News / National
Tuckshops challenge Zimbabwe's retail giants
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A quiet but dramatic shift is unfolding in Zimbabwe's retail sector as large supermarket chains struggle against the rise of informal tuckshops. Established brands such as OK Zimbabwe, Spar, and Choppies are closing outlets or scaling down operations, unable to compete with the growing network of small, low-cost tuckshops that now dominate Harare's retail landscape.
The rapid expansion of these informal businesses, particularly in downtown Harare, has transformed shopping habits. Consumers, faced with economic hardships, are increasingly turning to tuckshops for more affordable groceries, leading to declining foot traffic in major retail stores.
The term "Kuma tuckshops" has become popular across Harare's suburbs, referring to small shops that operate just meters away from established supermarkets. Unlike traditional corner stores, these tuckshops are known for their competitive pricing and strategic locations.
A visit to downtown Harare reveals congested streets packed with shoppers and vehicles, making parking a challenge as customers flock to tuckshops. These informal businesses often source products at lower costs, bypassing many of the regulatory expenses that burden formal retailers.
Harare resident Praise Kizito from Kuwadzana told NewsDay that she now prefers tuckshops over supermarkets.
"Zvizere ende zvakachipa izvi kuma tuckshops" (There is plenty and it's cheap in tuckshops), she said.
"We buy our groceries from tuckshops near Kuwadzana OK supermarket. I don't remember the last time I shopped at a big retail outlet because they often don't have what I need, or the prices are too high."
Many shoppers have resorted to pooling resources in grocery clubs, making bulk purchases from tuckshops twice a year to cut costs further.
A NewsDay survey in areas such as Kuwadzana, Warren Park, and Mufakose showed that major supermarkets are struggling to remain competitive. Many shelves, including butchery sections, were empty, and in some outlets, freezers were switched off due to a lack of stock.
An employee at one supermarket, speaking anonymously, said staffing levels had been reduced. "Normally, we would have six or more till operators per shift, but now only two are working because business is down," they said.
While tuckshops offer lower prices, they also pose risks to consumers. Reports of substandard or counterfeit products remain a concern, as many informal traders operate outside quality control regulations.
The Confederation of Zimbabwe Retailers (CZR) has warned that the continued closure of formal retail businesses is worsening the country's economic challenges. CZR president Denford Mutashu highlighted the impact of the informal sector's dominance.
"The recent closure of several outlets under the N Richards Group, coupled with Spar Zimbabwe shutting down Queensdale Spar, Choppies exiting the market, and Mahommed Mussa reducing shop space by 60%, highlights the growing crisis," Mutashu said.
"While formal businesses face enormous challenges, authorities continue to present a different picture of the operating environment. The unregulated informal sector offers goods at much lower prices because it does not comply with statutory obligations such as taxes, licensing fees, and labor laws. This has made it increasingly difficult for formal businesses to compete effectively."
CZR has called on President Emmerson Mnangagwa's government to intervene and support formal retailers before the sector collapses entirely.
Government critic and economist Gift Mugano said the rise of tuckshops is a direct result of poor policymaking by the Finance Ministry. He argued that ineffective policies have failed to shield formal retailers from the growing informal economy.
"The supermarkets closing down are mainly victims of the exchange rate crisis, which has destroyed the competitiveness of formal businesses," Mugano explained.
"This situation has been worsened by law enforcement crackdowns on retailers, making it difficult for them to replenish stock. If the government implemented business-friendly policies, there wouldn't be such a large informal sector. Do you hear of an informal sector crisis in America or Botswana? No, because their policies support businesses."
OK Zimbabwe, one of the country's oldest retail chains, has been in operation since 1942, while N Richards Group dates back to 1930. Choppies, which entered the Zimbabwean market in 2013, has already begun shutting down operations.
As 2025 progresses, the decline of major retailers and the rise of tuckshops highlight Zimbabwe's evolving economic challenges. Without urgent intervention, formal retail could soon be overtaken by an unregulated sector that thrives in a struggling economy.
The rapid expansion of these informal businesses, particularly in downtown Harare, has transformed shopping habits. Consumers, faced with economic hardships, are increasingly turning to tuckshops for more affordable groceries, leading to declining foot traffic in major retail stores.
The term "Kuma tuckshops" has become popular across Harare's suburbs, referring to small shops that operate just meters away from established supermarkets. Unlike traditional corner stores, these tuckshops are known for their competitive pricing and strategic locations.
A visit to downtown Harare reveals congested streets packed with shoppers and vehicles, making parking a challenge as customers flock to tuckshops. These informal businesses often source products at lower costs, bypassing many of the regulatory expenses that burden formal retailers.
Harare resident Praise Kizito from Kuwadzana told NewsDay that she now prefers tuckshops over supermarkets.
"Zvizere ende zvakachipa izvi kuma tuckshops" (There is plenty and it's cheap in tuckshops), she said.
"We buy our groceries from tuckshops near Kuwadzana OK supermarket. I don't remember the last time I shopped at a big retail outlet because they often don't have what I need, or the prices are too high."
Many shoppers have resorted to pooling resources in grocery clubs, making bulk purchases from tuckshops twice a year to cut costs further.
A NewsDay survey in areas such as Kuwadzana, Warren Park, and Mufakose showed that major supermarkets are struggling to remain competitive. Many shelves, including butchery sections, were empty, and in some outlets, freezers were switched off due to a lack of stock.
An employee at one supermarket, speaking anonymously, said staffing levels had been reduced. "Normally, we would have six or more till operators per shift, but now only two are working because business is down," they said.
While tuckshops offer lower prices, they also pose risks to consumers. Reports of substandard or counterfeit products remain a concern, as many informal traders operate outside quality control regulations.
The Confederation of Zimbabwe Retailers (CZR) has warned that the continued closure of formal retail businesses is worsening the country's economic challenges. CZR president Denford Mutashu highlighted the impact of the informal sector's dominance.
"The recent closure of several outlets under the N Richards Group, coupled with Spar Zimbabwe shutting down Queensdale Spar, Choppies exiting the market, and Mahommed Mussa reducing shop space by 60%, highlights the growing crisis," Mutashu said.
"While formal businesses face enormous challenges, authorities continue to present a different picture of the operating environment. The unregulated informal sector offers goods at much lower prices because it does not comply with statutory obligations such as taxes, licensing fees, and labor laws. This has made it increasingly difficult for formal businesses to compete effectively."
CZR has called on President Emmerson Mnangagwa's government to intervene and support formal retailers before the sector collapses entirely.
Government critic and economist Gift Mugano said the rise of tuckshops is a direct result of poor policymaking by the Finance Ministry. He argued that ineffective policies have failed to shield formal retailers from the growing informal economy.
"The supermarkets closing down are mainly victims of the exchange rate crisis, which has destroyed the competitiveness of formal businesses," Mugano explained.
"This situation has been worsened by law enforcement crackdowns on retailers, making it difficult for them to replenish stock. If the government implemented business-friendly policies, there wouldn't be such a large informal sector. Do you hear of an informal sector crisis in America or Botswana? No, because their policies support businesses."
OK Zimbabwe, one of the country's oldest retail chains, has been in operation since 1942, while N Richards Group dates back to 1930. Choppies, which entered the Zimbabwean market in 2013, has already begun shutting down operations.
As 2025 progresses, the decline of major retailers and the rise of tuckshops highlight Zimbabwe's evolving economic challenges. Without urgent intervention, formal retail could soon be overtaken by an unregulated sector that thrives in a struggling economy.
Source - online
