CONSUMER TRENDS

Brand loyalty and purchasing decisions of township residents examined

By our African Marketing Confederation News Team | 2024

Growing influence of digital connectivity a ‘significant opportunity’ for brands targeting South Africa’s township consumers.

Counterfeit goods, expanding digital connectivity and inadequate service delivery are key factors shaping consumer behaviour in South Africa’s townships.

Photo: Diriye Amey via Wikimedia Commons

This is according to the latest Township CX Report from marketing services agency Rogerwilco, created in partnership with market research company Field & Insights Africa. The report surveyed over 1,600 township residents across the country to understand the issues affecting their brand loyalty and purchasing decisions.

The researchers note that counterfeit goods are now perceived as posing a serious threat to consumer and brand safety, and the report delves into who consumers are holding accountable for product authenticity: spaza shop (informal outlet) owners, government bodies, or brands themselves.

The latest research also highlights the growing influence of digital connectivity, with notable growth in township residents now shopping online.

Brands must personalise their digital engagements

“This presents a significant opportunity for brands to personalise their digital engagements with consumers who feel underserved and misunderstood,” the research team notes. “But many are failing to tailor their online interactions and advertising to meet the specific needs of township consumers.”

Persistent service delivery challenges, such as inadequate water and electricity supply, continue to impact the daily lives of South Africa’s township residents.

While the number of recorded public protests has decreased, the report indicates that brands can foster loyalty by actively supporting community initiatives, as residents are calling on brands to assist with community initiatives, including infrastructure development.

The report emphasises that township culture extends beyond geographic boundaries, influencing broader brand messaging. Brands that capture the authentic essence of township culture in their communications are likely to see stronger connections across all demographics.

Marketers wanting to find out more about the report can attend a free webinar on Wednesday, 20 November 2024. Find out more here.

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