Small business pays the price for home delivery boom - IOL

Hava Java traditionally attracted pensioners who would do their shopping and then stop for coffee, breakfast or a slice of cake.

When Ayla Futter's family took over Hava Java, a small café just east of Johannesburg, in March 2024, they bought an established business with a steady stream of customers.

Within a month, Futter says sales had fallen by about 30%, which she attributes largely to fewer people physically visiting the shopping centre as home grocery delivery took off. “It's purely the lack of foot traffic,” she said.

For Hava Java, grocery shoppers were potential café customers. The business traditionally attracted pensioners who would do their shopping and then stop for coffee, breakfast or a slice of cake.

“Since the delivery service started, it's dropped drastically since then, and it's taken us a while to build back,” Futter said. More than two years later, turnover has still not returned to its previous level.

Previously, there was a different grocery store in the same spot, although it did not do deliveries, Futter said. The growth in home grocery delivery over the same period has been rapid.

Shoprite Holdings reported Sixty60 sales of R18.9 billion for its 2025 financial year, up 47.7% from the previous year. The service expanded to 694 locations and had delivered 100 million orders since launch.

Pick n Pay's online turnover increased 32.7% in the year to March 2026, while turnover through its on-demand platforms grew 37.6%. Its delivery offering is available through more than 620 stores.

Woolworths has also continued to grow home delivery, with revenue from its on-demand food service increasing 19.6% in the year to June. Online sales accounted for 7.3% of South African Food sales, after Woolies Dash sales grew 41.6% the previous year.

The familiar sight of Sixty60 bikes.

The possible knock-on effect on surrounding businesses has also been felt elsewhere in the world. A 2026 study in Pune, India, found small shopkeepers reporting declining foot traffic and sales as online shopping grew.

The study was small, covering 20 consumers and five shopkeepers, but also found retailers were responding by adopting digital payments, social-media marketing, online ordering and delivery services of their own.

For Hava Java, adapting has meant finding customers with reasons to visit that have little to do with grocery shopping.

The café has increasingly targeted professionals from surrounding businesses looking for somewhere to meet, work or have coffee, Futter told IOL. It has also secured a liquor licence, rebuilt its bar and expanded into evening trade, she said.

Late lunches, after-work drinks and weekend cocktails have helped, with Futter saying evening trade and alcohol sales have picked up over the past few months.

But rebuilding has taken money, said Futter noting that the restaurant is rather investing in additional customer experiences. The owner has not drawn a salary from the business for about two-and-a-half years, with the outlet’s income instead covering staff and operating costs.

“Every little bit that you do get in is constantly pumping into what can we do to make it better? What can we do to make it grow more?” Futter asked.

Futter added it’s “been a long two years of trying to push and grow. Getting there, but it's difficult”.

The café is also relying on something that cannot be delivered to a customer's door. “They know us, we're interacting with them,” Futter said of its regular customers. “They know that the waiters know their regular orders.”

For a small business unable to compete with larger players on price, she said: “You've got to compete on customer experience”.