Retail Business in Zambia

Without a doubt, Zambia is currently having a lot of spending power in retail than most other Southern African countries with the exception of South Africa. The Zambian economy is growing and so is the population. The Mining and Construction industries are doing well creating a number of jobs for people thereby increasing the aggregate spending power for the economy.
Zambia has really turned into another province of South Africa. We have seen huge movements of capital from the South into Zambia. Many South African retail outlets have found many profit opportunities in Zambia. Shoprite stores, Pick'n'Pay, Game Stores, Pep Stores. Clothing retailers like WoolWorths, Identity, Trueworths, Total Sport, Mr. Price to mention just a few.
One interesting thing though is, there is almost no big retail Zambia company. In fact, there is still a deficit if retail service provision. These South African Giants are only concentrated in Lusaka and the Copperbelt Province of Zambia. Recently, I took a trip to Mkushi, a very big commercial farming community. There is no Retail store. I took time to ask a few people how they feel about this. As you may well have guessed, no investor really has even thought of it. The many rich people including a very good number of white farmers with millions of dollars, either drive or fly to Lusaka to do their shopping.
On the other hand, I have seen so many small shops around Lusaka trying to compete with these South African Giants. Yes, they do make sales but really, they don't have everything that a consumer wants. Suppose, I wanted a loaf of bread as well as polony and cereals. There is no doubt I will find bread at one local shop but not the other products. I will have to visit 3 local shops to complete my shopping. As a result, I will simply go one Retail Store and get everything under one roof. There is really no harm in buying from these stores and I'm not encouraging anyone to shun them. To the contrary, I have a plan for these small traders that can make them profitable.
How about a cooperative. Identify yourself with 3-10 other traders of your category, put your resources together, go to a place like Mkushi, Choma or indeed any other place for that matter and open a sound store that will house everything under one roof. Zambian should start to think outside the box and go out. We as Zambians are too urbanised mentally. We will stop at nothing from being in Lusaka.

Do you have a capital and need a sound business plan, feel free to contact me. Networking is the key to modern business. Are you a non-Zambian seeking to establish a business in Zambia? Bring it on! Zambia remains unexplored.

Twitter @Quigleysouth