Brands in Nigeria have been advised to innovatively expand and sustain their platforms for consumer engagement even during periods of difficult economic climate like the one experienced in Nigeria at present. The advice was handed down last Friday by Nigeria’s frontline brand research and consumerism expert, Lampe Omoyele at the maiden edition of Advertisers’ Association of Nigeria (ADVAN) Marketers Conference.
Lampe who is also the Managing Director of The Nielsen West Africa, a brands and marketing research company, strongly urged brands not to succumb to the temptation of cutting down on their marketing budgets despite internal and external pressures because they will ultimately make more gains.
Because of these challenges, he explains further, most households now prioritise their expenditures and are consistently cutting down on what they spend on.
Lampe also noted that, as expected, the sector that has had the worst hit is the FMCG, which is usually a major indicator for consumer confidence in any country. Most of the companies in the FMCG, he stressed, have reported losses. On the other hand, Alcoholic beverage brands, Telco brands and non-alcoholic beverage brands have all recorded some growth despite the drop in consumer confidence.
According to Omoyele, the growth in the alcoholic sector resulted from the natural tendency for alcoholic consumption during “down or low moments”. Telco companies, from his research, recorded growth because of the general attitude of Nigerian to talk and connect with family and friends regardless of the economic situation.
However, from his study, the growth in the soft drink segment was primarily driven by Coca-Cola’s share a Coke campaign which was a highly successful and inspiring marketing drive. Likewise, growth in the alcoholic segment has been largely driven by Nigerian Breweries. Diageo Nigeria was in a form of decline despite the acclaimed success of Orijin, the rave of the moment alcoholic brand.
Lampe explained further that the key factor responsible for the growth of NB Plc was their acquisition of Consolidated Breweries which had a host of value brands. “So the growth was driven by the value brands,” he said.
In his keynote address at the conference, Alhaji Mohammed stressed the need for ADVAN and government to work as a team so that government can learn from the professional marketers on how best to build consumer/citizens’ confidence in a difficult situation and galvanise them to rally behind government and support its policies.
The Information and Culture Minister also used the platform to speak on the recent increase in the pump price of petrol to N145 per litre, and highlighted that it would create additional 600,000 jobs.
He also listed other benefits to include ending to the recurrent petrol scarcity and ensuring steady availability across the country.
According to him, the action would reduce smuggling, diversion of petroleum products, improve domestic supply, cause labour market stability and add jobs to the job profile of the country through new investments in refineries and the retail chain.
Earlier in his welcome address, the President of ADVAN, Mr David Okeme, said the association, an umbrella body of brand owners and advertisers, was formed 22 years ago. He revealed that the conference was in line with the association’s tradition of keeping strategic marketing issues on the front burner of businesses in Nigeria, Okeme promised that more programmes are in the offing this year for the purpose of aggregating all shades of thoughts, ideas and suggestions that will place the relevance of marketing at the heart of strategic business discussions in Nigeria.