24/07/2024
Meet Ntate Tommy Makgatho, the inspiring owner of Bibi Cash & Carry, the largest black-owned retail operation in South Africa. Founded 31 years ago, it has grown to employ over 800 people with more than R600 million in turnover in 2015. Let's dive into his incredible journey. 🧵👇
It all started in 1976, a tumultuous year in South Africa. Amidst the protests against Bantu education, 18-year-old Tommy Makhatho walked out of school with nothing but hope for a better future.
Life was tough, but he was motivated to try anything. After two years, he landed a job as a waiter at the Carlton Hotel in Johannesburg. Little did he know, this would be the turning point of his life.
One day, Tommy met Brian Gule, a flamboyant hairdresser in a cowboy hat and boots, who would tip generously at the hotel. Curious about Brian's success, Tommy asked him about his profession.
To his surprise, Brian owned a successful salon in Soweto. He invited Tommy to see his business, and soon, Tommy found himself working temporarily as a shampooist at Blackwave salon.
By 1983, Tommy had become a full-time hairdresser and left his job at the hotel. The long queues of clients at the salon showed him the lucrative potential of the hairdressing business.
A year later, with some knowledge and a hairdressing certificate, Tommy started his own small salon. He saved around $700, enough to set up a backyard salon in Soweto. But it wasn’t easy.
Tommy’s first salon didn’t take off, and he had to return to Blackwave. Reflecting on his mistake, he realized the importance of planning and keeping clients.
Determined, Tommy and his wife Thandeka, a teacher, moved to QwaQwa to open a salon in 1984. This was a pivotal moment for them. By selling women’s clothing door-to-door, they managed to save up and grow their business.
Over four years, they opened six salons and saved $29,500. This success allowed them to start Jabula Cosmetics, a distributor of hair products around the Free State.
However, managing multiple branches became challenging, and they had to close some down. In 1993, Tommy ventured into the supermarket sector, opening the first Bibi Cash & Carry store.
The name "Bibi" came from his daughter Nwabisa, affectionately called Bibi by her younger brother. Tommy thought if a toddler could say it, everyone would remember it.
Despite closing some stores, the profits allowed the Makgathos to open more supermarkets. By 2010, they had established multiple stores, including their first in Johannesburg.
Tommy believes in aggressive advertising and placing his stores next to established supermarkets to draw in customers. This guerrilla marketing strategy paid off.
His success enabled him to buy a home in the luxurious Houghton Estate in Johannesburg and win the 2013 Sanlam/Business Partners Entrepreneur of the Year award.
Awards are a recognition of hard work, and they inspire Tommy to achieve even more. His son Setjaba, who joined the family business as a systems manager, shares his father’s vision and drive.
With a hospitality management qualification from Switzerland, Setjaba represents the future of Bibi Cash & Carry. Tommy sees another guaranteed 30 years of success with him on board.
Tommy dreams big. He envisions Bibi becoming a major player in the FMCG retail sector within the next decade. At 65, he’s still full of energy and even considers listing the company to raise more capital.
All this success stemmed from a single moment of curiosity over a cup of coffee. Tommy Makgatho’s journey is a testament to resilience, hard work, and the power of seizing opportunities.
Thank you for joining us on this journey through Ntate Tommy Makgatho's inspiring life story. Follow for more incredible tales of entrepreneurship and perseverance.
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