The era of mindful consumption

The global economy, especially those of many emerging markets have slowed due to many months of recession, and the recovery rate is not as fast as politicians and stakeholders want.  As economies begin to struggle and recover around the world, marketers face new challenges in relating to their consumers. A new post-recession era has dawned. Consumers have revised their priorities, and advertising needs to speak differently to these consumers if brands are to survive and thrive in the years to come.

Nigerian consumers have also been impacted by the reverberating effect of the global slow down.  The Nigerian economy has grown at an average of 6.8 per cent between 2005 and 2013 and is currently contracting instead of growing and consumer confidence level is down.

Many people in our market have stopped finding joy in excessive consumption and heedless spending, and a new trend, which we call “mindful consumption,” has emerged. Mindful consumption is demonstrated by consumers buying fewer products and fewer brands, and being more considered in their choices.

In a recent study on the recession in Nigeria by Amit Roy and I we discovered some interesting insights which I am happy to share with your readers. The key highlights below.

•      Nigerian consumers have stopped buying in bulk and purchase as and when required.

•      Single servers are now the order of the day for some categories and consumers go as far as “mix and share”- This is the a new phase for the sachet

•      Neighboring stores are becoming more prominent – as the consumers aren’t spending big and therefore need not go to the big shops and malls.

•      Quality has taken a back seat and consumers do not mind compromising on Taste in favor of affordability

•      The Nigerian child’s pester power is declining as mothers give kids what they can afford and not what they want.

•      Youths are more hooked on to free, data based calls- They are on the lookout for awof opportunities

•      With current fuel price, consumers are watching less of TV but are more online than usual.

The post-recession consumer would be different. While they may have been forced by circumstances to reconsider their spending habits, many consumers have found that less really is more. And brands need to understand this new reality and address the new, more mindful consumer that is able to access loads of information to take well informed marketing decision from the comfort of his or her home. Market should get ready for this new reality.

Martina Ambiri

Martina Ambiri is the head of Qualitative Research @ Kantar Millward Brown Nigeria