Blended: Your fresh sip of South African Market Research!

In this edition of Coffee Break Insights, I’m sharing an interesting article by Livingfacts on Humanness in technology. I’ll also share some insights on the digital inclusion of the South African informal trade from Frontline Research Group. Lastly, I’ll be sharing some details on BrandPulse60, an exciting new brand performance measuring tool from DataTech Solutions.

Humanness in technology - that sounds like an oxymoron, doesn’t it!

By Livingfacts (Pty) Ltd

When reviewing research which Livingfacts conducted during 2023, a consistent trend was noted.? There is a strong need for people to be supported by people, while they find, learn about and use self-service platforms, company websites, chatbots, apps and social media for both business and personal needs.

There is a proliferation of technology enabled options for investigating products, purchasing, servicing, reviewing and repurchase. And this is likely to increase and transform with the use of AI.

While essential to reducing costs, enhancing service and being more efficient, people are feeling increasingly overwhelmed. There is a gap between what the portal, platform, bot, or app can do and how comfortable and equipped people are to use them.

We have also noticed that when we provide feedback to clients about what customers want from these platforms, functionality is often already there but customers either don’t know about it or they don’t know how to use it.

To change behaviour and ensure customers experience the intended benefits of digital channels, there is a need for human support.

We see human support being provided in the following ways:

• When developing your company’s app or platforms, to use a “dialogue and words” that is appropriate to the target audience – one they resonate with and is understood
• Once the “tech” has been launched, to provide support and education on how to use it – short videos explaining what to do, how it could change on different operating systems, along with answers to FAQ,
• The role of the call centre will change and include the need for these staff to help customers use the technology
• Being patient and understanding
• Providing effective escalation and intervention when queries cannot be answered or handled online.

?“Technology is best when it brings people together.” Matt Mullenweg Social Media Entrepreneur

Do you know what your customers think of the support they are getting when using your platforms, apps and bots? Isn’t it time to ask them?

Livingfacts (Pty) Ltd is an independent, full-service B2B research and insights company. Livingfacts provide bespoke research solutions aimed at helping businesses understand their B2B customers, Corporates, SMEs, stakeholders, staff, and suppliers. Livingfacts operate across Southern Africa, with capabilities extending into East and West Africa, and have more than two decades of experience in these markets.

If you want to ensure that your business remains relevant and meet your target markets’ changing needs, please contact:

Marylou Kneale on 082 807 4043 or [email protected]

Heidi Clowes on 082?562 9111 or [email protected]

www.livingfacts.co.za

Digital inclusion of the South African Informal Trade Market (Part 1)

By Frontline Research Group

Digital inclusion in South Africa’s informal trade sector is a pivotal element of the country’s economic fabric, given the substantial contribution of the informal sector to the economy and employment. The informal market primarily comprises of businesses in townships, rural, and outlying areas, and is estimated at 600 billion rand annually according to GG Alcock founder of KasiNomics (Lesaka Technologies, 2023). The Stats SA Quarterly Labour Force Survey for Q3 2023, found that the informal sector accounts for 18.3% of the country’s total jobs. Historically, this sector has faced challenges to digital inclusion. Gaps in digital literacy and inadequate digital infrastructure in certain areas were significant contributors to the sector’s digital exclusion.

However, in more recent years, a notable shift towards digital inclusion has been observed. Mastercard’s New Payment Index 2022 showed that 95% of South African consumers had used at least one emerging digital payment method over the previous year.

This transition is also supported by data from?the Lesaka Informal Economy Digitalisation Index, which showed card-based transactions skyrocketing within the sector. Martin Wright, CEO of Kazang, a company that offers prepaid value-added services (VAS) in South Africa, highlighted that the rise of fintech firms offering?low-cost merchant services and often free point-of-sale (POS),?align with the increased preference for digital payments the informal economy’s more structured areas, such as large cash and carries, independent wholesalers, and superettes on main roads.

The rise in card payments and other digital POS is also supported by two Retail Census studies conducted by Frontline Research Africa, in 2019 and 2023, which saw a significant, 32 percentage points increase in the number of outlets that accept cards in 2023 vs. 2019.

In addition to card payments, digital POS (chart 2) payment facilities also saw a significant increase from 12% to 50%. The largest increases were seen among Shebeens, Taverns and Independent Superettes / Corner Café’s

The push towards digital inclusion is multifaceted, involving innovative solutions tailored to meet the unique needs of the informal sector. Mukuru, a leading financial services platform, exemplifies this by?leveraging digital technologies to bridge the gap to previously inaccessible financial services.?Platforms such as this aim to connect participants in the informal sector to resources, they might previously not have had access to, thereby fostering economic growth and stability.

Click here for part 2

Frontline Research Group recently hosted a webinar on the topic of Digital Inclusion of South Africa's Informal Trade. If you missed it, you could request the full presentation from Liesl Pearson at [email protected]

Syndicated Retail Census for Uganda

By Frontline Research Group

Syndication is an efficient and cost-effective way for companies to access critical market research data. By joining a syndication, businesses can share the costs of data collection and analysis, significantly reducing their research budgets while still obtaining high-quality insights.

Syndicated research offers a reliable foundation on which to base decisions. The collaborative nature of syndication means that all partners benefit from comprehensive, in-depth data without bearing the full burden of the cost.

This approach ensures that businesses have the information they need to tailor their strategies effectively, stay competitive, and maximize their return on investment.

The benefits include:

Benchmarking Data: Universe size and market size data provide benchmarks for trade execution strategies.

Outlet-Level Insights: Detailed, geo-coded data on outlets, including their characteristics and level of sophistication.

Channel Segmentation: Insights that reveal portfolio opportunities and help align strategies with market realities.

Gap Analysis & Expansion Opportunities: Identification of potential outlets for distribution expansion and market penetration.

Route-to-Market Insights: Data to optimize territory management and distribution routes.

Supply Chain Insights: Comprehensive information on supply chain dynamics, crucial for maintaining efficiency and reliability.

E-commerce & Payment Methods: Outlet-level data on e-commerce capabilities and payment methods, providing a modern edge to market strategies.

With this data, businesses can move beyond guesswork and make informed decisions that drive success in this vibrant and evolving market.

If you are interested in participating in this syndication, please contact Liesl Pearson on +27 (0)86 999 0407 or email [email protected]

Frontline Research Group is a full-service market research company operating across Africa since 1996. They offer a wide range of research services, including data collection, analysis, and reporting for various sectors

Their expertise lies in trade research, with an emphasis on emerging markets and bottom end trade. FRG provide the right research support and insights that can be actioned both tactically and strategically.

www.frontlineafrica.com

DataTech Solutions launch BrandPulse60

DataTech Solutions SA is a leading data analytics firm with extensive experience in the Market Research industry. They specialise in transforming complex data into actionable insights to empower Brand Managers, Brand Owners, and Marketers to make informed decisions, optimise brand performance, and understand customer behaviour.

As part of their commitment to innovation, they recently launched BrandPulse60 ,a dynamic brand performance measurement tool. BrandPulse60 engages consumers to share their perceptions of leading brands in just 60 seconds, rating them across 12 key attributes. This initiative provides businesses with real-time feedback and actionable insights, helping them enhance their market presence and stay connected with their audience. Each week, a new brand is featured, making BrandPulse60 an essential resource for understanding the pulse of the market.

Check out this video highlighting key findings from their recent Telkom survey.

If you would like to know more about BrandPulse60, you can contact them at [email protected]

www.datatechsolutions.co.za

Thank you for joining me on this coffee break! I hope you found these insights as stimulating as your favorite brew. Stay curious, stay informed. Until next time, keep brewing those brilliant ideas!” ??