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The price of going out to eat or play in Cape Town is lavish – in some parts thanks to all the digital nomads driving up restaurant and rental prices with the almighty dollar.

I could probably eat out in Benoni three nights a week for the same price as one meal in Cape Town. So you would think that Cape Town is home to the biggest spenders, right? Well, sort of.

According to Discovery’s Spend Trend 24 survey released on 4 March 2024, Joburgers spend 47% more than the average South African, while Capetonians spend 38% more and Durbanites 13% more.

However, the rate of spending increased most in Cape Town, bouncing up nicely with 6% year-on-year on the back of increased spending on groceries, eating out, and travel, noted Daily Maverick.

Then again, Jozi did come out on top as the nation’s ‘foodies’ for spending in the eating-out category.

Groceries, retail, travel and fuel remain South Africa’s biggest spending categories, making up nearly two-thirds of total spend.

Groceries:
In 2023, there was a surge in online shopping among South Africans, evident in a 10% increase in expenditure per active card and a 3% rise in transactions per active card compared to 2022. Additionally, online grocery spending per active card saw a notable 10% growth, driven by enhanced choices and improved delivery services. Those Checkers Sixty60 and Woolies food delivery bikes are sommer racing each other.

Meanwhile, the average expenditure on dining out and takeout increased by 8% in 2023, underscoring its enduring popularity and convenience.

Fuel:
Discovery Insure data indicates a notable increase in post-pandemic travel among clients. In 2023, there was a significant uptick in driving compared to the previous year. However, a unique trend emerged: despite taking 10% fewer trips, clients are covering 40% more distance on average each month. This shift could be attributed to lifestyle adjustments stemming from increased return-to-office movements in South Africa last year.

According to Vitality Drive, over 75% of clients who work in offices now commute at least three days a week. Interestingly, while consumers previously preferred refuelling on Tuesdays in 2022 to mitigate the impact of frequent fuel price hikes, Friday became their preferred refuelling day last year.

Travel:
In 2023, domestic travel within South Africa surpassed pre-pandemic levels, despite notable cost increases. The airline sector demonstrated improvement, with expanded flight offerings on established routes and the introduction of new ones, enhancing traveller options and accessibility.

Conducted in collaboration with Visa, the study utilises data spanning from 2019 to 2023. It now encompasses key South African cities – Durban, Johannesburg, and Cape Town – along with five emerging market cities and six developed market cities. This comprehensive analysis incorporates 60 million credit cards and 13 billion transactions.

The 11 other cities included in the study were Accra (Ghana), Ho Chi Minh (Vietnam), Lagos (Nigeria), Rio de Janeiro (Brazil), Sao Paulo (Brazil), Barcelona (Spain), Lisbon (Portugal), London (UK), Los Angeles (USA), San Francisco (USA) and Sydney (Australia).

Happy spending, folks. You’re all doing so well to keep the economy afloat.

[source:dailymaverick]