
Launching a new product during a recession can pay off, study shows
Researchers find fewer competitors and lower manufacturing and marketing costs contribute to product-launch successes during a recession.
RETAIL STRATEGY
By our African Marketing Confederation News Team | 2025
But SA-based company wants to sell more of its loss-making overseas retail businesses in Switzerland and the United Kingdom.
The South African-based Spar retail and supermarket group plans to further boost its Southern African operations, while at the same time getting rid of more of its loss-making European business operations.
Photo: Spar Group
It sold its Spar Poland business in January this year and is now hoping to find buyers for its Swiss and UK operations. The group also trades in Ireland, but has not made any announcements regarding its Irish business.
“A shift in Swiss consumer behaviour, including rising prices and increased cross-border shopping, has impacted Spar’s market share,” reports the UK-based publication Grocery Gazette.
“In parallel, the group is said to also be exclusive talks to sell its UK business, Appleby Westward Group (AWG), to an unnamed, UK-based buyer with strong regional experience in the South West. AWG, which services Spar stores in South West England, contributes £250-million (US$339-million) to the group’s turnover.”
Enhance retail segments and leverage partnerships
Meanwhile, the group’s financial results for the six months ended 28 March 2025, which were released this week, show plans to grow in Southern Africa by enhancing its retail segments, leveraging partnerships with food delivery service Uber Eats and coffee shop franchise Vida e Caffè, and increasing private label product penetration.
It is also continuing to roll out Spar2U and Build It 2U, on-demand online retail platforms that support home delivery of Spar’s groceries and other items, and Built It’s building materials and hardware. Build It is a division of Spar Group and has around 400 outlets.
More recently, the company launched Spar Health to promote pharmacy, health and lifestyle solutions to customers. According to the newly released financial results, the aim is to double the pharmacy network by 2028.
A report by news agency Reuters says the group “is looking to broaden its produce range, expand its on-demand delivery service and sell more own-brand goods after first-half results showed flat revenue and a small decline in earnings”.
Researchers find fewer competitors and lower manufacturing and marketing costs contribute to product-launch successes during a recession.
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Dr. Kin Kariisa is an extraordinary force at the helm of Next Media Services, a conglomerate encompassing NBS TV, Nile Post, Sanyuka TV, Next Radio, Salam TV, Next Communication, Next Productions, and an array of other influential enterprises. His dynamic role as Chief Executive Officer exemplifies his unwavering commitment to shaping media, business, and community landscapes.
With an esteemed academic journey, Dr. Kariisa’s accolades include an Honorary PhD in exemplary community service from the United Graduate College inTexas, an MBA from United States International University in Nairobi, Kenya, a Master’s degree in Computer Engineering from Huazong University in China, and a Bachelor’s degree in Statistics from Makerere University.
Dr. Kariisa pursued PhD research in Computer Security and Identity Management at Security of Systems Group, Radboud University in Nijmegen, Netherlands. As a dynamic educator, he has shared his expertise as a lecturer of e-Government and Information Security at both Makerere University and Radboud University.
Dr Kin did his PhD research in Computer Security and Identity Management at Security of Systems Group, Radbond University in Nigmegen, Netherlands. He previously served as a lecturer of e-Government and Information Security at Makerere University in Kampala, Uganda and Radbond University in Netherlands.
Dr Kin did his postgraduate courses in Strategic Business Management, Strategic Leadership Communication and Strategies for Leading Successful Change Initiatives at Harvard University, Boston USA.