Spar2U beats Checkers Sixty60 and Pick n Pay asap! in a delivery price showdown

South Africa’s on-demand grocery delivery market is highly competitive, with Spar2U, Pick n Pay asap!, and Checkers Sixty60 all competing for a slice of the pie.

A MyBroadband comparison revealed just over R6 separates the most affordable retailer, Spar2U, from the most expensive, Checkers Sixty60.

The demand for on-demand grocery delivery services has been heating up since the Covid-19 lockdowns caused a surge in e-commerce adoption in South Africa.

However, many did not expect these services to maintain this demand once the lockdowns were lifted and consumers could return to the shops.

Shoprite-owned Checkers launched its Sixty60 platform in November 2019, reporting strong sales growth each year since.

Although it was initially only available in select areas of Sandton, Johannesburg, and Cape Town, the retailer rapidly expanded its delivery footprint during the pandemic.

By December 2023, Checkers Sixty60 downloads had reached over 4.5 million, and the service had expanded to 505 stores.

Similarly, Spar2U and Pick n Pay asap! have also seen significant growth over the past few years.

Spar2U, launched in March 2022, reported a 463% increase in sales volumes between September 2023 and March 2024. Spar shops that support the service increased from 356 to 420 over the same period.

Pick n Pay’s results for the year ended 25 February 2024 revealed that its asap! on-demand delivery service had expanded to 541 stores nationwide and grew sales by 74.4% over the financial year.

The growth figure was up from 72% for the same period the year before.

To compare the competitiveness of prices between the three platforms, MyBroadband selected a basket of eight items available from each.

The comparison found Spar2U to have the most affordable basket, costing R547.32, followed by Pick n Pay asap! at R548.92, and Sixty60 at R553.92.

To ensure fairness, the items selected were a combination of the most commonly bought categories of items, such as bread and milk, while trying to stick to the same brand as often as possible.

However, for items such as apples and chicken breast fillets where each store had a different supplier, items with the same description were selected.

Sales prices were also ignored, and the original price of the items was used instead. The delivery was included in the total basket cost.

Despite not being the most affordable overall, no Pick n Pay item was found to be the most expensive compared to the other two, whereas both Checkers and Spar were the more costly choices in three categories each.

On the other hand, although Spar was the most affordable overall, it featured the fewest products that outpriced the other two retailers.

It should be noted that, unlike Checkers, Spar2U’s pricing varies based on the type of store you order from.

“Different Spar stores have different prices, based on whether it’s a Spar, SuperSpar, KwikSpar,” the company previously told MyBroadband.

The table below compares the cost of similar grocery baskets purchased through Checkers Sixty60, Pick n Pay asap!, and Spar2U.

For the comparison, we assumed that the customer isn’t a member of any loyalty rewards programmes.