Consumer spending in South Africa grouped based on type of goods bought

Category: Consumer spending
Date:28 September 2016: 

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We take a look at what product types South African consumers are spending their money on, and group it based on:
  • Durable Goods (Goods bought that is meant to last a long time. Usually 3 years and longer)
  • Semi-durable Goods (Goods bought that lasts up to around 3 years. Items such as clothing)
  • Non-durable Goods (Goods bought for consumption and use. Food, consumables such as face wash, earbuds etc)
  • Services -  (Services such as medical services, domestic workers/gardeners etc)

Note data is for the year 2015 (and it is based on 2010 Constant Prices). I.e. effects of inflation has been removed.

Contribution of the different groups to total consumer spending

chart created with amCharts | amCharts
The pie chart below shows total consumer spending per group (and the values are expressed as 2010 Constant prices). Constant prices refers to prices for which inflation has been removed.

From the pie chart above it is clear that the biggest contributor is Services with Non-durable goods the 2nd largest contributor and the smallest group being Semi-Durable goods. The next couple of graphics will break down each of these groups into more detail.
Durable Goods
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chart created with amCharts | amCharts
From the pie chart above it is clear that the biggest contributor to the spending on Durable Goods is Personal Transport Equipments, with it making up roughly 57.3% of total spending on Durable Goods (this would include all motor vehicles and motorbikes consumers buy for their daily travel). The second biggest contributor being furniture and household appliances such as TV's etc). Smallest contributor to the group being computers and related equipment, with it making up only around 3.7% of total spending on Durable goods.
Semi-Durable Goods
chart created with amCharts | amCharts
From the pie chart above one can see that Clothing and Footwear dominates the Semi-Durable Goods category, with it making up almost 59% of this group, followed by Household Textiles, Furnishing, Glassware etc.  Recreational and entertainment goods (sporting equipment etc) being the smallest contributor to the group with only 7.6% of total Semi-Durable Goods

Non-Durable Goods
chart created with amCharts | amCharts
No suprise to see that Food, Beverages and Tobacco dominates the Non-Durable Goods group, with it making up almost 64% of spending on Non-Durable Goods, followed to a distant 2nd and 3rd place for Household Consumer Goods (personal care items, such as spray, toothpaste, soap etc) and Household fuel, power and water respectively. 

Lastly a breakdown of the biggest contributor to consumer spending, namely Services, which makes up around 43% of total consumer spending. 

Services
chart created with amCharts | amCharts
Rent is the biggest contributor to the Services group in household spending, with it making up a quarter of the group (24,7% of total spending on services). Transport and communication services coming in at a close 2nd place (this would include taxi fares, license renewals, vehicle registrations etc), with 22.7% of total spending withi the services group and miscellaneous services (insurance groupings- Life, Vehicle, Building, Building Content etc) coming in at 3rd place with 21.8% of the services grouping.

Spending on domestic workers and gardeners makes up about 5.5% of total spending on services (and with Services making up around 43% of total spending), spending on domestic workers and gardeners and the likes makes up around 2.4% of total consumer spending.

While this blog post looked at consumer spending per group, please see the links below for consumer spending based on income:

http://www.southafricanmi.com/sa-consumer-spending-patterns.html

And consumer spending pattern changes over time:

http://www.southafricanmi.com/blog-15sep2016.html 

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