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Dis-Chem Grapples with Retail Squeeze and Fierce Competition

04 Jul 2025


Pharmacy and retail giant Dis-Chem is facing a dual threat to its growth ambitions: a critical shortage of suitable retail space and intensifying competition across the healthcare and consumer sectors, reported Moneyweb (4 July 2025)
To counter the space problem, Dis-Chem has secured a pipeline of 130,000 m2 of future retail space to support its expansion over the next three years. The threat of growing competition from other pharmacy chains, will be addressed by expanding the company’s private label range, which now accounts for 20% of its retail sales and boost its digital presence. E-commerce revenue surged by 37.2% over the past year.
In the 2025 financial year, Dis-Chem added 17 pharmacy stores, having opened 20 new outlets while closing three existing ones. The group also rationalised its baby-focused brand, closing nine Baby City stores.

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