The study investigates the significance and influence of heterogeneity within the African middle class on shopping behavior and consumer selection of distribution channels. It is exploratory, utilizing personal interviews and ethnographic observations to gather data from ten cities across nine African countries. This research is part of a larger project aimed at revisiting the conceptualization of the middle class in Africa and examining its potential heterogeneity. Findings from the ten African nations demonstrate that the shopping behavior of the middle class is shaped by the specific heterogeneous group they belong to within that classification. Three key segments emerge: the accomplished middle class, the comfortable middle class, and the vulnerable middle class. Across countries, consumers engage with formal and informal distribution channels, though each group has distinct motivations for using these channels. The shopping repertoire reveals variations concerning the critical barriers influencing channel selection and the motivations behind channel-switching behavior among the different middle-class segments. Various factors affecting the decision-making of the heterogeneous middle class regarding when and where to shop offer crucial insights and entry points for retailers to consider, serving as a complementary portfolio of variables that can shape marketing strategies
The article's purpose is to critically examine the heterogeneous middle class in Africa's evolving relationships with brands in the new digital age environment identifying drivers for brand purchase decision-making that brand managers can adopt for their strategies. The new environment is conceptualized from the impact of digitalization and the emergence of more discerning consumers, informed and empowered in their interaction with brands. The article contributes significantly to responses to calls by international marketing scholars for further research in global brand building and management in the new digital age. Our article provides insights into how the heterogeneity of the middle class in Africa influences the consumers' relationship with brands considering the impact of digital connectivity and nuances of each middle-class segment. We identify the core drivers for brand selection that the heterogeneous middle-class segments consider and how this influences their attitudes toward brands. The study also highlights the complexities of the relationship between the middle class and counterfeit brands. Practical and theoretical implications to provide guidelines for improving practice and research on managing brands in the new international marketing environment are presented.
Purpose This paper aims to investigate the factors that influence millennial purchase behaviour, brand choice and distribution channel selection in an evolving technology-driven environment. Design/methodology/approach The study was exploratory, using qualitative methods of personal interviews and some ethnographic observations to collect data from 585 millennials from ten cities in nine African countries. Findings Findings from the study confirm and support the critical role of e-commerce in facilitating millennials engagement with brands, highlighting how brand purchases are integral to their lifestyle choices. There is an overwhelming confirmation of the importance of influencer marketing and social media in shaping purchase decisions, with new insights into the role of local micro-influencers and social networks. The findings from the study highlight the pivotal role of a brand’s country of origin in influencing millennials’ brand preferences. The study supports and advances insights into the importance of online shopping and diverse factors influencing millennials’ selection of distribution channels. Practical implications There is an opportunity to leverage the growing mobile telephone penetration and social media usage to develop innovative integrated marketing communications strategies. There are opportunities for co-creating marketing communication campaigns with millennials in different settings. These are outlined in the practical implications section. Originality/value The paper is based on original empirical data collected from ten countries and explores the behaviour of a growing but under-researched segment of millennials in Africa.
In this study, we evaluate how both the definition of middle class and the dataset considered affect the estimated size of the middle class in sub-Saharan Africa. By considering the feasibility of a single definition of a middle class for all African countries based on the World Bank’s PovcalNet database, we estimate the size of this segment for a selection of countries. As part of the regional analysis, we follow with a country and city case study for Kenya and Nairobi. In the case study, to show the complexity and dynamics involved in the measurement at a more disaggregated level, we add the dynamic of currency unit conversion. This statistical assessment, as an investigation into the accuracy of past and current estimates of the middle class in sub-Saharan Africa, is helpful for both assessing the growth of the middle class on the continent and its potential to attract foreign investment.
Africa is home to 27 of the world’s 28 poorest, marginalised and most vulnerable countries. There are limited studies on the challenges and opportunities of researching marginalised consumers in Africa, even though more than 440 million marginalised consumers consume products and services that require market research. This paper aims to critically identify and discuss the challenges and opportunities for researching marginalised consumers in Africa using insights from empirical studies conducted in various countries between 2009 and 2022. The paper proposes a conceptual framework that outlines the methodological and operational challenges and enablers for market research and concludes with practical guidelines of considerations that researchers should take for researching the marginalised in Africa.
Our paper investigates how the heterogeneous structure of the middle class in sub-Saharan Africa influences its consumption of financial services, identifying drivers for their selection of these services. Implications for marketing practice are outlined. This research is an across-country city-based exploratory study in ten cities where structured questionnaires were used in interviews to obtain information from respondents over a period of 2 years. Our findings identify the importance of the financial realities of the three middle-class groups of the Accomplished, Comfortable and Vulnerable on their consumption of financial services and answer the question of what drives demand for these services. The three groups have varied spending and saving habits, perceptions of financial services and financial aspirations. We identify six key drivers for selecting services, namely availability, accessibility, affordability, status, security and trust. Technology is a key mediating variable of the marketing mix considerations. Marketing practice implications indicated a need for marketers to recognise the importance of the heterogeneity of the middle class and its influence on segmentation strategies. Opportunities for new approaches to new product development and marketing communication strategies that leverage the heterogeneity of the middle class are outlined. Marketers should also consider the varied influence of the drivers for the choice of financial services among the three groups. Our findings reinforce the need and potential that exist for financial services providers to improve the financial inclusion of previously marginalised consumers.
This research reports on a cross-country based investigation of the floating middle class in Africa demonstrating how their behavior and structure influences the design of marketing mix strategies used by marketers. Questionnaires were used to collect data in ten African cities. Key findings include the importance of branding and core drivers for purchase such as durability, origin, popularity, affordability, and a unique circle of quality variables. Innovative adaptations for pricing, distribution and marketing communications are outlined to assist marketers develop appropriate context relevant strategies to target the floating middle class. The discussion also outlines theoretical and practical implications.
This article reports on a cross-country city-based investigation that profiles the middle class in Africa and distinguishes discrete segments that demonstrate the importance of heterogeneity when studying the middle class. The authors identify three distinct middle-class segments by administering both qualitative and quantitative questionnaires across ten cities. They explore consumer behavior–related factors, such as lifestyle and purchasing, to answer calls to provide more marketing insight into the African middle class. The discussion also outlines theoretical and managerial implications.
Marketing to South African Consumers provides core introductory marketing theory underpinned by a contemporary and localised South African perspective. South Africa has a unique hybrid economy with strong formal and informal economies co-existing in a deeply unequal society. This textbook maintains a classic view of marketing theory, but is written with a focus on consumer behaviour. It provides a unique contribution to the marketing textbook landscape, in that it is written by marketing academics, professionals and students, and is focused on making local context a central reference rather than a peripheral addition. The textbook is relevant to any marketer or business owner who would like to gain more understanding of marketing in general and South African consumers in particular.
Income and living standards measures have long been used in market research and marketing in Africa. This study examined a set of lifestyle indicators (both belongings and behaviors) to determine their success in profiling middle-class consumers in sub-Saharan Africa. The African middle class exhibits robust growth and the definition of the lifestyle of these consumers is a major topic for debate between researchers and marketing organizations. Existing absolute monetary definitions do not adequately provide insights into the true nature of middle-class consumer behavior in sub-Saharan Africa. Similarly, current living standards measures are very focused on capturing consumer durables but do not consider other daily lifestyle factors. By analyzing six key lifestyle indicators (housing, income and expenditure, education, employment, mobile and internet penetration, and health care), middle-class lifestyle was assessed in 10 cities across sub-Saharan Africa. The research used a multi-method approach by designing a structured questionnaire that was completed by a probability sample of 6,465 participants from the sample cities. The study found large lifestyle differences between cities and that no single lifestyle indicator could be applied to all middle-class consumers across the cities. The implications of these findings relate directly to understanding broad middle-class consumer behavior. Specifically, international businesses targeting middle-class growth in Africa must consider both the similarities and differences between countries when proposing strategies to successfully engage middle-class consumers in sub-Saharan Africa.
In this chapter, the authors explore the market opportunity for social enterprises by drawing on the sub-Saharan middle class. Specifically, they look at some key indicators of market size, potential, and diversity. By making use of a 10 city study on the sub-continent, a range of topics emerge that expose high levels of heterogeneity between markets. As the world's fastest growing continent (in population) as well as one of the poorest regions on earth, sub-Saharan Africa is a key target for social enterprises that seek to change lives while running sustainable profit-making organizations. As this chapter adds to the narrative around market sizing and potential, the discussion also points to the need for a sophisticated view of social enterprises as propagated in this book as a whole.