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Shoppers Want More Retail Variety And Convenience

30th March 2016

  

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Broll Property Group  (1.01 MB)

Shoppers in South Africa, Kenya and Nigeria consider a variety of retailers to choose from as a key driver when choosing where to shop. With the growth of shopping centres across South Africa, Kenya and Nigeria, consumers rank variety and convenience as most important pull factors when thinking about where to shop.

This was revealed in the Broll Shopper Segmentation Report 2016, aimed at understanding and comparing consumer habits in the three countries surveyed. The study was commissioned by Broll Property Group, an affiliate of CBRE, a leading global commercial real estate firm. Across all three countries, consumers are drawn to certain shopping centres because of retailer variety and convenience. In Nigeria, consumers rated cleanliness and neatness as an important factor they consider when choosing where to shop while Kenyans pointed out that clean and neat stores as well as safety and security were key drivers when deciding where to shop, explains Elaine Wilson, Divisional Director for Research at Broll Property Group.

Consumers in South Africa are described as being egocentric shoppers because they love to shop for new things and believe shopping is both entertaining and fun, at the same time, they feel shopping is rewarding, says Wilson citing the survey findings. Nigerian consumers are experienced shoppers who shop with a list, shopping at different stores and also are big on comparing prices. Meanwhile, consumers in Kenya are safe shoppers – they believe shopping is a good family outing, they always buy the same well-known brands and it is important for them that stores stock the brands they like and always buy.

A snapshot of regions in South Africa revealed that Gauteng shoppers are egocentric. According to survey findings, these consumers shop for brand names and they prefer exclusive stores and boutiques. KwaZulu-Natal shoppers are bargain hunters as they don’t always have enough money to shop, they shop where prices are low and reward programmes are very important to these shoppers.

In the Western Cape, consumers are said to be shopaphobes who hate shopping and believe shopping is a waste of time.

“These shoppers believe there are more important things in life than shopping, however, when they find time to shop, they prefer to do this individually and they want to get it over and done with quickly,” says Wilson. Preston Gaddy, Divisional Director: Strategic Retail Leasing at Broll says regardless of the type of shopper who walks into a centre or store, retailers need to continually fulfil the ever growing needs of demanding shoppers.

“They want an overall experience from shopping at their chosen centre. Even a daily or weekly grocery shop is about experiencing the convenience, the range, the sense of safety, and then returning the following week to experience it all again,” says Gaddy. Globally, there is an increasing interest for retailers to expand into Africa, however, limited availability of modern shopping centre space in other markets is a key barrier to entry for many, says Jos Tromp, Head of Research Continental Europe, Middle East and Africa at CBRE.

“As more investments are being channelled into the continent, these retailers are starting to see expansion opportunities, however, country risk and country political stability would continue to be cautiously assessed by these retailers eyeing Africa,” says Tromp.

The Broll Shopper Segmentation Report will be launched at the SACSC Research Conference which takes place on 13 April at The Maslow Hotel in Sandton, Johannesburg and is sponsored by Broll Property Group. Jos Tromp will give a presentation on Global Retail Trends and survey findings from the Shopper Segmentation Report. (566 words)

Edited by Creamer Media Reporter

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