Tuesday, 18 March 2008

These are the Generations

Adam begat Noah. Noah begat, Ham and his brothers. Ham begat Cush and his brothers. Cush begat Bantu and their brothers. Bantu begat Southern Africa, Zimbabwe, and his brothers. Knowledge of where we have come from and our ancestors’ behaviour helps us understand our present and future behaviour. To understand any market, economy, or nation, one ought to know their generations. African nations are very interesting in that they have unique generations, having pre and post liberation generations.

Zimbabwe currently has four distinct generations, with the oldest being those born in the 1920s and 30s– called the Generation Governors. The second are those born in the 1940s to 60s – the called the Generation Rebolution. The third are those born in the 1970s to 80s – called the Generation Mendependent. And lastly the fourth are those born in the 1990s – Generation MoverLOAD.

In the US, marketers take time to study their generations, and deploy marketing strategies according to these generations. The most popular generations are the “Baby Boomers” – those born after the Great Depression, and the current Generation of children – named Tweens by Martin Lindstrom in his book Brand Child.

Zimbabwean Marketers have to understand where their market came from, and why they behave as they do.

The Power of Glory

The Power of Glory
Every Marketer drams and works at achieving a glamorous launch of marketing campaigns – product or company, advertising, promotions, and so forth. Glory, glamour, fame, is usually associated with fortune, in the minds of marketers. Not only so, but consumers love power, and glory too. The mind of the young person is filled with a crave for glory and the power thereof.

Adverts, banners, billboards and other marketing material, are made to achieve nothing less than the spectacular. The assumption is “achieving great results”. Has anyone stopped to ask about the recipients of the marketing material? The success of Marketing is attributed to the use of material that is associated or depicts glory and power – the two foremost desires of the young person of today, especially African.

Glory, glamour, and fame are what occupy the kind of Generation Xtreme ™. That is why marketing initiatives with such attributes achieve more results than others. Let’s agree here, all marketing is done for the sole purpose of “ATTRACTING”. And the fastest way to attract is to use glory, glamour, and fame in marketing.

Do you remember the recent brand introduction of “Eagle”, by Natbrew? Which age grouping do you think responded to the advertisements? Have you also considered why Econet’s marketing is always targeted at young adults? “Libertie”, “Buddie”, and “Eagle”, are all associated with the mind of the young person – glory, glamour, fame, POWER.

Chimurenga Marketing Strategies

Prior the Internet Era, of the Information Age, Marketing, Market Research, and Advertising solutions where academic, straightforward, and obvious. Disposable income was limited to certain social and demographic groups. This made it easier for Marketers to predict behaviour and prescribe seductive strategies to lure consumers. They were very effective.

In Zimbabwe, however, fortune and status has moved and changed hands. Technology has a voice. Young people a pocket and choice. Disposable income has shifted hands, to a new generation, and some of the older ones. 20th century Marketers are on their toes. Marketing budgets are becoming too steep and demanding. There is more instability visible in the present than there is projected stability in the future. Everyone is playing their Marketing Cards closer to the bosom. Mass Media, the power of yesteryear, can no longer be trusted, because for example, ZTV is now known as Dead TV in the young people communities.

Frankly asking, if we remove TV, Newspaper, or Billboard, will your brand or product survive? 20th century marketing can never survive without these three major pillars that made marketing successful in that century. Funny thing is that, people as getting busier by the day, and are bombarded with foreign marketing in other platforms and innovative methods, under the nose of local marketing platforms and brains, per se.

World over, FEAR was the greatest technique and tool, forming the foundation of many successful campaigns in the 20th century. Every Marketer used fear as a marketing success factor, i.e. “Fear Factor”. It worked. The unfortunate thing is that it is dwindling. In 1989, if you were to tell a 10 year old to make sure they “behave” before Christmas Eve, to get a good gift, they’d do so. To repeat the same advertising stunt now is a waste of time and resources. Usage of emotions to lure consumers, inclining to negative aspects of life and man’s environment is no longer working because of the simple fact that life is getting harder and out of control than ever. There are certain phrases that consumers no longer want to hear or see, yet marketers insist on them, e.g. “you can’t do without it”, “your only solution”, and so forth. The emotional strongholds are crumbling, forcing Marketers to resolve to usage of foreign techniques. Every nation and people is different, hence marketing is also different. Adoption of other people’s marketing techniques may not necessarily produce the same results on indigenous consumers. Telling urban American youth 18th century Spanish jokes will not, even if they may be Hispanic.

There are three things that marketers are denying as they go about their business in Zimbabwe – the technology galore, the love crave in existence, and the hunger for power. Technology is now available at home, work, buses, everywhere accessible to even the simplest of persons. Consumers are living in fear, without hope, lacking love, and embalmed with all forms of abuse. Young people – the bulk of Zimbabweans, are power hungry, especially if it gets them more money, and more possessions. These three aspects were not that visible in the 20th century.

Marketers should address this, in order to ensure the future success of our brands and products. Many ignore this because their selfishness and greed has overwhelmed them, causing them to focus on “its all about me” marketing strategies, and “just want your money” selling techniques. Consumers are quick to notice this. Those that would have been loyal move on as soon as a “caring” alternative arrives.

What then is happening in our nation? What has changed? How come there are so many enterprises doing the same thing, yet not significant market leader? Are there any distinct brands and products, or even enterprises that are successful locally and regionally? What’s so special about the 21st century?

Past Future Marketing!

These young people whom you so much ignore or abuse with lame marketing strategies, are the same adults that you will desire to consumer your products and services in years to follow. Ignoring them may be very suicidal, but participating in their worlds, will go a long way to ensure your future success. It’s going to be very difficult for Zimbank to convince me to open a Savings account for my children when they are in their teens, because of the neglect they gave me when they left me hanging concerning the KidiBANK Club ™.

If there is one thing that will surely happen, is that tomorrow will always come! It is important for Marketers to understand this small little issue. Futuristic marketing can be defined as the act of deliberately getting involved with young people, with your brands and products, willing to adjust them and/or stop their lives, in an effort to systematically imprint yourselves in the hearts and minds of these fresh ones, knowing that their purchasing power also extend into the homes and communities they come from. Futuristic marketing has a double edged aspect to it. It calls for you to focus on the future, using strategies that will also attract the current generation of consumers (the young person’s parent) by default.

A good example of futuristic marketing is St Elmo’s “Wednesdays, Children Eat Free!” promotion. I have seen many families flock into this restaurant on Wednesday evening for dinner. This imprints “Good Food, Good Restaurant, Good Family Time” in the young person’s heart, at the same time retaining the same memory on the parent’s heart. The family will always eat there, at the same time the child will never want to go to any other restaurant “when they grow up”, other than “ST ELMO’S”, a “pure saint” in their eyes.

Futuristic marketing is not limited to brand, product, service, enterprise or institution. Have you ever asked yourself why Zimbabwean children of these days are no longer fascinated with the “Agricultural Show” or the “Trade Fair”? These two brands have lost their futuristic touch in their marketing. Imagine the impression these children will have the following year or two, to come. No matter what you do, or how you do it, never forget your tomorrow, which consists of consumers, who are the young ones of today. As the saying goes, “catch them while they are young”.

Dairiboard 1980s Milk Promotion – “I like the crocodile milk better”
“its time to go home”, I’d exclaim, just after I hear the bell ring at 12:30pm, in 1985, at Avondale Infant School, in grade 2. The most special thing was not going home, or getting out of class, but what I was to collect outside the classroom door. I loved to drink crocodile milk. Yes, crocodiles produce milk! If you tell me otherwise, I deem you insane, because each morning I got a packet of crocodile milk from Dairiboard. Sometimes I would drink chicken milk, but was very loyal to crocodile milk. Ever since then I have not stopped drinking or eating any milky product from Dairiboard.

This promotion that Dairiboard did has left an indelible loyalty mark in my heart, that I find it difficult to buy “Dorking” milky products, even though their yoghurt seems healthier. Dorking is good, but my natural instinct when in a supermarket is to “grab” a Dairiboard product, without thought or fear of price. No matter how cheap other products are, I will just take Dairiboard products. Call me addicted, but they were there for me when I needed them – my years of unfathomable imagination. As a seven year old child, my imagination was enriched, and my heart allured toward Dairiboard at the same time.

Shingi the Nut Case
Since the turn of the century, Zimbabwean Tourism has never been the same. I have watched a man, whom I would term a “nut case”. Shingi Munyeza is a nut case, because he is the only Hotelier who realised the power of Generation Xtreme ™, and managed to transform two Hotel companies with unique branding concepts and cultures. Nut case is not an insult, but a Generation Xtreme ™ phrase meaning “creative genius”.

Cresta Lodge evolved in his era. The Cresta brand even more. Did you know that the Cresta brand was well known in the Generation Xtreme ™ circles during Shingi’s era, than it is known now? Go to your archives and look at his marketing and advertising. I believe a great number of Cresta’s clients were lured during the Shingi era.

His “insanity” (higher level of creative genius) got worse when he moved to Zimsun. He went “family”. Notice that Zimsun is all about “Family Holiday”. They have many packages, discounts, specials and privileges, all centred on Family. Look at how their logo became even simpler than what it was. Everyone in the family can easily identify with it. I shall not mention the advertising, the new look of the Hotels and Resorts.

An interesting example of Shingi’s branding success is “The Crowne Plaza”. Before he came, “Monomutapa” did not allow anyone wearing “Jeans” to enter into their Hotel, except those coming out of their Taxis or Tour Buses. How thick can one get? I remember one time I was refused entry when my aunt was taking us for lunch at Christmas. From that day on, I was an enemy of their cause, making sure I tell people of my ordeal. I was extremely touched when in 2004 I went to The Crowne Plaza dressed in a tracksuit and slops for a drink. I was treated like a king. Since then, I occasionally pass through just to look at the place. I even took photos of the new look.

I tell you this, there are many families trafficking the Zimsun doors because of their new branding concepts. Their marketing has become simple, only because they addressed the most important thing about business – their brand. One would wonder where I would go for my honeymoon…That’s EASY! Or where I would take my children out?

AIT, “the manufacturer of ATEC PCs”
It was September 2003 when one of my mentors asked me to get him a PC. I opened the Herald Classifieds and saw the ATEC advert under an AIT advert. The AIT logo was not new to me, I identified with it. Even though the same computer was a bit cheaper at Creative Computer (who were also close to where we were based then), I chose AIT.

Ever since 2003, until 2006, AIT has been selling the ATEC brand computer as though they manufactured it. AIT Distribution is without a doubt the market leader in PC distribution in Harare. How did they achieve this, even under the nose of serious contenders like Creative, Riotex, and other young dynamic IT companies?

2003, in Zimbabwe is well known for a mushrooming of Internet Cafes, Phone Shops, DVD Replication, Recording Studios, Supermarkets, and Typing Services; all who needed PCs. AIT was well placed, well priced, and most of all, well marketed. Their logo sold more PCs than any sales team could do. The AIT brand (represented by the logo), was not only in Newspapers or Billboards, but at the most convenient and strategic location – The “Maxibooth” Phone booth. I then understood why I chose AIT over Creative that day.

Thousands of young people traffic the Maxibooths, being effective marketing for the AIT brand. When one goes into QuickNEasy ™ Cafes, they are greeted by the ATEC PC. By the time young entrepreneurs saw the AIT ATEC advert, their minds are transferred back to the Maxibooths, where they spoke for hours with their loved ones, and friends. Maxibooth helped build a loyalty in the hearts of the young people that has resulted in their investment in AIT’s “version” of ATEC.
Dairiboard, Zimsun and AIT have their concepts of Future Marketing right. Dairiboard, made a good name for itself in my generation’s hearts using a simple idea “crocodile milk for me everyday”, Zimsun “family” and Unilever presents the right message to its consumers about their products.

My Crystal, My Crystal, why have you forsaken me?

Crystal Sweets are very lovely. Even so are the mass market products. Everyone is so used to eating them. We are proud of this brand. The major consumers of Crystal brands are children, teenagers, and young adults. There are three major purchase points of Crystal brands – Supermarkets/Shop, Service Station Kiosks, and Street Vendors. There is no town in Zimbabwe that does not sell the Crystal brand. If there “is” a lion’s share of the market, they “used” to have it. “Used to” because their dominance is fast being depleting in markets that matter – the young people, A.K.A Generation Xtreme ™.

Have you ever noticed the mass market variety now from Street Vendors, Supermarkets, and Kiosks? Because cross-border trader and foreigner invasions, imported confectionaries have become serious contenders in Crystal’s territory. Their strongholds are slowly being possessed by other “knock off” brands per se. the imported sweets are cheaper, bulky, beautifully packaged, and even more convenient.

For five years now, I have watched the confectionary brought by campers at children’s and youth campers. In recent years, I have rarely seen the Crystal brand at camp, even the simple “mint”. There is threat that has even haunted other consumer product manufacturers like Unilever – Zimbabwean Botswana and South Africa Shoppers.

In April 2005, I participated in Unilever’s National “Outlets” Survey, and noted a distribution phenomenon in regards to their “OMO” brand. The “OMO” brand was officially released in Zimbabwe in June 2005, but stocks were already being sold in Bulawayo Tuckshops by April the same year. Botswana and South African consumer products have become a serious threat, that companies like Unilever or Crystal are no longer competing with locals or Chinese cheaper brands, but are now contending with world class brands from out two neighbours.

At camps, youth gatherings, and “diji” (slang for hanging out at malls), Crystal is now competing with brands like Beacon, a global leader of all confectionaries. Be it sweets, chocolates, suckers, or candy bars. As families travel “down south’, they “ALWAYS” buy sweets for their children – in bulk. If you visit King Noel, you will NEVER eat local sweets or biscuits. Their pantry is always loaded with Beacon Candy and South African Ginger Biscuits. At the Youth Encounter camp, I was treated EVERYDAY with confectionaries I have never seen before. I never saw a local “gash” (low class per se) brand. When Tendai Chitapi takes you out, rest assured that you will eat nothing less than good confectionaries.

To graphically bring out the level of competition Crystal now faces, let’s talk about people who frequent “down south”. Whether rich or poor, middle or high class, high density or low, married or single, almost every urban adult travels (or is acquainted to a traveller) to South Africa, Botswana, and other countries. I believe that more than 40% of urban families have a member who travels, and over 30% urban families receive foreign currency every month. There is no traveller who does not buy sweets for “children” or “loved ones”.

Back to campers. “Why then should I, a camper, bring, or even consume, a “wack” brand like Crystal, when every other kid has ‘Beacon’ this, ‘Beacon’ that?”, they would exclaim. Considering how young people influence one another, in no time at all, there were more Beacon and Nestle products on camp than Crystal.

This phenomenon does not only affect Crystal, but other confectionary brands as well, such as Charhons and Lobels. Lobels begun well in the 2003s, when they introduced their new tangy sweets, which were affordable, and well packaged. The competition from the Beacons is slowly driving them out within the young people communities (childish communities).

Crystal is a good brand like I said, but they are slackening in their brand strengthening. This will cost them big time, because their major consumers now have access to world class brands as first choices. Imagine a scenario where a young person watches a movie with a Beacon logo, and sees the same brand at camp or school. Again, imagine what will happen the day Street Vendors start selling Botswana and South African confectionaries.
Crystal is committing brand suicide, by neglecting young people. I promise you, when these same people grow up, into their new families, they will not buy local sweets for their “high class” children. The standards of living are being elevated, so is the perception and behaviour toward brands.

Edgars & Truworths: "...London Bridges Falling Down..."

Isabel, my twenty year old sister loves clothes, and shopping for them, especially with my mother. In the early 2000s, they would frequent Westgate, every Saturday morning, just to visit Egdars and Truworths. In a month, they would buy at least twice from both stores, considering their brilliant credit facilities then. This has however changed in recent years. They have migrated to the “Ximex, Eastgate” surroundings. The shopping culture is still there, but has diversified into other apparel never imagined by their first love Edgars, surnamed Truworths. Isabel has been swept off her feet by the Romeo of Zimbabwean Urban Gear, Alcatraz.

I spoke to another 22 year old woman, who frequents South Africa for Fashion, and asked her where she would shop for clothing with a mire Z$3bln budget, between Alcatraz and Edgars. She said, “I’d go to Alcatraz, even though they (Edgars) are cheaper. They have old fashion. I only go there to look for formal wear.” Price is not the issue with fashion nowadays, but taste is – flavour, age, publicity, times, and brand. When I asked about Truworths, again she mentioned their formal wear only.

What is happening here? why is a “small” brand like Alcatraz, so “great” in young ladies’ minds, than Edgars Truworths, Zimbabwe’s largest clothing brands? Edgars Truworths offer credit facilities, assuming this will increase sales. Does this still stimulate sales even in an economy with ±80% unemployment?

Edgars used to have a community that every marketer desired to emulate – The Club. The Club was more than a magazine. It was a Catalogue, a Fashion Trendsetter, a Wardrobe Personal Assistant, and News Platform. I remember the days when Isabel would “study” it, and convince mother to go on shopping sprees. We would also attempt the blockbuster, whilst gazing at the latest fashion – according to Edgars. This was a stronghold – our mind, and COMMITMENT. It all abruptly stopped. The Club died, so did Isabel’s interest.

Alcatraz has a handful of outlets, but only “one” popular outlet, the “Angwa Silundika Branch”. Just this cluster of shops is enough to scoop a huge chunk of young spenders of clothing. They have everything. They are slightly on the high price side of life. Most of all, they have confidence; in their CONSUMERS. The Alcatraz brand is well known world over for being a ‘prison’, but in Zimbabwe, it is “the place” to buy fashion.

More and more young people are migrating from “traditional” fashion brands (outlets), because they have just become old fashioned. Truthfully speaking, the only revolution brought in by Edgars, was the Jeans in the late 1990s and early 2000s. Jeans have since become available all over the place, but Edgars is not the only one with “tight” (good) gear. Fashion is no longer just about fashion, as I said earlier. There is more to it now. Edgars Truworths dominance was in our childhood times of the late 1980s and early 1990s, when Christmas and special Holiday shopping was a “MUST” for every family. Children nowadays, have dynamic fashion requirements. Our fashion had structure and pattern. Nowadays, the fashion is extremely unstructured and has manifold patterns. We, on one hand, would buy a Shirt, Trouser, Undergarments, and Shoes. King Noel’s, on the other hand, would ask you about the occasion, weather, time of the day, brand, and place of purchase, before you consider buying him anything. Edgars can no longer cope with such a demand, but Alcatraz is.

Monday, 17 March 2008

The Age of Recovery, in Zimbabwe

There is a time coming in Zimbabwe called the Age of Recovery. In this time all businesses will be recovering from destruction and deterioration of commercial activity. Consumers will have to be emotionally convinced to consumer certain brands in this age of recovery, as they would have suffered much abuse in this destructive age of depression.

During the Great Depression of America, there are certain brands that maximised profits from the little products and low quality they produced, at the expense of future business. On the other hand there are those few companies like Ford, and Kelloggs, which put the customer and quality first during these times, who are enjoying market dominance even until now.

Zimbabwean Scenario
Zimbabwean companies forget that there will be a time of recovery, and during those times of recovery consumers will be loyal to brands that were "kind", and "loving" to them. Consumers are just as emotional as brands are during times of economic recessions, or depression as some would like to term of situation.

"Studies have demonstrated that during times of recession,companies that maintain advertising during these periods experiencehigher sales and profits during the downturns and afterward thancompanies who cut their advertising budgets." quoted one consultant on Google Answers. The time of recovery is inevitable, and only those involved in the lives of consumers will lead the race of profit during recovery.

Consumer Abuse
Some Zimbabwean businesses are forgeting that the customer will never change their position - being customer. A customer will always be a customer, as long as this world exists. I have seen in many outlets and businesses where customers are being illtreated as though tomorrow will never come. Food outlets, ISPs, Supermarkets, and the like are treating customers as though they were forced to start up the business by them. In the Age of Recovery, these companies will face much competition, especially from better entrance with "loving" attitudes toward customers.