News24 | R300bn just in the silly season: What South Africans spend partying

South Africa’s celebration economy is an important economic driver, with research respondents saying they regard celebrations as a social necessity, not a luxury.

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• A University of Cape Town study found South Africans spend about R500 billion on celebrations annually, with a separate poll finding nearly R300 billion will be spent this festive season alone.
• Most respondents in the UCT Liberty Institute study said they regard celebrations as a social necessity rather than a luxury.
• Big-ticket costs listed by study respondents included up to R1 million on weddings, R140 000 on a tombstone unveiling, and R70 000 on a homecoming ceremony after initiation.
• For more financial news, visit News24 Business. 

South Africans spend hundreds of billions of rands on celebrations every year, with nearly R300 billion expected to be spent this festive season alone, recent research shows.

Big-ticket items listed by research respondents included up to R1 million on weddings, R140 000 on a tombstone unveiling, and R70 000 on a homecoming ceremony after initiation.

A new study by the University of Cape Town (UCT) Liberty Institute of Strategic Marketing, titled The Celebrations Economy 2026, explored why South Africans celebrate, how much they spend and what this means for businesses and marketers.

The study was launched on 2 October at the university’s School of Economics.

It found that celebrations are an important economic driver in SA, with some R500 billion spent on celebrations annually.

While South Africa’s love of a good party is beneficial to multiple sectors, researchers also fear that high expenditure could put increasing pressure on household pockets.

However, the study also found that for most respondents, celebrations are regarded as a social necessity, not a luxury.

“The study shows that South Africans continue to embrace celebrations ... Beyond being a significant economic driver, celebrations keep us connected, strengthen our relationships and provide a much-needed release from the pressures of everyday life.

“They are also one of the few times when we come together as equals, and social hierarchies temporarily fall away,” said Paul Egan, managing consultant at the UCT Liberty Institute.

For whom the (wedding) bell tolls

A related study found that 9 000 weddings were held over 32 days between 1 April and 2 May in South Africa’s nine provinces, a UCT spokesperson said.

Gauteng led the pack with 2 070 weddings, followed by the Western Cape at 1 970, KwaZulu-Natal (1 200), North West (810), Eastern Cape (780) and Limpopo (690).

Mpumalanga, the Free State and the Northern Cape registered the fewest weddings at 580, 540 and 360, respectively.

Meanwhile, the Wonga Summer Spending Survey found that consumers are expected to spend R289 billion this festive season alone.

But it’s not only parties driving expenditure in the celebration economy. The ZCC pilgrimage to Moria, for example, is said to inject R5 billion into the economy, with R2.5 billion going to the taxi and bus industries, R1.5 billion to food vendors and retail, and R1 billion to church missions and local trade.

Speakers at the UCT study launch noted that celebrations in SA include, but are not limited to, baby showers, baptisms, birthdays, graduation parties, weddings; the Nguni rites and ceremonies of imbeleko (baby introduction to clan and ancestors), ukuthwasa (initiation to become a traditional healer), ulwaluko (male circumcision and initiation to manhood), intonjane (female rite of passage to womanhood); the Islamic month of fasting and prayer, Ramadan; and the festival of lights, Diwali.

“In a country dealing with high unemployment, the celebration economy has become an increasingly important source of economic development,” said Professor James Lappeman of the UCT Liberty Institute.

A chance to escape

“I think overseas people don’t realise the importance of celebrations to us. It’s a chance to escape our harsh realities,” one of the respondents to the study said.

“I’ve lived all over the world, and there are few people who celebrate like we do,” said another respondent.

The study noted that a possible cost driver is that, as celebrations become more modern, they also become “bigger and more elaborate, and more influenced by global trends”. Younger generations, UCT said in a statement, tend to make celebrations “more modern, expensive and stylish”.

Asked how respondents felt after their most recent celebration, 66.3% said they felt pure joy, 57.7% gratitude, 55.4% excitement, 41.9% deep connection and 16% said the celebrations came with some stress.