Fruit & Veg City Comparing apples with apple schnapps
Last week we ran a probably irresponsible piece speculating that KaapAgri might become the Sixth Retailer, whose arrival has been foretold in an ancient prophecy. This week, flushed with our success, we repeat the transgression: Can it be that FVC is the fabled Sixth retailer, of which seers have sung? They have, after all, just announced the acquisition with RMB Corvest of 50% Diamonds Discount Liquors, which operates mainly in the Western Cape and Mpumalanga and which has doubled in size to 40 stores in 2012 alone. Diamonds will now trade under the new Market Liquors brand, and will be conveniently positioned at the entrances or exits of Food Lover’s Market stores. FVC, you will recall, currently have 112 SA stores on the ground, to which Diamond makes a sizeable addition.
Comment: Reading between the lines, it appears that FVC are pursuing a SPAR-like strategy of grabbing a share of the food and liquor baskets in one fell swoop, while appealing to a more feminine crowd of hooch enthusiasts.