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Better Rewards Drives Double-Digit Growth for Dis-Chem

| Retailer trading results

Source: BizCommunity

Dis-Chem Pharmacies saw a 10.1% increase in group income for the 24-week period from September 1, 2025, to February 16, 2026, compared to the same time the previous year.

Chief executive Rui Morais says, “We experienced a solid trading performance during the period, notably on the back of the launch of our reimagined loyalty programme, Better Rewards, which launched on 21 October 2025. By applying technology, data and deep customer insights, the X, bigly labs team continues to challenge the status quo by further evolving the Better Rewards programme.”

One of Dis-Chem’s key objectives is to increase the average level of discount by driving higher boost penetration, which is a core design element of the programme. This is supported by identifying additional funding channels across the broader ecosystem, enabling the Group to reinvest into the programme and strengthen Dis-Chem’s value proposition.

The result is a healthcare retail offering that is both best-value and truly representative of South African customer needs.

Morais says this extends beyond our integrated healthcare platform to include strategic partnerships such as Capitec, where the Capitec boost is creating shared value for both brands and our mutual customers.

In the 17 weeks since launch, the programme has returned R410m in savings directly to customers – funds that can be reinvested into their health. In doing so, it is helping to make healthcare more accessible, more affordable and more meaningful.

“As a result, the market share gains we’ve seen have been particularly pleasing and stands as a proof point of innovation in action,” says Morais.
Retail revenue for the 24 weeks increased by 9.5% compared to the corresponding period in the prior year, with volume growth of 5.0%. Like-for-like retail revenue increased by 5.7%.

Retail revenue for the 17 weeks under the Better Rewards programme increased by 10.4% compared to the corresponding period, with volume growth of 5.2%. Under the programme, pharmacy revenue grew by 13.7% driven by increasing pharmacy boost engagement and high demand for GLP-1 drugs.

Revenue growth of participating Better Rewards brands increased by 19.4% with volume growth of 20.9%. The consistency of an always-on, health-relevant, lowest price basket is driving increased shopping frequency. Non-participating Better Rewards brands are also benefiting from the ‘halo’ effect of the increase in shopper trips.

The number of new shoppers who had not engaged with the Dis-Chem brand in the 12 months prior to the launch of Better Rewards, increased by 550,000 shoppers.

As reported by NielsenIQ for the 12 weeks ended 25 January 2026, for Dis-Chem’s core retail categories, Dis-Chem achieved volume growth of 8.0% against market volume growth of 1.3%, translating into a combined market share increase across all core categories of 0.8 percentage points. The Group operates 355 retail stores, comprising 313 Dis-Chem Pharmacy stores and 42 Dis-Chem Baby City stores.

Wholesale revenue increased by 15.7% during the period compared to the corresponding period. Sales to the Group’s own retail stores increased by 16.2%
Revenue from external customers increased by 13.7%, with The Local Choice (TLC) revenue growing by 14.2% and independent pharmacy revenue increasing by 13.4%. The Group has 281 TLC franchise stores at period-end, up from 230 at the end of the corresponding period.

Dis-Chem’s results for the year ended 28 February 2026 are expected to be released on SENS on 29 May 2026.

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