This report focuses on the retail of furniture, appliances and white goods in South Africa, including information on the size and state of the industry and factors influencing its success. Developments including those at Steinhoff, the growth in online sales and expansion of South African furniture retailers on the continent are discussed. There are comprehensive profiles of 16 companies including major players such as JD Group, Shoprite and Lewis, that have a combined footprint of 2,040 stores in South Africa.
Retail of Furniture and Appliances
The furniture and appliance industry’s contribution to overall retail sales continues to contract from 5.4% of total retail sales in 2016 to 4.25%, equating to R44.48bn, in 2018. However, household furniture, appliances and equipment sales grew 10.6% in 2018 against overall retail sales growth of 2.1%, despite the fallout from the revelation of accounting irregularities at Steinhoff International in December 2017. Steinhoff owns a majority stake in Pepkor, the country’s largest furniture retailer through JD Group.
The most recent sales figures for October, November and December 2018, boosted by Black Friday, have been particularly high against the backdrop of sluggish retail sales and despite the poor economy and some upheaval in the industry.