Brand loyalty: are black urban area consumers’ more loyal?

Abstract

Black urban area consumers’ are a major economic force in the South African economy and represent a considerable portion of the economic and social setting of South Africa (Hummel, M, In: McCann World group, 2008). However this segment has long been neglected by marketers due to the segregation that was experienced within the country pre-1994. Prior to independence, black urban area communities were mostly catered for by ‘spaza’ shops, or informal retailers run from inside a home that presented residents with a limited variety of products. Residents in traditional black urban areas mostly purchased at these retailers due to financial constraints and limited accessibility to other larger retail outlets as well as due to security fears, and in so doing formed a loyalty towards brands offered by spaza shops. Post-1994 however has seen a dramatic increase in black urban area income, enhanced public transportation and greater retail development within these areas, which has allowed for many residents to become more exposed to alternative brands. The primary aim of this study therefore was to examine the degree of brand loyalty consumers’ of black urban areas of Tshwane, South Africa hold today in relation to retail brands. In order to satisfy the research objective of the study, a self-administered location based survey was distributed to the residents of Shoshanguve, Mamelodi and Attridgeville; black urban areas within the Tshwane region of South Africa.