SA Vertical Industry Market Sizing and Forecast 2024
SA Vertical Industry Market Sizing and Forecast 2024
This report tracks each vertical industry by IT and telecoms spend for 2023, broken down by ‘corporate’ and ‘SME and midmarket’ customer segments, as well as their five year forecasts from 2024 to 2028.
The key components of the research, as reflected in the report’s chapter structure, are:
- Number of business customers in each size category, segmented by key vertical market sector
- Vertical sector spend on IT and telecoms, and how this will change in future
- Overall ICT spending levels and growth trends in each service category, including forecasts to 2028
- Resultant ICT revenues and forecast growth rates by category type and ‘corporate’, ‘SME and ‘midmarket’ spend
- Note: Excluded from the market revenue numbers are in-house spending on ICT salaries and spending on ICT intermediary consultants such as management consultancy firms, unless these form part of an ICT project.
Methodology
BMIT has analysed all the vertical industries by company size and by employee bracket, and their spending patterns, formulated from primary and secondary research input from:
- BMIT databases and other secondary sources, including reporting of the number of VAT-paying companies, StatsSA Quarterly Labour Force Survey (QLFS) and Quarterly Employment Statistics (QES) reports
- Enterprise ICT spending patterns, based on BMIT’s end user surveys and derived models
- Top-down industry revenue figures tied back to BMIT in-depth reports on IT and telecoms market segments, which in turn are informed by primary research (vendor interviews) and analysis of operator reporting
- Qualitative assessment of key vertical markets in South Africa, based on extensive secondary research.
Analysis framework
Business ICT spend
- By customer segment: Corporate and SME
- IT and telecoms spending growth, per ICT product/service category
- Forecast to 2028
- Vertical segmentation (based on 9 SIC Codes for economic activity)
- Agriculture, forestry & fishing
- Mining
- Manufacturing
- Electricity, gas & water
- Construction
- Retail, wholesale & hospitality
- Transport, storage & logistics
- Financial and business services
- Government, healthcare, education & personal services
Within each sector:
- Statistical dashboard
- Overview of sector and subsectors
- ICT spend and forecast
- Major companies
- Major projects
- Government policies & programmes
- Trends/challenges/drivers/inhibitors
- Tech trends
Note:
- Official statistics, such as GDP, labour, etc, currently are reported in terms of the Standard Classification of All Economic Activity or SIC codes, version 5, linked to international codes. The codes used are shown in Appendix A
- The SIC5 classification does not offer categories that have more recently become important sectors, such as media, and ICT, which must currently be constructed from several subsectors. Conversely, SIC combines, for example, transport, storage, logistics, postal, courier and telecommunications services into one sector.
- A new set of classification codes has been prepared, SIC version 7, which allows for changes in the economic landscape, including ICT sectors. However, Statistics SA is not yet reporting according to these new codes.
- In this report, BMIT uses the basic 9 categories of the SIC5 code format in order to give an overview of the whole economy’s ICT spend, segmented by vertical sectors that correspond to official GDP, labour and other economic statistics.
- BMIT offers vertical ‘deep-dive’ reports, which delve deeper into various sectors. Some of these are transversal vertical deep-dives, where we provide a landscape of those sectors which cross traditional boundaries and touch many industries. Vertical ‘deep-dives’ are customised to client’s requirements. For more information, contact anita@bmit.africa.
Table of Contents
- Introduction and methodology
- Overview of the SA economy and its vertical industries
- SA vertical market by customer segment and ICT category
- Economic trends and ICT spend per vertical
- Agriculture, forestry and fishing
- Mining and quarrying
- Manufacturing
- Energy (electricity, gas) and water
- Construction
- Wholesale, retail and motor trade; catering and accommodation
- Transport, storage and communication
- Finance, real estate and business services
- Government, community and personal services
SA ICT spending by vertical sector, customer segment and ICT category
- SA ICT market spend – Business market in 2023
- Business sector ICT market by vertical sector, 2023
- Projected growth for IT and telecoms by vertical sector 2023 to 2028
- Business sector ICT spend growth per vertical.
- Business sector ICT spend per vertical, by size category, 2023
- Business sector ICT spend per vertical, by product category, 2023
- Business sector telecoms spend per vertical, by category, 2023
- Business sector telecoms spend growth per vertical, 2023
- Business sector IT spend by vertical sector and IT category, 2023
- Business sector IT spend growth per vertical, 2023 -2028
Economic trends and ICT spend per vertical
AGRICULTURE
- Agriculture Industry Dashboard
- Agriculture subsectors
- Size of the agricultural subsectors, by employment
- Agriculture sector telecoms spend by category type & customer segment
- Agriculture sector IT spend by category type & customer segment
- Top companies in the agriculture sector
- Agriculture – government initiatives
- Challenges / drivers / inhibitors of agricultural sector growth
- Land reform in South Africa – progress to date
- Agriculture technology trends
MINING & QUARRYING
- Mining & Quarrying Industry Dashboard
- Size of the mining subsectors, by employment
- Mining production
- Mining subsectors
- Mining sector telecoms spend by category type & customer segment
- Mining sector IT spend by category type & customer segment
- Top companies in the mining sector
- Major projects in the mining sector
- Mining challenges
- Mining opportunities
- Mining – the impact of the just energy transition on mining
- Private 5G-oriented diamond mine in Botswana
MANUFACTURING
- Manufacturing Industry Dashboard
- Manufacturing major subsectors – sales values
- Manufacturing major subsectors – employment
- Manufacturing sector telecoms spend by category type & customer segment
- Manufacturing sector IT spend by category type & customer segment
- Top companies in the manufacturing sector
- Major projects in the manufacturing sector
- Manufacturing – government interventions
- Manufacturing trends in SA sales and production
- Decarbonisation challenges in Manufacturing
- Manufacturing: challenges
- Manufacturing becomes circular
- Manufacturing – embracing digital technologies for success
- Autonomous vehicles (AV) manufacturing
- Manufacturing – localisation
ENERGY & WATER
- Energy Industry Dashboard
- Energy subsectors
- Energy, water and gas sector telecoms spend by category type & customer segment
- Energy, water and gas sector IT spend by category type & customer segment
- Energy and water companies
- Major projects in the energy, water and gas sector
- South African electricity landscape
- Eskom developments
- Load shedding development
- Eskom’s Just Energy Transition (JET) Financing Facility
- Renewable energy developments and initiatives in SA
- Summary of REIPPPP Bids
- Renewable energy – large-scale investment opportunities in 2023
- Anglo American – mining and renewable energy
- Green hydrogen developments
- Electricity generated in south Africa
- Water challenges in South Africa
- Government initiatives in water sector
CONSTRUCTION
- Construction Industry Dashboard
- Construction subsectors – building and construction
- Construction sector telecoms spend by category type & customer segment
- Construction sector IT spend by category type & customer segment
- Major companies in construction sector
- Construction projects in 2023
- Construction – issues and challenges
- Technology developments in construction
WHOLESALE AND RETAIL TRADE
- Trade Industry Dashboard
- Trade subsectors
- Size of the trade subsectors, by employment numbers
- Trade sector telecoms spend by category type & customer segment
- Trade sector IT spend by category type & customer segment
- Top companies in the trade sector
- Retail Trends
- Impact of digital adoption on retail & wholesale
- Carbon neutral shopping
TRANSPORT, LOGISTICS & COMMUNICATIONS
- Transport and Communications Industry Dashboard
- Transport, Logistics & Communications subsectors
- Size of the transport and communications subsectors, by employment
- Transport sector telecoms spend by category type & customer segment
- Transport sector IT spend by category type & customer segment
- Top companies in the transport and logistics sectors
- Top companies in the courier & communications sectors
- Major projects in the transport and communications sector
- Challenges in transport
- Recent Government policies and regulations in communications
- South African Post Office
FINANCE AND BUSINESS SERVICES
- Financial & Business Services Industry Dashboard
- Finance and business services sector telecoms spend by category type & customer segment
- Finance and business services sector IT spend by category type & customer segment
- Banking organisations
- Finance subsectors
- Banking subsectors
- Large Retail Banks – Operational Summary
- South Africa’s Top Banks in 2023
- Major players in the banking subsector
- Virtual banks
- Total banking sector assets
- Co-operative financial sector assets
- Banking sector – size of companies by geographic spread
- Major players in the insurance subsector
- Total insurance sector assets
- Size of insurance companies
- Major players in the health insurance subsector (1)
- Major players in the health insurance subsector (2)
- Major projects in the financial & business services sector
- Four new banks entering the SA market (1)
- Four new banks entering the SA market (2)
- Impact of the NHI on the financial services sector in South Africa
- The new Two-Pot retirement system
- The financial sector: major drivers of change
- The role of Generative, and other AI in finance
- Digital banking developments in South Africa
- Insurance challenges, trends and drivers of change
- Issues in the financial sector
GOVERNMENT AND COMMUNITY SERVICES
- Government & Personal Services Industry Dashboard
(incl. public & private Health & Education; Entertainment - Government and Community services subsectors
- Education & training landscape and numbersBroadcasting
- Broadcasting
- Government and community services telecoms spend by category type & customer segment
- Government and community services sector IT spend by category type & customer segment
- Government and community services telecoms spend by category type & customer segment
- Government and community services sector IT spend by category type & customer segment
- Companies in private education and health services subsectors
- Major Govt. Policies and Impact Priorities – The Role of SOCs/SOEs
- Research institutions, libraries and trade unions form part of the government and community sector
- Major projects in the government and community
- services sector
- Trends in education
- Government policies for society : Presidential Commission on 4th Industrial Revolution (1/3)
- Government policies for society – 4th Industrial Revolution (2/3)
- Government policies for society – 4th Industrial Revolution (3/3)
- Higher education trends and drivers
- Healthcare ICT trends – personalised medicine and its risks
- Healthcare ICT trends – Telemedicine and Telehealth
- CRISPR-Cas9
Deliverables and format
The research and analysis is documented in a rich PowerPoint document with supporting Excel tables. The PowerPoint document contains tables and charts and is detailed enough to provide all the qualitative insights and interpretation, including market sizing and forecasting. BMIT also offers a virtual workshop/presentation, while reserving the option to combine this topic with other published topics.
Related research
- SA ICT Market Overview Sizing and Forecast
- SA ICT Regional Market Sizing and Forecast
- SA ICT Spend in Government Suite of Reports – National, Provincial, Local and Overview of SOEs in South Africa
Further information
For further information and details on how to subscribe to this research please contact Anita Mathews on 082 466 2327 or anita@bmit.africa