Night grocers overrun the capital
WHENEVER night falls in Harare, both laws and by-laws go to sleep.
And almost always where the law takes a nap, sanity gives way to insanity: commuter omnibuses drive against the flow of traffic; pushcarts and touts scrum with motorists for the right to use the road; and the ever-growing army of vendors overruns the city. It all begins to make sense. Most of the cars and trucks that are innocently parked during the day become convenient warehouses from which all manner of wares, particularly basic commodities, are retrieved.
Small-time grocers — mainly selling day-to-day items such as cooking oil, flour, soap, and body cream, among other items — have literally taken over the city.
Not that the conventional supermarkets are empty; they are actually full to the bream.
In fact, OK Zimbabwe, which has a huge footprint on the local retail market, with 63 stores, reported that revenues climbed 2,3 percent to US$219 million in the six months ended September 30, 2016.
Profit after tax (PAT) also rose 87 percent to US$2,3 million.
Its competitors Pick N’Pay, Choppies, the new corporate SPAR chain and wholesalers-cum-retailers such as Metro Peech, N Richards are presently expanding.
Price
But almost all the brickand-mortar supermarkets are encumbered by huge costs of maintaining their businesses.
There are rentals, wages, licence fees, water and electricity tariffs, and statutory obligations such as pensions that they have to contend with.
This is all factored into the price that consumers have to carry.
However, night merchants do not have any such burdens.
“We sell most of these goods at a take-away price as we don’t have some rentals, rates, Zimra (VAT) and all other unnecessary expenses.
“I don’t see the need to open a shop in town when I can have a mobile shop here (parked truck) that helps me make US$1890 weekly,” said Mr Nevermore Chirezva who operates along Fourth Street.
“I start my business at 6pm. The police and city council will have finished their duties. On a good day, I usually get around US$270 for the few hours I operate.”
And indeed their prices are jaw-droppingly low relative to conventional supermarkets.
A survey conducted by The Sunday Mail Business last week indicated that while 2kg washing powder is being sold for US$6 in supermarkets, the same product is going for about half the price (US$3,50) on the streets.
Those who have developed a liking for Nivea body cream would now rather buy it from street merchants where a 400ml bottle costs US$3,50, which is markedly lower than US$6,20 in formal shops.
Similarly a 1 kg pack of cremora, which ordinarily sells for US$4,50 in supermarkets, can be purchased for a bargain price
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