Saving money requires one to stick to a strict budget and limit fun activities. But with proper planning it doesn’t have to be this way.
With the cost of living on the rise, it has become more difficult to save money for rainy days. Many have been forced to take a long hard look at their finances and make a conscious effort to manage their money for a bit of fun.
Tlalane Ntuli, chief marketing officer at Metropolitan, said: “We are noticing that people are demonstrating interesting trends when it comes to saving. The average consumer is tired of advice that forces them to completely sacrifice and live an almost miserable life to save every penny. Rather what they are telling us is that they want strategies that are relevant and are in line with the lives they want to live.
These are some of the savings trends that have emerged:
Increased financial education to manage money
Google Trends data reveal that South Africans are increasingly concerned with how matters such as inflation are impacting their lives and personal finances.
“People are not only interested in when the petrol price is going up so they can fill up their cars before that happens, they are also now becoming increasingly aware of how the fuel price impacts other financial areas of their lives and in turn implement strategies to be able to cope.”
Leisure time is still a priority amidst tough times
Groove is also still manageable during the current economic status. It’s all about looking for strategies that allow you to maximize the good time at a minimal cost.
Instead of going out on weekends, people have now realised that it’s more cost-effective to take advantage of weekday drinks specials at local hangout spots.
“Respondents to an on-the-street survey conducted by Think Africa, agency partner of Metropolitan, revealed interesting insights regarding the importance of leisure time for South Africans.”
Group savings are more relevant than ever
Two heads are better than one and when it comes to saving towards a common goal like grocery shopping, that type of collective is put into action through stokvels, which are very popular in South Africa.
The survey highlighted some ineffective usage cases for stokvels that consumers should aim to avoid.
“These include over-investing in stokvels and therefore, not having any money left over for a rainy day or other forms of savings and investments. A popular form of stokvel in South Africa is the grocery stokvel through which consumers save enough to collectively spend on household items that every member in the stokvel needs on a monthly or annual basis.”
South African consumers have their own unique practices around how they choose to save. Whether that is saving earnings from their side hustle, or saving weekly, South Africans like to find a Mzansi-way of saving that works for them and their circumstances.
“However you choose to put money away, remember saving money is like losing weight, in that, if you don’t get it right the first month, don’t give up. Just continue on your own savings journey undiscouraged knowing that this journey ultimately leads to a more prosperous future and life for yourself,” concluded Ntuli.
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