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on the web The following news iTems have all appeared on The african markeTing confederaTion (amc) websiTe. by visiTing The siTe, amc members can enjoy daily news updaTes retailers get advice on competing in africa covering Topics of relevance To african markeTers. go To www.africanmc.org RWAndA, nigeRiA, nAmibiA, coupled with increasing urbanisation small, scattered and informal. The largest Tanzania and gabon occupy the top and the relative stability of many African opportunities available to retailers in five places of the inaugural AT Kearney economies, represents massive room for these markets therefore revolve around fmcg giant company’s 400-plus portfolio are Lipton, ambitious for ethiopia because we see it African Retail development index (ARdi), retail growth. offering basic consumer-packaged The African Retail development as a growing market. We’ve taken a long- Lux, Surf, Rama, dove and Sunsilk. a study designed to help large retailers products at low prices. arrives in however, it is unclear at this stage what term investment decision in ethiopia determine where and how to best enter index is based on four elements: market Move Quickly: The countries in ethiopia products will be sold because of the demography, broad- sub-Saharan Africa’s rapidly growing Size; market Saturation; Country Risk; this group – currently only nigeria and and Time Pressure. it then ranks the based growth and opportunity to create retail market. in the new market. gabon from the index top 10 – have bloomberg quotes a Unilever a genuinely inclusive and sustainable South Africa, the most developed potential and urgency of moving into rapidly evolving retail dynamics and UniLeveR, The SeCOnd-LARgeST spokesperson as saying: “The plans are business model from scratch.” economy in Africa, only ranks seventh each country and suggests that global demographics, with some established FmCg business in the world, is to build due to market saturation. The index is retailers implement one of three possible retail players and many other global a manufacturing plant in ethiopia, the “a useful framework for retailers because approaches: Start with the basics; move retailers planning entries. There is no time company has announced. given that the it not only identifies the markets in Africa Quickly; or differentiate. to spare entering these markets, as first- horn of Africa nation has been largely most attractive for retail expansion Start with the Basics: much of movers will gain an advantage. closed to foreign investors for decades, today, but also those that offer the most Africa – including Rwanda, Tanzania, Differentiate: These markets – this represents a major milestone for potential in the future,” says AT Kearney, gabon and ethiopia – has limited market named in the index as botswana, both parties. a global management-consulting firm. saturation, but also low maturity. While namibia and South Africa – have the The plant will be located around Formal retail, defined as that taking these markets are promising they remain most advanced retail sectors, as well 30km outside the capital city of Addis place in malls, shopping centres and as an existing presence of international Ababa and will initially make fabric- other defined trade areas, remains there is no time to retailers. They offer opportunities cleaning soap before moving into the in the nascent stages in most sub- for retailers that can deliver differentiated production of foodstuffs. According to Saharan African countries and is limited spare entering many products or formats that are hard to information given to bloomberg financial primarily to a handful of urban areas, the African markets find and appeal to a growing news service, Unilever already imports report says. Low rates of formal retail, middle class. Knorr stock cubes and Omo detergent Unilever into ethiopia for resale. Among the London Headquarters other household brand names in the conTribuTe To our magazine innovation not in South Africa where the real story regarding banking products and Strategic Marketing Africa is interested in hearing from industry drives growth is unfolding. services. This award confirms that we experts, academics and journalists who may be interested in ecobank, for example, was named the in banking most valuable brand in Africa (outside remain a landmark for African businesses contributing to the magazine and individuals alike.” SA), rising 32 places to 367th place in brand Finance rates the banks based by writing high quality thought- leadership articles, columns and The ReCenT bRAnd FinAnCe the Top 500 with a brand value of some on their brand value. it does this by opinion pieces. banking 500 ranking spotlights not only US$243-million. ecobank’s ranking was studying the strength, risk and future We are also happy to receive global banking brands, but those setting based on the value the bank has in the of each brand and analyses its potential press releases, article ideas and the bar higher in Africa too. based on 35 African countries in which it operates. versus its competitors, as well as its other information on marketing brand-valuation consultancy brand At the time of the announcement, financial strength. topics, as well as other topics Finance’s research, the results show the Thierry Tanoh, group CeO of Togo-based of relevance to the African innovation and growth in brand value of ecobank, said: “Our understanding marketing community. banks across the continent. of Africa’s cultural diversity, our deep The ranking heralded SA-based attachment to the values of pan- Contact the editor by email: Standard bank as Africa’s most valuable Africanism, and our ability to innovate PHOTOS: SUPPLIED strategicmarketing@imm.co.za or banking brand with a brand value [all] contribute to responding satisfactorily Formal retail remains in the embryonic stages in most sub-Saharan African countries mike@mikesimpsonmedia.co.za. estimated at US$1,6-billion. but it is to the aspirations of the African peoples 6 strategicmarketingafrica Second quarter 2014 Second quarter 2014 strategicmarketingafrica 7