According to Trade Intelligence Research, the South African shopping basket has seen some interesting changes over a year of disruptions: some baskets are smaller, as many South Africans are now without their earlier COVID-19 grants, and where they are larger, they are frequently filled with products included in combo deals and multi-buy promotions. These multi-buy promotions are seen by retailers as a strategy to drive basket size, and by shoppers as an opportunity to pantry load on their favourite products, while stretching every rand as far as possible. So, do our beleaguered shoppers have the wherewithal to cash in on these deals? Short answer, not always. Recent multi-buy promotions positioned for the relatively quiet mid-month period saw mixed responses from shoppers, with the same promotions by one retailer cleared out in some stores, yet unsuccessful in others. In these low engagement stores, shoppers complained about the poor timing of these multi-buy promotions, as they require significant investment – which for many households is only available at month-end payday. If you are after a better understanding of shoppers and how to attract them on the shop floor, have a look at our recently updated and enhanced Shopper Marketing at Retail report here.
Comment: Successful promotions are a delicate balance, where, particularly in our context, timing and geographical location are just as critical as product and price.