Africa is the hot prospect for most international investors and multinational organizations. Often dubbed the next China, the rising, Africa consumer is now in the center attention. In this article we will look at the development in consumer market in mainstream Africa, since it levels to the other countries which competes on Fast Moving Consumer Goods (FMCG) and consumer-discretionary products.
A recent report from McKinsey, concludes Africa is undertaking a huge transformation with a booming consumer market. Businesses in Africa are now likely on the verge of growing almost $400 billion in consumer alone by industries in 2020. It is about how they exactly manage consumer market, out of ten countries in Africa it was surveyed and believed that it reached 13,000 consumers that concentrate only in major cities. Marked it as the perfect place for investors to dig into the consumer market in Africa after seeing the growth of marketing, which considers a potential of building a new era of consumer marketing.
Evolution of consumer market
Africa is essentially growing in terms of technology, resources and economy although not abruptly but in the process developing. African`s are inspired by modern concepts and want to blend with styles accordingly with quality products considering that it will cost them a lot. Innovative consumers think better to have a cheaper (second hand clothing) with quality materials than choosing expensive and modern aspect of clothing literally would affect industries especially in clothing line business. With regards to its consumers, African`s has formed a new era of consumer classifications as population levels are increasingly growing it has formed consumer market awareness.
It is studies like McKinsey’s report that help businesses come up with strategies on converging new consuming class to the market. The trend of this new consuming class is they are aware of the quality of the product and the brand which they tend to have the popular ones. There are some factors of the research that might help guide businesses to be more successful as the GDP growth nearly reached to 40% which they might focus, meet the demands and know the qualities of the African consumers the way they want for their level of comfort and preferences, make the reasonable price for the product in order to provide the consumer market the choice to have quality material with affordable price.