Innovative way to reduce plastic launches in Alex
An enterprising entrepreneur has developed a way to reduce the plastic waste that is plaguing the country by introducing a grocery refill outlet in Alexandra.
Many informal areas in South Africa are drowning in waste due to a lack of waste collection services but one entrepreneur has decided to tackle this challenge through the launch of his first grocery refill dispensary outlet in Alexandra.
Driven by the need to reduce single-use plastic in the area, Miles Khubeka, the CEO and founder of Gcwalisa [fill-up], developed the concept of a refill dispensary outlet. These outlets provide low-income communities the opportunity to purchase staple household food items at variable quantities, using their own refill dispenser to suit their budget.
“Low-income consumers dedicate a significant portion of their income to buying food,” said Kubheka.
“These households are most at risk when their income drops, or food prices increase unexpectedly.
“Many of these families live in households that cannot purchase large quantities of food at one time, hence the prevalence of spaza shops in these areas. This traditional retail model does not benefit these consumers as they are forced to bear the brunt of high food prices.
“I was exposed to the refill business model as a young boy when my mother asked me buy items such as tea, coffee and sugar. From these experiences, I saw an opportunity to disrupt the traditional retail business model of buying more than you need.
“Our unique proposition is to create a direct channel between the producer and the consumer. We purchase the products directly from the manufacturer, so consumers have the opportunity to purchase more affordably priced household items.
“Further to this, our business model enables brands to supply the informal market in bulk using a branded refill dispenser.”
Kubheka added that customers can then purchase their groceries in micro-sizes.
His future plans for the business include scaling to other townships and rural areas across the country, as well as disrupting the traditional retail model. Each Gcawlisa outlet will provide employment for four staff, creating job opportunities in vulnerable communities.
Kubheka came across the SAB Foundation Social Innovation and Disability Awards and it since offered him the opportunity to access mentorship and funding to develop his business and his skills. It also enabled him to interact with like-minded entrepreneurs to share ideas.
Kubheka was selected as a finalist for the awards in 2021 and went on to win R500 000 to invest in his business. In addition, he was assigned a mentor to provide him with business support and an opportunity to develop his business skills.
He then used the funding to establish the first dispensary outlet, purchase stock, equipment and secure the premises. “Without this and the mentorship received, I would not have been able to realise this dream.”
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