South Africa Retail

Chapter | Industry & Retail from The Report: South Africa 2016

One of the top manufacturing powerhouses on the continent, South Africa has a strong industrial tradition dating back 150 years. The past few decades, however, have posed challenges to the industry, with external and domestic factors weighing on sector growth. To help revitalise the industry, the government and industry leaders have been working to stoke growth and develop value-added...

The second-largest economy in Africa after Nigeria, South Africa benefits from some of the most sophisticated financial markets in the world, paired with a robust regulatory system, and is also home to the headquarters of a number of major multinational players in the fields of industry, energy and financial services.

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New mall developments and low vacancy rates should create opportunities in South Africa’s retail sector, though economic headwinds could restrict growth prospects in the short term.

Sales growth in South Africa’s retail sector has cooled, a result of a slow economy and conservative consumer sentiment, but there is cause for cautious optimism as the approach of summer and Christmas is likely to give the sector a lift.

 

The retail sector in South Africa has seen mixed fortunes in recent months, with a slowdown in vehicle sales, but encouraging news in luxury goods. New passenger vehicle sales, which constitute just under two-thirds of overall automotive sales, fell 9% yearon-year (y-o-y) in September 2015, on top of a 8.2% y-o-y decline in August, according...

 

Among the manufacturing powerhouses of the continent, South Africa has a strong industrial tradition dating back 150 years. The past few decades have been difficult, with external and domestic factors weighing on the sector, but the government and industry leaders have been working to stoke growth and develop value-added industries. In doing...

 

What factors are driving demand for packaging products across markets in Africa?

 

Around the world, fast-moving consumer goods (FMCGs) tend to be more resilient to economic volatility than other manufactured products. This category of low-cost goods, sold quickly, includes a range of consumables like processed and perishable foods, soft drinks, basic toiletries, beer and basic pharmaceuticals. FMCGs are less discretionary...

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