The company said its reset strategy is anchored on strengthening local supply chains and reducing reliance on imports.
Operators of Shoprite in Nigeria, the Retail Supermarkets Nigeria Limited (RSNL) has clarified rumours it is exiting Nigeria.
Debunking the news, Shoprite reaffirmed its commitment to remain in the country.
In a statement released on Friday, the company explained that it is undergoing a comprehensive “business model reset” to adapt to Nigeria’s current economic realities.
“The former business model, inherited after the company’s acquisition, heavily relied on large store formats, imports, and high overheads. This model is no longer viable in the face of Nigeria’s current economic climate, which includes exchange rate volatility, rising inflation, and constrained liquidity,” the statement read.
The company said its reset strategy is anchored on strengthening local supply chains and reducing reliance on imports, adding that 80 per cent of its products are now sourced within Nigeria.
“This reset is built on several key pillars: local supply chains, with over 80% of products now sourced in Nigeria,” it stated.
It further explained that the changes are expected to stabilise operations and reposition the brand for long-term growth.
Chief Strategy Officer of RSNL, Bunmi Adeleye, stressed that the company was in a rebuilding phase with the support of new investors.
“Yes, it has been a tough period, but this is not a collapse; it is a reset. The old model did not work for Nigeria. With new investors behind us, we are rebuilding Shoprite to be more local, culturally relevant, more affordable, and more resilient.
“We are coming back bigger and stronger to serve Nigerian customers better than ever before,” she said.