national african federated chamber of commerce and industry township monitor index pilot phase n.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
National African federated chamber of commerce and industry township monitor Index Pilot PHASE PowerPoint Presentation
Download Presentation
National African federated chamber of commerce and industry township monitor Index Pilot PHASE

Loading in 2 Seconds...

play fullscreen
1 / 97

National African federated chamber of commerce and industry township monitor Index Pilot PHASE - PowerPoint PPT Presentation


  • 109 Views
  • Uploaded on

National African federated chamber of commerce and industry township monitor Index Pilot PHASE. Agenda. Introduction. Sample. Key Findings. Objectives. Detailed Findings. Appendix. Introduction (I).

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

National African federated chamber of commerce and industry township monitor Index Pilot PHASE


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
    Presentation Transcript
    1. National African federated chamber of commerce and industrytownship monitor IndexPilot PHASE
    2. Agenda

      Introduction Sample Key Findings Objectives Detailed Findings Appendix
    3. Introduction (I)

      TMS Research was commissioned by the National African Federated Chamber of Commerce (NAFCOC) to track the prices of a selected ‘basket of goods’ that are consumed on a regular basis in the township areas. The ‘basket of goods’ is made up of products consumed on a regular basis. (e.g. bread, milk, mealiemeal, eggs, etc.) Focus will be on the price of this ‘basket of goods’ in the following stores: Locally owned retail shop - “Spaza” shops Foreign owned retail shop - Somalian Owned Large retail stores - Pick n Pay & Shoprite
    4. Introduction (II)

      Stores in 3 different types of townships were to surveyed: Formal township - Soweto Less formal township - Diepsloot Rural township - Sebokeng A final sample of 19 stores was achieved. In order to achieve the sample, project scoping was done in 3 townships that were chosen. Two waves were conducted: WAVE I at the end of September and WAVE II during the middle of October. The purpose of this presentation is to compare findings in both waves and make note of any significant differences.
    5. Agenda

      Introduction Sample Key Findings Objectives Detailed Findings Appendix
    6. Objectives

      To investigate the brand selection in each store type as well as their prices to ascertain how much choice the consumer has. To take note of any promotions / specials that may be on offer for any of these products also look at trends in this regard. To take note of whether or not the price is visible on the products, and if this impacts pricing / re-pricing i.e. how quickly does a store respond to a change in cost price. To take note of any brand changes over time in a particular store and if this results in a increase or decrease in the price.
    7. Agenda

      Introduction Sample Key Findings Objectives Detailed Findings Appendix
    8. Sample: Overall (I)

      The following sample was attained for both waves 1 and 2 Source: TMS Research, October 2013
    9. Sample: Overall (II)

      The table below indicates stores changes between waves 1 and 2. Stores needed to be replaced as store owners were no longer willing to participate in the study Source: TMS Research, October 2013
    10. Sample: Soweto

      The tables below indicates different areas where the study was conducted in Soweto township for both waves 1 and 2. Wave 1 Wave 2 Source: TMS Research, October 2013
    11. Agenda

      Introduction Sample Key Findings Objectives Detailed Findings Appendix
    12. Key Findings: General

      Most “Spaza” shops are located in residential areas. The home owners usually turn a part of their houses into a “Spaza” or have a container inside their yard. Though there are some Foreign Owned shops located in residential areas, majority of them are usually located in busier locations like on the main road, taxi rank, near a mall etc. Majority of Foreign Owned shops are flashy looking, brightly painted with lots of signage on the walls of brands like Coca Cola, Parmalat, Ariel, Omo, Soft n Free, Koo etc. In most cases, Foreign Owned shops have a greater brands selection for a specific product than those sold in “Spaza” shops. In Foreign Owned stores and “Spaza” shop prices are not visible and consumers need to ask for them. Furthermore, there are no promotions in these types of stores. Source: TMS Research, October 2013
    13. Key Findings: Products (I)

      On average toilet paper and eggs are most expensive at Retailers compared to “Spaza” shops and Foreigner owned stores. This could largely be due to the fact that eggs are sold separately in these kinds of stores. Furthermore, there is less focus on the brand names. Both white and brown bread are generally cheaper in Foreigner owned stores. White bread is generally more expensive in “Spaza” shops. Furthermore, brown bread is more expensive in Retail stores. In most cases Foreign Owned stores and “Spaza” shops have cheaper brands available for bread - these are priced between R5 and R6. Milk is more expensive in “Spaza” shops. Margarine is pricy in “Spaza” shops and Foreign Owned stores that only sell the “Rama” brand. Cheaper brands are better substitutes in this store however they are not always available. Source: TMS Research, October 2013
    14. Key Findings: Products (II)

      Tinned baked beans are much more expensive in Foreigner owned stores and “Spaza” shops than at the Retailers. With regards to Tinned pilchards ,In Foreign Owned stores and “Spaza” shops prices are fairly similar between waves. Biscuits in general have cheaper brands that are available in most Foreign Owned stores and “Spaza” shops priced between R5 to R6.50. The most popular brand for rice is Tasticacross all store types. Disposable nappies are the cheapest in the Retail stores. Source: TMS Research, October 2013
    15. General Findings across Townships

      Source: TMS Research, October 2013
    16. Wave Overview

      Wave 1 Wave 2 Source: TMS Research, October 2013
    17. Indicates LOWEST average price of wave

      Quick Price Overview (I)

      Indicates HIGHEST average price of wave Source: TMS Research, October 2013, Note: The price shown is the average price Wave 2 Wave 1
    18. Indicates LOWEST average price of wave

      Quick Price Overview (II)

      Indicates HIGHEST average price of wave Source: TMS Research, October 2013, Note: The price shown is the average price Wave 2 Wave 1
    19. Indicates LOWEST average price of wave

      Quick Price Overview (III)

      Indicates HIGHEST average price of wave Source: TMS Research, October 2013, Note: The price shown is the average price Wave 2 Wave 1
    20. Indicates LOWEST average price of wave

      Quick Price Overview (IV)

      Indicates HIGHEST average price of wave Source: TMS Research, October 2013, Note: The price shown is the average price Wave 2 Wave 1
    21. Indicates LOWEST average price of wave

      Quick Price Overview (V)

      Indicates HIGHEST average price of wave Source: TMS Research, October 2013, Note: The price shown is the average price Wave 2 Wave 1
    22. Indicates LOWEST average price of wave

      Quick Price Overview (VI)

      Indicates HIGHEST average price of wave Wave 1 Wave 2 Source: TMS Research, October 2013, Note: The price shown is the average price
    23. General Findings across Townships

      Source: TMS Research, October 2013
    24. Agenda

      Introduction Sample Key Findings Objectives Detailed Findings Appendix
    25. Overall Findings
    26. Price Comparison across Townships

      In Wave 2 there was an increase in the average price of white bread in retail stores more specifically Albany and Sasko brands. A fall in the average price in Soweto can be explained by presence of the cheaper brand i.e. Nature’s dream in Wave 2 instead of the Sasko brand that was available in wave 1. Average price of bread in Diepsloot and Sebokeng Foreign Owned stores increased because there were no cheaper substitutes in Wave 2 in these stores. White bread Wave 1 Wave 2 Source: TMS Research, October 2013
    27. Price Comparison across Townships

      As with white bread, Wave 2 saw an increase in the average price of brown bread in retail stores more specifically Albany and Saskobrands. A fall in the average price in Soweto can be explained by presence of the cheaper brand i.e. Nature’s dream in Wave 2 instead of the Sasko brand that was available in wave 1.Average price of bread in Diepslootand Sebokeng Foreign Owned stores increased because there were no cheaper substitutes in Wave 2 in these stores. Brown bread Wave 1 Wave 2 Source: TMS Research, October 2013
    28. Price Comparison across Townships

      In wave 1 there was a promotions for milk in the Retailer’s house brands across townships, this is also seen by an increase in the average price of milk in retailers across townships in the second wave. Milk(1l) Wave 1 Wave 2 Source: TMS Research, October 2013, Note: Missing values are due to stock availability during the store visits.
    29. Price Comparison across Townships

      There is a significant increase in the overall average price of mealie meal in Soweto this is due an increase in price of mealie meal in one of the Retailers. The average price of mealie meal in foreign owned stores also decreased in the second wave. Maize meal (1kg) Wave 1 Wave 2 Source: TMS Research, October 2013, Note: Missing values are due to stock availability during the store visits.
    30. Price Comparison across Townships

      Margarine is most expensive in the Diepsloot Foreigner Owned stores as well in "Spaza" shops this is because these stores only sell Rama. As evident from the graph there has been a decrease in the margarine price in Sebokeng in both Foreign Owned stores and "Spaza" shops - this is explained by the presence of cheaper margarine brands i.e. Rondo and Sunshine D in the second wave. Margarine (500g) Wave 1 Wave 2 Source: TMS Research, October 2013, Note: Missing values are due to stock availability during the store visits.
    31. Price Comparison across Townships

      There has been an increase in the average price of tinned baked beans across all Retailers, this is due to most Retail stores offering specials on baked beans in the first wave. Tinned baked beans Wave 1 Wave 2 Source: TMS Research, October 2013, Note: Missing values are due to stock availability during the store visits.
    32. Price Comparison across Townships

      There was a fall in the average price of tinned pilchards in the second wave - this is due to promotions in several retail stores. With regard to Foreign Owned stores and “Spaza” shops there were not significance differences in prices between waves. A fall in the average price of pilchards in Sebokeng is explained by an added brand i.e. Glenryck in one of the “Spaza” shops. Tinned Pilchards Wave 1 Wave 2 Source: TMS Research, October 2013
    33. Price Comparison across Townships

      There was a fall in the average price of biscuits in “Spaza” shops across all townships in wave 2. This maybe due to a decrease in the price for Baker’s Marie biscuits. Marie Biscuits Wave 1 Wave 2 Source: TMS Research, October 2013
    34. Price Comparison across Townships

      A fall in the price of lemon creams in Sebokeng‘s “Spaza” shops and Foreign Owned shops in Soweto was due to availability of cheaper brands in the wave 2. Similarly an increase in the average price in Diepsloot stores is due to the addition of an expensive brand in wave 2. Furthermore, a fall in the average price in Soweto Retailers is also owed to the availability of the cheaper Retailer‘s house brand which was out of stock in the first wave. Lemon Creams Wave 1 Wave 2 Source: TMS Research, October 2013
    35. Price Comparison across Townships

      As evident from the graph there is a significance variance in prices in the Diepsloot area across different store types in both waves. This is because “Spaza” shops in Diepsloot only sell the “Bakers” brand of tennis biscuits while Foreign Owned stores have 1 or 2 brands, and Retailers have an even greater brand variety. Tennis biscuits Only cheap brands in stock in wave 2 Increase or decrease in average attributed to less or more variety in the stores in these areas ,respectively Wave 1 Wave 2 Source: TMS Research, October 2013
    36. Price Comparison across Townships

      A fall in the average price of rice in Sebokeng is due to increased variety available in wave 2. The increase in the average price of rice in Diepsloot “Spaza” shops is due to the lack of cheaper brands in stock. Rice (1kg) Wave 1 Wave 2 Source: TMS Research, October 2013
    37. Price Comparison across Townships

      There is a fairly small gap between waves in Foreign Owned stores and “Spaza” shops. The decrease in the average price of eggs in retailers is due to promotions in most Retail stores. Eggs (6x) Wave 1 Wave 2 Source: TMS Research, October 2013, Note: Missing values are due to stock availability during the store visits.
    38. Price Comparison across Townships

      Price of sunflower oil is fairly similar across retailers in different areas. Diepsloot however has the most expensive sunflower oil price in its Retailer store. Sunflower Oil (750ml) Wave 1 Wave 2 Source: TMS Research, October 2013
    39. Price Comparison across Townships

      Foreigner Owned stores in Sebokeng sell toilet paper for the cheapest price. There are no significant price differences between waves. Toilet Paper Most stores had “Twinsavers” only in stock Had “baby soft” in one of the “Spaza” shops Wave 1 Wave 2 Source: TMS Research, October 2013
    40. Price Comparison across Townships

      In Soweto there was a decrease in the average price of washing powder across all store types. Average prices between waves is fairly similar in the Sebokeng area across different store types. Washing Detergent (500g) Wave 1 Wave 2 Source: TMS Research, October 2013
    41. Price Comparison across Townships

      They are no major differences between waves. Nappies are cheaper in Retail stores and more expensive in “Spaza” shops Disposable Nappies (1x) Wave 1 Wave 2 Source: TMS Research, October 2013
    42. Brand Variety vs. Price

      Foreign Owned stores show an inverse relationship between brand variety and price.”Spaza” shops show that brands may remain constant but there can still be a price decrease. Milk Wave 1 Wave 2 Source: TMS Research, October 2013
    43. Brand Variety vs. Price

      Foreign Owned stores show a direct relationship between brand variety and price thus higher brand variety results on higher price. Average price in “Spaza” shops fell even though there was no change in brand variety. Maize Meal Wave 1 Wave 2 Source: TMS Research, October 2013
    44. Brand Variety vs. Price

      “Spaza” shops show an inverse relationship between price and brand variety thus fewer available brands in stores leads to high prices. Both Foreign Owned stores and retail stores show that prices may increase while brand variety remains stagnant. Margarine Wave 1 Wave 2 Source: TMS Research, October 2013
    45. Brand Variety vs. Price

      “Spaza” shops show a lower price in relation to a higher brand variety. There is a significant price increase in Retailers for a constant brand variety(due to promotions in the first wave) Tinned Baked Beans Wave 1 Wave 2 Source: TMS Research, October 2013
    46. Brand Variety vs. Price

      Foreign Owned stores show a higher price in relation to higher variety. Tinned Pilchards Wave 1 Wave 2 Source: TMS Research, October 2013
    47. Brand Variety vs. Price

      Foreign Owned store show evidence of a lower price related to high variety.”Spaza” shops show a significant fall in prices for a constant brand variety. Tennis Biscuits Wave 1 Wave 2 Source: TMS Research, October 2013
    48. Brand Variety vs. Price

      There is clear evidence of a solid relationship between brand variety and price. In both Foreign Owned stores and “Spaza” shops lower brand variety lead to high prices and vice versa. Sunflower Oil Wave 1 Wave 2 Source: TMS Research, October 2013
    49. Brand Variety vs. Price

      For both Foreign Owned stores and “Spaza” shops greater variety in brands leads to lower prices. Toilet Paper Wave 1 Wave 2 Source: TMS Research, October 2013
    50. Brand Variety vs. Price

      As evident from the graph an increase in brand variety leads to a fall in prices. Washing Detergent (500g) Wave 1 Wave 2 Source: TMS Research, October 2013
    51. Next Steps

      Develop strategy for gaining long-term buy-in from store owners in order to ensure accurate track- ability of the study. Possibly incentivise shop owners to participate by offering them a cash reward NAFCOC to clearly explain what they plan to do with the results and how this will benefit the stores Give assurance to the foreigner owned stores that their information will not be reported to the authorities. As significant differences in prices and brand availability was witnessed between waves, we would recommend that the project continue with 2 waves being conducted every quarter, however this is ultimately the decision of NAFCOC. It appears that stores are stocked on a monthly basis and the more popular brands (which are in most cases also the more expensive brands) are sold first, leaving the consumers with the option of the cheaper and less popular brands at the middle of the month.
    52. Thank you
    53. Appendix
    54. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      White Bread Wave 1 Source: TMS Research, October 2013 Wave 2
    55. Price Range across Brands: Retailers

      White Bread Wave 1 Wave 2 Source: TMS Research, October 2013
    56. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      Brown Bread Wave 1 Source: TMS Research, October 2013 Wave 2
    57. Price Range across Brands: Retailers

      Brown Bread Wave 1 Wave 2 Source: TMS Research, October 2013
    58. Price Range across Brands: “Spaza”shops and Foreign Owned stores (I)

      Milk Wave 1 Source: TMS Research, October 2013
    59. Price Range across Brands: “Spaza”shops and Foreign Owned stores (II)

      Milk Wave 2 Source: TMS Research, October 2013
    60. Price Range across Brands: Retailers

      Milk Wave 1 Wave 2 Source: TMS Research, October 2013
    61. Price Range across Brands: “Spaza”shops and Foreign Owned stores (I)

      Mealie Meal Wave 1 Source: TMS Research, October 2013
    62. Price Range across Brands: “Spaza”shops and Foreign Owned stores (II)

      Mealie Meal Wave 2 Source: TMS Research, October 2013
    63. Price Range across Brands: Retailers

      MealieMeal Wave 1 Wave 2 Source: TMS Research, October 2013
    64. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      Margarine Wave 1 Wave 2 Source: TMS Research, October 2013
    65. Price Range across Brands: Retailers

      Margarine Wave 1 Wave 2 Source: TMS Research, October 2013
    66. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      Baked Beans Wave 1 Wave 2 Source: TMS Research, October 2013
    67. Price Range across Brands: Retailers

      Baked Beans Wave 1 Wave 2 Source: TMS Research, October 2013
    68. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      Tinned Pilchards Wave 1 Wave 2 Source: TMS Research, October 2013
    69. Price Range across Brands: Retailers

      Tinned Pilchards Wave 1 Wave 2 Source: TMS Research, October 2013
    70. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      Marie Biscuits Wave 1 Source: TMS Research, October 2013 Wave 2
    71. Price Range across Brands: Retailers

      Marie Biscuits Wave 1 Wave 2 Source: TMS Research, October 2013
    72. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      Lemon Creams Wave 1 Source: TMS Research, October 2013 Wave 2
    73. Price Range across Brands: Retailers

      Lemon Creams Wave 1 Wave 2 Source: TMS Research, October 2013
    74. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      Tennis Biscuits Wave 1 Source: TMS Research, October 2013 Wave 2
    75. Price Range across Brands: Retailers

      Tennis Biscuits Wave 1 Wave 2 Source: TMS Research, October 2013
    76. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      Rice Wave 1 Wave 2 Source: TMS Research, October 2013
    77. Price Range across Brands: Retailers

      Rice Wave 1 Wave 2 Source: TMS Research, October 2013
    78. Price Range across Brands: “Spaza”shops and Foreign Owned stores (I)

      Eggs Wave 1 Source: TMS Research, October 2013
    79. Price Range across Brands: “Spaza”shops and Foreign Owned stores (II)

      Eggs Wave 2 Source: TMS Research, October 2013
    80. Price Range across Brands: Retailer

      Eggs Wave 1 Wave 2 Source: TMS Research, October 2013
    81. Price Range across Brands: “Spaza”shops and Foreign Owned stores (I)

      Sunflower Oil Wave 1 Source: TMS Research, October 2013
    82. Price Range across Brands: “Spaza”shops and Foreign Owned stores (II)

      Sunflower Oil Wave 2 Source: TMS Research, October 2013
    83. Price Range across Brands: Retailer

      Sunflower Oil Wave 1 Wave 2 Source: TMS Research, October 2013
    84. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      Toilet Paper Source: TMS Research, October 2013 Wave 1 Wave 2
    85. Price Range across Brands: Retailers

      Toilet Paper Wave 1 Wave 2 Source: TMS Research, October 2013
    86. Price Range across Brands: “Spaza”shops and Foreign Owned stores (I)

      Washing Detergent Wave 1 Source: TMS Research, October 2013
    87. Price Range across Brands: “Spaza”shops and Foreign Owned stores (II)

      Washing Detergent Wave 2 Source: TMS Research, October 2013
    88. Price Range across Brands: Retailer

      Washing Detergent Wave 1 Wave 2 Source: TMS Research, October 2013
    89. Price Range across Brands: “Spaza”shops and Foreign Owned stores

      Disposable Nappies Wave 1 Wave 2 Source: TMS Research, October 2013
    90. Price Range across Brands: Retailers

      Disposable Nappies Wave 1 Wave 2 Source: TMS Research, October 2013
    91. Brand Variety vs. Price

      No clear relationship between price and brand variety White Bread Wave 1 Wave 2 Source: TMS Research, October 2013
    92. Brand Variety vs. Price

      No clear relationship between price and brand variety Brown Bread Wave 1 Wave 2 Source: TMS Research, October 2013
    93. Brand Variety vs. Price

      No clear relationship between price and brand variety Marie Biscuits Wave 1 Wave 2 Source: TMS Research, October 2013
    94. Brand Variety vs. Price

      No clear relationship between price and brand variety Lemon Creams Wave 1 Wave 2 Source: TMS Research, October 2013
    95. Brand Variety vs. Price

      No clear relationship between price and brand variety Rice (1kg) Wave 1 Wave 2 Source: TMS Research, October 2013
    96. Brand Variety vs. Price

      No clear relationship between price and brand variety Eggs (6x) Wave 1 Wave 2 Source: TMS Research, October 2013
    97. Brand Variety vs. Price

      No clear relationship between price and brand variety Disposable Nappies Wave 1 Wave 2 Source: TMS Research, October 2013