The entrepreneurs who revolutionised the South African retail sector

With over 3,000 stores across apparel, homeware, sports, financial services, and telecoms, the Mr Price group has become a household name in South Africa. 

As the company celebrates its 40th birthday, the minds behind the successful franchise credit their success to their plan to disrupt the country’s clothing industry.

Mr Price began as a single store in Klerksdorp in 1985, owned by Stewart Cohen and Laurie Chiappini. 

Cohen received an MBA from the University of Cape Town’s Graduate School of Business (GSB) in 1969. He later became a founding donor to the GSB foundation, helping sponsor talented students to receive the same education.

Cohen began working as a retail assistant in Durban, where he then met his future business partner, also working on the shop floor in 1979. Chiappini was working at a separate clothing outlet. 

After observing the overpriced and inefficient clothing industry at work, the two shared a vision for revolutionising the sector.

“We knew there had to be a better way of running a business,” the founders said on the celebration of Mr Price’s 40th anniversary. “When we started, we weren’t building for tomorrow – we were building for decades.”

The pair built their first store on the idea of making fashionable clothing available to all at accessible prices.

Becoming a household name

To achieve this, they used a factory shop model, a reasonably new concept at the time that focused entirely on the product.

With support from family and friends, the first store in Klerksdorp was opened. The founders said that it was a success from day one.

“From the early years, we took bold risks – it was all about being first and learning fast,” said current CEO Mark Blaire.

The Mr Price formula was based on high volumes, low cost, and a strong ownership culture among employees. 

In 1986, the founders acquired a major shareholding in John Orr’s Holdings, taking ownership of the well-established women’s clothing chain, Miladys. 

The following year, the first group-owned Mr Price store and the second franchise store opened in Durban. 

The group began to branch out from the fashion industry in 1996 with its acquisition of Sheet Street, and later in 1998 with the opening of Mr Price Home, applying the same formula of offering affordable, high-quality products. 

By 2007, the group had expanded into Mr Price Sport, offering affordable sports equipment and clothing, and Mr Price Money, launching affordable credit and insurance solutions.

The group was included in the Johannesburg Stock Exchange’s top 40 index for the first time in 2012, the same year it launched an online shopping channel. 

In 2024, the group opened its 300th store. Profits have grown from R6 million in 1986 to R5 billion by 2024. 

The pair credit their success to their approach of making employees a part of the company’s share scheme, a model that has developed from Mr price’s inception. 

“When we started, we had a desire to ensure that every associate had a chance to be an owner in what we were building,” the partners said. 

“The creation of the group’s long-term share scheme was our solution to this. We have seen with great pride how this has supported our people to better their lives and that of their loved ones.”

Since its inception, the partnership share scheme has grown to include over 14,000 participants, with R381 million in dividends paid to associates.

A 19c share price in 1986 has delivered a return of 1,183% by 2025, and to date, has become the most shopped apparel and homewear retailer in South Africa. 

Looking to the future, the group is planning to open 200 new stores in 2026, revamp many major stores, upgrade technology and open a Gauteng distribution centre.

Chiappini retired from the Mr Price board in 2015, and his co-founder, Cohen, retired in August 2025.