Value and service front of mind in South Africa

Great service and value are key to winning spend in South Africa’s On Premise, new consumer research from CGA by NIQ reveals.
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CGA’s exclusive On Premise User Survey delivers deep expert insights into what people want from their visits to the country’s pubs, bars and restaurants, helping suppliers and venues optimise their strategies. It shows seven in ten (70%) think good customer service is important when they eat and drink out—making it the most important factor ahead of the quality of food (68%)—while value for money (60%) ranks third.

 

Despite an easing in some costs, value is under close scrutiny at the moment. Nearly half (47%) of consumers say good value is more important to them in their drinks choices than it was 12 months ago. It is the top factor in consumers’ brand selection in most leading spirits, including gin, vodka, tequila and whiskey.

 

However, high quality is also more important for 44%, so it is clear that value doesn’t always have to mean cheap—just worth the price that consumers pay for their drink. With 61% of consumers likely to spend extra for a higher quality option, OPUS has shown how premiumisation remains a significant opportunity in South Africa.

 

Top-quality service can be a powerful factor when generating these trade-ups to premium and luxury brands or bottle purchases—especially in channels like bars and nightclubs, and on celebratory and high-tempo occasions. Table-side presentation of exciting serves can attract younger adults in particular.

 

The latest OPUS data delivers many more insights into consumer engagement via value, service and many more factors. It has deep dives into top spirits and the super-premium and luxury segments, plus ways venues can generate sales of whole bottles as well as shot and with-mixer serves.

 

Abhi Sehgal, CGA by NIQ’s client solutions manager EMEA, said: “There are some encouraging signs that consumers will be ready to spend more freely in the On Premise in 2025, but many of them will remain sharply focused on value. This issue goes well beyond price, and quality, brand reputation and serves are all closely intertwined with perceptions. Communicating high standards and finding the sweet spot between quality and value is crucial, and service has a big role to play in ensuring that guests receive memorable and good-value experiences when they eat and drink out.”

 

 

Accessible via a package of core outputs and custom projects, and a proprietary self-serve platform, OPUS is the single source of understanding what consumers are doing in the On Premise and why. To learn more about CGA’s consumer research across South Africa, download more information here, or contact Abhi Sehgal here 

 

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