ASSIGNMENT 1 SEMESTER 2 2025
UNIQUE NO.
DUE DATE: 2025
, Marketing in Africa
Question 1: Background of the chosen SME/SMME
Siyakhula Spaza Shop is a small, family-owned enterprise situated in Katlehong,
Gauteng. The business was established in 2017 by Mr. and Mrs. Dlamini after Mr.
Dlamini was retrenched from his factory job. Recognising the need for a convenient and
affordable retail outlet within their community, the Dlaminis converted part of their home
into a spaza shop that sells essential goods such as bread, maize meal, cooking oil,
sugar, soft drinks, airtime, and household items.
The spaza shop primarily serves the immediate community, especially low- to middle-
income households who prefer buying smaller quantities on a daily basis rather than
bulk purchases. Siyakhula Spaza Shop also caters to school children, taxi commuters,
and pensioners who value convenience and affordability. Currently, the business
employs three people: the owners and one shop assistant from the neighbourhood, thus
contributing to local employment.
Over the years, the shop has built a loyal customer base by offering credit to trusted
customers, extending operating hours into the evening, and stocking locally preferred
brands. Despite facing challenges such as price competition from larger retailers and
rising supplier costs, Siyakhula Spaza Shop has remained resilient by focusing on
personalised service, community trust, and cultural familiarity with its customers.
Question 2: Demography
(a) Definition and application of demographic segmentation
Demographic segmentation refers to the process of dividing a market into groups based
on measurable population characteristics such as age, gender, income, education,
occupation, family size, and life stage (Kotler & Keller, 2016:145). This method enables