Dis-Chem looks to Disney to boost custom
But its distribution business was a drag on operating margins
Pharmacy retailer Dis-Chem is focusing on rewards programmes to retain and grow its customer base as spending remains under pressure in a weak economy. Dis-Chem, which listed on the JSE in 2016 with 101 stores, has grown aggressively since then. It has 136 stores and will increase its footprint to 151 by the end of February 2019. Dis-Chem CEO Ivan Saltzman said despite constrained consumer spending, "we believe that Dis-Chem is well positioned in terms of pricing . and selection, to withstand the weak economic environment". Wayne McCurrie from FNB Wealth and Investments said the retailer had focused on rolling out stores in areas where it did not have representation, but this would soon come to an end as the market becomes saturated. Dis-Chem's differentiator and advantage was its "extremely" loyal customer base, he said. Dis-Chem's Loyalty Benefits Programme, which enables customers to earn points with each purchase, has 4.3-million members. Dis-Chem CFO Rui Morais said members of ...
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