Set against ongoing economic pressures, South African consumers are showing unexpected financial resilience, with new KLA research using YouGov Profiles+ revealing that 83% plan to increase their savings in the coming year — a notable shift in behaviour toward greater caution and long-term stability.
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The study, based on responses from over 39,000 South Africans, reveals a nation of increasingly savvy shoppers who are making every rand count through strategic spending and diversified savings approaches.
This paints a picture of transformation in consumer behaviour, with 68% expecting their household finances to improve within the next year. The optimism is paired with high levels of value-consciousness: 84% report they are always on the lookout for special offers, while 83% consistently use sales and coupons when shopping.
The rise of the smart shopper economy
The study reveals that value-seeking behaviour has become the norm rather than the exception in South Africa. Over 90% of respondents have used some form of discount in the past six months, with gift vouchers (57%), promotional deals (52%), and online promo codes (52%) ranking as the most popular savings methods.
Only 8% reported not using any discounts at all, highlighting the near-universal adoption of strategic shopping habits.
Interestingly, South African consumers are selective about their price research efforts. The data shows that 52% use price-comparison websites for mobile phones and accessories, 40% for electronics, and 35% for computers. However, only 29% compare prices for groceries, suggesting that consumers focus their research efforts on high-value purchases where savings potential is greatest.
Diversified savings strategies emerge
While traditional savings accounts remain the most popular choice at 73%, South Africans are increasingly diversifying their savings vehicles. The study shows 37% now hold Tax-Free Savings Accounts, 27% use fixed deposits, and 25% contribute to retirement annuities.
Also, 18% participate in stokvels, demonstrating a blend of formal banking tools and community-based savings methods unique to the South African context.
When it comes to perceived value, certain retailers have successfully positioned themselves in consumers' minds. Checkers (48%), Shoprite (47%), and Pick n Pay (47%) top the list for "good value for money", followed by Spar (45%) and Makro (40%). This suggests that consistency in value delivery, rather than simply offering the lowest prices, drives consumer perception.
Strategic implications for business
The findings present clear opportunities and challenges for businesses operating in South Africa:
- Value-seeking is permanent as price sensitivity has become embedded in consumer behaviour, requiring brands to build loyalty through consistent value delivery rather than occasional promotions.
- Digital engagement is critical, with consumers’ high usage of online promo codes and comparison tools, brands must prioritise digital channels for engagement and value communication.
- With 83% planning to save more, there is significant potential for financial institutions to capture new savers through accessible, goal-based savings products.
- Consumer perception of value extends beyond price to include quality, consistency, and brand trust, requiring a holistic approach to value proposition.
The data reveals that South African consumers are not simply tightening their belts in response to economic pressure – they are fundamentally reimagining their relationship with money.
This shift from reactive cost-cutting to proactive value-seeking represents a structural change in the market that businesses must adapt to or risk being left behind.
