U N C O N V E N T I O N A L W I S D O M Y E L L O W W O O D | F i r s t Q u a r t E r 2 0 1 5

the Economics of BrandingBuilding resilient brands in tough times

CONTENTS

ThE ECONOMICS Of BrANDINg OUr WOrkINTErVIEW:

kELEChI NWOSU

fEATUrED

introduction 3

Fighting for brand survival in tough times 4

Balancing aspiration and affordability 9

a New Economics for africa 14

Offer jobs not just products 15

Experiential branding 17

africa’s Economic Powerhouse 23

Get in touch 33

24 2919

See the wood and the treesWelcome to our first edition of ask-Y, the magazine! We’ll bring you a selection of some of our best articles from the past year. We plan to produce it once a quarter, themed around an important topic for brand-builders, marketers and business leaders in consumer-facing industries.

the aim is to highlight some of our most useful thinking for those who are ambitious about growth, especially in Africa. Our focus remains on

africa as we believe too little high quality thinking is dedicated to marketing excellence and strategy in this continent. It is where our expertise lies and where we can provide the greatest value to our clients and our readers.

as with all things new, we expect a few growing pains and we’ll experiment with format and content as we go along. If you have any suggestions or feedback for us, please don’t hesitate to get in touch.

Happy reading from all of us at Yellowwood!

ASk-Y MAgAZINE

EDITOrAlistair Mackay

CONTrIBUTOrSDavid BlythGerhard reineckeNicole VellemanNomonde GamaAlistair MackayKelechi Nwosu

ArT DIrECTIONMarios Flourentzou

PhOTOgrAPhYGerhard reinecke

YELLOWWOOD OffICES

Johannesburg 3 Sandown Valley Crescent, sandton+27 11 268 5211

Cape Town Block C, third Floor, Boulevard Office Park, searle street, Woodstock+27 21 425 0344

Nairobi+254 728 664 025

www.ywood.co.za Al

fighting for brand survival when budgets get cutUnlike many markets north of the border, South Africa’s economy struggled for most of 2014. It contracted in the first quarter and had it’s growth rate revised downwards twice. Finance Minister Nhlanhla Nene has warned of a ‘new age of pain’.

BY DAVID BLYTh

David Blyth is Group MD of Yellowwood. He has more than twenty years of experience leading

marketing strategy projects across africa, the Middle East and Europe. He is based in Johannesburg.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

That is scary news for marketers. Consumers will remain under pressure and businesses will respond to decreased spending by cutting costs.

Marketing is often the first department to have its budget cut. And many businesses will respond to the financial pressure by either slashing prices to drive up sales volume or by raising prices to make up for lost volume.

Both of these responses can be damaging to the brand and ultimately damaging to the business.

a strong brand is an important asset and enabler of growth. It is the difference between the multi-billion dollar Coca-Cola Company and any old sugary drink. undermining brand perception for short term financial savings is misguided.

So how can you fight for your brand and ensure it doesn’t suffer from an ill-informed cut from above?

to build a solid case to present to executive leadership about the need for brand investment you will need to demonstrate understanding of the business challenges and how your marketing can more effectively solve those challenges.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Below are four key areas in which to focus your efforts.

fOCUS, WITh ThE rIghT OffEr TO ThE rIghT MArkET.

ENSUrE ThErE IS VALUE IN YOUr VALUE PrOPOSITION.

1. ENSUrE ThErE IS VALUE IN YOUr VALUE PrOPOSITION.

Price is not the only consideration for your customers, even when the budget is tight. Value is a trade-off and price is only one part of the equation. Upper income consumers won’t pay a cent more than they have to if they don’t see the value your brand brings to their life. And low-income consumers will splurge on items they can’t really afford if they feel that the brand offers them significant, relevant value that makes them feel good about themselves - something that brands like Nike and Carvela understand well.

2. fOCUS, WITh ThE rIghT OffEr TO ThE rIghT MArkET. Be smart about segmenting your market. Show how you are able to redirect budget for more profitable return by prioritising the segments that can grow your business. Make sure you understand which segments are your source of business and which are your source of reputation.

Use your understanding of their contexts, unmet needs, passions and frustrations to create marketing that is more insightful, effective and human.

Develop targeted offerings and innovate with product and packaging to drive affordability without diluting the brand. Johnny Walker Red, for example, helps broaden access to premium whisky. Coca-Cola and SAB use glass bottles in poorer areas in order to make their products more affordable with refunds on bottle returns.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

LINk YOUr MArkETINg TO TOPICAL AND rELEVANT EVENTS.

ADAPT YOUr MESSAgINg TO BE MOrE INTENTIONAL.

4. LINk YOUr MArkETINg TO TOPICAL AND rELEVANT EVENTS. Current affairs and lifestyle events can provide an effective means of building incremental visibility and awareness for your brand by being part of a context in which consumers are already engaged and participating. Nando’s frequently goes viral and builds visibility through social commentary on current affairs - from Eskom black-outs to celebrity love scandals.

3. ADAPT YOUr MESSAgINg TO BE MOrE INTENTIONAL. Make promotional messaging work harder for brand-building by connecting with customer emotions, and make sure that brand communications also include a call-to-action. Don’t just tell consumers about a new feature, but find compelling and experiential ways to get them to try it out.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Using price as the only mechanism to influence consumer decisions is a mistake. Brands that aggressively drop prices to drive up sales end up as commodities and struggle to claw their way back to profitability, and brands that raise prices to increase margins without any thought given as to the value to the customer end up in a downward spiral of decreasing volumes and decreasing appeal.

A compelling, meaningful, relevant brand is the surest way to survive difficult economic times. It requires deep customer insight, some tough strategic decisions and remarkable creativity, but those marketers who get it right will not only ensure their budgets aren’t cut, but will play an important role in growth for the business.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Balancing aspiration and affordabilityafrica is an aspirational continent, full of big-dreamers and self-starters that want to make things happen and build a better future. Many African markets top global rankings for optimism and this widespread aspiration is backed by growing middle classes and increasing spending power.

BY NICOLE VELLEMAN

Nicole Velleman is a strategist in Yellowwood’s

Johannesburg office. Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

in south africa, the LsM 6 segment has doubled in size since 2004, and there’s been a 99% increase in LSM 7+. The urban population has increased from 52% in 1990 to 63% in 2013 and is expected to continue growing. The growing, urban middle class has increasing spending power and many brands are trying to broaden their appeal to capture these new, upwardly mobile consumers.

i’ve noticed a lot of brand communication that plays in the aspirational space, such as KFC’s ‘sithi salute Kleva’ campaign that celebrates the south african entrepreneurial spirit: “the hustlers, the aboKleva, the dreamers, the street smarts, the savvy I’ll-make-it-happen self-starters of our country”.

in Nedbank’s latest campaign, ‘Make Your Savvy Life Happen’, Eugene demonstrates how you can live the life you want if you’re more savvy with your money. This communication is padded up with events and online content featuring the #Talks4Success project, which profiles inspirational south africans and allows them to tell their stories of how they turned their lives around.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

But there is so much more that brands could do connect with these aspirational consumers and help them to reach their goals. Brands that become a part of their journey to success will generate huge amounts of loyalty and love. These consumers are looking for more than just functional products and services and clever advertising campaigns. They attach emotional value to the brands that support their aspirations and enrich their life experiences.

there are brands with all the right intentions that completely fail to connect

with these consumers. Many premium brands that have tried to broaden their appeal and target the emerging middle class have done so by re-packaging their offerings to feel like a ‘cheaper’ option. In Soweto, for example, we’ve seen retailers offer clothing that’s slightly behind season and a restaurant chain offering a menu with some of the more expensive options removed. It immediately looks like a low-cost, less important option. Getting the balance right between affordability and aspiration can be difficult. Consumers can be really put off if it makes them feel cheap.

Consumers look for value – and value doesn’t mean ‘cheap’. Value means getting more benefit for what you pay. When choosing between brands, consumers are all about the value equation, even if it’s subconscious: what value is this brand adding to my life? And am I willing to pay slightly more for what i am getting because the total value is more than what i can get from any other brand?

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Many marketers believe this value for aspirational consumers is all about flashiness – a way to shout about economic and social status. But it’s a mistake to think that’s the only thing aspirational consumers care about. They want brands that help them feel successful in many other ways.

Woolworths is a great example of a brand delivering value through quality. Because they have not compromised on this value to customers, they have managed to stretch down and capture the ‘value-orientated’ but aspirational lower end of the market. Weekly specials and packaged meal deals have pushed the brand into a more affordable space, and its now competing with the likes of Pick ‘n Pay and Shoprite. It’s seen to be more affordable, yet it is still aspirational, and manages to stay relevant at both ends of the market.

Middle class consumers are transient. They’re moving up and will likely continue to move up – and brands that can offer exceptional value at each point in their life journey will stick with them as they move up. DSTV, for example, does this with its various bouquets of channels at different price points.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

So what are a few ways that brands can better market to the rising middle class?

1. Offer exceptional, unique and relevant value beyond the product and service

2. Avoid being perceived as a ‘low-cost’ alternative only. Balance the affordability with aspiration.

3. Understand consumer goals and find ways to help them achieve them.

4. give consumers a special experience regardless of the price point.

5. give consumers the option and the space to grow with your brand.

Connecting with a new generation of aspirational african consumers means being a part of their journey to success, supporting them in reaching their goals, making them feel successful for choosing your brand, offering them what they value above all else, and making sure you have something even better to offer them once they’re made it.

this continent of big dreamers loves the brands that help them turn those dreams into reality.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

social impact & profit

meaningful brand love in customer and employees hearts

fIghTINg fOr A BIggEr SLICE Of ThE PIE

innovating for increased shareholder value and increased customer value only. Brand extensions, business efficiencies and greater product / service benefits.

grOWINg ThE PIE

Innovating for increased market value by creating new categories and servicing new markets and customers.

TrANSfOrMINg ThE PIE innovation that creates direct employment value and shared social value. Transforming value chains to create jobs and entrepreneurial opportunities. solving social problems in line with brand purpose.

A New Economics for AfricaFighting over market share is very 1990s. The path to sustainable business growth in Africa is Transformative Innovation.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Offer jobs not just productsIn a continent with as many economic challenges as our own, it takes generosity and a willingness to invest in people for business and brands to thrive. Done smartly and guided by brand purpose, generosity can cut costs too.

BY ALISTAIr MACkAY

Alistair Mackay is Yellowwood’s marketing

manager and head of content, based in the Cape

Town office.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Unemployment and social problems may seem like strange topics for marketing and brand strategy. They aren’t. Research we conducted in 2014 into brand preferences in south africa shows that marketers really should care about social ills, because consumers do.

We found that across the board, south africans want brands that contribute to solving the country’s social problems. It is simply not true that only wealthier consumers care about social investment. Wealthier consumers just express it differently. Where some may love being able to contribute to the investment (such as Woolworths’s “MySchool” programme or KFC’s “add Hope”), others choose brands because they have invested in their community or given them, a friend or family member a leg up.

We heard respondents say things like “i love brand x because they give jobs”, or “they make a difference in my community” or “they help me lead a better life than my parents could”. Brands like avon made it into the top 10 Favourite Brands list partly because of their business model of directly employing ordinary women as their sales force and distribution network. OUTsurance’s pointsmen system is so brilliant because they use people as their marketing. They create jobs and give a visible demonstration of

their brand promise through people, where others just rely on traditional media

access is a basic of marketing, and yet too few marketers think about what this means in the african context. Providing access to new goods, services and experiences is important and hugely exciting for many newly middle-income consumers. But providing access to the economy is even more fundamental.

Despite rapid economic growth in many African markets, the majority of people is still poor, and most african countries still suffer from infrastructure, education and developmental challenges.

Brands that can find ways to include the excluded will generate huge amounts of goodwill and create strong brand loyalty - loyalty that becomes increasingly beneficial as these consumers begin to earn more.

Marketers shouldn’t just be thinking of ways to sell things to people; they should be thinking about how they can include potential customers in the value chain in ways that generate income for both parties.

Our research shows that consumers want generous brands that are serious about social investment. It’s time to offer opportunities and not just products.

Two brands earning love by sharing love...

Outsurance’s pointsmen system is an excellent way to create jobs and build a brand. By employing people to direct traffic when traffic lights are out, they demonstrate the value proposition better than a billboard ever could.

Avon employs consumers as their sales force and distribution network. Consumers love the brand that helps out a sister or friend.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Experiential branding - neither trend nor reality (yet)With so many trend reports sent around these days, you get the sense that marketers feel overwhelmed by trying to keep up. We read about wearable tech and augmented reality apps and immersive experiences. And yet I am amazed by how few people “get” even the basics of customer experience.

BY NOMONDE gAMA

Nomonde Gama is a strategist in Yellowwood’s

Johannesburg office. Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Perhaps it’s time marketers revisited their trend reports from the early 2000s! On a number of occasions in the past few months, i’ve been an irate customer dealing with double-booked appointments and terrible customer service.

up until now, i have put up with it if the finished product is good and the price is reasonable.

But no more! I want brands that provide me with a feeling, not just a transaction. And many consumers across Africa are starting to feel the same.

rich, multi-media, experiential branding is a glamorous and exciting trend, but the core idea of customer service is nothing

new. It should be marketing second-nature by now.

Here are few other things that really shouldn’t still be considered trends anymore:

By / for / through the customer - obviously, it’s ALL about the customer! treat the customer with respect. Respect their time and their preferences.

Experiential branding – there is no emotional connection without an experience. If all you offer is a product, you’re a commodity.

Personal service – brand experiences don’t need to be expensive or flashy – they just need to make the customer feel good. Be personable, likeable, human.

Service isn’t optional.

You’re cheaper? - Okay. What else?

Most brands are more replaceable than their teams would like to think. Those that aren’t, get customer experience right!

You can’t ignore the soft stuff. It really is about relationships, trust, reputation, experiences, making the customer feel good and enabling a human connection. Even in Africa where people seem to think it’s just a volume game.

Human experience is the rule of branding now, not something to put in next year’s marketing plan.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Brand Economics: how to Position a Brand for Maximum Value CreationBy understanding how the law of supply and demand affects perception as well as sales, marketers can eliminate the guesswork when embarking on brand positioning.

BY gErhArD rEINECkE

Gerhard reinecke is a senior strategist in Yellowwood’s

Johannesburg office. He has many years of experience as an advertising strategist and has run his own market

research company.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

The law of supply and demand has been understood since the fourteenth-century, when Mamluk scholar Ibn Taymiyyah wrote: “If desire for goods increases while its availability decreases, its price rises. On the other hand, if availability of the good increases and the desire for it decreases, the price comes down.”

Ka-ching!

Demand Supply

Quantity

Pric

e

This relationship was graphically depicted by Fleeming Jenkin in 1870, and has appeared in the first chapters of most economics handbooks ever since. it gives us two value equations: a supplier who sees value as a price-quantity factor (V=PQ) or “what I value is to sell as many as I can for as much as I can”; and a consumer who views value as a price-quantity ratio (V=Q/P) or “what I value is to get more for less.”Buyers and sellers bargain and finally agree at the point where the demand and supply curves intersect, and then…

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Apple well understands that a brand with relevant emotional and functional benefits can command a premium over other products with similar features.

Value for the customer is not just

“more for less.” Value is how much functional

and emotional benefit the customer feels, given the price. It’s the experience

and the quality of the brand, not just the quan-

tity of goods.

ka-ching!

If the billions of ka-chings that occur every day were audible, their collective din could drown out the noise emanating from the casino floors of Las Vegas.

So the economist’s view of consumer need is simply that “I want more for less.” Many marketers have expressed this limited view of the consumer in value propositions and messaging such as “Buy bulk and save”, “More car for your money”, “Trolley for trolley you pay less”, with the view of increasing short term sales objectives.

But wait there’s more…

the ‘more for less’ equation does not provide the marketer with a view on how to build the most essential component of profitability – brand equity.

Brand equity, in price terms, is the premium consumers are prepared to pay based on the perceived value of the brand, over and above the economic costs of production plus profit margin. Consumers would queue to pay more for an Apple iPhone 6, for example, rather than just buy an android phone with similar functionality for much less money.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

increased relevance

Quality

Pric

e

Differentiation

Brand premiumPositioning

Territory

In the supply and demand graph of brand equity, supply can be seen as differentiation from competitors and demand as relevance to the customer. Relevant differentiation is experienced by customers as either a functional benefit (a high performance engine, for example) or an emotional benefit (a luxurious driving experience), or both – a brand that simultaneously makes rational sense and also feels right.

The consumer is not just looking for ‘more for less’, and their value equation could therefore be replaced by V= (FB+EB)/P, (Where FB = Functional Benefits and EB = Emotional Benefits) or “What I value is a quality that makes sense and feels right, given the price”.

if relevance increases, the demand curve will shift to the right to reflect an increased quality experience at a higher price level. The result is a brand premium earned by improved benefits rather than an increase in volume through price reduction. It is an increase in overall value. Bringing this economic thinking to brand positioning, we have to define a positioning territory that considers both demand and supply side factors.

If you want to position an airline as fun, for example, as Kulula has done, or a bank as innovative, as FNB has done, these positioning territories need to be relevant from the consumer perspective – speaking to who they are, what they value, need and expect - but they also need to be a reflection of the difference the brand can realistically make in the consumer’s life. It needs to be credible. A strategically sound brand positioning will reflect the cognitive and the psychological considerations that customers make before purchase, as well as the unique strengths of the business.

And then, wait for it...

ka-ching!

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

$580 billiongDP

Nigeria

Egypt

Ethiopia

South Africa

$270 billiongDP

$350 billiongDP

51 million people

$47 bngDP

175 million people

90 million people

87 million people

Africa’s economic powerhouse

Following a rebasing exercise in 2014, Nigeria is now the largest economy in Africa, bumping South Africa into a humble second place. Many global and South African brands have been fighting for a part of the action. It’s a tough market to get right.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Loud, ambitious and ready to party - the makings of Nigerian attitudeKelechi Nwosu is Managing Director of tBWa \ Concept in Lagos, Nigeria and the President of the Association of Advertising Agencies of Nigeria. He has more than twenty years of industry experince and has worked on iconic brands such as MtN, Motorola, Stanbic IBTC Bank and Visa. Al Mackay gave him a call to find out what he has to say about connecting with Nigerian consumers.

BY ALISTAIr MACkAY

Alistair Mackay is Yellowwood’s marketing

manager and head of content, based in the Cape

Town office.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Thanks for making the time to chat to me, Kelechi. I would love to find out what you think makes Nigerian consumers tick, and how marketers can better connect with them. So first up...

What do you think is unique about Nigerian consumers?

What I think is unique about Nigeria is a certain kind of energy that we have. Some would see it as a bit of an aggressive energy when it comes to our commercial instincts. We love to hustle and go where opportunity takes us. There are Nigerians all over the world and they all have the same mentality to succeed regardless of the odds.

This energy is very aspirational. We have a competitive streak and we are very eager to show success. We come out tops in reality shows like Big Brother Africa, win MTN Project Fame West africa, win football tournaments and have created the biggest movie industry in Africa. People are very outwardly driven. That is unique about Nigeria. If you compare us to other parts of West Africa you won’t find as many people being so showy.

Related to that is the fact that we like celebrations and parties. We like to be happy and to celebrate every achievement. I would say that the general pysche of Nigerians is quite similar to that of black Americans. If you watch Nollywood you can learn a few things about us, although not all of it is true and even Nollywood is changing to reflect the middle class more than the mass market.

On the other hand, in some ways we are also culturally sensitive. We are bound by traditions - the traditions of our various tribes and of the country. And religion is a very strong factor in Nigeria. We are like the Brazilians: we like to be seen as pious and in accordance with God, although our behaviour may or may not always reflect that.

Remember Nigeria is a diverse country. It has about 300 ethnic groups. And the dark side of that diversity is that there is still a big problem of tribalism at the back of most people’s minds. My tribe, where I come from. Those problems are still there.

So any person trying to market in Nigeria needs to recognise our diversity, but to seek opportunities to create unity out of this diversity. Ask yourself Where is the common ground that will get you some space in the hearts of people? Remind consumers that we might be diverse but we’re still one country.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

What would you say are some of the most common misconceptions that global brands have about Nigerian consumers?

I think many people think of Africa as one country, with South africa as the state capital!

There really isn’t enough insight. Even within Nigeria there are huge differences in culture between the predominantly Muslim North and the predominantly Igbo South. Thinking of the country as one mass is a mistake. It is a country of diversity, with different traditions and cultures. Global brands need to determine how they want to engage with that diversity - not just in messaging, but in product development and marketing overall.

Just because you have done some work in East Africa doesn’t mean it will work in West Africa. Even within West Africa, Ghanaians are not the same as Nigerians.

What are some of the most important consumer needs in the Nigerian market?

Nigerian consumers want resonance. They want respect.

If brands work hard to show the consumer that even if they come from outside, they understand you, they are with you, they are in some sense local not international, they should be able to tap into the hearts of Nigerian consumers. Provided, of course, that they offer substantial benefits which is the reason that people are interested in brands at all.

Would you say that being an international brand is a disadvantage? Do Nigerians trust international brands?

Nigerians trust international brands. As a nation, we import many things that are not made here. However, local brands are on the upswing and consumers want brands that understand the local culture.

Many global brands that have been in Nigeria for a long time are no longer seen as international. P&G Pampers, for example, uses local sensibilities to market to people.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Which brands have done a good job positioning themselves as ‘for Nigerians’?

MtN has been one of the most successful brands in terms of communications. When they started there was a preconceived idea that because they were coming from South Africa they would have a colonial attitude, but by speaking in Nigerian language and showing Nigerian stories and demonstrating sticky cultural insight that is local and particular, they became locally loved.

What are some of the greatest challenges for creating great marketing in Nigeria?

There are two key challenges to creating great work:

The first is a lack of courage - courage to step outside the box and do something different. We have the potential for great creativity but we are conservative. In our society, even writing with your left hand is frowned upon. A lot of people still need to wake up to how to stimulate creativity. We like to go along the beaten path and we need to be encouraged to do something different.

The second challenge is education - of both the client and the agencies. We need better formal and informal education for everyone in the industry, greater exposure, better understanding of how to be effective and how to observe, learn and use consumer insights.

And even if you have courage and education, the motivation for creativity is still weak. We need to fix our model of remuneration, of IP protection, of getting more value.

Thanks for your time.

Thank you.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Tips for building a brand in Nigeria:

DON’T

Import your strategy from other african markets

Rely on being South African or global to win over Nigerian consumers

assume all Nigerian or West african consumers are the same

DO

tap into the optimistic national and cultural mood with your communications

Partner with the informal sector and other brands to develop affinity

Do your homework and build a good network of trusted local suppliers

segment the consumer population by region and by needs

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Building brands that matterAt Yellowwood we bring clarity to marketing’s most complex problems. We help our clients rediscover their purpose, better understand their customers, focus their energy and build ambitious brands that drive change and growth.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Here are a few projects from across our various offices over the past two years.

RGB RGB - Greyscale

in 2014 Yellowwood repositioned, redesigned and relaunched all of Primedia Broadcasting’s brand assets, including 947, kfM, 702, Cape Talk and EWN

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

In 2014 we worked with the City of Cape Town to launch a new brand strategy and design an identity that positions Cape Town as a dynamic city of opportunity.

Pan-African Segmentation: Bharti Airtel Mobile operator Bharti Airtel operates in 17 markets across Africa. Yellowwood partnered with Airtel to better understand similarities and differences across and between customers in all of these key markets.

Analysing bottom-up qualitative consumer data, which we validated quantitatively and demographically per country, we were able to pull together key needs, lifestyles, aspirations and points of view across the airtel markets to create a consolidated view of 6 key pan-African segments.

This gives Bharti Airtel a companywide perspective of priority customer typologies and their needs, enabling them to create more insightfully relevant and effective marketing across Africa.

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

Our capabilities include

• Research design and methodology• Qualitative and quantitative research• Insight and (meta) analysis

• Segmentation strategy• Market sizing, clustering and prioritisation• Brand strategy• Portfolio and pricing strategy

• Experience mapping and design• Go-to-market planning• internal engagement and values alignment

• innovation and ideation• Design analysis and opportunity mapping• Brand design, naming and narratives• Marketing performance tracking

Insight

readiness

Planning

Strategy

Yell

ow

wo

od

Ask

-Y M

agaz

ine

Fir

sT Q

uAr

Ter

201

5

gET IN TOUChDavid Blyth, MDDavidB@ywood.co.za

Honore Gasa, insightsHonoreG@ywood.co.za

Ingrid Veysie, StrategyIngridV@ywood.co.za richard stone, Design RichardS@ywood.co.za

Johannesburg 3 Sandown Valley Crescent, Fredman Drive, sandton+27 11 268 5211

Cape Town Block C, Third Floor, Boulevard Office Park, searle street, Woodstock +27 21 425 0344 Nairobi14 riverside Drive +254 728 664 025

www.ywood.co.za

UNCONVENTIONAL WISDOM ®