Spar Group Limited · JSE:SPP
Spar — Investor Day (2025)
20 slides from Spar's investor day presentation, Mar 14, 2025
Slide 1: Competitive Positioning and Industry Consolidation Trends 2025
My SPAR, Our Tomorrow Competitive Positioning and Industry Consolidation Trends 2025 Thami Silwana - National Liquor Executive
Slide 2: Tops Overview
My SPAR, Our Tomorrow Tops Overview 2
Slide 3: Our History…
Our History… The Maverick brand that pioneered the modern liquor store! 3 SPAR Group CMD 2025
Slide 4: The history of TOPS
The history of TOPS THEN We identified a gap in the market… NOW • WeFemale identified a gap in the friendly market • Female Close friendly to current niche shopping • Close to current shopping Clean, bright and visibly safe stores • Clean, bright and visibly safe A cheeky sense of humour • Launched
Slide 5: TOPS continues to lead the market in footprint
TOPS continues to lead the market in footprint NUMBER OF OUTLETS - TOP 8 TOPS 874 #1 Shoprite Checkers 819 We have the PICK N PAY 483 largest ZA BLUE BOTTLE 396 footprint OVERLAND Group 317 LIQUOR CITY 288 Boxer 167 ULTRA LIQUORS 157 5 SPAR Group CMD 2025
Slide 6: Our Value Proposition for Retailers
Our Value Proposition for Retailers • A strong distribution network collective power of DCs nationally • Wholesale pricing for Independents • Entrepreneurial flexibility within a structured brand • All promotional activity driven by data and market trends 6 SPAR Group CMD 2025
Slide 7: Industry overview
My SPAR, Our Tomorrow Industry overview 7
Slide 8: Key industry trends
Key industry trends Industry Shifting consumer Growth in E-commerce Rise in illicit & Regulatory Consolidation preferences corporate-owned counterfeits environment liquor chains SAB Miller and AB Premium spirits, Challenging Increased demand Illicit & Counterfeit Considerations for InBev craft bever
Slide 9: Data Trends
Data Trends Post-COVID An extremely Economy wines, The big rand has seen bankers like Competitive Bag-In-Box major whisky are LADS* market consumption Sales mix growing and Muted Causing ahead of total purchasing Trending growing market gross profit changes towards ahead of total value! market Press
Slide 10: Shifting consumer preferences
Shifting consumer preferences Consumer Purchasing behaviour: 1. Price-Sensitive Consumer prices 20% higher now than in 2020 2. Seeking out more value for money, e.g. Beer Quarts, Bag-in-Box 3. Switching to more affordable options when necessary (e.g. Private Labels, Prop & Sub Proprietary) ✓ Showing
Slide 11: Becoming Responsible Agents
Becoming Responsible Agents ILLICIT/COUNTERFEIT DANGEROUS TO SOCIETY Homicides, Accounts for ALCOHOL ABUSE Road FISCUS IMPACT 14-22% of the Accidents, liquor market. 59% of drinkers Violent Crimes. Liquor 3% of in SA classified GDP, alcohol- as binge related harms drinkers. 12% of GDP WE CAN BECOME
Slide 12: We are committed to leading with responsibility
We are committed to leading with responsibility We run responsible marketing We don’t market to children, campaigns churches, schools etc. We belong to organizations We trade within the laws as such as DFSA and determined by the National AWARE.ORG Liquor Act (NLA) We don’t employ or Our advertising
Slide 13: Strategy Overview
My SPAR, Our Tomorrow Strategy Overview 13
Slide 14: The liquor retail environment has changed…
The liquor retail environment has changed… 14 SPAR Group CMD 2025
Slide 15: Who are we targeting?
Who are we targeting? 15 SPAR Group CMD 2025
Slide 16: Liquor Audiences
Liquor Audiences 21% 39% TOPS 40% 28% 46% 26% FEMALE TOPS older 40% 33% = 25-34 31% = 35-49 younger SEM 1-3 SEM 4-7 SEM 8-10 WINE DRINKERS TAVERN DRINKERS SPIRITS TOPS DRINKERS MALE 60% 33% = 25-34 older 31% = 35-49 BEER DRINKERS 16 SPAR Group CMD 2025
Slide 17: Anchoring the brand on an Aspirational Persona
Anchoring the brand on an Aspirational Persona Experience driven #1 Brand driven #3 Occasions Driven “I look at them to see what I need to drink” SEM 7-10 More affluent More male More influential Younger More Inspirational “I look at them to see what #2 Professional Go getters I need to know and do”
Slide 18: Making a GREAT story, EPIC…
Strategic Direction… Making a GREAT story, EPIC… 18 SPAR Group CMD 2025
Slide 19: 5 point priorities
5 point priorities 1. 2. 3. 4. 5. Purpose Redefine the Expand Organic led Grow through Led… Lead TOPS Value Private growth Loyalty with Proposition Labels Responsibility 19 SPAR Group CMD 2025
Slide 20: Q&A
Q&A 20