South Africa has the 3rd most discount-obsessed consumers in the world
Consumers are being trained to buy on promotion.Kerith Botha, MD - Nielsen Connect
About 30% of all fast-moving consumer goods sold in 2018 in South Africa retailed at a discount.
Only consumers in the UAE and Australia are more bargain-crazy than South Africans.
A survey by research company Nielsen shows that a glut of promotions by retailers have made South African shoppers used to buying on sale and resistant to buying at regular prices.
Nielsen estimates that more than two-thirds of promotions result in losses for retailers.
Listen to the interviews in the audio below (and scroll down for quotes from it).
We are very much a price-sensitive country… the second-most price-sensitive in the world…Kerith Botha, MD - Nielsen Connect
…23% of consumers in South Africa feel worse off than five years ago…Kerith Botha, MD - Nielsen Connect
This country is completely oversaturated by retail outlets… We’re seeing discounts of 20%, 30%, 40%... I’ve never in 25 years seen such distortions…Evan Walker, Portfolio Manager - 36ONE Asset Management
Jacobs coffee normally is R110. On promotion, its R80.Evan Walker, Portfolio Manager - 36ONE Asset Management
We have the most oversaturated retail space in the world… by far…Evan Walker, Portfolio Manager - 36ONE Asset Management
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