In applying its business model the group uses various capital resources to optimise value creation for stakeholders. These stakeholders also contribute to value creation by providing resources: customers (provide revenue by buying products), shareholders (provide capital), employees (provide talents and skills) and suppliers (provide products and services).
|Capital resources used in creating value||Value created in 2017|
The financial resources raised and deployed by the company.
Profit after tax R1.3 billion
Total shareholder return 25.2%
R2.0 billion cash generated by operations
Return on equity 44.1%
The infrastructure network used in selling merchandise, including the retail store network, distribution facilities, online store and information technology systems.
Opened 111 Clicks stores; total retail stores 795
73 new Clicks pharmacies; total now 473
9 distribution centres across Clicks and UPD
R518 million capital investment
The collective knowledge and expertise across the business as well as the intellectual property of the group, including trademarks, the development and design of private label brands, customer segmentation and loyalty management.
Clicks gained market share in all product categories
Private label and exclusive brands 22% of health and beauty sales
Clicks independently rated as leading health and beauty retailer in SA
ClubCard loyalty membership increased to 7 million and accounts for 77.4% of Clicks sales
Clicks is price competitive with national retailers
The competency, capability and experience of the board, management and employees.
Directors and executive management develop and execute the strategy to create value for shareholders
14 673 permanent employees who provide customers with medicines, products and services
R126 million invested in employee skills development
Relationships with stakeholders influencing the business, primarily customers, suppliers, employees and shareholders.
Customers: Turnover R26.8 billion
R13.8 billion turnover from ClubCard members
R322 million cashback paid to ClubCard members
Employees: R2.8 billion paid to employees
Suppliers: R23.4 billion to suppliers of goods and services
Shareholders: R677 million returned to shareholders in dividends
The group’s operations have a low environmental impact.
Commitment to reduce carbon footprint and generate savings through energy and water efficiency
2 448 tons of recycling in supply chain
Refer to the creating value through good citizenship report