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luxury: AfricAn perspective Africa seeks the premier on the African continent, will also sell new models to eager, and wealthy, nigerians. In the last 20 years the worldwide lifestyle luxury goods market has tripled in size. however it is emerging markets that have been the driving force of this growth over the past decade – to the point where developing economies now account for 50% of sales and are on the way to displacing developed markets. Luxury goods revenue in Africa is set to reach Us$2,75-billion this year, an increase of Us$690-million since 2011, according to a study conducted by the Paris office of research house Bain & co. Perhaps the figure is not surprising, given the Wealth-X and UBs World Ultra Wealth report 2013, released in september last year. This showed that Africa’s ultra-high net-worth population hen Porsche oPened had increased by 9,5% and had a its doors in nigeria in March combined wealth of Us$350-billion W last year it had already – a 7,7% rise from 2012. pre-sold all its stock. In south Africa, the It is on the back of this, plus the same top-end German sports car brand International Monetary Fund’s growth had notched up around 1 600 sales by the forecast of 5,4% last year and 5,7% end of 2013. Italian luxury fashion house this year, that the luxury goods market Prada has also confirmed that has exploded on the continent. it will open a store in what was once According to London-based euromonitor war-ravaged Angola. International, sub-saharan Africa’s luxury not bad for a place where – with goods sales will increase by 33% over the exception of sA and one or two the next five years, with the research other countries – premium products house noting that the region is “set to the world’s top-end luxury brands used to see little opportunity Wealthy Africans are increasingly seeking once feared to tread. Indeed, the global become a key battleground for the luxury in Africa. But an increasingly wealthy continent is turning that luxury private jets, top-end car brands such luxury brands now available on the goods industry”. as Rolls-Royce and Porsche, or fashionable Vivid, a public relations and marketing perception on its head, as Danette Breitenbach reports. outfts from the likes of Prada continent include cartier, Louis Vuitton, agency, specialises in the fields of luxury Burberry, Gucci, Fendi, salvatore Ferragamo, Johnnie Walker Platinum and premium branding. It has offices in Label, Porsche, Ferrari, Maserati… cape Town and Johannesburg and just the list grows constantly. over a year ago opened in nigeria. Its rolls-royce, that most iconic and founder and ceo, Anina Malherbe, says exclusive of automotive brands, is opening Africa is an emerging player with a lot of a dealership in Lagos this month (May) wealth being unlocked. to provide after-sales service to the “china’s time began 20 years ago – approximately 150 models already in the now we are seeing Africa rise. Its rich country. The dealership, only the second resources are creating extreme wealth on the continent, while at the same time Africa is seeing the emergence of a Luxury goods revenue middle class.” she believes luxury brands need to work out how to tap into this in Africa is reaching hugely aspirational market that is loyal US$2,75-billion to brands. A balance needs to be struck between accessibility and exclusivity, Malherbe says. 10 strategicmarketingafrica Second quarter 2014 Second quarter 2014 strategicmarketingafrica 11