A commerce graduate from the University of Capetown, South Africa, a passionate retailer, adjudged the Outstanding Young South African in 1965 aged just 34, appointed Managing Director of Checkers- a growing retail food chain in South Africa aged 35, fired the same year and eventually resurrecting his career only to make it bigger. This is an incredible story of one of the most prominent and influential businessmen to have emerged from the African continent. This is the story of Raymond Ackerman who pioneered retailing, taught the world its fundamentals , fought for the cause of the Customer and championed ‘ Customer Sovereignty ‘ his famous business philosophy.
Ackerman joined the Greatermans Group in Johannesburg aged 20 as a trainee manager and though he was very young his bright intellect and extremely perseverant demeanour did not go unnoticed. Norman Herber, the Chairman of the Group decided to start a food retail chain called Checkers on the lines of food retailing supermarkets that were just beginning to appear in South Africa in the early 50s. Seeing Raymond Ackerman’s energy, Herber decided to put Ackerman incharge of the nascent fledgling business just to test the waters. However Ackerman made Checkers a resounding success in South Africa, which led him to the Outstanding Young South African Award in 1965 and a year later he was made the MD of Checkers. However, life took an unexpected turn for the 35 year old Raymond Ackerman, which made him the icon he is today.
Within a year of being appointed as the MD of Checkers, Raymond Ackerman was fired from his position. What led to his unceremonious removal is still not clear, but Ackerman had to go. Hugely disappointed by this bolt from the blue, a distraught Ackerman decided to fight it out. With funds from his severance package, some help from friends and a bank loan, Ackerman bought 4 retail stores of Pick n Pay in Capetown and set about developing the stores in a mission mode putting all his experience from his stint at Checkers. It was a hard hard grind but efficient administration, quality products and service and continuous promotion with focus on Customer Centricity led to sustainable growth of Pick n Pay.
According to Ackerman he always focussed on 4 vital components of his business which he called the legs of a table.
Administration
Merchandise( products and service for me )
Promotion
Social Responsibility (giving back to society. The more you give the more you get)
These 4 legs had to be strengthened and had to compliment each other to have a well grounded and balanced table akin to a stable business. However all this had to be accomplished with the consumer in mind . The consumer had to be at the centre of any strategy or decision on any of the 4 legs. For Ackerman the consumer wielded immense power and his/her dominion was supreme. The consumer was indeed sovereign and thus ‘ Customer Sovereignty ‘ as a business philosophy was developed and practised by Ackerman. “ Fight for the Customer and she will fight for you “ are the words of Raymond Ackerman and his key to success in retailing. It’s no surprise that Ackerman campaigned and lobbied strongly for Consumer Rights.
In my opinion Customer Sovereignty has to be acknowledged in any business or profession and not just retail. The consumer who may be a patient to a doctor and a client to a lawyer, architect , chartered accountant etc., is always supreme, which is an undeniable fact . The 4 legs of a balanced table too should be a part of any business. This will only lead to better services, happy customers and a progressive, developed society.
“ You are in the business for the consumer, like a doctor is there for his patients. The more you care about your mission, the more successful you’ll be “, an all encompassing quote from Raymond Ackerman and a few lessons learnt.
Raymond Ackerman is now 91 years old. His Pick n Pay is one the largest chain of retail supermarkets in South Africa and in other countries in Africa. It is a massive business employing more than 45k people across 450 plus stores. His passion still continues to burn.
Let’s keep our four legged table balanced and the Consumers Happy !!…the Raymond Ackerman way.