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One expense cash-strapped South Africans are overlooking

Staff Writer

 ·12 Jul 2016

As prices continue to rise in South Africa in 2016, consumers across all income levels are making sacrifices on their monthly budgets – but there’s one expense that often gets overlooked.

A survey conducted by Old Mutual found that consumers are making budget cuts amid a struggling economy and high inflation which has sent prices skyrocketing year-on-year.

When it comes to willing cuts in expenses, topping the list is ‘luxury’ costs such as holidays, eating out and entertainment.

Further down the list – but still on the chopping block among a majority of consumers (60%) – is food and groceries, where shoppers indicated they would cut the amount they buy, or move to cheaper brands.

Read: This is what stressed-out South Africans are willing to sacrifice to cut costs

And while your children may be forced to eat stewing beef instead of rump steak – your pets may still be enjoying their favourite brand.

According to consumer price comparison website, Retail Price Watch, the price of pet food has increased as much as 60% over the past year, depending on the brand – indicating it may be time to switch.

“The average price of dry dog food, especially the more expensive brands, has soared in supermarkets over the past year,” said Viccy Baker of Retail Price Watch.

An 8kg bag of Pedigree has increased by more than 57% on average since June/July last year, from average R162.64 to an average R255.90.

The 1.75kg equivalent has increased by 26.8% over the same period, from average R59.92 to R75.98.

In contrast, the group’s data showed that Bobtail and Pick n Pay’s No Name brands – which are less expensive to begin with – have increased at a slightly less alarming rate.

“No Name 8kg averaged R76.22 in Pick n Pays around the country at midyear 2015 and increased by 16.66% to R88.92 equivalent this year. No Name 1.75kg increased by 5% from R37.99 to R39.89 on average midyear,” Baker said.

Bobtail 8kg increased on average by 6.6% from R106.87 to R114. The average 1.75kg pack increased by 22.3% from R39.47 to R48.27.

South African veterinarian Katherin McLaren told the group that most of these brands have cereals as the main ingredient and meat/animal derivatives as the 2nd or 3rd ingredient.

“In contrast typical veterinary advised foods contain named proteins with animal derivatives much further down the list,” she said.

“However, if you discuss your dog’s feeding with your vet, most won’t criticise you for feeding a cheaper brand if your dog is healthy and happy.”

Analysis of the selected store-bought brands found that they share a similar basic composition.

To avoid blowing the budget on this overlooked expense, Baker suggested switching to a cheaper brand, or buying in bulk, adding that the price per kilogram is typically double when buying in smaller packs.

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