Back to values
Jan 22 2010
Retail Wrap >>

For businesses to survive economic drought and 2009 hangovers requires that brands return to ‘old-fashioned values'; consumers are now drawn to more authentic brands and business practices. This is according to the Now Report study, conducted by SA market research company, the Consumer Insight Agency (c.i.a), every two years.

What is immediately clear from the latest report, is that the country is experiencing a financial, emotional and spiritual drought, as people across the classes describe the pressures of living in what is widely perceived to be an “eroding society”. Crime, unemployment, inflation and simmering xenophobic tension is top of mind for all, but the poor are definitely feeling it hardest.

“One of the biggest changes we noticed since doing the first studies and one which marketers should take notice of - is that the there is a growing cynicism towards excessive displays of wealth and ‘fat cat politicians' with expensive cars,” said Cochrane. “Unethical corporates also get a bashing from ‘gatvol' consumers. Flaunting wealth and flashy status in advertising campaigns is therefore increasingly risky.”

Other findings that marketers should be aware of include a growing focus on genuine quality and value for money as well as social and green concerns. “People across the landscape are looking for authentic solutions to everyday needs and desires, which calls for a return to good old-fashioned formulas and values in business,” adds Cochrane.

Because of consumers thinking more critically, businesses need to be developing a better value proposition for consumers and aligning themselves with the changing behaviour of their customers. Companies in the know - including several of South Africa's blue chip brands such as Coca-Cola, Brandhouse, Pep and Unilever - are paying close attention to the findings.

Adapted from Source: retail.bizcommunity.com, 19 January 2010