The Ohlthaver & List Group is rebranding Pick n Pay Namibia to the Model brand as of July 1, ending a 27-year franchise with Pick n Pay South Africa. This transition aims to enhance the shopping experience for Namibians and reflects a return to the company’s original operating name. The changes are a response to previous financial losses and aim to incorporate a sustainable business model that prioritizes local needs.
The Ohlthaver & List (O&L) Group will transition from the Pick n Pay brand to the Model brand in Namibia effective July 1. This decision follows the termination of the franchise agreement with Pick n Pay South Africa after 27 years of operation. During the past, O&L operated with the name ‘Model Supermarket’ before entering the franchise.
The company stated, “Model will officially replace Pick n Pay Namibia, setting the stage for a bold and inspiring shopping experience.” O&L Executive Chairman Sven Thieme expressed that returning to the Model name signifies a renewed commitment to enhancing the shopping experience for Namibians. Since its inception in 1965, the company has aimed to evolve its retail offering.
On July 1, the Model brand will be officially launched throughout Namibia. Thieme noted that the transition involves a phased refurbishment approach to gradually realize the full Model experience for consumers.
Graeme Mouton, Managing Director of Model, indicated that the new shopping experience would cater specifically to the needs of the Namibian market, promising a fresh standard in grocery retail tailored to local customers.
Mouton emphasized, “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.” He invited Namibians to engage in the journey the company is undertaking.
The O&L Group owns and operates 19 Pick n Pay retail outlets in Namibia under a franchise agreement. The decision to end this agreement was influenced by previous losses that made operations unsustainable. Thieme had previously mentioned, “We’re taking the business back to us completely so that we have a sustainable business model.”
Recent reports have indicated that Pick n Pay South Africa anticipates a significant annual loss, attributed to impairments on underperforming stores and escalating operational costs amid power outages. Such challenges have put pressure on the entire grocery sector in South Africa, necessitating strategic changes for continued viability.
In conclusion, the transition from Pick n Pay to Model marks a significant shift for the Ohlthaver & List Group as it reclaims full ownership of its retail operations in Namibia. This change is grounded in an effort to create a sustainable business model that responds effectively to the needs of the Namibian market while promising an enhanced shopping experience. The commitment to authenticity and community engagement reflects O&L’s ongoing journey, rooted in its historical identity.
Original Source: www.namibian.com.na
