Woolworths expects its new WCellar liquor store at Dainfern Square in northern Johannesburg to generate as much as R200,000 in sales a week, after the High Court in Johannesburg overturned the Gauteng Provincial Liquor Board’s refusal to grant it a licence.
The store forms part of the group’s Food Emporium at Dainfern Square, which opened on 27 August as the first in Gauteng and the second in the country after Durbanville in Cape Town in 2025. The liquor board had turned down the licence on technical grounds, which left the WCellar section unable to trade when the flagship launched.
Woolworths brought an urgent application to protect the value of the format. According to Business Day, the court set aside the board’s reasons and found that the refusal carried substantial financial consequences for the retailer. The judgment, handed down last week, recorded that the group had spent about R3.5 million in capital expenditure on the premises and employed five dedicated staff at a monthly payroll of about R31,282.
| Item | Figure |
| Projected annual WCellar turnover | R10.4m |
| Projected weekly sales | About R200,000 |
| Capital spent on WCellar premises | About R3.5m |
| Dedicated staff / monthly payroll | 5 / about R31,282 |
| Group turnover and concession sales, FY2026 | R84.5bn (+4.3%) |
| Woolworths Food sales growth, FY2026 | 5.7% |
| Food share of group sales | 66.5% |
| Online share of SA Food sales | 7.3% |
| Group market value, August 2026 | R38.3bn |
The retailer projects annual gross turnover of R10.4 million from the outlet. The court accepted that each week of closure meant revenue permanently lost to competitors, and that the launch of the emporium was a one-off commercial event that could not be repeated.
WCellar, a premium standalone liquor brand taken to market about four years ago, was created to win back customers who had been buying their alcohol from rivals. In the emporium format, its wine alcove carries curated local and international ranges, many of them exclusive to the brand.
The case comes as new chief executive Sam Ngumeni, who took over on 1 June after leading the food division, reorganises the group around food. In his first letter to shareholders he described the food business as the group’s heartland, its main competitive advantage and its strongest business in economic terms, noting that it held its gross margin despite higher distribution costs.
In the year to 28 June 2026, group turnover and concession sales rose 4.3% to R84.5 billion. Woolworths Food grew 5.7%, ahead of the market, on-demand delivery revenue rose 19.6%, and online sales now account for 7.3% of South African food sales. The group spent R2.4 billion on capital expenditure during the year. Business Day has reported that weaker contributions from Country Road and fashion, beauty and home have increased the group’s reliance on food, and that Ngumeni’s R51 million share award depends on targets to be met by June 2031.
Momentum in food slowed later in the year, with second-half sales growth easing to 4.4% as produce and grocery categories softened. Fashion, beauty and home grew 4.4% for the year, led by an 11.7% rise in homeware, while Australian fashion brand Country Road returned to full-year profit. The group declared a total dividend of 199c a share, about R1.9 billion. Ngumeni, who has spent about three decades with Woolworths, previously ran the food division, now led by Chan Pillay.
The emporium format is the group’s response to sharper competition at the top end of grocery retail, where Checkers has expanded its FreshX and Foods stores. Woolworths has said the format, together with its Food Market and Local stores, is meant to serve customers however they choose to shop.