Consumers' expenditure patterns and shopping preferences in underdeveloped urban areas: the critical case of Tshwane

Abstract

This paper investigates the household expenditure patterns and shopping preferences of consumers residing in underdeveloped blackurban areas in the Tshwane area. Black households are already by far the largest group in the middle-income (LSM 5-8) market, where their numbers continue to grow steadily (Chase, Legoete& van Wamelen, 2010:2). Past research provides oddments of general spending patterns in South Africa among the population at large; however, this study focuses specifically on the area of Tshwane. Although the sample size was not representative of the entire population, the results provide a picture of what and how black consumers residing in this area spend their household income. A quantitative approach was used for this study where a survey questionnaire was used as a method for collecting data. The results showed that although the income of the sample population was not high, basic needs were fulfilled and the concept of keeping costs low did not come at the expense of the quality of goods and services.