A tidy wrap-up of Black Friday – Black November? – from Nedbank. Have a listen to what Privesan Naidoo, Executive: Trading Products is saying: “For the first time ever, our acquiring platform processed over R3 billion in settlements in a single day – an increase of 12.06% compared to the previous record.” Some more numbers: Overall transactional growth: the number of customers transacting grew +18% YoY on the day itself, with a +14% increase in the number of customers transacting online, and point-of-sale transaction volumes up by +14%. Interestingly, according to Nedbank, restaurants, wholesale stores, and the healthcare industry recorded the highest YoY growth, although supermarkets accounted for the largest share of spend, followed by Game Stores and Takealot. Among the supers, Clicks, Checkers and Woolworths achieved the most significant YoY growth. Fun fact: the highest transaction recorded for an individual by Nedbank was R551,128.

Comment: Black Friday is real, here to stay, and with a growing impact on our industry.

But what did the real shoppers on the shop floor (or indeed screen) have to say about the annual shopping bonanza after the fact? Following our pre-Black Friday survey a few weeks ago (read all about it here), Trade Intelligence partnered with our friends at Chirp once again to find out. While in our first survey more than half of our respondents were ‘five out of five YIPPEE!!’ excited about Black Friday, just more than a third were really impressed by the offers. And interestingly, although specials were run throughout November, almost nine out of 10 respondents shopped around the actual Black Friday and the Black Friday weekend only. What did they buy? Perhaps not too surprisingly in these straitened times, ‘groceries’ was the most widely shopped category, even among Gen Zs, most of whom had told us they were planning to spend more on fashion than groceries in our pre-Black Friday survey.

Comment: For many, many more illuminating insights, read our post-Black Friday 2024 article here. And perhaps start planning for Black Friday 2025 sooner rather than later.

According to the Small Enterprise Development Agency (SEDA), there are over 2.6 million small and medium enterprises in the Beloved Country, providing jobs to over 11.3 million people. Woolworths has increased its support for this sector by +42% over the last year, growing purchases from smaller vendors to R4bn, guided by its Inclusive Justice Initiative (IJI) that describes a commitment to doing good business, for its customers, its people and its communities. “Our approach to small business support takes into account that every enterprise is unique, and requires tailor-made support to grow,” explains Zinzi Mgolodela, Director of Corporate Social Justice. One such enterprise is Juan’re Clothing. “Over the past 21 years, the Woolworths partnership has helped us create jobs and deliver community support in southern KZN,” says CEO Bernard Gonzalves. “We now employ close to 300 employees, with women making up 95% of our machinists.”

Comment: It can never be business as usual in a country like South Africa, where the boundaries between business and government blur in service of the common good.

This time last year, Pick n Pay had just vacated the premises of its once-proud Hyper Vaal in Vanderbijlpark – a move apparently unrelated to its current store closure and conversion programme. Interestingly, the premises have now been taken by a Boxer and a Shoprite, directly alongside each other although with entrances in different wings of the mall – but nevertheless competing for the same punters, a theme we expect to see merging quite strongly in the months and years ahead. Sticking with Pick n Pay, the business is rolling out more Reverse Vending Machines (RVMs) in stores, and has now integrated Smart Shopper, allowing customers to earn points for placing their recyclable waste in the machine and spend them in stores on groceries, airtime, and other items of their choosing. Sixteen new machines have been rolled out to Gauteng stores, bringing the total to 30 RVMs nationwide. Next, SPAR is planning on opening its first premium outlet around April next year, with a view to rolling out three or four in the year as it takes on the posher players (Woolies, Checkers) at their own game. Finally, Boxer’s listing on the A2X saw 830,000 shares being traded for a value of roughly R53m. “With A2X’s lower-cost structure and competitive trading environment, Boxer shareholders will gain from both increased liquidity and trading options,” observed CEO Marek Masojada.

Comment: Six listed retailers in our sector again. The early signs of a shakeup are evident.

Big news from the informal and independent trade this week is that Yebo Fresh, a leading e-commerce platform dedicated to township communities, has been acquired by Smollan in a move that will reshape South Africa’s general trade landscape and boost these burgeoning but often undervalued economies. This strategic partnership merges Yebo Fresh’s digital innovations with Smollan’s extensive operational reach, retail data, and merchandising expertise. It does so by combining a unique mix of data insights, digital tools, and on-the-ground field operations, offering brands direct access to over 50,000+ spaza shops and more than 150 (midi) wholesalers across South Africa. Another key advantage of the partnership is the network of over 200 tech-equipped agents dedicated to servicing spaza shops and wholesalers. By leveraging Yebo Fresh’s innovative tech platform and Smollan’s extensive sales and distribution network, brands can now access unprecedented insights into purchasing patterns, category trends, and market gaps in the informal sector.

Comment: A powerful strategic partnership that promises exceptional service to clients who share the partners’ commitment to empowerment in township economies. For more on what this initiative can offer your brand or business, click here.

Some numbers from the largest manufacturer of consumer goods in the BC: Tiger Brands grew revenue just +1% to R37.7bn in the year through September, with volumes declining -6% as a +7% price hike during the period saw punters diving for the trenches. Tiger, you will recall, is in the midst of a turnaround plan that includes adjusting its product pricing, cutting costs, and reducing the number of brands and products it sells. To this end, it is looking at selling off a couple of its iconic lines, namely Ace maize meal and King Korn sorghum. The strategy appears to be paying off, if slowly: headline earnings, a reliable measure of profitability, grew +4% to R2.8bn. The gimlet-eyed men, and indeed women, among the analysts are sanguine: “[Tiger Brands] is simply on a winning streak, an overall good set of results, with the business gaining momentum on its strategy,” says senior equity research analyst at Nedbank Commercial Banking, Shaun Chauke.

Comment: A tough road back for any business executing a turnaround in SA right now. But Tiger seems to be ticking the boxes.

First, a trading update for Libstar, owner of Lancewood, Denny and Goldcrest honey, as it approaches its December year-end. It noted in its pre-close update for its year to end December that revenue until 22 November increased by +2.5%, with price and mix changes contributing 5.4% of this topline growth, even as volumes declined -2.9%. Ambient products (including condiments and meal ingredients) increased revenue +4.9%, while perishables were down -3.4% by volume on the back of declines in the quick service restaurant sector. Next, Astral Foods doesn’t fancy the chances of poultry being zero-rated for VAT by SARS, despite the fact that such a move could boost both the poultry industry and consumer welfare, projecting a potential +10% increase in sales. Next, Trump-proofing its business this week is P&G, which has overhauled its supply chain for the tiny, strips of stainless steel in its Gillette razors, shifting procurement to a cheaper Indian manufacturer, to help it offset higher costs from potential tariffs in Donald Trump’s second term as US president.

Comment: New tariffs in the US will create a busy market for even the larger businesses seeking to avoid them or defray their costs.

First the so-so news: South Africa’s consumer confidence slipped a point in Q4. Next the good: festive season retail sales are still expected to be at their best levels last seen in 2019, according to FNB and the BER. The consumer confidence index (CCI) hit a bit of a wobble in the fourth quarter, dropping to minus six points from minus five in the third, due to a marked depreciation in the exchange rate along with higher petrol prices and trade uncertainties following the re-election of Donald Trump in the US. But it’s not all doom and gloom – overall, a rise in consumer spending thanks to lower inflation and interest rate cuts suggests that a festive season of pre-COVID splendour is on the way. “A string of favorable developments has seen consumer confidence riding much higher since the second quarter of 2024, including the formation of a government of national unity, the termination of load-shedding, a substantial deceleration in inflation, two interest rate cuts and the implementation of the two-pot retirement system,” says FNB chief economist, Mamello Matikinca-Ngwenya.

Comment: And on that pleasing note, we conclude our year.