Retailer Shoprite Group has partnered with RTT Group, Checkers’ Sixty60 logistics partner, to create a joint venture company that aims to beef up its e-commerce offering and add to the more than 4,000 jobs already created by Sixty60, its online delivery app.
The joint venture partnership comes as Covid-19 has accelerated online shopping with more people preferring to shop from the comfort of their homes.
Shoprite said yesterday it would hold a 50% interest for an undisclosed sum in the joint venture and the joint venture protects the learnings, technology and intellectual property created by Checkers Sixty60 to date while facilitating future innovation and development of the group’s last mile logistics.
Shoprite Group chief executive Pieter Engelbrecht said the transaction was in line with the group’s digital strategy.
“Owning the last mile home delivery aspect of our Sixty60 service is an important part of building out our digital ecosystem for customers.
“We consider the combined capability we have built with RTT to be a critical competitive advantage and key to Sixty60’s rapid growth. This RTT On-Demand joint venture will allow the group the opportunity to continue enhancing our order fulfilment and last mile delivery capabilities while giving us the opportunity to grow our precision retailing efforts for our customers,” said Engelbrecht.
As part of the transaction terms Checkers Sixty60, Shoprite Checkers’ existing on-demand delivery service, will continue to use RTT On-demand as its delivery partner.