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Pep Re-branding story comes true
September 2008
Last winter, the ad agency on Generations (SABC 1 at 8 pm) pitched for and won the PEP business and presented PEP’s new tagline: best prices and more. Off air and in reality, PEP customers saw the new campaign played out in-store (as featured on Generations). Millions of Generations viewers made the connection between what they had seen on TV and what they saw in-store. The main character in the programme, Queen also wore PEP clothes on the programme.
Using South Africa’s most popular soap opera was not only innovative for launching the PEP re-branding but also highly successful. Quantitative and qualitative research reveals that PEP has revitalised its brand; it has become inspirational and the brand is now seen as more popular and no longer as a shop for poor people. The fact that Queen Moroka dresses in PEP clothing has made it OK for masses of people to wear PEP clothing. It’s alerted their curiosity, brought them into the stores and promoted sales; it’s raised the standard and given PEP shoppers more confidence. It’s changed behaviour towards the brand and the new tagline, while it associates the brand with price, it adds value to perceptions through quality associations. The message that comes through from the Generations link is that PEP remains, first and foremost, a brand that offers good value for money (45%). Recall of the new tagline is 42% (compared to 26% for the old ‘lowest prices for everyone’ tagline).
And, to really underline that PEP’s new brand positioning is on target, PEP has scored a 4,6% increase in its total brand relationship score in the IPSOS Markinor/Sunday Times Top Brands survey, the highest score in the clothing retailer category. PEP rates as the third most recalled clothing retail brand among all South Africans.
PEP’s actual advertising agency ZOOM Advertising conceived and developed the idea with PEP’s marketing director, Marcus Banga and with the SABC Generations production team. ZOOM won a Roger Garlick Gold Award for innovative use of media for the PEP/Generations concept. This is the first time a retail brand was written into the script and storyline of a leading soap opera in South Africa and was a revolutionary way to promote the PEP brand proposition.
PEP’s new brand proposition
Following a year of intense research and development, when the specialist brand agency, Yellowwood, worked with PEP and with ZOOM to develop the new brand positioning so that it could reflect what PEP customers want. In all areas of its business, PEP is utterly customer focused - focused on delighting its customers. The process with Yellowwood helped identify and package customer segments so that future brand messages are appropriate and in line with what they want.
PEP’s marketing director, Marcus Banga adds: “We needed to embrace more than a one dimensionsal brand proposition of ‘lowest prices’ and deliver a value statement. In defining the business, PEP is the everyday best price variety store for family life essentials.” The PEP mission statement to its customers is: ‘We promise you and your family everything you need to look good and feel good – at the best possible prices, backed by trusted quality and friendly service’.
Banga continues: “The new tagline ‘best prices and more’ means more stores, more variety, more friendly service, more smiles and excitement, more bargains and, as always, more buying power to give our customers the best prices. PEP will continue to champion low prices while focusing on delighting our customers.”
From humble beginnings
In 1965 and with just one store, PEP began selling affordable, good quality merchandise with the aim of helping its customers to look and feel good. They were treated with dignity and respect and for the first time in South Africa, black customers were allowed to choose their merchandise in-store rather than order it over the counter. Over forty years later and PEP is the largest single brand retailer in Southern Africa … and still growing.
Today, PEP sells a diverse product range; everything from clothing and footwear for the whole family to homeware, health, wellness and beauty products, cellular, insurance, PEP ‘products to order’ … and more.
Did you know...
September 2008
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PEP is the biggest single brand store network in South African and has stores in 10 Southern African countries
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This year, PEP will send over 400 million products to over a thousand stores and will conduct over 200 million customer transactions. Its trucks will drive the equivalent of 225 times around the earth
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PEP opened its first store more than 40 years ago and was the first store in South Africa to give any and all South Africans the chance to choose their clothes and footwear themselves … rather than ordering merchandise over the counter
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PEP’s customer typically is female, aged 25-50 and LSM2-6
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PEP sells everything from clothing and footwear for the whole family to home-ware, babyware, health, beauty and wellness products; from cellular, airtime and insurance products to catalogue products to order and more
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PEP beat 70 companies across 12 service industry sectors and scored the highest ratings for service excellence in the 2007 Ask Afrika Orange Index survey. PEP won the award in 2006 as well. PEP focuses on delighting its customers
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PEP serves at least 100 customers every five seconds
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PEP now has several stand alone home-ware (PEP Home) and cellular/airtime (PEPcell) stores
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PEP was the first retailer in the world to sell airtime through its tills
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PEP sells around 3 million minutes of airtime every day
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Half of all blankets bought in South Africa every year are sold by PEP
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PEP sells over 60% of all school wear in South Africa every year (and PEP’s manufacturing arm - PEP Clothing – produces 8500 pairs of grey trousers every day)
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PEP now offers a ‘cashback’ service so that customers can withdraw cash through its tills
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PEP is a responsible retailer – as a cash only operator, it does not encourage its customers to buy on credit.