Presentation to Magz

By Alphabet Soup By Alphabet Soup

27 September 200227 September 2002

An overview of the Sandton and Randburg Areas which are closest to the Broadacres Store

Some perspectives from ROOTS/ Caxton

Research based on papers which go to those areas.

A presentation prepared for the Sandton Chronicle and Randburg Sun Clients

In this presentation… Research methodologyResearch methodology

Who and How?Who and How? ReadershipReadership

South African Media Scene.South African Media Scene. Trend of Sandton Chronicle and Randburg Sun readership.Trend of Sandton Chronicle and Randburg Sun readership. The Sandton Chronicle and Randburg Sun vs. competitors.The Sandton Chronicle and Randburg Sun vs. competitors.

Research ResultsResearch Results Who lives in these areasWho lives in these areas

Demographics, psychographics and activities. Demographics, psychographics and activities. ShoppingShopping

Shopping behaviour in various categoriesShopping behaviour in various categories Motoring and DIY.Motoring and DIY.

ROOTS : who did it?

Field work and data capture:Field work and data capture: Contracted out to an independent Contracted out to an independent

research company called im!g.research company called im!g. Sampling and weighting:Sampling and weighting:

Contracted out to the HSRC (Human Contracted out to the HSRC (Human Sciences Research Council).Sciences Research Council).

Data base:Data base: Loaded on to computer driven analysis Loaded on to computer driven analysis

packages (Telmar and Espri).packages (Telmar and Espri).

ROOTS : How was it done? Sampling:Sampling:

Footprint map.Footprint map.100 sampling points (random stratified probability sample).100 sampling points (random stratified probability sample).3 households at each sampling point.3 households at each sampling point.300 interviews per newspaper area.300 interviews per newspaper area.

Fieldwork:Fieldwork:Head of Household.Head of Household.Actual address.Actual address.

Weighting:Weighting:HSRC database.HSRC database.Weighted by demographics in each E.A.Weighted by demographics in each E.A.

Highly competitive environment.Highly competitive environment. Choices, choices, choices.Choices, choices, choices.

Audience fragmentation.Audience fragmentation. Time pressured audiences.Time pressured audiences. High levels of illiteracy. High levels of illiteracy. Decline in daily and weekend Decline in daily and weekend

newspaper audiences.newspaper audiences.

The South African media industry

Competitive environment

± 300 consumer magazines± 300 consumer magazines ± 280 sold and free newspapers± 280 sold and free newspapers ± 35 billboard companies± 35 billboard companies ± 100 radio stations± 100 radio stations 6+ TV channels6+ TV channels Already +140 listed internet sites with Already +140 listed internet sites with

advertising ratesadvertising rates Cinema and so on…Cinema and so on…

Daily circulation vs population growth

15112171624855

15880000

28488000

0

5000000

10000000

15000000

20000000

25000000

30000000

1980 1985 1990 1995 2000

Total Daily Circulation Adult population

(Source: AMPS, ABC)

374148

54

675861

667683

0

20

40

60

80

100

1979 1985 1990 1995 2000

Read any daily Read any weekly

Declining readership trends (white adults aged 16+) Measured in %

(Source: AMPS)

Gauteng/PWV- Whites Only%

2125

34

131517 17

1618

16

3741

5056

72

0

10

20

30

40

50

60

70

80

1979 1985 1990 1995 2000

The Star Beeld All Dailies

(Source: AMPS/White)

JohannesburgWhites only%

5

45

32364549

61

6667

5158

6478

0102030405060708090

1979 1985 1990 1995 2000

Star Beeld All Dailies

(Source: AMPS/White)

In contrast, freesheets are booming…

83

13 14

3

2620

0

10

20

30

40

50

60

70

80

90

100

%

Caxtonfreesheets

The Star Beeld Sowetan SundayTimes

Rapport

(Source: ROOTS 2000)(Base: 1 332 840 Decision makers)

% Reach Gauteng

The Sandton Chronicle and Randburg Sun…papers to be proud of.

72 73 75 7970

81 7883

0

20

40

60

80

100

1990 1992 1996 2000

Sandton Chronicle Randburg Sun

% Readership

(Source: ARRRT and ROOTS)

Competitive Analysis

25% 24%16%

9% 8%

79%

50%

0%

100%

SandtonChronicle

SundayTimes

The Star Sat. Star Rapport Citizen Beeld

% Reach : Sandton Chronicle vs. competitors

(Base: Total decision makers = 77 464) (Source: ROOTS)

Competitive Analysis% Reach : Randburg Sun vs. competitors

(Base: Total decision makers = 58 939)

26%

14%9% 7% 4%

83%

32%

0%

100%

Randburg SundayTimes

The Star Sat. Star Rapport Citizen Beeld

(Source: ROOTS)

Sandton Chronicle gives TMC in Sandton.

72%74%76%78%80%82%84%86%88%90%92%

SandtonChronicle

+ SundayTimes

+ The Star + Beeld +Citizen

Adds 11%

Adds 2%Adds 3%

Adds 1%

Leading Dailies and Weekend Press Add Little Reach to Sandton Chronicles High Reach

(Source: ROOTS)

Randburg Sun

80%81%82%83%84%85%86%87%88%89%

RandburgSun

+SundayTimes

+The Star +Rapport +Citizen +Beeld

Adds 5%

Adds 1%

Adds 3%

Adds 1%

Leading Dailies and Weekend Press also Add Little Or No Reach to Randburg Sun’s High Reach

(Source: ROOTS)

Adds 0%

Why the success? Focused relevant local editorial.Focused relevant local editorial. Provide TMC.Provide TMC.

Geographically NichedGeographically Niched Capital investment.Capital investment.

New efficient printing presses.New efficient printing presses. Digital data transport.Digital data transport.

Cost/ Quality ratio.Cost/ Quality ratio. Contained costs without compromising quality.Contained costs without compromising quality.

Kept our local advertisers.Kept our local advertisers. Local businesses account for 70% of our total ad Local businesses account for 70% of our total ad

revenuerevenue

Cost Control – Media Inflation Watch

MediaMedia % increase% increase

DailiesDailies 195%195%

WeekliesWeeklies 173%173%

LocalsLocals 114%114%

CIW RadioCIW Radio 397%397%

CPICPI 104%104%

Source: MIW – June 2001

CONSTANTIA KLOOF

RANDPARKRIF

KIMBULT AH

ALSEF AHSUNDOWNER

WINDSOR

RANDPARK

ALDARAPARK

CRESTADARRENWOOD

LINDEN

PINE PARK

BLAIRGOWRIE

CRAIGHALL PARK

BIRDHAVEN

ILLOVO

INANDA

ATHOLL

BRAMLEY

BRYANSTON

ROBIN HILLS

FONTAINEBLEAU

KELLANDWINDSOR GLEN

FERNDALE

BROMHOF

BOSKRUIN

MALANSHOF

STRIJDOMPARK

PRESIDENT RIDGE

ROBINDALE

ROBIN ACRES

BORDEAUX

SANDTON RES

RUITERHOF

LYME PARK

JUKSKEIPARK

SHARONLEA

NORTHWOLD

SONNEGLANS

OLIVEDALE

JOHANNESBURG-NOORD

OSUMMIT

BEVERLEY GARDENS

VANDIA GROVE

GLENIFFER

WITKOPPEN

FOURWAYS

DOUGLASDALE

CRAIGAVON A H

NORSCOT

MAGALIESIG

WOODMEAD

SANDOWNGLENADRIENNE

SANDHURST

BENMORE GARDENS

RIVER CLUB

MOODIEHILL

RAUMARAIS PARK

WYNBERG

STRATHAVON

EDENBURG

GALLO MANOR

MARLBORO

WENDYWOOD

PAULSHOF

KLEVE HILL PARK

MIDRAND +

PETERVALE

LONE HILL

RIVONIA

SUNNINGHILL

KELVIN

IVORY PARK

BIRCH ACRES

NORKEM PARK

Layers

RANDBURG SUN:GAUSUBS 96 CENS

SANDTON CHRONICLE:GAUSUBS 96 CENS

KM

420

COMMUNITY NEWSPAPER FOOTPRINTSandton Chronicle and Randburg Sun

40

52

10

22

35 34

83

13

5

15

32 32

22

29

1318

611

83

37

40

18

6

5248

48

0

10

20

30

40

50

60

70

80

90

100

Male

Female

16-24

25-34

35-49

50+

White

Black

Asian/Col

>R5000

R5000-R9999

R10000-R19999

R20000+

Sandton Randburg

(Base: Total decision makers; Sandton = 77 464; Randburg = 58 939)

Demographics:Decision makers in Sandton and Randburg

(Source: ROOTS)

Decision makers in Sandton tend to be older and more affluent than those residing in Randburg.

Our research has shown that area by area, people differ…

Not only in terms of their demographics but in respect of their psychographics and

behaviour too.

60%

35%

21% 21% 20% 20% 19% 19%

12%

25%

11%6% 6% 7%

3%7% 6% 4%

0%

70%

Sandton City Fourways Mall FourwaysCrossing

BryanstonCentre

BenmoreGardens

Cloisters Eastgate Rosebank Hyde Park

Been into p3mnths Visit most often

Top Shopping CentresSandton

(Base: Total decision makers = 77 464) (Source: ROOTS)

Sandton City is by a large percentage Sandton resident’s favourite and most frequently visited shopping centre.

No 1.

55%

29%

15% 14% 14%8% 8% 7% 5% 4%

37%

17%

6% 6%10%

4% 4% 5%1% 1%

0%

65%

Cresta

Northgate

Fourways

Mall

Randburg W

aterfr

ont

Randburg C

bd

Sandton S

quare

Randridge m

all w

ay

Randparkrid

ge centre

Heathw

ay Centre

Eastgate

Been into in p3mnths Visit most often

Top Shopping CentresRandburg

(Base: Total decision makers = 58 939) (Source: ROOTS)

Cresta shopping centre is the most popular shopping centre among Randburg decision makers.

No 1.

The changing “shopscape”

Increased competition.Increased competition. Many new developments.Many new developments. Rise of “New” chain storesRise of “New” chain stores

Family Stores, 711’s,Foodies, IGA, Garage Family Stores, 711’s,Foodies, IGA, Garage forecourt stores etc.forecourt stores etc.

Pressure on margins and economic pressures.Pressure on margins and economic pressures. Drive to convenience as catchment areas shrink.Drive to convenience as catchment areas shrink. Shoppers becoming less passive and more Shoppers becoming less passive and more

demanding.demanding. Continued budgetary pressure on shoppers.Continued budgetary pressure on shoppers.

Shopping patterns and behaviour have changedtremendously over the past 10 years

Budgetary pressure is causing shoppers to be more selective…

(Source: ROOTS)

Consumers are demanding more for their money.

(Source: ROOTS)

25%

22%

15%

12%

9% 8%6%

29%

23%

18%

14% 15%

9%11%

37%

32%

36%

29%

45%

21%

53%

0%

50%

P'nPaySupermarket

P'nPayHypermarket

ShopriteCheckers

P'nPay FamilyStore

Woolworths Hyperama Spar(any)

Spend Most Main Shopping Been into past month

Food & Grocery retailers.Sandton

(Base: Responsible for all/most of household purchases = 49 936) (Source: ROOTS)

Spar has the highest feet through the door patronage. However the Pick ‘n Pays’ have the highest loyalty conversion rate

33%

18%

11%13%

10%8%

23%

18%

11%13% 13%

8%

35%

29%

18%17%

35%

13%

0%

40%

P'n PayHypermarket

Shoprite Checkers P'n PaySupermarket

P'n Pay Familystore

Spar(any) Hyperama

Spend Most Main Shopping Been into past month(Base: Responsible for all/most of household purchases = 35 307) (Source: ROOTS)

Food & Grocery retailers.Randburg

Pick ’n Pay Hypermarket and Spar(any)have the highest no. of visitors followed by Shoprite Checkers.

Preferred Day for Shopping

5% 4%

9% 8%

13%

31%

5%

26%

14%

6%7% 9%

21%

39%

1% 1%

0%

40%

Mon Tues Wed Thurs Fri Sat Sun Any Day

Sandton Randburg

(Base: Responsible for all/most of household purchases)

The weekend is still the preferred time for food and grocery shopping although there seems to be some movement towards the middle of the week. Decision makers in Randburg suburbs really love shopping on

Saturday whereas, Sandton decision makers are not quite so “fussy” with a very high percentage (26%) having no preference.

(Source: ROOTS)

Technology: possessions have.

11%

28%

53%

64%

73%

11%

32%

54%

68%

74%

0% 80%

DVD

DsTV

Computer

Mnet Decoder

Video Recorder

Sandton Randburg(Base: Total) (Source: ROOTS)

Interestingly, Randburg decision makers tend to have slightly more appliances than those living in Sandton.

Cell phone ownership and purchasing.

27%

9%

62%

16%

59%

5%

0%

70%

Have a cell phone Bought new cell phonep6mnths

ROOTS Gauteng Ave Sandton Randburg

(Source: ROOTS)(Base: Total)

No. of motor vehicles in household

15%

30%

35%

13%

7%

37%34%

16%

4%8%

0%

5%

10%

15%

20%

25%

30%

35%

40%

1 2 3 4+ None

Sandton Randburg

(Source: ROOTS)(Base: Total)

Households in Randburg suburbs tend to have one motor vehicle whereas a large percentage of Sandton

households have 3 or more.

New car purchases Past 6 months

9%10%

9%

12% 12%11%

6% 6% 6%

0%

2%

4%

6%

8%

10%

12%

14%

Total Male Female

ROOTS Ave Sandton Randburg

(Source: ROOTS)(Base: Total)

New car purchases in Sandton are above the ROOTS Average, however in Randburg they are below average. It is interesting to note that contrary to popular belief,

women buy cars too!

Hardware/D.I.Y purchases Past 6 months

21%24%

19%

27%31%

24%

9% 9% 8%

0%

40%

Total Male Female

ROOTS Gauteng Ave Sandton Randburg

(Source: ROOTS)(Base: Total)

Far more Sandton residents purchased Hardware/D.I.Y in the past 6 months than did Randburg residents. Interestingly, there

isn’t a huge difference between male and female purchasing

Restaurants

12% 13%

23%

6%

22%

17%19%

2%

23%

10%

23%

10%

0%

30%

Once a week Once 2/3 weeks Once a month Less often

ROOTS Ave Sandton Randburg

(Source: ROOTS)(Base: Total)

Decision makers in both Sandton and Randburg enjoy eating out.

Analgesic usage Female

(Source: ROOTS)(Base: Female)

Analgesic usage Male

(Source: ROOTS)(Base: Male)

What Sandton and Randburg women think of themselves…

(Source: ROOTS)(Base: Female)

Female attitudes towards fashion and cosmetics…

(Source: ROOTS)(Base: Female)

Female attitudes towards food and cooking…

(Source: ROOTS)(Base: Female)

Male Attitudes towards Shopping…

(Source: ROOTS)(Base: Male)

What Sandton and Randburg males think of themselves and fashion…

(Source: ROOTS)(Base: Male)

Favourite Radio Stations

23%20%

6%

40%

21% 22%

7%

37%

0%5%

10%15%20%

25%30%35%40%45%

94.7 HighveldStereo

Radio 702 5 FM Classic FM

Sandton Randburg

(Source: ROOTS)(Base: Total)

Favourite TV channels

58%

49%42%

30%25%

9%14%

19%24%

32%34%

46%

0%

10%

20%

30%

40%

50%

60%

70%

Mnet etv SABC3 SABC1 SABC2 DSTV

Sandton Randburg

(Source: ROOTS)(Base: Total)

All in all two different areas with different shopping habits, attitudes, buying power and lifestyles.Their media choices differ but not significantly, but one things for sure…

They all reading their local They all reading their local newspaper!newspaper!

Thanks for your time and support!Thanks for your time and support!

Adspend Overview

August 2001 – July 2002August 2001 – July 2002

All Categories Annual AdspendAugust 2001 – July 2002

Print39%

Internet1%Radio

12%Outdoor

4%

TV42%

Knock n Drop1%

Cinema1%

Total Spend R10,6b

Prime Competitors – Share of VoiceAugust 2001 – July 2002

Other Bookstalls3%

C N A86%

Exclusive Books8%

Wordsworth1%

CUM Books2%

Total Spend R20m

Adspend of Model Group by Media Type

MediumMedium

Total SpendTotal Spend

C N A C N A

R15,756R15,756

ExclusiveExclusive

BooksBooks

R1,471R1,471

Other Other BookshopsBookshops

R597R597

C U MC U M

BookshopBookshop

R367R367

PrintPrint 4,8414,841 512512 595595 341341

RadioRadio 3,4013,401 634634 22

TVTV 7,4857,485 2626

CinemaCinema 3030 325325

THE MEDIA SHOP Adspend Analysis

CLIENT :CATEGORY : ADSPEND ANALYSIS - YEAR ENDING 27-Sep-02

PRINT CINEMA RADIO TV INTERNET TOTAL % SOVADAMS & CO BOOKSHOP 1,790 0 0 0 0 1,790 0.0%BANTAM DISTRIBUTORS 52,445 0 0 0 0 52,445 0.3%BOOK SHOP THE 12,432 0 0 0 0 12,432 0.1%BOOKWORM THE BOOKSHOP 162 0 0 0 0 162 0.0%CHRISTELIKE BOEKWINKE 479,210 0 43,560 0 0 522,770 2.7%CNA BOOKSHOP 4,840,517 29,833 3,400,771 7,484,931 0 15,756,052 81.9%CUM BOOKS SHOP 340,833 0 0 26,000 0 366,833 1.9%EXCLUSIVE BOOK SHOP 511,542 325,612 634,128 0 0 1,471,282 7.6%HUMERUS MEDICAL HUMOUR 8,000 0 0 0 0 8,000 0.0%INCREDIBLE BOOK SHOP 53,604 0 0 0 25,000 78,604 0.4%KILO SHOP MAGAZ SHOP 390 0 0 0 0 390 0.0%LIBERTY BOOK SHOP 0 0 7,560 0 0 7,560 0.0%MASKEW MILLER BOOKSHP 12,656 0 0 0 0 12,656 0.1%MAST BOOK SHOP 548 0 0 0 0 548 0.0%MOTORBOOKS STORE 54,065 0 0 0 0 54,065 0.3%OTH BOOK SHOP OTHER 594,668 0 2,564 0 0 597,232 3.1%PROTEA BOEKHUIS 33,789 0 0 0 0 33,789 0.2%RHEMA BOOKSHOP 14,759 0 0 0 0 14,759 0.1%SARTAJ BOOK CENTRE 4,207 0 0 0 0 4,207 0.0%SHUTER&SHOOTER BOOKSH 43,630 0 0 0 0 43,630 0.2%UNIVERSITY BOOKSHOP 1,543 0 0 0 0 1,543 0.0%VAN SCHAIK BOOKSHOP 78,089 0 0 0 0 78,089 0.4%VIA AFRIKA PUBL&BOOKS 965 0 0 0 0 965 0.0%WIZARD BOOKSHOP 1,956 0 0 0 0 1,956 0.0%WORDSWORTH BOOK SHOP 67,904 0 43,560 0 0 111,464 0.6%TOTAL 7,209,704 355,445 4,132,143 7,510,931 25,000 19,233,223 100.0%% MEDIA SHARE 37.5% 1.8% 21.5% 39.1% 0.1% 100.0%