BACKGROUND Ads24 expressed the need to understand the Black and Coloured markets in South Africa. This is established by the demographic and psychographic

The Mass Market Presentation

BACKGROUND

• Ads24 expressed the need to understand the Black and Coloured markets in South Africa.

• This is established by the demographic and psychographic profiles and was based on sources such as AMPS, Futurefact, TGISA and UCT unilever research.

• The need remained for more in-depth information on what the mass market’s needs and drives are – in other words what makes them tick?

THE BLACK MARKET • 28 985 000 people are black

• 72% are LSM 4-7

• 15% are LSM 8-10.

• Average HH income R7 527 pm

• 52% are females

• 68% are HH decision makers

• 34% are employed

• 44% completed matric or higher

• 17% are students.

• 54% speak a Nguni language (Zulu/Xhosa/Swazi and Ndebele)

• 33% are unbanked (formally)

Monthly Activities

• 8.1 million eat in a restaurant/steakhouse

• 3,5 million attend stokvel meetings

• 2.5 million visit a Shebeen.

• 4.6 million make use of eWallet, Cash-send, m-pesa or Instant money

AMPS 2013AB

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

50.3

31.5

8.5

4.43.8

House \ Cluster House \ Townhouse

RDP House

Squatter Hut \ Shack

Flat

Room in Backyard

LIVING CONDITIONSFUTURE FACT 2013

Upper Class - Current social class (self)

Upper Middle Class - Current social class (self)

Middle Class - Current social class (self)

Working/Lower Class - Current social class (self)

3.9

11.9

48.0

33.8

3.2

10.8

42.2

40.8

Black - Population group Total

82% of the Black population of South Africa reside in a in a house, 83% regard themselves as Low to middle social class and 56% feel that the Standards of living is

better.

18.4

12.5

12.4

25.8

29.9

Standards of Living

Much worse

Somewhat worse

About the same

Somewhat better

Much better

Dwelling Class

• The poorest third of South Africans:• 10.5 million people• Predominantly rural• Often 7 dependants per family• Over half are unemployed• Income ranges from 0 to R2,800 (HH)• Roughly LSM 1 to 4• 10% of SA spend

THE LOWER CLASSUCT UNILEVER RESEARCH : WAKE UP, SHAKE UP PRESENTATION

THE MIDDLE CLASSUCT UNILEVER RESEARCH : WAKE UP, SHAKE UP PRESENTATION

THE BLACK DIAMOND SEGMENTATIONUCT UNILEVER RESEARCH : BDN ON THE MOVE

"I am light years away from reaching the pinnacles ofsuccess. My extended family is still an unhealthy mix of

highly educated and totally illiterate and enumerate people.Many of my cousins are unemployed and some live in abjectpoverty in rural KZN. Despite my financial success I have notbegun to make a meaningful difference in their modest lives.

The schools I attended are without well-resourced librariesand laboratories. I cannot unashamedly parade myself as

the epitome of success when I have not begun to action thedifference that I have set for myself…to make in my

lifetime...." Sandile Zungu

UCT UNILEVER RESEARCH : BDN ON THE MOVE

INSIGHTSUCT UNILEVER RESEARCH : BDN ON THE MOVE

TGISA 2013C : FILTER – LSM 4-7 BLACK FEMALE LIFESTYLE STATEMENTS AND VIEWS

75% are proud to be South African

64% enjoy spending time with family

62% agree that the government should do more to

create employment

63% are proud of their cultural heritage

60% believe money will help you achieve success in life

58% say advertising helps them choose what to buy

58% enjoy owning good quality things

57% believe it is important to get to the very top of

their career

55% say staying in good physical shape is important to

them

50% agree it is important that her household is

equipped with the latest technology

76% are proud to be South African

62% say it is important for them to look well

dressed

61% enjoy spending time with family

61% believe money will help them achieve

success in life

58% say it is important to be well insured for

everything

58% are prepared to pay more for products that

make life easier

57% want to get to the very top of their careers

57% say it is important that their family thinks

they are doing well

56% believe that wearing a designer label

improves a persons image

LIFESTYLE STATEMENTS AND VIEWSTGISA 2013C : FILTER – LSM 4-7 BLACK MALE

I sometimes buy expensive designer clothes for myself because it reflects who I want to be

I exercise regularly to be fit e.g. gym, dance, jog, etc

Brands are important to reflect who I am as a person

Things are getting so expensive nowadays I am borrowing more and more money

The best way to see how successful someone is, is through their possessions

I often buy health foods and vitamins

I am more likely to buy brands that I see or hear advertised

It is important to buy the right brands to create the right impression

I always try to shop where I know prices are cheapest

I am a person who can achieve whatever I set out to achieve provided I put effort into it

0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 100.0

Black - Population group Total

WHATS IMPORTANTFUTURE FACT 2013

THE FUTURE FOCUSED MINDSET

The Future Focused mindset proved to be a clear predictor of movement to the suburbs, in addition to the following reasons:

• better property investment• access to jobs and malls• improved security• access to better schools & opportunities for children• a visible sign of success

INSIGHTSUCT UNILEVER RESEARCH : WAKE UP, SHAKE UP PRESENTATION

THE COLOURED MARKET

3 410 000 people 61% are in LSM 4-7

37% are in LSM 8-10

Average HH income R10 704 pm 80% speak Afrikaans as a home-language

40% are employed

10% are students

29% are unbanked

Monthly Activities

1.3 million have a braai

1 million shop for pleasure

950 000 eat in a restaurant

648 000 attend a church or other religious service

315 000 visit bars

122 000 attend a burial society meeting

AMPS 2013AB

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

95.3

3.20.70.4

House

Flat

Townhouse/Duplex Flats

Squatter Hut/Shack

LIVING CONDITIONSFUTURE FACT 2013

Upper Class - Current social class (self)

Upper Middle Class - Current social class (self)

Middle Class - Current social class (self)

Working/Lower Class - Current social class (self)

3.9

11.9

48.0

33.8

1.0

8.3

56.3

32.5

Coloured- Population group

Total

98% of the Coloured population of South Africa reside in a in a house, 89% regard themselves as Low to middle social class and 46% feel that the

Standards of living is better.

18.7

18.8

16.0

23.1

22.4

Standards of Living

Much worse

Somewhat worse

About the same

Somewhat better

Much better

ClassDwelling

I exercise regularly to be fit e.g. gym, dance, jog, etc

It is important to buy the right brands to create the right impression

I'm the sort of person who loves new technology and make sure that I keep up to date with developments

I look up to and respect people who have expensive cars, clothes and lifestyles

I often buy health foods and vitamins

I feel completely lost if I don’t have my cellphone with me

Things are getting so expensive nowadays I am borrowing more and more money

I always try to shop where I know prices are cheapest

I am proud to be South African

I am a person who can achieve whatever I set out to a

0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 80.0 90.0 100.0

Coloured - Population group Total

WHATS IMPORTANTFUTURE FACT 2013

• Older respondents (25yrs +) typically enjoyed spending time with family. Families would typically watch television together during the week, whereas weekends were more reserved for socialising (having a ‘braai’ or inviting friends and family over for potjiekos).

• Several respondents enjoyed the outdoors (which might entail a walk next to the beach, mountain climbing, hiking, off-road racing and/or camping).

• Females enjoyed going out dancing with girlfriends, going to the mall and some loved cooking (“... being creative in the kitchen.”). Part of their leisure time was spent on household chores. A few enjoyed reading (whereas topics varied from spiritual content to action and Mills & Boone).

AN ODYSSEY INTO THE BROWN PSYCHE INTERESTS & LEISURE TIME ACTIVITIES

“Everybody is mixed in some way!” – Erald Felix

The majority of males (young and old) loved to watch/participate in a variety of sports, e.g. rugby, soccer, cricket, marathons, etc.

One respondent described the importance of sport in their communities as follows:

“Sport defines our culture.”

Together with politics, sport is a topic where few people agree with each other:

“On a Friday night the whole family gets together. Within 5 minutes we will all be fighting over sport or politics.” (Cape Flats)

INTERESTS & LEISURE TIME ACTIVITIES

“What we do care about is understanding ourselves.”

- Adam Small, Poet and Philosopher

AN ODYSSEY INTO THE BROWN PSYCHE

• Quite a few males were involved with community policing (‘Neighbourhood Watch’) activities.

• A few respondents also studied part time and most of their leisure time was spent studying.

• Most of the youth enjoyed socialising with friends which could be in the form of house parties, going to clubs or simply parking cars in an open space and listening to music. Those living in more urban areas also tend to get together at shopping malls to ‘hang out’ together.

• “Young girls like to have their four front teeth pulled out and replaced with false teeth with a visible gold filling. It is a sign of status.” (Cape Flats teacher)

• ‘Home businesses’ are everywhere to be seen, selling anything from liquor, basic food products, air time, to hair and beauty salons.

INTERESTS & LEISURE TIME ACTIVITIES

“Everybody knows everybody. Everybody

knows everybody’s business.”


• 66% believe it is important to look well dressed

• 65% enjoy spending time with family

• 59% believe it is important to be well insured for

everything

• 58% really enjoy any kind of shopping

• 57% believe it is worth paying extra for quality

goods

• 55% are very good at managing money

• 53% believe that it is important that her family

thinks she is doing well.

• 49% prefer to buy South African goods

• 48% agree that advertising helps her choose what

to buy

TGISA 2013C : FILTER - LSM 4-7 COLOURED FEMALE LIFESTYLE STATEMENTS AND VIEWS

• 66% enjoy spending time with family.

• 64% say if there is something he wants, he

will save up for it.

• 60% say it is important to look well

dressed.

• 55% believe money will help you achieve

success in life.

• 50% enjoy owning good quality things.

• 50% want to get to the top of his career.

• 46% agree that advertising helps them

choose what to buy .

LIFESTYLE STATEMENTS AND VIEWSTGISA 2013C : FILTER - LSM 4-7 COLOURED MALE

CULTURAL DYNAMICSImage & brand-consciousness

• Brands mentioned repeatedly include:


The Coloured market is complex, diverse, and forever changing.

POPULATION MAP

BLACK POPULATION28 985 000

COLOURED POPULATION3 410 000

Limpopo

Kwazulu-Natal

Mpumalanga

North West

Free State

Northern Cape

Eastern Cape

Western Cape

Gauteng

364 000330 000

3 895 000391 000

1 684 00070 000 5 999 000

106 000

1 4510002 095 000

2 217 00053 000

2 493 00038 000

7 378 000319 000

Limpopo

3 504 0007000

AMPS 2013AB

WESTERN CAPE COLOURED POPULATION 2 095 000BLACK POPULATION 1 451 000

Media consumed

AMPS 2013AB

TV Total Radio Internet P7D OHH Magazine Newspaper0%

20%

40%

60%

80%

100%

120%96%

87%

38%

89%

67% 61%

96%

80%

34%

88%

60%45%

97%88%

31%

87%

65% 68%

Total Black Coloured

The suburb of Blaauwberg on the north coast and Simon’s Town and other villages along the False Bay coast for experiences steeped in military and maritime history.Most Saturday afternoons are dedicated to playing or watching sport and many , People from the Western Cape are sports enthusiasts. Try to catch a game of soccer, cricket or rugby.When visiting Cape Town and meeting its people, you will fall in love with a city of hope, creative freedom and incredible spirit

HTTP://WWW.SOUTHAFRICA.INFO

GAUTENG

BLACK POPULATION 7 378 000COLOURED POPULATION 319 000

Media mostly consumed by the black population is TV ,Billboards

and Newspapers.

AMPS 2013AB

TV Radio Internet P7D OHH Magazine Newspaper0%

20%

40%

60%

80%

100%

120%97% 96%

40%

97%

62% 62%

97% 96%

35%

97%

59% 64%

97% 97%

44%

97%

68%61%


Almost a quarter of the nation's population (12.3 million people) live in Gauteng. The province

generates 33% of South Africa's GDP, and 10% of the GDP of the entire African continent.

The people of Gauteng have the highest per capita income level in the country. The province

blends cultures, colours and first and third-world traditions in a spirited mix, flavoured by a

number of foreign influences.

WWW.SOUTHAFRICA.INFO, WWW.JOBURG.ORG.ZA

KWAZULU NATALBLACK POPULATION 5 999 000COLOURED POPULATION 106 000

AMPS 2013AB


20%

40%

60%

80%

100%

120%

87% 91%

27%

80%

39%45%

85%92%

21%

78%

35%43%

97%85%

50%

96%

58% 54%


The garden province of South Africa, KwaZulu-Natal is a subtropical region of lush and well-

watered valleys, washed by the warm Indian Ocean.

KwaZulu-Natal is one of the country's most popular tourist destinations .

The principal language is isiZulu, followed by English and Afrikaans. Remnants of British

colonialism and a mix of Zulu, Indian and Afrikaans traditions give the province a rich cultural

diversity.

Richards Bay is the centre of operations for South Africa's aluminium industry.

Every year the port of Durban handles over 30-million tons of cargo with a value of more than

R100-billion.


EASTERN CAPE



20%

40%

60%

80%

100%80% 84%

16%

73%

34% 30%

77%83%

13%

71%

29% 26%

93%82%

21%

87%

49% 51%


AMPS 2013AB


The Eastern Cape, lying on the south eastern South African coast, is a region of great natural beauty, particularly the rugged cliffs, rough seas and dense green bush of the stretch known as the Wild Coast. The province is the hub of South Africa's motor industry. The majority of the people speak isiXhosa, followed by Afrikaans and English.The basis of the province's fishing industry is squid, some recreational and commercial fishing for line fish, the collection of marine resources, and access to line-catches of hake

NORTHERN CAPEBLACK POPULATION 351 000COLOURED POPULATION 330 000

AMPS 2013AB


20%

40%

60%

80%

100%

120%

96% 95%

14%

84%

56%

43%

97% 94%

9%

87%

50%43%

95% 95%

13%

80%

60%

40%


Northern Cape is by far the largest province Yet it has the country's smallest population,

around

1-million people, The province lies to the south of its most important asset, the mighty Orange

River, which feeds the agriculture and alluvial diamonds industries.

About 68% of the population speak Afrikaans, with other languages being Setswana, isiXhosa

and English. The province has a wealth of national parks and conservation areas. The

Northern Cape is rich in minerals, with the country's major diamond pipes found in the

Kimberley district.


MPUMALANGABLACK POPULATION 2 493 000COLOURED POPULATION 38 000

AMPS 2013AB


20%

40%

60%

80%

100%

120%

90%97%

23%

88%

40% 37%

90%97%

19%

87%

35% 36%

100% 99%

21%

98%

79%

38%


Mpumalanga – "the place where the sun rises" – is a province with spectacular scenic beauty

and an abundance of wildlife, lying in the northeast of South Africa.

Nelspruit is the capital, and the administrative and business hub of the Lowveld.

Some 30% of the people speak siSwati, the language of neighbouring Swaziland, with 26%

speaking isiZulu and 12% isiNdebele.

Mpumalanga produces about 80% of the country's coal and remains the largest production

region for forestry and agriculture. Mining, manufacturing and electricity contribute to

41.4% of the province's GDP


NORTH WESTBLACK POPULATION 2 217 000COLOURED POPULATION 53 000

AMPS 2013AB


20%

40%

60%

80%

100%

120%

93% 96%

15%

93%

41% 42%

93% 96%

13%

93%

37% 42%

100%

78%

23%

92%

76%

42%


North West is sometimes referred to as the Texas of South Africa, with some of the

largest cattle herds. Potchefstroom and Klerksdorp are the biggest cities in the province; other main towns are Brits and Rustenburg. Only 35% of the population is urbanised. A summer-rainfall region, temperatures range from up to 31° C in summer to as little as 3° in winter. 94% of the country's platinum is found in the Rustenburg and Brits districts, which produce more platinum than any other single area in the world.


FREE STATEBLACK POPULATION 1 684 000COLOURED POPULATION 70 000

AMPS 2013AB


20%

40%

60%

80%

100%

120%

96% 97%

19%

89%

55%48%

96% 97%

15%

89%

52% 47%

98% 96%

17%

95%

62% 57%


The province is the granary of South Africa, with agriculture central to its economy, while mining on the rich goldfields reef is its largest employer.Its mid-2010 population was an estimated 2.8-million people. Two-thirds speak Sesotho, the language of neighbouring Lesotho, followed by Afrikaans and a sprinkling of isiXhosa. Important towns include Welkom, Odendaalsrun and Sasolburg.The province has 12 gold mines, producing 30% of South Africa's output. Agriculture dominates the Free State landscape Field crops yield almost two-thirds of the gross agricultural income of the province. Animal products contribute a further 30%, with the balance generated by horticulture.


LIMPOPOAMPS 2013AB



20%

40%

60%

80%

100%

120%


Limpopo is the gateway to the rest of Africa, with its shared borders making it

favourably situated for economic cooperation with other parts of southern Africa.

The capital is Polokwane, lying in the middle of the province.

The principal home language is Sesotho, spoken by roughly half the population,

followed by Tshivenda and Xitsonga.

More than 45% of the more than R2-billion annual turnover of the Johannesburg

Fresh Produce Market comes from Limpopo.

Documents

BACKGROUND Ads24 expressed the need to understand the Black and Coloured markets in South Africa. This is established by the demographic and psychographic