South Africa’s Tech & Durable (T&D) goods consumer has entered a new era of consumption embodied by “justify it” behaviour, according to NielsenIQ, which says their mindset has adjusted from “Can I afford this?” to “Will I feel this purchase was worth it six months from now?” with consideration given not just to money, but to relevance, longevity and quality.
This is one of the key findings of Consumer Tech Trends 2027: How to win when every purchase must be justified – the latest “State of Tech & Durables” report from NielsenIQ. The report 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.
Based on a survey of 17 000 adult consumers across 17 markets, including South Africa, and NIQ’s global sales intelligence, Consumer Tech Trends 2027 examines how years of economic volatility have transformed technology purchasing behaviour and what manufacturers and retailers must do to remain competitive.
Key findings from the new report include:
- Global T&D sales are forecast to reach $1,4-trillion in 2026, up 5,1% year over year.
- 63% of T&D consumers exhibit high price sensitivity.
- 60% prioritise brands that offer “good value for money”.
- 56% have delayed a tech purchase because a product was too expensive or they were waiting for discounts.
- Consumers rank durability, quality, convenience, and trust ahead of affordability when defining value.
“Years of rising prices and uncertainty have cemented the South African consumer’s focus on disciplined spending,” says Zak Haeri, MD at NIQ South Africa. “Buying is no longer about wanting the latest, but about wanting a solution. Affordability matters, but consumers’ calculation of value is increasingly centred around longevity, quality and utility as well as price. T&D growth will be increasingly influenced by targeted innovation that supports purchase justification.”
The growth levers in this changing market include:
Pricing for confidence, not just conversion
Consumers are not necessarily looking for the lowest price, but rather, for an unregretted price. During big promotional events, a significant number of shoppers end up choosing a more premium product than they intended to buy because they calculate that they will receive better value by spending a bit more.
Consumers are willing to pay premium prices when products deliver meaningful and clearly understood benefits. Categories such as AI-enabled PCs, premium smartphones, advanced vacuum cleaners, and larger-screen televisions may outperform broader category averages when consumers perceive strong value.
This implies promotion strategy must function as a growth engine in 2027. South Africa’s winning T&D brands will use key sales events to drive confidence, trade-up and conversion. The goal should not simply be to drive short-term volume spikes, but also to capture higher-margin sales.
Innovating where benefits are most visible and relevant
One in five consumers globally are delaying tech purchases because they say the products being offered do not tempt them to change what they already have. Consequently, brands may be losing these potential buyers because their product’s features, design or offer are missing the mark.
To earn the South African consumer’s business, brands should invest in building a strong reputation for quality and value, incorporating product price, performance, durability and user satisfaction. The global report highlights some key areas where brands can offer differentiated benefits:
- Consumer demand for energy-efficient products is rising in many T&D categories. People are looking to save money on electricity as well as for longer battery life from their devices.
- Interoperability (products from different brands working together seamlessly) has become an important expectation. South African consumers are especially likely to value the flexibility to choose different brands within their home ecosystem.
- South African consumers show some of the highest levels of interest in health-focused tech products and belief in their effectiveness.
Building low-risk ownership models through repairability, refurbishment, warranties, and trade-in programmes
Consumers are looking beyond the upfront purchase price to assess the full value, risk and responsibility attached to the products they buy. 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.
For the South African consumer, sustainability should be framed in terms of product value (long lifecycle, lower cost to run, easier to repair) and not just ethics. Product end of life considerations, such as trade-in offers, are becoming key. Some of the opportunities for T&D brands in South Africa include:
- Consumers are increasingly exploring alternatives to new purchases across all T&D categories. South African consumers, according to the data, are among the most willing in the world to consider a refurbished item in any category.
- Sustainability remains an important possible differentiator, with the potential to drive premiumisation in certain markets and categories. South Africa presents among the highest proportion of consumers who are willing to pay more for a tech product that is also more environmentally friendly.
Learning from challenger brands that excel at communicating value
NIQ research consistently shows that South African consumers are more open to buying new or challenger brands that offer perceived quality at a competitive price. This trend is reflected in the steady expansion of Chinese brands over the past few years, including in T&D categories other than smartphones.
Challenger brands appear to be attracting consumers via competitive prices and clear messaging. Winning brands will make value easier to see, easier to compare and easier to trust at the point of choice to keep pace with their newer competitors. Brands must work harder to be visible at the moment of choice, with clear messaging around price and trust.
Positioning for AI-driven discovery and connected commerce ecosystems
Nearly two-thirds (65%) of consumers globally say they typically start their research for consumer tech and home appliances online. Such behaviour is a significant strategic issue given the growing number of consumers who are relying on AI-powered search, which changes the landscape for consideration before brands even enter the conversation.
Retail is now about being discoverable, relevant and confidence-building wherever the consumer is present and forming their purchase decision. Brands that structure their product data, availability signals and purchase history for machine readability will be better positioned than those optimising only for human-visible search.
Says Haeri: “Success increasingly depends on helping consumers understand the value of innovation, reducing uncertainty and clearly communicating the long-term benefits of ownership,” says Haeri. “Companies that align product development, pricing, marketing and commerce strategies around these expectations will be best positioned to capture future growth opportunities.”