Niche food markets are relatively small in South Africa when craft beer, pure-ground coffee, Fairtrade coffee and organic foods are used as proxies.
According to Global Advisors analysis, niche products account for between 0,38% and 19,60% of total market volumes and have a potential consumer size of just over 900 000 adults if Gauteng, Kwazulu-Natal and the Western Cape are targeted.
Companies within the niche market space must therefore carefully consider the size of their particular niche market, in terms of the potential volumes that they should produce, the number of potential consumers, in terms of the targeted LSM group, and where these consumers are located.
For companies already producing mass market products, niche products might require a different business model and could become a distraction to their core product offerings.
The size of these niche sectors are expected to increase in South Africa in the near future due to the rise of the middle-class.
To provide the best experiences, we use technologies like cookies to store and/or access device information. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site. Not consenting or withdrawing consent, may adversely affect certain features and functions.
The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
The technical storage or access that is used exclusively for statistical purposes.The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.