Africrend bulletinA t CANDID CONSUMPTION · global influencers worldwide, from Michelle Obama to...
Transcript of Africrend bulletinA t CANDID CONSUMPTION · global influencers worldwide, from Michelle Obama to...
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CANDID CONSUMPTIONWhy increasingly inquisitive, info-craving African consumers will expect brands to be totally transparent in 2015.
AfricA trend bulletinMArch 2015
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Power blackouts supplemented by diesel-powered generators, solar inverters, kerosene lamps and candles are routine (if not, daily) occurrences across the continent.And yet it is still a given that monthly utility bills are expected to be paid, without question.
Lack of accountability for poor service delivery, questionable
supply chain operations, disappearing government budgets
and unsustainable sourcing of raw materials (to name a few),
has long plagued most countries across the continent.
In an environment where the disconnect between
governments and their citizens cannot be overstated, many
Africans have grown accustomed to being the only party
expected to fulfil their side of the transaction: be good, obey
the rules and pay up, without question – or don’t, at your peril.
What’s more, that’s set a precedent that brands have followed.
So that over the years, consumer’s expectations from
brands operating in Africa were far lower than their global
counterparts…
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Shell will pay out USD 83.4 million in compensation for oil spills in
the Niger-Delta region in 2008.
BP will pay USD 13 billion in compensation following the much
smaller Macondo rig disaster in the Gulf of Mexico in 2010.
reuterS, JAnuArY 2015.
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AFRICANS ARE NO LONGER WILLING TO ACCEPT THIS STYLE OF CONSUMERISM!
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DEFINITION
As the chasm between institutions and citizens shrink, brands
that continue to follow the modus operandi of yesteryear do
so to their detriment. African consumers today will not only
call out opaque organizations, but will also patronize and
support those that are more open, honest, real, raw and
transparent.
Take, for example, the successful influx of electricity meters
across key cities in sub-Saharan Africa – consumers will
always opt for unbiased and measurable solutions in place
of vague ones.
The rise of CANDID CONSUMPTION has only just begun,
but survival of the fittest (brands) in 2015 and beyond will be
determined by these aforementioned characteristics – so take
heed!
cAndid cOnSuMPtiOn | in 2015, all
institutions and brands will undergo
the African inquisition, as increasingly
agitated consumers across the
continent demand total accountability,
transparency and information.
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1. Digitally Empowered consumers: As they become more
digitally interconnected, Africans are clued up more than
ever.
2. returning Globals & richer Locals: Increasing
disposable incomes and global benchmarks understood
by the diaspora and returnees are putting pressure on
organizations to be more transparent.
3. ¡Viva la revolución! ... African style: From Lagos to
Limpopo, the pendulum of activism is in full swing!
4. More competitors = More choice: Today, new offerings
and solutions are flooding the market, leaving consumers
spoilt for choice!
WHY NOW?
Four key drivers to explain this new phenomena.
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1. cANDID EXPOSUrE: Businesses and initiatives forcing
open dialog and exposing information have risen where
institutions have fallen short. In Africa, this largely speaks to
governance and state-run services, which have remained
opaque despite the changing times.
2. EMBEDDED cANDIDATES: In some regions, certain
brands have already embraced a transparent and CANDID
approach with their customers. These progressive brands
are challenging the status quo by embedding openness and
accountability into their products and services.
3. cANDIDS ON cALL: These brands understand that, in 2015,
it is not enough to merely be informative and transparent:
they must also do it at the right time (or even in real time)!
WHY NOW?
In which ways are African brands today addressing CANDID CONSUMPTION? Here’s three actionable opportunities for brands, entrepreneurs and organizations to take advantage of...
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WHY NOW?
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Between 2000 and 2014, the number of internet users on the
continent grew from 4.5 million to 298 million: a growth rate
of 6,500%, almost ten times the global average (Internet World
Statistics, June 2014).
Africans are thus more informed and more able to investigate
and interrogate brands in ways that were not possible before.
Savvy organizations understand that willingly offering up
information is ultimately better than being found out online.
And that truth is only intensifying as connectivity and the
digitalization of services sweeping across the continent shows
no signs of slowing (at least for now).
1. Digitally Empowered Consumers
Africans are clued up more than ever, as they go online and become more digitally interconnected.
WHY NOW?
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Internet.org, an initiative providing free access to Facebook and other online resources for emerging markets, launched in Zambia in 2014.
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Between 2000 and 2014, there has been a tripling of middle-
class households across 11 key African markets (Standard
Bank Group Ltd, August 2014).
At least 32 African nations, in need of revenue, investment
and human capital, have created organizations to tap their
diaspora’s funds and know-how (Good Governance Africa,
March 2014).
Cities have and always been melting pots for a broad
spectrum of society. And in Africa, that’s no different. The
combination of more informed local consumers fused with
diaspora and returnee communities, has resulted in citizens
who not only expect but also demand more from their
governments, brands and even society!
Now, these educated, assertive citizens are ready to call out
those falling short.
2. Returning Globals & Richer Locals (in a city setting)
Increasing disposable incomes and global benchmarks understood by the diaspora and returnees are putting pressure on organizations to be more transparent.
WHY NOW?
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In December 2014, Anarchist Bookfair – an activist group that challenges the political landscape in South Africa – launched a parody site (titled So, happy in cape Town?), satirizing societal inequalities and the lack of racial diversity in the city.
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In April 2014, terrorist group, Boko Haram, abducted over
200 schoolgirls from Chibok, an area in northern Nigeria.
The #bringbackourgirls social media (and offline) campaign
– initiated by Nigerian protesters – garnered the attention of
global influencers worldwide, from Michelle Obama to Nobel
Peace Prize winner Malala Yousafzai. Despite the failure to
recover the girls to date, the campaign has continued to put
pressure on the Nigerian government to act more decisively in
investigating their whereabouts (PBS.org, February 2015).
Many African citizens are no longer waiting for change,
but are catalyzing it. As the activism mindset permeates
the continent, consumers – in search of a brighter future –
are proactively engaging with organizations on issues both
serious and trivial, on and offline.
And let’s not forget 2015’s more daring, tech-savvy African
youth, who are aware that, regardless of their physical
ability to call out the powers that be, the global momentum
instigated via a click or hashtag can be far more powerful.
3. ¡Viva la Revolución! ... African style!
From Lagos to Limpopo, the pendulum of activism is in full swing!
WHY NOW?
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Internet memes making fun of robert Mugabe spread across blogs and social media, after the Zimbabwean president attempted to block photographs of his fall outside harare airport in February 2015.
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65% of Africans agree that the desire and ability to buy
products move the economy and culture forward (Boston
Consulting Group, March 2014).
Africans are natural consumers, and crave the plethora of
products and services available in other markets. Although
it has taken a while for supply to catch up with demand,
that is now happening at an unfathomable pace. The race
for this Final Frontier has never been so pressing, and the
past few years have seen withering monopolies relinquish
their strongholds to domestic, more agile, transparent and
relevant startups offering exciting home-grown solutions,
alongside global conglomerates eager to export their best-in-
class innovations.
And all this results in the most choice-abundant consumers
the continent has ever seen!
4. More competitors = More choice!
Like the metered billing system’s triumph over the older, more obscure methods, today new offerings and solutions are flooding the market, leaving consumers spoilt for choice!
WHY NOW?
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An average of 75% of 10,000 Africans polled were keen to ‘buy more things’ – higher than averages in Brazil, china and India, and twice the percentage in developed economies (Boston consulting Group, March 2014).
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SO WHAT?Trends are about opportunities. Here’s
three to start your CANDID journey.
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1. CANDID EXPOSUREIf you can’t beat them, expose them...
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Last November saw Namibia hold Africa’s first electronic
ballot for over 1.2 million of its citizens. Opposition parties
challenged the process, citing vote-rigging concerns;
the case was dismissed by the country’s High Court. (BBC,
November 2014)
Of course, not everyone will be excited about adopting
CANDID CONSUMPTION, and this is where the opportunities
for CANDID EXPOSURES lie.
The expectation gap between the information Africans
demand and what institutions, politicians, and other types
of state-managed service providers are actually offering, is
vast. Yet, this year will continue to see a steady growth of
programs, organizations and daring platforms fill these
gaps, by shining a light on (read: exposing) previously
hidden or opaque processes, institutions and people.
Are you ready to become CANDID BY PROXY?
There are plenty of platforms, brands, programs, initiatives and fearless entrepreneurs across the continent ready to inform consumers about YOU!
CANDID EXPOSURE
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feAtured innOVAtiOnS: cAndid eXPOSure
afriLeaksWhistleblowing site launches in Africa
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feAtured innOVAtiOnS: cAndid eXPOSure
BudgITNigerian website offers information on public budgets and spending
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feAtured innOVAtiOnS: cAndid eXPOSure
Live SAInitiative invites young journalists into South African parliament
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WHY NOW?
SYNCED SERVICES?
Yes, sometimes archaic and stubborn institutions must have transparency forced upon them. But if you are an institution willing to adapt, how about partnering with a platform that makes you more transparent? For smaller organizations, why not BE that platform that partners with a big institution and opens it up? Either way: Collaborate! After all, it’s all about offering both your (and their) customers 100% candor!
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2. EMBEDDED CANDIDATESEmbed openness, accountability and
transparency in your brand.
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SiGn Of tHe tiMeS: eMbedded cAndidAteS
Van Ryn’s
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EMBEDDED CANDIDATES
So, maybe you’re now ready to take that big step...
... and embrace this trend in its entirety and become intrinsically CANDID? We’ve identified two routes:
1. cANDID SNIPPETS: Large brands, organizational bodies
and multinationals may not be able to overhaul their
entire transparency agenda straight away. But they can
still run with campaigns, initiatives and events that allow
consumers a ‘quick snippet’ of greater transparency.
2. cANDID EPIcS: Newer, more agile and adventurous
entrepreneurs can embed CANDID CONSUMPTION into the
essence of their brand and bring customers into the heart
of their operations.
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EMBEDDED CANDIDATES
CANDID SNIPPETS
A few examples of organizations that have adopted candid elements into their products, services and experiences.
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feAtured innOVAtiOnS: eMbedded cAndidAteS / SniPPetS
People’s Democratic PartyLagos State governorship candidate announces his first ever Google hangout session for local residents
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Capitec BankSocial media campaign invites bank’s customers to ask questions
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feAtured innOVAtiOnS: eMbedded cAndidAteS / SniPPetS
Nigerian GovernmentNigeria launches open data initiative
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EMBEDDED CANDIDATES
CANDID EPICS
One for more agile brands! Africans will eagerly champion organizations that go the extra mile and expose more than expected. Whether this means offering up your supply chain for scrutiny, inviting your customers to interrogate or openly criticize your service, or even baring your entire production process, there are many ways to shock, excite and ultimately gain the respect of otherwise jaded consumers.
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feAtured innOVAtiOnS: eMbedded cAndidAteS / ePicS
The Coffee StationEco-friendly mobile coffee cart launches in cape Town
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feAtured innOVAtiOnS: eMbedded cAndidAteS / ePicS
Waste2WowBag brand’s ‘micro manufacturing’ franchise model opened to locals
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feAtured innOVAtiOnS: eMbedded cAndidAteS / ePicS
Wolf & MaidenSustainable accessories brand utilizes a single space as studio, workshop, stock room and store front
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NEXT
CANDID ADD-ONS?
Now that you’ve embedded candidness into your core business, how can you milk it? If you’re an offline business operating transparently, think about how you can bring this feature online. It wouldn’t hurt for, say, Wolf & Maiden (above) to hold a Google+ Hangout session for their online community. And vice versa too!
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3. CANDIDS ON CALLThe new ‘African Time’ is on time, at the
right time and in real-time.
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CANDIDS ON CALL
CANDID CONSUMPTION in real-time anyone?
... because honesty/transparency/information is useless if it’s late!
Many services in Africa are pretty honest, just slow. So slow
that in some cases, there may as well be no service at all. The
recently postponed Nigerian elections are yet more proof
that there’s no shortage of hindrances to the timeliness of vital
events and services across the continent.
The next phase of CANDID CONSUMPTION sees its lines
being blurred with real-time information and services.Because
Africans in 2015 will demand that beyond just providing
transparent and honest information, organizations take
their accountability to the next level by disseminating
it as and when it is needed, and often in real-time.
CANDIDS ON CALL recognize the overwhelming need for
timely, trackable and measurable information.
cAndid cOnSuMPtiOn 37www.trendwatching.com/trends/candid-consumption
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feAtured innOVAtiOnS: cAndidS On cAll
Ethio Telecomhotline provides rural Ethiopian farmers with real-time crop information
cAndid cOnSuMPtiOn 38www.trendwatching.com/trends/candid-consumption
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feAtured innOVAtiOnS: cAndidS On cAll
Traffic Litereal-time, crowdsourced traffic updates helps Nigerian drivers and commuters
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feAtured innOVAtiOnS: cAndidS On cAll
electiOnrideInteractive mapping website shows Zimbabwe’s election results in real-time
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feAtured innOVAtiOnS: cAndidS On cAll
Tunisie TelecomTelecoms company encourages Tunisians to collect trash and track beach cleanliness in real-time, in exchange for free wifi
cAndid cOnSuMPtiOn 41www.trendwatching.com/trends/candid-consumption
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NEXT
PLAYSUMERS
If you’re already implementing this trend, it means you’re ahead of the (CANDID) curve. So it’s time to have fun! What games or reward mechanisms can you embed into your real-time services? Tunisie Telecom incentivized consumers to collect trash with free wifi, which they could then use to track collective progress. How can you take this trend even further by engaging Africans in a fun and novel manner?
cAndid cOnSuMPtiOn 42www.trendwatching.com/trends/candid-consumption
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READY TO TAKE THAT STEP?Take a leap of faith into CANDID CONSUMPTION and Africans
will thank you with their hearts, votes, loyalty and of course Rands/Naira/Dirham/Metical/Birr/Kwanza/Shillings/Cedi...
cAndid cOnSuMPtiOn 43www.trendwatching.com/trends/candid-consumption
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Then try using our (free) CONSUMER TREND CANVAS tool to help you structure a session with your team. Will yours be among the next ones we feature in our future bulletins? ;)
Need some help?
NEXT
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MORE...
If you have any comments, suggestions or questions then please do let us know. Just email:
PAUL BACKMANChief Client [email protected]
ABoUt UsEstablished in 2002, trendwatching.com is the world’s leading trend firm, scanning the globe for the most promising consumer trends, insights and related hands-on business ideas. Our Premium Service counts
many of the world’s leading brands as clients, while our free monthly Trend Briefings go out to over 260,000 subscribers in 180 countries.
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