of success and themes that are responsive to industry needs and will ultimately empower better decision making, planning and vision for our retail industry," says SACSC congress chairman, Hildegarde Riphagen.

For more information, go to www.sacsc.co.za.