S&V Weekly Newsletter Vol.10 No.15, April 8 2024

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Trading conditions – agents’ perspectives

Ed Althorpe, Edward Althorpe Agencies
East London, E. Cape, SA – Most of my customers reported good to very good December and January trading, some up by 30% on the previous year. By contrast, February was disappointing for most.
The ranges I had to take out onto the road in March I found very slow, as some of them arrived late and were for winter sales.
My summer sales, which I have just started, are going pretty well.
      I haven’t found much difference between the reports of town and country retailers.
      We’ve lost a few customers who have closed, and we have had to close a few accounts of slow payers. Overall, though, trade is relatively satisfactory.

Bernard Coe, BC Creations
Cape Town, W. Cape, SA – The country is in a state of transition, waiting for the elections, and business in the last period has slowed tremendously. However, we all have to carry on with our lives and businesses.
      In my view, as someone who has been in the industry for a long time, local manufacturers have to work more closely with independent retailers, because they can’t depend on the chains.
      Many manufacturers treat independent retailers unfairly in terms of deliveries and paying attention to their needs. Both sides need to find ways to work together in terms of flexibility and shifting away from the negative, finding business models which suit both. I hardly ever see encouragement in this newsletter. At the moment, manufacturers and independent retailers shrink more every year.
In other markets that I’m aware of, in Europe and Australia, the chains don’t dictate to the industry they way they do here, and they’re killing the trade. They don’t love this business. They don’t sell shoes, they sell price points.
      All these committees and plans come up with nothing. It’s up to individual businesses to help. There are still factories and independent retailers that do well, and they do so by not following the same model that everyone else does. The philosophy of the industry has to change.

Closure

Ladybrand, Free State, SA – Family footwear shop Goosie’s closed on 29 February following the retirement of owner Maria Craveiro.

Moody’s gives Pepkor stable rating ‘despite environment and concentration of stores in SA’

Cape Town, W. Cape, SA (02 April 2024) – Pepkor Holdings Ltd has advised that ratings agency Moody's Investors Service on 28 March 2024 concluded a review on Pepkor's credit opinion: “Pepkor's Corporate Family Rating of Ba2 and National Scale Long Term Rating of Aa1.za with a stable outlook remain unchanged. In their credit opinion, Moody's highlights Pepkor's strong position in the budget-conscious consumer clothing segment, its resilient business profile through the cycle and good liquidity as credit strengths. Credit challenges include the difficult operating environment and concentration of stores in South Africa.

Training courses

06-10 May 2024: Arsutoria Footwear and Leather One-Week Workshop, Season 2025/26. Venue: Coastlands Umhlanga, KZN, SA. Application deadline: 17 April 2024. Applications to priya.eep@saflec.co.za
13 May 2024: Arsutoria Handbag and Leather Goods One-Day Workshop, Season 2025/26. Venue: Invest SA One Stop Shop, Cape Town, W. Cape, SA. Application deadline: 17 April 2024. Applications to priya.eep@saflec.co.za

They Said It

"The cost of membership of Sedex is not the problem. The problem is the ethical audits that they want.
1. Canteen facilities.
2. Environmental impact assessment.
3. Training records for workers.
4. Noise level controls.
The list goes on and on. All these cost a heck of a lot of money to implement. In the meantime, chains buy in China, no questions asked." - A local manufacturer, speaking on condition of anonymity, on what he says is the insistence by some chains that their local suppliers join Sustainable Supply Chain Solutions (Sedex), which monitors the ethical and environmental performance of suppliers.

Got anything you'd like to share?

Do you have any suggestions, comments or experiences about the industry that you'd like to share with the industry? - tony@svmag.co.za

New subscribers last week

Laverne, Footwear Product Developer, Medicus Shoes, South Africa
Mandla Linda, Manager, Government, Northriding, South Africa

Birthdays this week

08/04/1946: Colin Pedlar, retired to Cape Town, W. Cape, SA, formerly Reflex Footwear, Maputsoe, Lesotho.
08/04/1965: Gregg Ripley-Evans, John Whittle Components, Pinetown, KZN, SA.
09/04/1970: Rob McCann, Treadsafe, Pinetown, KZN, SA.
09/04/1970: Marely Koen, Vellie Boutique, Boksburg, Gauteng, SA.
09/04/1976: Carlo Grillenzoni, former footwear commission agent, joined the firearms industry in 2022, Cape Town, W. Cape, SA.
10/04/1948: Gert Muller, Sonop, Bethlehem, Free State, SA.
10/04/1958: Ismail Shah, Evoné, Pietermaritzburg, KZN, SA.
11/04/1952: Nigel Dowden, retired, formerly Component Wholesalers (closed), Durban, KZN, SA.
11/04/1976: Janine Govender, Nikkita Footwear, Durban, KZN, SA.
11/04/1997: Roberta Johnson, Chillisource, Durban, KZN, SA.
12/04/1922: Harry Hoyte, retired, formerly Hoyte Shoes/agent, Durban, KZN, SA.
12/04/1968: Kobie Koen, Vellie Boutique, Boksburg, Gauteng, SA.
13/04/1970: Jason Wilkins, agent/retailer, Johannesburg, Gauteng, SA.
13/04/1973: Pieter Mulder, Julian Thom Outfitters & Sport cc, Phalaborwa, Limpopo, SA.
13/04/1976: Gareth Kemp, Apollo Brands, Cape Town, W. Cape, SA.
14/04/1946: Pierre Lailvaux, formerly Service Agencies [closed], Durban, KZN, SA.
14/04/1955: Bharatlal Ranchod, Ramjee's Shoe Store, Klerksdorp, NW Province, SA.

In memoriam this week

08/04/2011: Jack Katz, Treets Footwear [closed], Johannesburg, Gauteng, SA.
09/04/2021: Brian Wallis (b. 16/10/1945), Newtech [closed], Shoetech and Safety-Boyz, Durban, KZN, SA.
10/04/2021: Colin Gerrans (b. 05/03/1937), Silverton Tannery, Hanni & Sons, Seton AutoLeather, Nigel, Gauteng, SA.
12/04/2023: Adrian McElhinney (b. 03/04/1944), retired, Cape Town, W. Cape, SA. Formerly Edworks [closed], Millana Shoes [closed], Woolworths and Universal Footwear [closed].
13/04/2014: Theuns JK Viljoen (b. 25/12/1942), Divac [closed], George, W. Cape, SA.
13/04/2022: Walter Kurth (b. 11/05/1951), retired, formerly Corbeau, Cape Town, W Cape, SA.
14/04/2015: Neville Horwitz (b. 25/11/1932), agent, Johannesburg, Gauteng, SA.

Have you let us know about your birthday, or the birthdays of your colleagues? Our readers love this section, so please become part of it. This also applies to the In Memoriam section. Help us remember former colleagues.

Directory entries updated this week

At Work Corporate & Leisurewear cc, Rawsonville, W. Cape, SA.
Loroban Fashion Distributors (Pty) Ltd, Johannesburg, Gauteng, SA.

3. Malawian Kwacha (MWK)

Source: https://www.rbm.mw/

4. Zambian Kwacha (ZMW)

Source: https://www.boz.zm/

5. Zimbabwean Dollar (ZWL$)

Source: Source: https://www.rbz.co.zw/

Note: For previous rates, see HERE

ABSA Agri Trends: Hides & skins prices

Johannesburg, Gauteng, SA (05 April 2024) - The average hide price remained unchanged at R3.47/kg from a week ago. The current price is 5.7% higher than the average price a month ago and 1.5% higher than the average price a year ago. The range of prices reported was as follows: Minimum price: R3.15 Maximum price: R3.50. Please note: Our methodology weighs the prices we collect according to the number of hides they sell in a month. This is done to make it more representative of the prevailing market price. NB* Hide prices are determined by the average of the RMAA (Red Meat Abattoir Association) and independent companies. - Marlene Louw, senior agricultural economist, and Nkhensani Mashimbyi, agricultural economist, and Zama Sangweni, agricultural economist, Absa group.

Note: For previous prices, see HERE

Have a look at these links

We invite businesses to send us links to websites, Facebook pages and the like which they feel would be of interest to others. The links below are from our database:

Students Schoolwear & Sports, Randpark, Gautemg, SA. Schoolwear retailer.
Studio 8 cc, Cape Town, W. Cape, SA. Women’s clothing and footwear.

Contact us

News & Classifieds: Tony Dickson, +27 (0)31 209 7505, tony@svmag.co.za

Next newsletter: April 15, 2024. Ad and editorial deadline Friday 12 April.

SAFLIA enquiries: Tel 0800SAFLIA * Email info@saflia.co.za * Website http://www.saflia.co.za

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