Pick n Pay rebrandsto Model – again

The Ohlthaver & List (O&L) Group will be replacing Pick n Pay Namibia with the Model brand from 1 July.

This comes as O&L terminates its franchise agreement with Pick n Pay (PnP) South Africa, which operates Pick n Pay Namibia, from 30 June after 27 years of operation.

O&L previously had shops under the name ‘Model Supermarket’ before this franchise.

“Model will officially replace Pick n Pay Namibia, setting the stage for a bold and inspiring shopping experience,” reads a statement the company issued yesterday.

Speaking during the launch yesterday, O&L executive chairman Sven Thieme said the company is going back to its old operating name, but with a fresh shopping experience.

“The O&L Group’s retail journey began with Model in 1965, and now, 60 years later, we return to these roots with renewed passion and purpose.

“This transition is more than a name change; it is a bold evolution that will redefine how Namibians shop,” he said.

Model will officially launch across the country on 1 July.

“The transition is already in motion, with a phased refurbishment approach that will gradually bring the full Model experience to life,” he said.

Managing director of Model Graeme Mouton said the company will introduce a shopping experience tailored to the Namibian market.

“Customers can look forward to a new benchmark in grocery retail that is designed around their needs – one that is inspiring, seamless and uniquely Namibian,” he said.

Mouton said Model will introduce a fresh and dynamic approach to retail, with hand-picked quality products.

‘UNIQUELY NAMIBIAN’

“Model is not only a store; it is a movement. It stands for authenticity, care and passion – the core characteristics of our O&L persona.

“As we take full ownership of our retail future, we invite all Namibians to join us on this exciting journey,” he said.

The O&L Group, through WUM Properties, trading as Pick n Pay Namibia, owns and operates 19 Pick n Pay branded retail stores in Namibia under a franchise agreement with PnP South Africa.

Last year Thieme said one of the reasons the company decided to end the franchise was because it was making a loss, making it unsustainable in the long run.

Thieme said the new business model has to be in place to guarantee employees’ future.

“We’re taking the business back to us completely so that we have a sustainable business model, because I can guarantee you when we have the new business model in place, the future of the employees are guaranteed,” he said at the time.

Earlier this year, CNBC Africa reported that Pick n Pay expects to report a full-year loss as South Africa’s third-biggest grocer, taking a R2.8 billion impairment (write-off) on unprofitable stores.

According to the report, about R1.8 billion of the impairment is for loss-making company-owned stores that will be closed or converted to either franchises or Boxer outlets, while the rest relates to a reduction in the value of assets of underperforming stores that will remain open.

According to CNBC, the higher debt-service costs and an increase in diesel expenses to run generators to keep operations going during South Africa’s power blackouts contributed to the loss.