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CULTURAL CHANGE AND ITS IMPACT ON CONSUMER BEHAVIOUR IN THE SOUTH

AFRICAN MIDDLE CLASS’S LIFESTYLE

Derbyshire, P (15026397)
Hodgson, E (15037755)

VBF 222

August 2018
Cultural Change and Its Impact on Consumer Behaviour in the South African Middle
Class’s Lifestyle

by
Derbyshire, P (15026397)
Hodgson, E (15037755)

Assignment handed in partial fulfilment of the requirements for VBF 222

B Consumer Science: Food Retail Management

UNIVERSITY OF PRETORIA
Department of Food and Consumer Sciences

August 2018
TABLE OF CONTENTS

List of Figures………………………………………………………………………………………..II

1. INTRODUCTION .............................................................................................................. 1

2. THE SOUTH AFRICAN MIDDLE CLASS CONSUMER .................................................. 1

3. CULTURE, ENCULTURATION, ACCULTURATION AND CULTURAL CHANGE….…....2

4. CONSUMER LIFESTYLES AND BEHAVIOUR BASED ON THE GROWING BLACK


DIAMOND CULTURE……….…………….…………………………………………………………3

5. CONCLUSION .................................................................................................................. 5

6. REFERENCES ................................................................................................................. 6

APPENDICES…………………………...……………………………………………………………8

APPENDIX A……………………………………………………………………………...8

I
List of Figures

Figure 1…………………………………………………………………………………………1

Figure 2:………………………..……………………………………………………………….2

I
1. INTRODUCTION

The South African middle class consumer is constantly influenced by culture, enculturation,
acculturation and cultural change. These four factors impact their lifestyles and consumer
behaviour. The dimensions of culture namely; individualism or collectivism, shape the way in
which the South African consumer functions and behaves in their lifestyles and consumption
environment. It is argued that the South African middle class consumer dictates the way in
which the economy functions by providing the majority of the spending power in consumption.
Currently, the South African economy is facing a decline that has caused consumers to be
more wary with their money and simplify their lifestyles. This report focuses on how the factors
of culture (individualism or collectivism), enculturation, acculturation and cultural change affect
the South African middle class consumer’s lifestyle and consumption behaviour. It also
focuses on how the dominance of one culture and therefore cultural change can influence the
spending power and the types of products consumed by the South African middle class.

2. THE SOUTH AFRICAN MIDDLE CLASS CONSUMER

The South African middle class consumer is known for being hardworking, innovative and
business-minded. According to Rossouw (2016), the South African middle class can be
broadly classified but not defined as, a household of four people with a total household income
between R5600 and R40000 per month after income tax. The term ‘middle class’ does not
have an accepted definition but it does have five ways of being measured in South Africa,
namely; self-identification, the literal middle, a universal range, occupation and vulnerability
(Business Tech, 2018). According to these five measures, South African middle class
consumers are stagnant in growth and are not providing the country with the economic
opportunities it has hoped for (Business Tech, 2018). Due to the stagnant and slight decline
in the economic status of South Africa, middle class consumers are now consuming products
based on their value for money and not just for show. According to UCT Unilever Institute
(2013), the black South African middle class has doubled over the last 8 years from 1.7 million
people to 4.2 million people while the white South African middle class has shrunk from 2.8
million to 2.6 million people in the last 11 years. This can be seen in figure 1.

The South African middle class are conspicuous consumers meaning that they spend money
on the acquisition of luxury goods and services to outwardly display their income or wealth
(Phillips, 2018). These type of consumers gain value from the consumption of goods. The
main consequence of conspicuous consumption is that is it ‘wasteful’ behaviour (Phillips,
2018). Currently, according to Korhonen (2018), the growth of the black middle class, in South
African, has caused a cultural shift.

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Figure 1: Graph showing the increase in black South African middle class (UCT Unilever, 2015)

This class has been brought to the forefront and allows them to dictate the spending power,
investments, product usage and job creation in the South African market (Korhonen, 2018).

3. FOUR FACTORS OF CULTURE, ENCULTURATION, ACCULTURATION AND


CULTURAL CHANGE IN THE SOUTH AFRICAN CONTEXT

Culture is defined by the Cambridge Dictionary (2017) as, ‘the way of life, particularly the
general customs and beliefs, of a particular group of people at a particular time’. South Africa
is a developing, multi-cultural nation in which certain cultures have been oppressed in the
past.

Two of the most widely researched aspects of cultural inconsistency are individualism and
collectivism (Torelli, Leslie, Stoner & Puente, 2014). These two aspects are said to affect the
valued characteristics that determine status (Torelli et al., 2014). Individualistic culture is when
each individual is expected to look after themselves and their immediate family (Torelli et al.,
2014). Individuals from this aspect of culture are said to value the achievement of individual
goals, autonomy and self-actualization (Torelli et al., 2014). Collectivistic culture is when
people are born into cohesive in-groups which protect them throughout their lifetime in
exchange for loyalty (Torelli et al., 2014). Individuals in this cultural aspect value
interdependence, sociability and group goals and loyalty (Torelli et al., 2014).

Enculturation and acculturation go hand in hand. They broadly refer to the process in which
new entrants come to participate in the usual practices of a cultural community (Kirshner &
Meng, 2012). Enculturation is when the new entrant is a young, immature member of the
cultural community (e.g. a child) while acculturation is when the new entrant is not a member
of the cultural community (e.g. an immigrant) (Kirshner & Meng, 2012). Three factors that
influence enculturation and acculturation are; unconscious adaption, conscious emulation and
agents of the culture (e.g. parents discipline) (Kirshner & Meng, 2012).

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Cultural change, according to Dressler and Carns (1973), is the alteration, modification or
termination of current and existing procedures conveyed to people from the culture of the past
but also including the introduction of new procedures. There are five sources of cultural
change namely; discovery, technology, invention, assimilation and acculturation (Farooq,
2013). Every new generation from the same culture possesses the same aspects of that
culture plus additional new ideas and objects (Farooq, 2013).

4. INFLUENCE OF THE FOUR FACTORS ON CONSUMER LIFESTYLES AND


BEHAVIOUR BASED ON THE GROWING BLACK DIAMOND CULTURE IN SOUTH
AFRICA

Goyal (2010) describes South Africa as ‘two countries in one’, comprised of third and first
world components. The emerging middle class is in-between stages and are motivated,
upwardly mobile and demand instant gratification. The middle class segment we have chosen
to focus on is classified as the black diamonds. This group is a growing segment that falls part
of the Black Economic Empowerment (BEE) program. As of 2010, these individuals formed
approximately 10% of the 22 million consumers (over the age of 18) who contribute to 40% of
the spending in South African middle class (Goyal, 2010). Figure 2 describes the realty of the
situation of the growing black diamond group.

Figure 2: Black Diamonds in reality (Read, 2018)

An individual in this segment is described by Goyal (2010) as an unmarried/married hard


worker with high aspirations. This individual is likely to own/rent their own home with modest
furnishings. However, they are likely to drive an expensive car such as an Audi and may be
the first from their family to receive a university education. Following this, they are likely to
provide funding for younger members of their families to receive a better education (Goyal,
2010).

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This segment is viewed to have large spending power and buying potential. Consumption
patterns of this group are characterised by a lack of saving mentality and a desire for ‘flashy’
material possessions such as expensive cars and properties (Goyal, 2010). These consumers
are also more likely to take out monthly instalments than save for a desired purchase and
purchase mainly for conspicuous consumption. This term describes the buying behaviour
focused towards unnecessary luxury items aimed at enhancing social status and prestige
(Annaskakane, n.d.). The consumption patterns displayed by this market segment are also
due to cultural differences between themselves and White South Africans. These different
cultural groups have different tastes in products and lifestyles, which is revealed by their
consumption and purchasing patterns (Annaskakane, n.d.).

As a main point of focus in South Africa, consumption is greatly determined by the purchasing
behaviour by the middle class (Chevalier, 2008). In terms of food consumption by this group,
these items are viewed as a part of inherited identity (Chevalier, 2008). The middle class
displayed a strict desire to stick to a consistent food budget even when household income
increases year to year, spending an average of R3500- R4000 per family per month on
groceries and eating out. These consumers also favour specials and promotions from bulk
purchasing stores such as Makro and Fruit and Veg, purchasing in a pattern described as the
‘month end payday buying frenzy’. Black Diamonds typically purchase the majority of their
food for the month during this particular shopping occasion with small everyday purchases
such as milk and bread made weekly with special emphasis placed on the importance but the
expense of meat (Chevalier, 2008). Den Hartigh (2016) states that if the fresh product market
wants to stay applicable to the Black Diamonds they must improve their branding. This is
because, to the Black Diamonds, branding is a sign of wealth and consistency (Den Hartigh,
2016). The article ‘Marketing to SA’s changing black middle-class consumers’ can be found
in Appendix A.

According to Den Hartigh (2016), the growth of the South African black middle class has lead
to a change in consumers’ priorities and therefore aspects of food production, marketing and
sales need to be re-evaluated. South African farmers need to be aware of this consumer
group and how they have a direct impact on the agricultural sector (Den Hartigh, 2016). The
Black Diamonds have also influenced food pattern changes. These changes involve food
accessibility, availability and choices (Den Hartigh, 2016). Eating out has become the norm
and a higher consumption in ready-made, pre-cooked meals has been observed of the Black
Diamonds (Den Hartigh, 2016).

In terms of cultural dimensions, Vogt & Laher (2009) found that Black Diamonds displayed a
predominant attitude of collectivism. This attitude is best described by the concept of Ubuntu

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(humanness) which focuses on the respect and empathy found in relationships with each other
that are based on loyalty, patience, generosity and cooperativeness (Vogt & Laher, 2009).
Although this concept is not a purely collective concept, Ubuntu encourages the individual to
function within the community, giving precedence to the greater good of the individuals which
comprise it. This cultural dimension is expressed in purchase behaviour by group-buying
behaviours to increase savings (Goyal, 2010).

The results of the study conducted by Vogt & Laher (2009) also found that acculturation was
also prevalent within the black diamond segment. This occurs on an individual and collective
level and affects the extent to which cultural differences are expressed/exist. This is shown by
the ‘African modernity trend’ which shows a shift towards the Western individualism shown by
the White South African population (Vogt & Laher, 2009). Acculturation among this segment
is also due to urbanisation within South Africa which encourages the black diamonds to
subscribe to a mixture of Western and African values and behaviours (Donoghue, Strydom,
Andrews, Pentecost & de Klerk, n.d.).

Cultural change and cultural differences may be seen within the Black Diamond segment in
terms of customer complaint behaviour following product failures (Donoghue et al., no date).
This study conducted found that Black consumers have a higher propensity to complain and
seek redress following a product failure than consumers from a different market
segment/cultural group (White consumers). These results also showed that Black consumers
are more likely to change their purchasing behaviour or switch to a better brand than White
consumers, revealing their more assertive consumer complaint behaviour (Donoghue et al.,
n.d.). The study conducted also noted that Black consumers felt a ‘higher external locus of
causality’ and lower levels of control than white consumers which contrasts with previous
research into collectively driven cultures and highlights the effect of cultural change on
consumer behaviour within South Africa (Donoghue et al., n.d.).

5. CONCLUSION

It can be concluded that the factors of culture, enculturation, acculturation and cultural change
greatly influence the consumer behaviour of the Black Diamond segment of South Africa’s
middle class. These factors have influenced consumers in terms of their purchasing patterns,
buying behaviour and consumer complaint behaviour. Although some of this segment’s
consumer behaviour is influenced by traditional cultural values and attitudes, a shift has been
noted from African cultural actions to a mixture of African and Western consumer behaviour.

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6. LIST OF REFERENCES

Annaskakane. No date. Black Diamonds and Conspicuous Consumption. [Online]


available from: https://annaskakane.wordpress.com/black-diamond-market-segment-in-
south-africa/ [Accessed: 2018-08-25].

Business Tech. 2018. This is how big South Africa’s middle class really is [Online]
Available from: https://businesstech.co.za/news/finance/229307/this-is-how-big-south-
africas-middle-class-really-is/ [Accessed: 2018-08-22].

Cambridge Dictionary. 2017. Culture. [Online] Available from:


https://dictionary.cambridge.org/dictionary/english/culture [Accessed: 2018-08-22].

Chevalier, S. 2008. Food, Malls and the Politics of Consumption: South Africa’s New
Middle Class. Department of Anthropology. University of Pretoria: Pretoria

Den Hartigh, W. 2016. Marketing to SA’s changing black middle-class consumers. [Online]
Available from: https://www.farmersweekly.co.za/agri-
business/agribusinesses/marketing-to-sas-changing-black-middle-class-consumers/
[Accessed: 2018-08-25].

Dressler, D. & Carns, D. 1973. Sociology: the study of human interaction. New York:
Knopf. [Online] Available from:
https://trove.nla.gov.au/work/8463184?selectedversion=NBD577445 [Accessed: 2018-
08-23].

Farooq, U. 2013. What is cultural change, definition and sources of cultural change.
[Online] Available from: http://www.studylecturenotes.com/basics-of-sociology/what-is-
cultural-change-definition-sources-of-cultural-change [Accessed: 2018-08-23].

Goyal, M. 2010. Black Diamonds. [Online] available from:


https://www.forbes.com/2010/06/21/forbes-india-black-diamonds-middle-class-
spending.html#50a4faec2e92 [Accessed: 2018-08-24].

Kirshner, D.H. & Meng, L. 2012. Enculturation and acculturation. Encyclopaedia of the
Sciences of Learning. [Online] Available from:
https://link.springer.com/referenceworkentry/10.1007%2F978-1-4419-1428-6_773
[Accessed: 2018-08-23].

Korhonen, M. 2018. Factsheet: measuring South Africa’s (black) middle class. Africa
Check. [Online] Available from: https://africacheck.org/factsheets/factsheet-measuring-
south-africas-black-middle-class/ [Accessed: 2018-08-22].

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Phillips, R.J. 2018. Conspicuous consumption. Encyclopaedia Britannica. [Online]
Available from: https://www.britannica.com/topic/conspicuous-consumption [Accessed:
2018-08-22].

Read, A. 2018. Fact 98. [Online] Available from: https://travelhacking.co.za/south-african-


facts/ [Accessed: 2018-08-25].

Rossouw, J. 2016. Why reaching and staying middle class is a lifetime challenge. Mail &
Guardian, 11 Jan: 1-3. [Online] Available from: https://mg.co.za/article/2016-01-11-why-
reaching-and-staying-middle-class-is-a-lifetime-challenge [Accessed: 2018-08-22].

Torelli, C.J., Leslie, L.M., Stoner, J.L. & Puente, R. 2014. Cultural determinants of status:
implication for workplace evaluations and behaviours. Elsevier, 123:34-48. [Online]
Available from: http://people.stern.nyu.edu/sworthen/leslie/culture&status2014.pdf
[Accessed: 2018-08-22].

Vogt, L and Laher, S. 2009. The Five Factor Model of Personality and
Individualism/Collectivism in South Africa: an Exploratory Study. Department of
Psychology School of Human and Community Development University of the
Witwatersrand.

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APPENDICES

APPENDIX A

Article example of the change in the food sector by the growing black middle class

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