Pepkora JSE-listed retailer renowned for its quality clothing at discounted prices, is a major player in the FinTech ecosystem in South Africa.
FinTech is revolutionizing the way customer needs are met by improving accessibility, reducing costs and providing personalized financial solutions. With digital banking and online payment systems, customers can transact easily from anywhere, while automated services and robo-advisors provide efficient and inexpensive financial management.
FinTech also promotes financial inclusion by extending microloans and mobile banking to underserved populations. Additionally, the use of data analytics enables tailor-made financial products and advanced security measures, such as blockchain and fraud detection technologies, to ensure transactions are secure. These innovations collectively improve the overall customer experience, making financial services more accessible, affordable and secure.
Pepkor’s revenues from the FinTech segment increased by 24.5% to R5.8 billion in the six months ended March 2024, driven by strong growth in the Flash and financial services businesses.
“As a group, Pepkor has unrivaled customer acquisition capability through its retail brands and store network. This allows us to meet customer needs that go far beyond baby and school clothing, such as affordable connectivity and smartphones,” said Pieter Erasmus, CEO of Pepkor.
“We have deliberately accelerated strategic execution in these areas, which is weighing on near-term profitability.”
The FinTech segment continues to increase its contribution to the group’s turnover, contributing 13% in the current period compared to 12% in the same period last year.