Page 7 - HGR March 2018
P. 7


SA consumer starts 2018
on a stronger footing

South African consumer                    Including the effects of inflation, retail   in the months to come.”
  spending for January                  sales for January 2018 grew 7.3 percent          Key findings of the Mastercard
                                        year-on-year. Inflation contributed just
2018 climbed 3.8 percent                3.5 percentage points to overall sales         SpendingPulse South Africa January 2018
    year-on-year after                  growth, the lowest levels seen since           report include:
                                        SpendingPulse started tracking South           • January 2018 recorded more sales
 removing the effects of                Africa in 2013.
  inflation, marking the                                                                 volume than each of the five prior
  same pace of growth                     “January retail sales show an                  January periods.
 the retail industry saw                improvement in consumer discretionary          • P harmaceuticals, medical goods,
  during the December                   spending, with South Africans benefiting         cosmetics and toiletry retailers
                                        from a moderation in inflation, a stronger       modestly underperformed in January
       peak season.                     rand, and some recovery in industries            with inflation adjusted sales rising 3.5
                                        such as agriculture as production                percent year-on–year – a substantial
This is according to the Mastercard     recovers from the severe drought,” says          deceleration from the six percent year-
SpendingPulse January 2018 report,      Sarah Quinlan, Senior Vice President             on-year surge seen in December 2017.
which provides a macroeconomic          and Group Head of Market Insights for          • The general dealer sector – which
analysis of retail spending trends in   Mastercard.                                      includes food and other day-to-day
South Africa.                                                                            essentials – continues to underperform
                                          “With 2017’s GDP growth exceeding              for a 13th consecutive month, with
                                        expectations at 1.3 percent and improved         inflation adjusted sales declining by 1.2
                                        business confidence, we are seeing a             percent year-on-year. Including the
                                        healthier economic outlook with a possibility    effects of inflation, general dealer sales
                                        of stronger wage and employment growth           climbed 5.6 percent year-on-year.

12 million is Defy’s score

Defy celebrates the completed           possible. Their hard work and dedication
production of 12 million electrical     reflects the brand’s commitment to
cooking appliance this month. This      producing high-quality appliances
milestone in the industry reflects      that improve the lives of South African
Defy’s continued commitment to local    people. At Defy we are always striving
empowerment by maintaining its          for better and we know we will be
status as the largest manufacturer      hitting the 13 million mark in no time
and distributor of major domestic       at all.”
appliances in Southern Africa.
                                          In the wake of national water
  According to Andrew Saint, the Head   shortages and increased eco-
of Manufacturing at Defy South Africa,  consciousness, Defy always try to
this is an achievement that should be   find innovative solutions to reduce
enjoyed by Defy’s workers and South     electricity and water consumption, and
African people alike.                   will continue to focus on engineering
                                        products to aid South Africans in living a
  “We are proud of our Defy team, who   cleaner, more eco-efficient life.
are the reason this achievement is

                                                                                       MARCH 2018 | HOME GOODS RETAILER
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