According to John Bowles, Joint MD of NAB, this estimated income is held by 3.3-million households in South Africa’s urban landscape and shows an average monthly household income of just over R14 000.

“The survey has always represented the majority of South African’s wallets and the latest is no different. In our estimations, we believe the households measured make up close to two thirds of South Africa’s expenditure – fairly logical considering most of the study has been conducted in South Africa’s ‘big’ suburbs,” says Bowles.

The survey conducted between March and November 2009 surveyed every province of the country but within those regions measured the key city or town’s brick and mortar households. With this sampling background, the survey is weighted to the higher Living Standard Measurement (LSM) groups. 95% of the upweighted sample falls into the LSM six to 10 groups.

The purpose of the study was to measure buyer and media behaviour at a localised level and is in much demand from South Africa’s retail industry. One of the areas covered in the questionnaire is the general demographic section and that’s where the household income numbers have been drawn which make for some interesting reading.

Whilst the wealth in ‘urban South Africa’ is estimated at R45-billion per month or R540-billion per annum, income patterns vary from region to region and more specifically from suburb to suburb. This ultimately provides a picture of South Africa’s ‘richest’ suburbs.

“Whilst household income does not take asset or investment wealth into account, it does show us where the bucks are being earned and if you’re a business operating in and around these ‘mines’ chances are you’re in the right place. Pretoria East is the place with the highest household income across urban South Africa,” says Bowles.

Rank Suburb Estimated Household income
1 Pretoria - East R28 651.32
2 JHB - Fourways R28 347.83
3 JHB - Bedfordview and Edenvale R27 816.67
4 JHB - Midrand R27 781.25
5 JHB - Sandton R27 737.50
6 JHB - Rosebank Killarney R26 314.81
7 Pretoria - Centurion R25 051.02
8 JHB - Randburg North R24 562.50
9 Durban North - Umhlanga R24 227.27
10 JHB - Randburg South R23 635.14

Gauteng suburbs feature strongly which backs up the claim that the majority of money is earned in that province, but some interesting findings show themselves where you wouldn’t expect them to.

Polokwane metropole ranks 12th just above Somerset West and many of Cape Town’s suburbs feature way down the list with Constantia only ranking 25th with an average monthly household income of just under R20 000.

Bowles explains: “Areas like Constantia would have an above average portion of retirees or ‘old’ money. These folks have earned their money already and are using their investments as a source of day to day household income. They really don’t see this as a normal household income situation as in other areas. Polokwane though is very interesting as the metro suburbs of the city have transformed in the past three years from a pre-dominantly white older Afrikaner area to a now predominate black diamond ‘mecca’ where household earning is high and growing.”

By region the top earning suburbs or metro towns look like this:
· Johannesburg – Fourways (Sunninghill, Lonehill, Dainfern); Bedfordview; Sandton; and Midrand (all mostly in JHB north);
· Pretoria – Pretoria East and Centurion;
· Durban – Durban North, Umhlanga, Highway area and Amanzimtoti;
· Cape Town – Somerset West, Durbanville, Milnerton (CT north areas);
· Outlying gems – Polokwane, Ballito, Witbank/ Middelburg, Rustenburg and Empangeni.

The lowest income earning areas from the survey were Evaton in the Vaal (R4 384 HHI per month); Pimville (R5 027); and Zola (R5 500) in Soweto.

Conducted by TNS Research Surveys, the ROOTS 2010 data is available for free. For more information, contact NAB at 011 889 0610 or visit www.nab.co.za. Alternatively, follow NAB on Twitter .