South Africa’s tech and durables (T&Ds) consumers are increasingly looking beyond the upfront price of tech devices, with reparability, refurbishment, warranties and trade-in programmes emerging as ways to reduce the risk associated with ownership.
The shift is part of what market research firm NielsenIQ (NIQ) describes as “justify it” behaviour, where consumers scrutinise whether a purchase will continue to deliver value well after the transaction.
NielsenIQ's Consumer Tech Trends 2027 report, based on 17 000 adult consumers across 17 markets, including SA, finds that South Africans are among the most willing globally to consider refurbished products across T&D categories.
The report indicates that local consumers are becoming more value-focused, assessing the costs and responsibilities associated with a product throughout its lifespan, rather than focusing exclusively on the amount paid at the till.
It further highlights how consumer tech brands need to innovate, not just in terms of features and specifications, but also in terms of durability, efficiency and utility.
“Consumers are less willing to buy on impulse and are looking beyond the upfront purchase price to assess the full value, risk and responsibility attached to the products they buy,” it notes.
“They want to know how long they will last, how much they will cost to run, whether they can be repaired or resold, and what happens when they reach the end of their useful life.”
This creates an opportunity for manufacturers and retailers of T&D items − such as smartphones, laptops, PCs, televisions, washing machines and vacuum cleaners − to make the ownership lifecycle part of their proposition, according to the study.
The report specifically identifies repairability, refurbishment, warranties and trade-in programmes as potential ways for T&D brands to build lower-risk ownership models.
According to the report, the wider consumer context also reinforces this shift. Globally, 63% of surveyed T&D consumers are highly price-sensitive, while 60% prioritise brands that offer good value for money.
More than half (56%) have delayed a technology purchase because the product was too expensive or because they were waiting for a discount.
Extending product lifecycle
“Refurbishment is one of the clearest opportunities identified for the South African retail market. South African consumers are among the most willing in the world to consider a refurbished item in any T&D category.
“The finding suggests consumers are increasingly prepared to look beyond the traditional new-product purchase when assessing their technology options. For manufacturers and retailers, this creates the possibility of connecting new-product sales with secondary-market opportunities,” notes the report.
Trade-in programmes, for example, can provide consumers with value towards an upgrade, while giving brands an avenue to recover, refurbish and resell returned products.
This can extend the commercial life of a device beyond its first owner and create additional points of engagement between brands and customers.
Repairability also takes on greater importance when consumers assess the long-term value of a product.
NIQ specifically identifies longer product lifecycles, lower running costs and easier repair as the aspects of sustainability that matter to South African consumers.
“Energy-efficiency and warranties form part of the same broader calculations made by consumers. This shifts the conversation away from sustainability as an exclusively ethical consideration and towards tangible ownership benefits.”
The report also highlights rising consumer demand for products that can reduce electricity costs, as well as devices offering longer battery life, while a warranty can address uncertainty around what happens if a product fails after purchase.
Trade-in programmes are another mechanism through which brands can reduce the perceived cost of upgrading, notes the report.
The shift towards alternative ownership models is already visible in SA’s technology retail market. iStore South Africa previously told ITWeb its trade-in programme facilitates thousands of trade-ins each year, with customers using existing devices to offset the cost of upgrades, while its pre-owned range is attracting consumers seeking a more accessible route into the Apple ecosystem.
In February, Makro entered the local refurbished technology market with the launch of Makro Restored, an online store offering pre-owned tech devices.
NIQ South Africa MD Zak Haeri says companies will need to respond by reducing the uncertainty attached to purchasing decisions.
“Success increasingly depends on helping consumers understand the value of innovation, reducing uncertainty and clearly communicating the long-term benefits of ownership. Companies that align product development, pricing, marketing and commerce strategies around these expectations will be best positioned to capture future growth opportunities,” notes Haeri.
For South African T&D brands, that means the opportunity may extend beyond persuading consumers to buy a new device. Repair, warranties, trade-ins and refurbishment can become part of the value proposition itself, helping brands address the increasingly important question of whether a technology purchase will still feel worthwhile long after the transaction, says NIQ South Africa.
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