The homegrown Pupkewitz Group, which this year celebrates 100 years of business in Namibia, has already expanded into South Africa, with stores in Upington (MegaTech Electrical) and Cape Town (Megatech Electrical Supplies), and is looking at potential business in neighbouring Angola and Botswana. However, Group Finance Director Eugene Shepherd cautions that any further regional expansion will have to be thoroughly thought through.
“You can’t just go there and do what you do here and think you’re going to be successful. You need a bit of a reputation or a unique selling proposition or something. Still, regional expansion is not completely outside the realms of probability,” said Shepherd.
Asked how the group, with a total staff complement approaching 2 100, is adjusting to doing business in South Africa, Shepherd said it is a perpetual learning curve. “It’s new legislation, new income tax, new labour legislation, new compliance. So, it’s a learning curve for us, but it’s one of the many aspects of the business we are focusing on. We obviously do look at Angola, Zambia, and Botswana as potential expansion areas,” said Shepherd.
Meanwhile, the Pupkewitz Group continues to diversify and now owns 50% of the local subsidiary of the South African-listed entity, Kaap Agri, also known as AgriMark. Through this acquisition, the Pupkewitz Group now serves Namibia’s agricultural community.
Asked about the future of the Namibian retail industry and the propensity by consumers to take their shopping online, Shepherd said it is inevitable.
“We just don’t know how long it will take. We have positioned ourselves very aggressively on that front. We have a very large concept that we have rolled out in our stores called Click and Collect, where you can order online. We prepare your parcels for you, and they’re available to collect at the Lifestyle store or Megatech stores,” Shepherd explained.
He added that even contractors on-site can use a tablet to order material. “It is a slow adoption, but it’s getting there, and we have to position ourselves for that causality. The interesting thing about the online business is that it will always be supported by brick and mortar. You need to have somebody who puts the order together and dispatches it, and we believe we’ve got a very unique opportunity because of our footprint right across the country,” Shepherd added, saying: “We can click and collect for you in Rundu because we have presence. You can collect at Katima and Oranjemund, wherever we are. We’re doing a lot of digitalisation.”
A centenary of business
Meanwhile, Shepherd was the last group employee appointed personally by the legendary Namibian businessman, Harold Pupkewitz. Having joined the Group in 2012, Shepherd has an extensive career spanning more than 20 years in the retail trade. Shepherd has been at the helm of the diverse group for the last 13 years and has witnessed the various transitions the family business has undergone.
The Pupkewitz Group is celebrating 100 years of doing business in Namibia. This impressive feat does not happen with many businesses in Namibia or anywhere in the world. According to Shepherd, the longevity of the group can be ascribed to the ethos of the business coupled with family values emanating from the Pupkewitz family right through to the existing shareholders.
“There’s a very firm belief that they’re entrenched in Namibia, they’re part of the Namibian economy, and employees, customers, government, and the community,” Shepherd stated during a one-on-one interview with Inside Business. He emphasised that over the decades, and particularly during trying times such as severe droughts, the Pupkewitz Group has consistently created a reputation of trust.
“People understand that we’ve been here, we are here, and we will be here. So, when they buy something from us, they know we will still be there to support them and we will continue doing that, no matter what. That trust relationship helps massively when your community understands that you’re reliable and trustworthy. Those are the main factors that have contributed to the group’s longevity,” said Shepherd.
Corporate Social Responsibility
Another crucial factor for the group’s perseverance is its constant investment back into the community, including investment in employees.
“We actively drive an adult literacy program amongst all our employees to ensure everyone has no less than a matric qualification. We give employees time during working hours to attend classes, and we have a significant investment in our graduate intern programme. We take in around 60 to 100 graduate interns every year across the group, and about a third of those ultimately get full time employment with us,” Shepherd explained.
He continued that the group supports study and part time working programmes and has an excellent working relationship with the National Training Authority (NTA) to produce qualified technicians for the motor vehicle industry.
The Group is also invested in the Harold Pupkewitz Graduate School of Business at the University of Science and Technology and annually conducts training interventions at all levels.
Shepherd said the group is also working closely with tertiary institutions to create a tailor-made retail syllabus for the country.
Moreover, the Pupkewitz Foundation, the community social investment arm of the Pupkewitz Group, recently made a milestone pledge of N$10 million over the next 12 months. The massive pledge formed part of the group’s centenary celebrations as it celebrates 100 years of doing business in Namibia.
The enormous commitment by the foundation signifies N$100 000 for each of the 100 years the group has been in business. Through this pledge, the Pupkewitz Foundation reinforced its commitment to national development and community upliftment across the entire Namibia.