- South Africans have cut down on their spending in the past year
- According to reports, the average amount spent on one shopping trip fell from R210 in July 2018 to R194 in the first quarter of 2019
- Tiger Brands recent results proved consumers are more price-sensitive
Last year, South Africans were hit with a higher VAT and price increases on nearly all food products - and it has not gotten better since. With higher electricity prices, rising fuel prices and a technical recession, South Africans are understandably cash-strapped.
On Wednesday, Tiger Brands released its half-year results and it proved consumers are more price-sensitive.
Businessinsider.co.za revealed consumers have been spending less and less on each trip to the store. They also tend to buy a bigger pack if it is on special and offers value.
Briefly.co.za took a look at some of the facts gathered by research firm Nielsen for the first quarter of this year.
- A quarter of consumers stock up on premium brands that are on promotion
- The average shopping trips per month dropped by nearly half a percentage point less than in July 2018
- The average amount spent each trip also dropped from R210 to R194 in the same period
- 70% of consumers were more likely to buy a bigger pack if it is on special
- Almost two-thirds of shoppers are now comparing prices from different brands
- Large retailers were hit hardest by the difference in spending behaviour of consumers
- Newspapers are a choice medium for 40% of shoppers looking for specials
- Over the past couple of months, shoppers spend more on bread, toilet paper, canned pilchards, soap and other personal care and baby products
- However, there were a drop in the sales of maize meal, fresh and frozen chicken, chilled processed meats, flour and cooking oil.
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