Clicks, the health-and-beauty chain owned by the Rupert family, opened its first KwaMakhi store in Tembisa, Gauteng on 27 August 2026. The brand is positioned for high-density, lower-income neighbourhoods and is already followed by outlets in Khayelitsha and Cravenby, Western Cape.
The move matters to small retailers and suppliers who operate in township markets. A new, well-funded competitor can reshape product sourcing, pricing and foot traffic patterns. For entrepreneurs considering a shop in a similar area, Clicks’ entry signals both a risk of losing customers and a chance to partner with a larger chain on distribution.
Clicks’ decision comes at a time when the broader retail environment is tightening. Economists at Nedbank expect South Africa’s retail sales growth to fall from 1.6% year-on-year in June to about 1% in July. The bank said the slowdown reflects a modest increase in sales that is not enough to lift the figure far above last year’s relatively high base.
In plain terms, an interest rate is the cost of borrowing money. The South African Reserve Bank (SARB) raised its policy rate in July and is expected to add another 25 basis points, a basis point is one hundredth of a percentage point, either in September or November. Higher rates make credit more expensive for consumers and small businesses, which can curb discretionary spending.
Fuel prices have also risen sharply since April, adding pressure on household budgets. The combination of higher fuel costs and tighter credit is likely to make shoppers more selective, favouring essential items over non-essential purchases.
Clicks’ KwaMakhi stores are designed to meet that selectivity. The brand focuses on affordable health and personal-care products, with a limited range that matches the purchasing power of township residents. For local shop owners, the arrival of a large chain could mean tougher competition on price, but it may also open up new supply channels if Clicks sources from local distributors.
Anton Rupert, the son of billionaire Johann Rupert, is set to inherit the family’s R262 billion empire when his father steps down. While the inheritance itself does not directly affect the KwaMakhi launch, it underscores the financial muscle behind Clicks and its ability to invest in new formats.
For SMEs, the key question is how to respond. Some may choose to differentiate by offering specialised products or personalised service that a large chain cannot replicate. Others might explore partnership models, such as becoming a satellite supplier for Clicks’ township stores, which could provide a steady revenue stream.
Overall, the retail landscape is becoming more competitive at the lower end of the market. Entrepreneurs should watch the performance of the first KwaMakhi stores closely, as their success will indicate whether the model is scalable and whether there is room for smaller players to coexist.
Township retail has become a growing focus for major chains as saturation in traditional shopping centre formats has pushed retailers to look at lower income, higher density markets for growth, an area historically underserved by formal retail and served instead by spaza shops and informal traders. The Consumer Goods Council of South Africa’s own research carries further detail. For related coverage, see this site’s Retail and Consumer coverage.
Retailers moving into township markets have generally had to adapt more than just pricing, adjusting store sizes, product ranges and even trading hours to match how township consumers actually shop, which often differs from suburban shopping patterns built around once-a-week bulk buying.
Loyalty programmes and clinic services, both mainstays of Clicks’ existing suburban stores, are typically adapted rather than dropped entirely when a chain enters a new format, since they remain a way to build repeat custom even where average basket sizes are smaller.
