South African lender First National Bank (FNB) and supermarket chain Boxer are expanding their partnership after strong customer demand for their 99-cent bread campaign, a sign that practical savings are becoming more important as households face rising living costs.

The initiative, launched for eligible FNB cardholders shopping at Boxer stores, has drawn thousands of shoppers looking to stretch their grocery budgets.

Both companies now plan to introduce more rewards and services aimed at lowering everyday expenses.

The expansion comes as consumers continue to feel pressure from higher food prices and tighter household budgets.

Banks and retailers are increasingly working together to offer savings that deliver immediate value at the checkout.

FNB said the early response shows customers are responding to rewards that help reduce the cost of essential items.

The bank expects participation to grow as awareness of the program increases across the country.

Bread campaign attracts strong demand

During the first month of the partnership, FNB issued more than 220,000 bread vouchers worth over R2.2 million($134,830) to qualifying cardholders shopping at Boxer.

More than R73,000($4,474) worth of vouchers have already been redeemed, with each voucher remaining valid for 31 days.

The Boxer rollout builds on FNB’s affordable bread initiative introduced with Pick n Pay in 2024.

Since then, the bank has issued more than 7.7 million vouchers valued at over R77 million($4.72 million), while redemption rates have tripled over the past 18 months.

Retailers focus on household savings

FNB CEO Lytania Johnson said many South Africans continue to make difficult decisions about how to manage their monthly income, adding that the partnership is designed to provide practical support where customers need it most.

Boxer CEO Marek Masojada said shoppers are looking for more than competitive prices.

He said combining Boxer’s nationwide store network with FNB’s banking services helps make everyday savings more accessible for families across the country.

More rewards planned for customers

The companies said future phases of the partnership will introduce additional rewards, broader point-of-sale access and new initiatives aimed at helping households manage essential spending.

Boxer, headquartered in Durban, is one of South Africa’s largest discount supermarket chains, while FNB is part of FirstRand, Africa’s largest bank by market value.

Together, the companies are using their national reach to expand affordable shopping benefits to more communities, including rural and semi-rural areas.

Christelle Pretorius, chief operating officer of FNB Retail and Business, said customers are focused on everyday needs such as buying food, getting to work and supporting their families.

Johnson added that FNB will continue working with trusted partners to develop practical solutions that help customers better manage their finances.