Due to a high number of customers who have switched to online shopping, The Foschini Group (TFG) intends to close around 280 stores in Africa.
The retail giant intends to close around 80 stores by the end of March 2027, with a further 200 outlets being closed over the following two years to 2029. TFG’s brands include Markham, Totalsports, Sportscene, @home, Sterns and American Swiss.
‘Pressured’ consumers turning to online
The company has already closed 85 shops this year after identifying them as no longer economically viable, Bloomberg reported. It also cited financial pressure on consumers in the near term. A surge in online sales has seen the company reprioritise its sales strategy. While sales at TFG’s physical stores have risen by 0.2% this year, online sales reportedly grew by 54%.
TFG’s latest full-year results showed revenue rising 7.2% to R67.1 billion in the year to March 2026, although headline earnings per share fell 33.5% to 675.4 cents as profitability came under pressure.
A century in local retail
TFG was founded in 1924 by George Ivan Rosenthal, an American who came to South Africa after seeing an opportunity in the local fashion market. The first store opened its doors in November 1925 on Pritchard Street in Johannesburg, and its concept of offering women affordable, fashionable and well-made clothing soon took off, with Foschini expanding to nine branches within two years.
In 1941, it became the first clothing retailer to list on the Johannesburg Stock Exchange (JSE).
After being acquired by Stanley Lewis in 1958, the company started diversifying its brand portfolio, most importantly with purchases such as American Swiss and Markham in the late 1960s. It then acquired Sterns in 1993 and Totalsports in 2000.
