Shoprite Stores Close in Two States as Lagos, Abuja Outlets Struggle With Empty Shelves

Shoprite Stores Close in Two States as Lagos, Abuja Outlets Struggle With Empty Shelves

  • Shoprite Nigeria is facing major struggles, with several outlets shut down and some branches in Lagos and Abuja left with empty shelves
  • The company is currently renegotiating with suppliers amid growing competition and a tough business climate in Nigeria
  • Shoprite officials insist operations will continue, though analysts warn more firms may leave Nigeria due to unfavourable economic conditions

Legit.ng journalist Victor Enengedi has over a decade's experience covering Energy, MSMEs, Technology, Banking and the Economy.

Shoprite Nigeria is facing one of its toughest moments since taking over the retail chain from its former South African owners four years ago.

Once the country’s dominant supermarket brand, the retailer is now struggling to remain relevant as competition stiffens and economic challenges weigh heavily on its operations.

Shoprite stores shut down in Ibadan, Ilorin as Lagos, Abuja shelves run dry
Four years after the sale of its Nigerian franchise, Shoprite stores in Nigeria are becoming virtually extinct. Photo credit: Shoprite
Source: UGC

According to Daily Trust findings, Shoprite outlets in Ibadan and Ilorin have already shut their doors, while several others across the country are battling with nearly empty shelves.

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In Lagos, the iconic Ikeja City Mall branch, once renowned for its long queues and bustling aisles, now has a deserted look. Shoppers encounter half-empty displays in the grocery and frozen food sections, with wine racks and other product rows largely devoid of stock.

Speculation about a possible exit from Nigeria has grown, but officials at the Ikeja outlet insist the retailer is not leaving.

The store administrator, Oluwatosin, explained that the scarcity of products is tied to ongoing negotiations between the new management and suppliers.

“Actually, there is a new management, so they are trying to have a kind of meeting with all the stakeholders, the suppliers and vendors so that they can renegotiate their prices. Hopefully, when that is completed, then they will start stocking the store again.”

Some staff members, however, admitted rising frustration within the workforce as uncertainty persists.

Shoprite entered Nigeria in 2005 and quickly became the nation’s top supermarket chain, known for variety and competitive pricing.

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But recent years have brought increased rivalry from fast-growing local supermarkets, new malls, and online platforms that now dominate in key cities.

The Ibadan branches, Ring Road and Mokola, remain closed, with a public notice at the entrance citing “circumstances beyond immediate control” and assuring customers that operations would resume soon.

Shoprite has already scaled back operations in several African countries, including Ghana, Uganda, and Kenya, citing harsh business conditions.

Its earlier decision to sell its Nigerian operations to local investors was also linked to the country’s increasingly difficult business environment.

Shoprite stores shut down in Ibadan, Ilorin as Lagos, Abuja shelves run dry
Supply chain challenges, inflationary pressures, among other issues have forced the company to exit some African markets. Photo credit: Shoprite
Source: UGC

Economic analyst Dr. Marcel Okeke warned that Shoprite’s struggles may be a sign of things to come, noting that more companies could exit Nigeria if the business climate does not improve.

Okeke said:

“Of course, many companies have left and many are still going to leave, you understand, because the environment is not conducive, Nigeria’s economy as it is uncompetitive when you compare it to other economies, those economies are more business-friendly.”

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Shoprite phases out nylon bags in Lagos outlets

Meanwhile, Legit.ng earlier reported that Shoprite announced that it will stop providing nylon bags to customers at its stores across Lagos.

The company explained that the decision is in line with the government’s policy to phase out single-use plastics.

Shoppers are now encouraged to come along with their own reusable bags or purchase eco-friendly alternatives available at its outlets, as part of efforts to reduce plastic waste and promote environmental sustainability.

Source: Legit.ng

Authors:
Victor Enengedi avatar

Victor Enengedi (Business HOD) Victor Enengedi is a trained journalist with over a decade of experience in both print and online media platforms. He holds a degree in History and Diplomatic Studies from Olabisi Onabanjo University, Ogun State. An AFP-certified journalist, he functions as the Head of the Business Desk at Legit. He has also worked as Head of Editorial Operations at Nairametrics. He can be reached via victor.enengedi@corp.legit.ng and +2348063274521.