Latest news with #BrandMapp
Zawya
08-07-2025
- Business
- Zawya
Saving and investing choices of the South Africa consumer class
South Africa's national savings month arrives this July, in another year with the economy still grinding in low gear and unrelenting global uncertainties. For those managing to save and invest, the challenge is staying the course to ensure long-term financial health. According to the BrandMapp 2024 dataset, 80% of the country's consumer class has savings and/or investments. The annual survey describes the 13.5 million South African adults living in households with a R10k+ monthly income, covering 100% of the taxpayer base. Brandon de Kock, BrandMapp's director of storytelling says: 'In many ways, the savings journeys we have mapped are what you would typically expect of the educated, employed mass market at their different stages of life. Your savings and investments are all about your financial capabilities. And so, it's not surprising that the younger generations, just setting out on the journey, have simpler portfolios, while those of the older generations are more diverse and sophisticated.' Cash, saved in the bank, is king for SA taxpayers When it comes to deciding how to save, the most popular choice is banked savings. 30% of the consumer class have money in the bank that is kept aside from their monthly cash flow. It's appealing to both young and old, with 32% of Gen Z and 35% of Boomers opting for banked savings. De Kock says: 'This is interesting if you are an investment house because it means that money in the bank is your biggest competitor. Perhaps, this is just a natural human response to the current upheavals in markets, and a reflection of today's high level of consumer uncertainty. It's the financial equivalent of food in the freezer!' Burial schemes (28%), pension and provident funds (28%) and retirement annuities (24%) are also top saving and investment channels. 18% of the consumer class have tax-free savings accounts and 10% are saving in money market accounts. Tradition vs tech-driven investing A relatively small group of 14% of the consumer class invests in shares and 7% in unit trusts. There's also 7% investing in cryptocurrencies. De Kock says: 'The picture that we get from the data is that investing in crypto, at this time, is more of a gamble, a bet on the future, than an investment. It's very youth-oriented, dominated by Millennials and dramatically skews male, with men more than twice as likely to have crypto than women.' Stokvels have evolved Once a community-based resilience savings tool for the working class, stokvels are still a feature of the South African savings and investment landscape, and a significant choice for 14% of the country's mid-to-top income earners. De Kock says: 'This is most likely because, over the past decades, stokvels have evolved considerably with major banks offering stokvel‑specific accounts, insurance perks, digital tools and secure banking. "Some of today's stokvels also include investment components, so the purpose of the association is not necessarily just saving for emergencies. Stokvels are one of the few savings and investment vehicles where women are more likely than men to be invested.' Saving and investing in South Africa reflects both the resilience and adaptation of the country's mid-to-top earners. De Kock concludes: 'There's no doubt that the majority of people living in South Africa – the millions who live in households earning less than R10K per month – are constantly in 'survivor mode' and it's a struggle to just put food on the table. "But what the data shows is that if you're fortunate enough to have a job and you do have money left over once you have made ends meet, the inclination is to save or invest. Whether rooted in tradition or embracing digital channels, we are seeing a consumer class that is finding ways to move forward in saving and investing, even if it's along an economic road that is rocky.'
Zawya
13-06-2025
- Business
- Zawya
5 things you might not know about South Africa's youth consumer class
Young South Africans between 18 and 37 years, internet-connected and living in households with incomes of R10k+ a month, now make up the majority of the country's tax paying base. This 'youth consumer class', a blend of older Gen Zs and younger millennials, were born into democracy and are now old enough to carry its weight. Their context is defined not just by Wi-Fi and WhatsApp, but by inequality, hustle culture, load shedding, resilience, and hope. While their counterparts in lower income communities are unfortunately still mired in the unending battle for educational and job opportunities, the country's youth consumer class is largely well-educated or getting there, and 24% of them are already earning R20k per month or more. They are making smart decisions by choosing industries with growth potential, upskilling online, and leveraging digital tools to manage money, build personal brands, and work independently. According to the latest BrandMapp survey, 77% of our youth consumer class are Black South Africans, reflecting gradual economic transformation. BrandMapp's director of Storytelling, Brandon de Kock says: 'Too often, youth are seen only through the lens of unemployment. But that's just one side of the story. A huge number are already participating in and reshaping the system from within. They are hyper-connected, socially aware, media-savvy, pure digital natives. "By rethinking careers, finances, and what it means to 'make it', they are defining adulthood on their terms. They are also changing the game for all of us in how they spend, live, move, and choose brands. As the first fully digital generation navigating adult life against a backdrop of economic pressure, social change, and constant digital acceleration they have an incredibly interesting story to tell of being young in South Africa.' SA's youth consumer class skews female According to stats SA, there is a 51–49% female–male split in the South African population, but when you put a 'youth consumer class' lens on this data, it shifts radically to 65% female and 35% male, which is very much in line with published statistics from the education department regarding the female skew in university graduates for the past few years. Adding context, WhyFive's Youth strategist, Ashleigh Cumming explains: 'The dominance of females in the youth consumer class is highly relevant because there is such a difference in shopping behaviour between the genders. This may sound like a generalisation, but our data shows it to be true: female consumers drive more frequent and diverse categories of spend including food, beauty, fashion, health, education and home. They tend to plan ahead and budget carefully while leaving some room for emotional or 'reward' buys. "Male consumers tend to be more goal-oriented in shopping. They are interested in fewer categories, browse less, and have a more 'get what I came for' approach. On the other hand, male consumers often spend more per transaction, especially in electronics, alcohol, and personal tech. As traditional consumers age and shrink as an economic force, this youthful, female-skewed base is where growth will come from in retail, financial services, tech, healthcare, and education. Ignore them, and you risk becoming irrelevant. Invest in them, and you can build loyalty that starts early and lasts long.' Outlook on SA is far from rosy Well-educated and motivated, the taxpaying youth consumer class are unfortunately noticeably less anchored to South Africa's future. Nearly half, 49%, have their passports ready and say they are likely or very likely to emigrate in the next five years, compared to just 26% of older adults. Turning that desire into reality may prove more difficult than they think, but the fact remains that in terms of 'intent', a large percentage of our most educated, highly skilled young people clearly see greener grass outside the borders of South Africa. Cumming says: 'Whether it's about staying ready to move or redefining what success looks like, we also see that South African youth are shifting away from traditional ownership. Owning a home and buying a car is no longer the ultimate goal – instead, they're choosing flexible access to what they need, when they need it. From renting apartments and using e-hailing services to streaming content on demand, this generation is choosing convenience over commitment. Today's youth value mobility and experience over permanence. They want the freedom to move cities, switch careers, or work remotely, and rigid ownership models just don't fit that lifestyle. 'However, when it comes to social causes, they are not afraid of commitment. 86% of the youth consumer class show up for what matters, with education, gender-based violence, health and youth issues at the top of their list.' Freedom to live their best lives As true born-frees, the youth consumer class is almost twice as likely as older South Africans to be themselves and support those that express individuality. In line with global estimates, 9% identify as LGBTQ+. 40% of those who don't, still support the movement compared to just 26% of older generations. Is SA their land of hope and dreams? Aligning with the high rates of young consumers considering emigration, only 37% of youth say that they are optimistic about the future of South Africa, while 41% are unsure. Cumming notes: 'That's a large portion caught between hope and frustration. Uncertainty isn't apathy, perhaps it's a response to a system that keeps letting them down? When you consider that a whopping 41% of the youth consumer class also say they have aspirations to start a business – entrepreneurial energy that the country needs so badly, it begs the question of what South Africa needs to do to not only get more young people upskilled and into the workforce, but also how it can be the place that meets the aspirations of the well-educated, working youth segment.' Always online – the generational difference Masters of the digital landscapes they grew up in, like their global counterparts, South Africa's youth consumer class is exceptionally connected. Their use of generative AI, gaming and streaming services all outstrip the older generations. 68% are streaming music, 42% are job hunting and 26% are upskilling online. De Kock concludes: 'What we are seeing in the emerging youth consumer class is a group of powerful young taxpayers who are employed, connected and active in the economy. Despite economic constraints, they are influential, vocal and central to the future of consumer markets. Rather than focus on traditional home and car ownership, they are hungry for better jobs and far more likely to want to start their own businesses. That kind of ambition isn't just personal – it's the spark South Africa's economy needs.'
eNCA
24-05-2025
- Entertainment
- eNCA
Music beats out all other pastimes
JOHANNESBURG - We all know South Africa is a singing, dancing nation. And now the 2025 Global Music Report has confirmed that music strikes a chord. A BrandMapp survey also shows 58 percent of respondents said music is their top pastime. It comes ahead of movies, cooking, reading, dining out and even travel. The survey also shows that people enjoy live music more than they do live sports.
The South African
13-05-2025
- Entertainment
- The South African
South Africa's favourite hobby revealed — and it's not sport
South Africa's favourite hobby is music. That's according to a new survey, which shows that 58% of people in households earning over R10 000 love their beats more than any other pastime. The BrandMapp survey is the largest survey of the country's tax-paying base, run by consumer insights consultancy WhyFive. The study, released earlier this month, shows that music is more popular than even travel and sport. The survey also reveals that music is a beloved hobby across generations. In fact, all demographics are crazy for their favourite tunes. Music narrowly beat travel to become South Africa's favourite hobby. The other most popular pastimes include watching movies, cooking, reading and dining out. South Africans are famously sports-mad. But it turns out that music comes ahead of the country's sports teams, with award-winning artists regularly filling stadiums. 62% of adults intend to go to a large-scale live music event in 2025. That's compared to just 41% who plan on going to a live sports event. R&B, gospel and soul are the most popular music genres. The BrandMapp survey shows that, after the weather and the news, South Africans are most likely to search for music online. Furthermore, Gen Z and Millennials search for music online more than anything else. But South Africa's favourite hobby isn't only popular with young people. It seems that this pastime strikes a chord with older South Africans, too. 'Even when we apply filters like generation, ethnicity, or gender, music consistently tops the charts,' said Brandon de Kock, Director of Storytelling at BrandMapp, in a statement. He added: 'Like cooking on fire, music is one of our unifying forces – even if our musical tastes vary. It's part of our DNA. No matter what else is happening, South Africa's consumer class needs to feed the soul – and music remains the favourite way to do that.' Let us know by leaving a comment below or send a WhatsApp to 060 011 0211. Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X, and Bluesky for the latest news.
Zawya
28-03-2025
- Business
- Zawya
How the South Africa consumer class cuts costs?
When Finance Minister Enoch Godongwana delivered the 2025 National Budget Speech on 12 March, the nation wondered if the GNU was really taking the country's cost of living crisis by the horns and wrestling it to the ground. Concerns about the impacts of the value-added tax (VAT) increases over the next two years, rising costs of debt servicing and the lack of decisive strategies to tackle rising consumer costs have risen out of the dust. Brandon de Kock, director of storytelling at BrandMapp says, 'By the fourth quarter of last year, South Africa's consumer confidence index was at -6 points. It's not the worst it's ever been, -36 points in 1985, and far from the best at 26 points in 2018. But it's a notable recovery from the recent pandemic lows which fell to -33 points in 2020. Take a step back and it looks to be a clear indication of the resilience of South Africa's consumer class who have quite a few tools at their disposal to deal with the rollercoaster of life.' Shifting demographics in the consumer class The latest BrandMapp survey, which tracks the behaviours and sentiments of South Africans living in household with disposable incomes, from R10k a month to the millionaire class, provides insights into how the consumer class (which they define as those adults who can freely buy goods and services above their basic survival needs) are financially managing their households. Despite the sluggish economy and the cost-of-living crisis, De Kock says, 'The important context to bear in mind here is that according to the latest National Treasury data, the consumer class in South Africa grew at about 7.5% last year, which means it outpaced inflation.' 'However, the growth of the consumer class is not spread evenly across the different income brackets. If you divide the personal income earners of SA into the core consumer class earning R10k to R30k per month, the Top Enders earning R30K to R80K and the Millionaires earning R80K or more you start to see some interesting shifts. The core represented 56% of all taxpayers back in 2020, but now it only represents 46%. It means there's a significant rise in the Top End with more than half of the consumer class, 54% now sitting in the R30k to millionaire income brackets. While this is obviously not great for the country's gini coefficient, it appears that while the rich are getting richer, the number of people earning relatively high incomes, living aspirational lives and driving potential growth seems to be increasing at an equally rapid rate.' What costs are the SA consumer class cutting? When it comes to strategies to deal with the rising cost of living, BrandMapp shows that there's not much difference between mid-income and top-end earners, the exception being that middle income earners are 50% more likely to be considering getting a second job. Around a fifth of the consumer class are thinking of cancelling Dstv, spending less on alcohol and their mobile data packages, while less than 10% are thinking about cancelling some insurance and downgrading their medical aid. De Kock says, 'What's interesting is to see that some of the habits we learned during the pandemic are hanging around like long-Covid. 35% of the consumer class are considering cutting back on clothing budgets and 31% say they are likely to go out less to the movies and restaurants. All-in-all, with home grocery delivery, meals-on-wheels and streaming services, a mid-to top-income South African home is a comfortable place to be, and we have learnt that staying home more in our trackie pants is a relevant cost-saving strategy.' GENERIC: Does the province you live in shape your cost-saving strategies? If you live in Gauteng, you're more likely to deal with rising costs by working more with 28% of the consumer class in the province saying they are open to taking on a second job. By comparison, a side-hustle is only attractive to 23% of KwaZulu-Natal respondents and 21% of those in the Western Cape. Gauteng consumers are also more likely to cancel Dstv and cut back on alcohol. However, their enthusiasm wanes when it comes to going out less to movies and restaurants (31%) or staying home for the holidays (16%). By contrast, these are top strategies for Western Cape consumers with 36% content to go out less and 19% considering staying home for the holidays – perhaps, it helps to live in the country's top tourism region. The top three cost-saving strategies for KwaZulu-Natal are 28% considering going out less to movies and restaurants, 23% getting a second job and 19% cancelling Dstv. How will the different generations stretch their budgets? Not surprisingly, South Africa's well-heeled boomers are the least likely to be thinking about any cost-saving measures, and at the other end of the scale, Gen Z and Millennials are the most open to a wide range of ways to cut their expenses. De Kock says, 'What we see is that going out less to movies and restaurants, staying home more and cutting back on clothing budgets are major strategies across all generations, which mirrors our Covid cost-cutting habits. Millennials are the most likely to cut back on alcohol (24%), get a second job (30%) and spend less on clothing (38%), while Gen Xers are mostly likely to withdraw from their pensions (11%) and cancel Dstv (24%). 36% of Gen Z are hoping that going out less to movies and restaurants will help get them through the month, and 29% are considering staying home more. 28% are thinking about changing where they shop to find the best prices.' The cost-cutting gender divide – clothes and alcohol De Kock says, 'There's an interesting story in the differences between the ways that women and men are approaching the cost-of-living crisis. Women are 50% more likely than men to consider cutting their clothing budgets and changing where they shop for groceries. In a switch around, men are 50% more likely than women to be thinking of cutting back on alcohol and withdrawing funds from their home loans. Women are also more likely to be looking for a second job than men, and more willing to clean their own house.' In the end, lower prices win the day For retailers and brands wanting to meet the South African consumer in the moment, it's crucial to grasp how important pricing and promotions are across the mid- to top-earning households. 'When we ask them about general shopping habits, 58% of South Africa's consumer class say that they always look out for sales and discounts,' concludes De Kock. '34% say that the lowest price is the top factor when choosing where they shop – more important than convenience, quality and value. The youngest consumers are most hooked on the lowest price with 39% choosing a store on this basis.' Visit for an overview of what's in the new data.
