- Brand Journal’s The Festive Trading Gap report examines South Africa’s 2026 festive trading season, covering spending patterns, household finances, stokvels, neighbourhood retailers and consumer rights.
- December and January are identified as the most financially challenging months for South African households, according to a national survey of more than 5,400 respondents.
- November and December 2025 together accounted for 21.1% of South Africa’s annual retail sales, with December sales approximately 45% above the average monthly sales recorded between January and October.
- Stokvels play a significant role in festive shopping, with approximately one-third of township residents surveyed belonging to a stokvel or group savings scheme.
- The report highlights changing township shopping habits, including increased local card spending, phone-based ordering and the impact of mobile data costs on consumers’ ability to engage with brands online. *
South Africa’s festive trading season brings a welcome boost for retailers, but it also places considerable pressure on household budgets, with December and January emerging as the toughest months financially for many families.
A new report by Brand Journal, The Festive Trading Gap, brings together recent statistics, payment data and consumer research to examine seasonal spending patterns, household costs, stokvel activity and shoppers’ rights. Published on 9 November, ahead of Global Entrepreneurship Week (16–22 November), the free report covers the period from Black Friday on 27 November through to the January school-shopping season.
The report aims to provide practical information for both retailers and consumers, helping businesses prepare for seasonal demand while enabling households to plan purchases, compare prices and understand their rights.
Among its findings is the significant contribution the festive period makes to annual retail sales. After adjusting for price changes, retail sales in November 2025 were approximately 23% higher than the average monthly sales recorded between January and October. December sales were about 45% higher. Together, the two months accounted for 21.1% of annual retail sales, according to Brand Journal’s calculations using Statistics South Africa data.
However, the increased trading activity coincides with mounting financial pressure on households. A national survey of more than 5,400 people identified December and January as the most difficult months for managing household budgets. The cost of a monitored household food basket reached R5,512.53 in October 2026.
The research also highlights the role of community-based savings schemes in festive spending. Approximately a third of township residents surveyed belong to a stokvel or group savings scheme. One national wholesaler reported serving more than three times its usual number of stokvel customers in December, with many orders placed during November.
Local businesses are also benefiting from changing spending patterns. Data from one payment company showed that festive spending through card machines in Soweto increased by 35.2%, making the township the largest single contributor to the company’s festive spending growth.
Digital access is another factor shaping consumer behaviour. A 2026 survey found that 41% of township residents had ordered from a business in their area by phone. However, 37% said data costs sometimes or frequently prevented them from engaging with brands online.
Beyond spending trends, the report examines the practical implications for retailers and consumers, including the Consumer Protection Act. It outlines shoppers’ rights when goods advertised or purchased in advance are unavailable, including the right to choose a refund, as well as the requirements governing promotional pricing. Retailers using a previous price on Black Friday or Christmas sale labels must ensure it reflects a price at which the product was genuinely sold.
“For many households, December and January are the hardest months of the year for the budget, and that is also the time of the most promotions and pressure to spend. Shoppers have rights in those weeks and throughout the year, including understanding a real ‘before and after’ price and a choice of refund when an item runs out,” said Neo Kheswa of Brand Journal.
“Shop owners who know those rules and the figures can serve their customers fairly. This report puts all of it in one place, free.”
Lindsay McDonald of Brand Journal said the report makes evidence about the festive trading period accessible to households, retailers and decision-makers.
The report includes a festive trading calendar running through to 7 January 2027 and is freely available to read, share and quote under a Creative Commons Attribution 4.0 licence.
Read the report at Brand Journal.
* Summary created by AI
