Most people spend money on alcoholic beverages during the long weekend.
Discovery Bank and Visa's SpendTrends26 report shows that South Africans continue to spend more of their money on essentials, while also rewarding themselves with small gifts and travel when budget allows.
The report analyzes consumer spending in the country from 2021 to 2025 using credit card spending data.
“It combines Visa's payments dataset with Discovery Bank's detailed transaction data,” the report said. “This allows the analysis to explore key dimensions of spending behavior, including how much people spend, what people spend, how people spend and when people spend.”
how much do people spend
report It was found that despite the ongoing pressure on the household budget, consumer spending remained resilient in 2025. This resilience is attributed to interest rate cuts by the South African Reserve Bank (SRB), which helped reduce borrowing costs and ease debt-service pressures, providing some relief to households.
It was found that the number of new credit card accounts opened is growing faster than total spending. “This shows that consumers are using a broader range of credit cards and payment options, while also engaging more actively with rewards and benefits,” the report said.
It is worth noting that resilience is being shaped by how families adapt to pressure, using budgets to pursue values, rewards and better planning and spending.
The report states that 52% of South Africans actively look for bargains; 38% are willing to buy second-hand or previously owned items; And 40% regularly engage themselves with smaller products or services.
Most of the money is spent on food, transportation and clothing.
The SpendTrends26 report found that most households spend on groceries, retail, travel, eating out, takeaways and fuel. This shows that the costs of everyday living continue to control the household budget.
“The rising cost of living continues to impact the way South Africans allocate their budgets,” the report said. “Research from Euromonitor International shows that 86% of South African consumers are concerned about rising prices of everyday goods, with this sentiment unchanged by 2024.
“Instead of dramatically cutting back on spending, consumers are adjusting where and how often they spend to maximize value while managing financial pressures.”
The report notes that lower to middle income groups spend the most on groceries, while higher income groups spend the most on retail and travel. At the urban level, Johannesburg is known for its relatively low grocery share.
when people spend
The report found that spending in the country is typically shaped by discount events, long weekends, celebrations and key moments such as major sports matches.
Black Friday sees the most spending of any event, with the majority of people spending on appliances, home, furniture and general retail.
“This gives consumers time to make big purchases with deep discounts and deep discounts,” the report said.
SpendTrend26 found that during the long weekend, the most spending was on alcoholic beverages, followed by general retail and outdoor entertainment. “Spending reflects gatherings, going out and making the most of vacation time,” the report said.
cash is still king
When it comes to how people spend, 64% of respondents said they still pay with cash sometimes, while 23% said they rarely use cash as a payment method. SpendTrend26 writes, “This pattern suggests that cash is no longer the default, but a fallback option.”
57% of respondents use cash for taxis, parking and tickets; 52% use it for tipping; 53% use it when connectivity or card machine fails.
SpendTrend26 found that online shopping is growing rapidly. Johannesburg (92%) and Cape Town (90%) lead the growth in usage.
Online entertainment remains one of the fastest growing digital spending categories, with strong momentum expected to continue through 2025. SpendTrend26 writes, “Transactions are projected to grow 21% in 2024 and 17% in 2025, reflecting continued demand in streaming, gaming and emerging digital services.”
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