Clothing retailer The Foschini Group has said it will be relaunching Jet Home in 345 stores with additional standalone stores later in the year.
Foschini released its annual results for the year to end March on Thursday and at the results presentation, CEO Anthony Thunström announced that the group had decided to relaunch Jet Home.
"Another opportunity that Jet unlocks for us is in the value homeware segment. Back in 2016, Jet Home was doing a turnover of close to R2 million. This was then neglected and dwindled to almost nothing over the next couple of years," said Thunström.
According to Thunström, later this year, the Foshini Group (TFG) will begin rolling out the first standalone Jet Home stores.
TFG bought Jet from Edcon in a deal that was finalised in September 2020 for R480 million. Previously, Thunström had said that the aim with the Jet acquisition was to access the lower-income market, which TFG was not reaching at the time.
"We are now very excited to be relaunching Jet Home in 345 selected and suitably sized Jet stores. The market opportunity is significant, it is around R12 billion, and we want to see Jet have an appropriate share in this and we are going to grow it over the next couple of years," said Thunström.
Players such as Pep and Mr Price already have a lion's share in the value homeware segment. Wayne McCurrie, portfolio manager at FNB Wealth & Investments, said described the environment as "very competitive".
"We'll have to see how it pans out, but it's an intensely competitive environment," he said.
"We'll have to see if there is room for them in the market. Let's just hope they start small.