Walmart already having a big impact on South African shopping malls

The launch of Walmart’s first store in South Africa on 22 November saw Clearwater Mall’s foot traffic more than double from its average. 

Clearwater Mall’s foot traffic on 22 November was 85,000 compared to the average on a normal Saturday of 37,000. 

This was revealed by Clearwater’s owner, Hyprop Investments, in its operational update for the four months ended 31 October 2025. 

Hyprop is one of South Africa’s largest landlords and is the biggest specialised shopping centre real estate investment trust on the JSE. 

In recent years, the company has been shifting its portfolio towards the Western Cape and Eastern Europe, with Gauteng playing a smaller role within the company. 

It owns some of South Africa’s most prized shopping mall assets, including Canal Walk, Somerset Mall, Hyde Park Crossing, and the Rosebank Precinct. 

In its operational update, Hyprop outlined some of the changes it has made at its shopping malls to increase their trading density and enhance tenant mix. 

For Clearwater Mall, Hyprop said the launch of the first Walmart-branded store in Africa was a highlight for the shopping centres and signalled strong growth to come. 

“On the day the Walmart store opened, foot count was circa 85,000 compared to the average 37,000 on Saturdays,” Hyprop said. 

Hyprop also welcomed several new stores to Clearwater Mall during the four-month period, including Shoprite’s Uniq, Hey Dude, and Value Co. Refinery and Sterns were revamped. 

Clearwater Mall is set to get several new stores in the coming months, including a Steers and a Debonairs. The mall is also introducing a new e-hailing waiting area. 

Hyprop said its nine retail centres in South Africa continue to perform well, despite the tough economic environment in South Africa. 

The company managed to grow the turnover and trading density of its South African portfolio by 5.3% and 8.5%, respectively, compared to the same period a year earlier. 

The retail vacancy rate improved significantly, from 4.2% in June 2025 to 3.2% in October 2025, driven by our successful repositioning and rightsizing initiatives, coupled with robust leasing strategies. 

The weighted average reversion rate remains strong at 8.5%, while the new retail deal reversion rate reached 32.8%.

Walmart coming after Checkers and Pick n Pay

Walmart has made its intentions in South Africa clear, with its launch at Clearwater Mall including a direct comparison between its prices and those of two local retailers. 

Massmart, which operates Walmart in South Africa, said the store stocks a wide and carefully curated assortment of quality products.

These products range from groceries and household essentials to electronics and apparel at Walmart’s signature Every Day Low Prices.

It added that customers can expect low prices every day, exceptional customer experiences, and meaningful community impact.

“Walmart’s promise to South African customers is clear: to provide high-quality products at prices they can trust,” Massmart said.

“With the opening of our Clearwater store, customers on the West Rand will be able to shop on their own schedule,” said Massmart CEO Miles van Rensburg.

During a media briefing at the Walmart store in Clearwater Mall, Massmart COO Dries D’Hooghe shared the results of a pricing comparison.

He said their competitors were going all out with promotions to make their offering more attractive ahead of Walmart’s launch in South Africa.

Massmart conducted a pricing comparison of a basket of goods, where Walmart easily outperformed other retailers.

The basket of goods at Walmart costs R1,680. The two competitors, which Massmart did not name, were significantly more expensive.

Competitor 1 charges R1,713 for the same bundle of products, and the second competitor charges R1,868.

However, this takes promotions into account. Without promotions, the competitors’ prices increased to R1,895 and R1,901.

“This is not a gimmick. These are real till slips, and this is what Walmart’s Every Day Low Price means,” he said.

“We will keep this price every day of the week and every day of the month. We take out all the hassle to get the lowest prices,” he said.

“This is the concept that made Walmart great and the number one retailer in the rest of the world.”

He added that, over time, people in South Africa will realise that Walmart does not offer promotions but instead provides the lowest prices.