Fashion channel

TFG purchases Quench delivery app to strengthen omnichannel


GFT, through its technological division TFGLabs, acquired the digital shopping platform and last mile delivery provider Switch off.

Quench provides same-day delivery of groceries, food, medicine and alcohol via its mobile app to customers in major centers in South Africa.

According to the fashion retail giant, the acquisition is part of TFGLabs’ ambition to become SA’s next ecommerce powerhouse.

TFG, formerly known as Groupe Foschini, has invested heavily in technical expertise and capabilities over the past year. It earmarked R500 million over the next three to five years to expand its digital capacity.

In June, the retailer launched its technology division TFGLabs, with the aim of attracting the continent’s top tech talent and using the latest technology to create a seamless mobile shopping experience.

Acquisition of Quench will enhance the company’s existing delivery capabilities on the distribution network through proprietary software and engineering, bringing a science-based approach to planning, cost-effective routing and asset utilization. , notes the retailer.

“With this acquisition, we have access to fast and reliable delivery throughout South Africa, while achieving superior delivery unit economics,” said Claude Hanan, Co-Director of TFGLabs.

“With 75% of orders currently fulfilled from stores, Quench’s network of micro-carriers will become an essential catalyst for our ‘ship-from-store’ strategy. All international market data shows that price, reliability and speed of delivery are highly correlated with e-commerce penetration and frequency of purchase.

TFG has more than 4,300 points of sale in 26 countries on the continent and employs more than 34,800 people, with more than 26 million customers in South Africa.

The retailer’s online shopping app, myTFGworld.com, consolidates its business partners, including Totalsports, @home, @homelivingspace, Markham and Exact.

“For now, this is the status quo at Quench,” says Hanan. “We will continue to serve existing Quench partners and customers and, in fact, we will immediately invest in improving our offering and service to both. “