Dis-Chem Rebuilds E-Commerce Strategy with New App Launch
Pharmacy giant revamps digital platform to compete with Checkers Sixty60’s delivery services.
The Full Story
Dis-Chem, the listed pharmacy leader, is setting its sights on revitalising its digital presence as it prepares to launch a new mobile app and e-commerce platform by the end of 2026. This strategic decision comes as the company seeks to strengthen its market position against competitors like Checkers Sixty60, which has recently indicated its intent to expand into pharmaceuticals. Yusuf Kaka, who leads integrated digital engagement at Dis-Chem's innovation and digital transformation unit, X, bigly labs, revealed in an exclusive interview with TechCentral that the new app is already being trialed internally.
Notably, both the app and the underlying e-commerce infrastructure are undergoing complete replacement rather than mere upgrades, highlighting the company's commitment to a refreshed user experience. The impetus for this overhaul stems from significant user dissatisfaction with the current app, which has been plagued by issues such as crashes and functionality failures. In its latest financial disclosures, Dis-Chem reported an investment of R330 million in establishing X, bigly labs, a commitment deemed necessary to address these shortcomings and foster future growth.
Despite a reported revenue increase of 9.3% to R42.8 billion for the financial year ending February 2026, the company faced a decline in earnings per share, which the market reacted negatively to, resulting in a nearly 8% drop in its share price on the day the results were announced. Kaka explained that the focus of the new app will be on providing a predictable delivery experience rather than competing on speed. The app aims to enhance customer engagement and increase satisfaction, as insights had shown that users preferred a reliable service window.
Dis-Chem's existing e-commerce offering, DeliverD, had previously promised delivery within an hour, but the new approach will likely focus on customizable delivery slots. This shift will also entail a reduction in app complexity, as Kaka noted that the current version attempts to encompass too many functions, diluting its effectiveness. Furthermore, the new app will be supported by Dis-Chem's comprehensive physical retail presence, which includes 316 pharmacy locations and 42 baby stores, indicating a robust operational foundation for the e-commerce service. Despite these advancements, challenges remain, particularly in the area of scheduled medicines, where regulatory rules dictate that a pharmacist must validate prescriptions before dispatch.
Kaka emphasised the importance of incorporating these dispensing rules into the e-commerce process adequately. As Dis-Chem makes strides to enhance its digital services, the company's ability to navigate these complexities will be crucial for its competitive strategy in the evolving pharmacy retail landscape. In conclusion, as Dis-Chem aims for a public release by 2026, its commitment to rebuilding its app underscores both the challenges and opportunities facing traditional retailers in the era of digital commerce. The outcome of this investment could significantly influence customer satisfaction and loyalty in the future, ultimately shaping Dis-Chem's standing within the rapidly growing e-pharmacy market.
Why It Matters
This redevelopment of Dis-Chem's app and e-commerce platform addresses critical consumer issues, aiming to enhance user experience and retention against fierce competition in the online pharmacy space. Their focus on reliable delivery could reshape consumer expectations in South Africa's retail pharmaceutical market.
What's Next
Dis-Chem aims to complete the public beta of the new app by the end of 2026, with ongoing testing to iron out remaining issues. The company will also navigate regulatory complexities related to prescription medicines as it expands its e-commerce offerings.