The Foschini Group’s plan to close another 180 stores over the next three financial years highlights the growing importance of online shopping in South Africa’s retail sector.
TFG announced the planned closures after closing 85 stores in the 21 weeks to August 22, saying those outlets were no longer economically viable. The group expects about 80 additional stores to fall within its closure parameters during the 2027 financial year, followed by another 100 over the following two financial years.
The closures come as TFG’s online business continues to grow significantly faster than its overall sales.
During the 21 weeks, group online sales increased by 15.3% and accounted for 15.9% of total sales. In TFG Africa, online sales increased by 54.1%, with the group’s Bash platform contributing significantly to the growth.
This shift is happening amid broader e-commerce expansion in South Africa.
World Wide Worx expects South Africans to spend about R159 billion online in 2026, reflecting continued growth in the country’s e-commerce market.
This does not mean physical stores are disappearing. Rather, TFG’s latest moves show how major retailers are becoming more selective about the stores they keep open while investing in channels that are growing.
For consumers such as TFG shopper Luti Mdlane, however, physical stores remain important.
“TFG has given us a chance to shop, so hearing that they are closing some of their stores is something else. It is concerning because many people have relied on these stores to access clothing,” Mdlane said.
Honours student Asenathi Gxowa, who has used TFG since her second year, said the retailer’s credit offering had made shopping more accessible to her.
“As a student, TFG has given us a platform to buy clothes on credit and pay monthly, which has been helpful. It has also helped us build our credit scores. Seeing that they are closing some of their stores makes me feel like we could lose an opportunity to have an accessible place to shop for clothes, especially as students,” she said.
Gxowa’s comments point to an important consideration as retailers expand their digital operations: not every consumer has the same shopping needs or access to online platforms.
TFG has said the store closures form part of efforts to structurally reduce costs and improve the efficiency of its store network. The company has therefore not attributed the planned closures solely to the growth of online shopping.
At the same time, the sharp increase in TFG’s online sales suggests that digital channels are becoming an increasingly important part of the group’s business.
