Factors Affecting The Growth Of Locally Owned Spaza Shops In Townships

Loading player...
Rose Nkosi - President of SA Spaza and Tuckshop Association (Sasta) talks about The traditional retailer, known in South Africa as a spaza shop, is the cornerstone of socio-economic systems across Africa. Surpassing more advanced formats such as supermarkets and convenience stores, consumers buy more than 70% of their products from more than 3 million small independent shops across the continent. Despite this, the sector faces many challenges that need to be addressed in order for them to remain successful.

“Traditional retailers will continue to be the backbone of Africa’s economic environment and non-traditional participants in the ecosystem will find possibilities to grow alongside them and deliver greater financial inclusion throughout the continent,” says Nomava Zanazo, Consultant at Boston Consulting Group (BCG), Johannesburg. 

The research found that transformation in the sector is driven by who the shop proprietors are, the willingness of small retailers to modernise their businesses in response to changes in the landscape as well as a growing digital ecosystem in Africa. The modernisation of the sector as well as the available opportunities will manifest differently in each area depending on the available infrastructure, however, traditional shops will continue to exist for the foreseeable future.
2 Feb 2023 1PM English South Africa Business News · Investing

Other recent episodes

SANEDI on Key AEF Takeaways critical for South Africa's Energy Future

Prof. Sampson Mamphweli, the Head of the Energy Secretariat at the South African National Energy Development Institute (SANEDI), joins us for his view on South Africa's future. He unpacks policy and project-based initiatives that came to the fore on the agenda at this week's Africa Energy Forum.
18 Jun 3PM 11 min

Africa’s Power Market Is Learning to Share: AEF 2026 Highlights

From Uganda’s first independent transmission project to South Africa’s R440bn grid expansion plan, AEF 2026 showcased a continent shifting toward private‑sector participation and distributed energy. Absa CIB's Nikhil Kasiram breaks down the biggest trends shaping Africa’s power future.
18 Jun 3PM 12 min

Pivot Point: BrightRock at 15 and CEO Stevens on Leading the Next Chapter

BrightRock celebrates 15 years of disrupting the life insurance industry with its needs‑matched model. CEO Suzanne Stevens reflects on her leadership journey, the company’s growth to over 12% market share, and the future of life insurance in a rapidly changing consumer landscape.
18 Jun 3PM 18 min