The Nation Newspaper

Category: Shopping

  • Our tenant who becomes the landowner

    By Rarzack Olaegbe

     

    In common law systems, land tenure is the legal regime in which land is owned by an individual. The person holds the land.

    The law determines who can use land, for how long and under what conditions. Land tenure system implies a system according to which land is held by an individual or the actual tiller of the land.

    It determines the owners’ rights and responsibilities in connection with their holding. A landowner is a holder of the estate with considerable rights of ownership or, simply put, an owner of the land.

    The tenure signifies the relationship between tenant and lord, not the relationship between tenant and land. In the past, many different forms of land ownership have been established.

    One of them is the conquest of our land by Opera the owner and operator of Opay. Opay has invaded our land. But it doesn’t evade our attention.

    That is why we have noticed that Opay has spread its tentacles to cover the lucrative business value chain. How did it graduate from a tenant to a landowner? In 2010, PayCom Nigeria was a mobile money platform.

    Telnet incubated PayCom. Seven years later, Opera acquired PayCom. In August 2017, Opay was born.

    Opera Group, the parent company of Opay, developed Opera web browser, news and advertising. Jon Stephenson von Tetzchner and Geir Ivarsøy founded Opera Software as an independent company in Norway in 1995.

    Opera was created to continue what was originally a research project at Telenor, the largest Norwegian telecommunications company. Opera News was launched in 2018. It has about 30 million daily active users in Nigeria.

    As a tenant, Opera stepped onto the virgin land of Africa with the launch of its Opera Mini mobile browser in 2006. It has over 125 million active users. This is more than Facebook’s users.

    However, 13 years after, Opera has transformed into Opay and has gradually become the landowner in Nigeria. Through the adoption of technology at its core, Opay has become a force in the transportation business. Its ubiquitous green colour bikes are visible on our roads.

    There are over 2,000 ORide in Lagos alone. Opay has OCar, OBus and OTrike. It owns a parcel of land in the reg tech, wealth tech, and paytech and fintech ecosystem system.

    Opay country manager, Iniabasi Akpan, at an industry event hosted by KPMG recently in Lagos, explained how Opay gained 66% market share of agency banking in Nigeria. It has over 100,000 agents. From the business, Opay makes over $10 million in transaction daily.

    What did Opay do to earn humungous daily revenue? Akpan explained that Opay focused on building bridges. It connected with a network of agents. It relied on three platforms. Facebook, analytics and aggressive sales approach.

    Opay was practical in its approach. “Nothing was too complex. We used Facebook to gather information from people who are interested in becoming our agents. We met them. We presented to them. We signed them on”. At the end of 2018, Opay has scaled to 2,400 agents. “We make a monthly transaction volume of N11 billion by just growing our partnerships”, he said.

    Read Also: OPay to launch big bang promo December

     

    Opay was launched in August 2018 and does over 5 million transactions daily. Since May 2019, ORide has made over 10 million trips in Nigeria. Its Ofood platform has converted over 3,000 restaurants in Nigeria. It has 30,000 agents in Lagos. Outside Lagos, it has over 100,000 agents and 58,000 riders and over 3000 staff.

    In Lagos, Opay has created 33,000 jobs. It has over 1,000 employees and contractors. To some Nigerians, Opay is still a mystery.

    How can a company that is under three years make such an impact with revenue running into millions of dollars in the transaction? But it is not a mystery. When Akpan reeled out these figures, some Fintech experts on the social media doubted him.

    They pooh-poohed the impact. They could not understand how a nascent foreign company, who is a tenant, wields so much influence.

    For instance, at the zenith of the traffic gridlock in Lagos, a popular television newscaster, Boason Omofaye, the senior business producer with Channels TV rode on a bike to beat the traffic. He later uploaded the video on YouTube channel.

    The video went viral. Such endorsement for bike hailing would attract huge patronage and create impact. Besides, ORide has rescued some senior executives who jettisoned the comfort of their cars and rode bikes to their offices.

    While the fintech experts denied the impact and queried the figures, it should not be surprising that there is a gold mine at the bottom of the pyramid, even in Lagos.

    Opay understands. Maxng and Gokada jointly owned the space. Today, Opay is the landowner. What did Opay do that Maxng and Gokada did not do? Opay is contending with Bolt and Uber in the car-hailing business. Opay understands.

    As a startup, Opay is creating job opportunities for the people at the bottom of the pyramid. It is giving financial access to people. In its audacious ambition to permeate our lives and make us eat from its kitchen, this Chinese startup has become a legal landowner in Nigeria with consider-able rights of ownership.

     

  • Yuletide shopping soars

    With six days to Christmas, the shopping tempo is already high. Shoppers are busy making the best out of the season while traders are smiling to the bank, JANE CHIJIOKE reports

     

    The shopping frenzy is almost at its peak. Footfalls at various shopping malls and open markets are fast increasing as shoppers seek to get items to celebrate in the euphoria of the season.

    To many, shopping for the festive period is a necessity.  The need to look fashionable, decorate the home, have family timeouts, and even stuck up food items in the home, have become annual rituals shoppers engage in. Welcome to the yuletide- a season of trade bargaining.

    At various markets visited, retailers were seen displaying their Christmas wares, including enticing prospective buyers with juicy offers as “sales promotions.” Items such as wears, Christmas decorations such as lights, trees, hats, including other accessories like foot wears, gift items and other items attracted huge traffic.

    In the last few weeks shopping has been in the upsurge. Retailers explained that there has been increase in the quantity of items sold.

    According  to Ndubuisi, a  trader at Yaba Market, the patronage for wears have increased since the beginning of the month. He now makes at least N20,000 on daily basis as against the previous months.

    Tobi  Akande, who sells gifts and Christmas accessories at Balogun market  said sales of her Xmas lights and trees have been tremendous considering that it serves as decorations for both homes, offices, market areas and even streets.

    She noted that as at same time last year, sales were poor even with the discount she offered but same was not the case this year.

    With a starting price of N1, 500, Akande remarked that her customers are attracted by the generous offer of discount she has placed on her wares at this season, just as they equally appreciate the aesthetics Xmas decorations adds to the festive period.

    This position was attested to by Harrison Adekoya, a shopper seen at Yaba Market who said the prices on some of the wears were relatively cheap which attracted him to do some shopping.

    For Walter George and his wife, but for their children, the unfavourable economy is a drawback to celebrating Christmas.

    “There is no money to have a good Xmas celebration. The economy is not encouraging. But then, having kids at home, who are so much anticipating Christmas, you cannot but put smiles on their faces,” George said.

    The shopping frenzy is also inclusive of food items. Despite the increase in food prices spurred by the closure of the border, some retailers are already smiling to the bank.

    They said regardless of the increase, it is a season that attracts brisk sales.

    “Christmas period is usually a good sales period for us though there are exceptions at times. Since last week, sales have doubled.

    Read Also: Yuletide: FRSC warns against over-speeding, dangerous driving

    Customers are stocking their homes with food items to celebrate with friends and family. Some would love to have varieties of food and drinks, some would send food items to their families in the village even some organisations would gift their workers.

    So all these account for more sales for us,” said Mrs Busayo Akanbi, a trader in Arena Market, Oshodi.

    A dealer in poultry products at the Arena Market, Musa Yusuf, noted that patronage has increased just as it was last year. He explained that chicken, which is a significant item most Christian faithful use in the celebration is relatively cheap, thus boosting their sales number.

    Echoing similar sentiment, another trader who deals in frozen foods, Mr Eze Agu showed readiness to make brisk sales next week.

    “Frozen foods are usually a big market during this season. There is always a rush for this product.

    Last year, just within a week to Christmas, I sold not less than 150 cartons so I am hopeful I will surpass that this year because already, patronage has increased,” Agu said.

     

     

     

  • Recreation centre marks two years anniversary

    By Rarzack Olaegbe

     

    UPBEAT Recreation Center in Lekki, Lagos has celebrated two years of existence

    The anniversary was celebrated with tourists from far and near in the country and diaspora.

    Describing the anniversary, the Operation Manager of the recreation centre, Siamanta Van-Labeke said it phenomenon and amazing.

    She said UPBEAT has been able to partner with the Nigerian sports to promote football and basketball, including an impact in the tourism industry.

    On the attitude of Nigerians in tourism, she noted that Nigerians are adventurous, adding that only quality services ‘would make them continue to sustain and maintain patronage’.

    She said: “The two years have been a phenomenon, amazing and motivating. We’ve been able to have gymnastics club, partnership on football and basketball, including a great impact on tourism.

    Our wonderful team has been wonderful for providing quality services which have helped to maintain and sustain our patronage. In years to come, we hope to have more partnership for our customers to up their fun which UPBEAT is all about.

    “On tourism, we have been able to bring virtual tourism to take people outside Lagos which ordinarily, they wouldn’t want to go due to distance.

    Read Also: How to boost tourism, by Bi-Courtney, Pineapple Tv

     

    In Nigeria today, there are so many who don’t need international tourism, that is why we have put UPBEAT in place for them to enjoy different experiences which we believe would contribute to the tourism industry and the Nigerian economy,” she said.

    Speaking in the Christmas activities, Siamanta added that: “We have all access package to enjoy all the experiences.

    We also have the kid camp coming up from 16th to 20th December, where the kids will take part in artwork, music, football, basketball including jumping before graduation.

    “We also have the Christmas carnival where people can buy goods from vendors who sell different products and I want to believe this year’s Christmas experience would be amazing,”

     

  • The N360 Billion Mansion Mitch Built

    By Rarzack Olaegbe

     

    Mukesh Ambani, the richest man in India, has completed the development of his new home in Mumbai. The mansion is worth an estimated value of $1 billion. It is a 400,000-square-foot Antilia on Mumbai’s Cumballa Hills, situated in one of the world’s most expensive addresses – Altamount Road. The oil and gas tycoon owns the world’s largest and most expensive private residence.

    Another man has built another house that is worth N360 billion in Nigeria. The mansion occupies a stretch of the Oko Awo Street on the Victoria Island, Lagos. He is not an oil tycoon. He is a switching engineer. His mansion is not a 27-story skyscraper but it has 17-year story.

    He did not know that the foundation of the mansion he laid some 17 years ago with a seed capital of  N200 million investment fund from the participating banks, would become the first African unicorn worth N360 billion [$1 billion]. Let us trace the genesis of the story.

    In 2002, 17 years ago, saddled with the responsibility of building a shared infrastructure that will help shareholders reduce the cost of financial transaction and assist their businesses to deliver best value to customers and at the least cost, one man and his team designed and set up the infrastructure.

    However, without some key actors that infrastructure would have remained an infrastructure. But it succeeded because Telnet and Accenture Nigeria played a crucial role in the foundation of the mansion, which is now the first and only African unicorn.

    Through Interswitch, electronic payment in Nigeria has become better. It has become bigger. It has grown beyond our collective imaginations. The other actors who played strategic role in the erection of the mansion are First Bank, Zenith Bank, Wema Bank, UBA, GTB, Union Bank and FCMB. Their support was phenomenal.

    The birth and operation of Interswitch brought increased productivity and improved quality of life. Outside the financial institutions, the Federal Inland Revenue Services [FIRS] benefitted from the shared infrastructure, as its success story led to the overall success of Interswitch. The road Interswitch followed that led to its height is through a project named FACT. FACT stands for Friendly, Accurate, Complete, Timely.

    Read Also: Interswitch, Visa seal deal

     

    The successful implementation of the FACT project projected the image of the man at the head of the diamond formation, Mitchell Elegbe, also known as Mitch. It is upon the success of FACT that Interswitch built every other accomplishment.

    These include the connection of all the 24 banks in Nigeria, entrance of an investor group led by Helios in 2010 that agreed to majority equity of 75% interest, and the arrival of International Finance Corporation [IFC] the same year.

    For this and other triumphs, Mitch has received multiple awards and accolades. We will not regurgitate the awards list here.

    But with a significant exposure to switching and software companies in South Africa and Europe over the years, Mitch, the pioneer Group CEO of Interswitch has an in-depth knowledge of the e-payment industry.

    His local and international expertise has helped Interswitch. This is evident in the latest registration of a N30 billion debt issuance programme with the Securities and Exchange Commission of Nigeria (SEC).

    It is evident in the conclusion of a N23 billion series 1 fixed rate senior unsecured callable bonds issue via a Special Purpose Vehicle (SPV), Interswitch Africa One Plc, which has attracted Visa to agree a payment of $20 million for a 20 per cent stake in Interswitch. It is evident in the planning of listing Interswitch on the London Stock Exchange in the year 2020.

    It is evident that only investors’ participation was allowed by the SEC with a proposed bonds allocation of 64 per cent to pension fund managers, 7 per cent to asset managers and 22 per cent to commercial banks.

    It is also evident that Interswitch is the only home-grown unicorn, a company that is valued at $1 billion, and the only one in Africa. It is completely evident you are a witness to this feat. However, Mukesh has built a $1 billion mansion from oil and gas proceeds; Mitch has also proven that an electronic payment and switching company from Africa can do more than build a mansion with many rooms in many African countries.

  • Balogun traders: Rising from the inferno

    Rising from the fire incident that gutted their shops over a month ago, traders in the Balogun market, Lagos, are braving the odds to start life afresh. But at what cost to their safety is this being achieved? JANE CHIJIOKE warns that while this effort is commendable, unless urgent steps are taken, another disaster may be lurking in the corner.

     

    It was a devastating experience for them.  Many are yet to come to terms with the reality that their investment over the years, which ran into several millions of naira, had vanished just within a few hours to the inferno that gutted their shops at the Brasas Plaza in Balogun market, Lagos, last month.

    Reminiscing the incident could be life threatening. Some had anticipated good sales for that day; some had just acquired new goods hoping to cash in on the fast approaching Christmas season.

    Some even had goods on credit  that were yet to be paid for, while some also had  some monies earned as proceeds from their previous day business transactions, locked up in their stores.

    And characteristic of most Nigerian business, majority of these traders did not take insurance policy on their wares, thus making their situation more serious. For now, they all sit back, licking the wounds from their losses.

    Braving the odds

    But, for the brave traders, life and business must continue. A visit to the site of the inferno, showed signs of return, albeit, of trading activities to the market, though on a skeletal level.

    At the site, some of the victims have constructed makeshift shops, having removed the remnant of the burnt structure.

    They now sell the few goods they were able to salvage from the inferno. Some have been able to return to business through the benevolence of fellow traders and friends not affected by the incident.

    One of the affected traders who spoke with The Nation Shopping, Lawrence Eze, said it has been very difficult coping with the loss.

    According to him, two days after the incident, some traders paid N120, 000 to alleged “park owners” for them to be allotted space at the Oluwole Park, adjacent to the razed building housing their former shops.

    Sadly, in spite of this payment, these traders claimed they were  denied space. One of the victims, who pleaded anonymity for fear of reprisal attacks, informed this reporter that the money paid for the space has now led to a tussle among some “miscreants” over sharing formular and as to who has the right to even collect and allocate space.

    Consequently, this has further compounded the woes of the already traumatised traders who appear to have been left further stranded as no positive response have been given to them.

    Undeterred by this additional loss, the affected traders sought another alternative. Eze noted that two other traders, including himself, were able to raise N147,000 to clear up a portion of the rubbles stacked at the affected site and put up a makeshift shop to assist themselves to sell some wares at least, for the yuletide season.

    “Weeks after this incident, I am just resuming sales today (Monday). I am tired of staying idle.The thought alone is not good for my health. Most of us have families to cater for.  Again, this is Christmas season that every trader looks forward to. I was able to secure few goods which I am selling now.We cannot even increase the price otherwise we will not sell. It has not been easy for me, I am just trying to cope with the situation I have found myself in,” an obviously dejected Eze said.

    Another trader who identified himself simply as ‘CJ’, said he is yet to recover from the injuries sustained from the fire incident.

    He explained that the few goods he was able to rescue would not make much difference as they were already stained by the thick smoke that emanated from the fire.

    Though he made efforts to clean the wares, he is sad that such items would not fetch him good returns on his investment because they cannot be sold at a profitable margin anymore.

    “I sell them cheaper now as customers no longer see them as new. If I can even get them sold at the cost price, I wouldn’t mind, so that I can move on from this unwholesome experience,” he said.

    For Christian Mgbeji, who lost a good sum of goods to the fire, he can only thank his friends for their assistance thus far. Mgbeji gets wares from his friends to sell at his makeshift shop and then returns the principal value of the goods after realising marginal profit on the items.

    He said though the state government has collected some names of the affected traders, they were yet to receive any response from the government.

    He called on the government to fulfil its promise to victims, especially when it is considered that they contribute significantly to commerce in the state and by extension, the state’s internally generated revenue (IGR).

    However, while some have been able to secure temporary space, others still wander around the market trying to make a living.

    For instance, a trader who gave his name as Ejike Collins said he has been hawking his rescued wares around the market, practically begging customers to patronise him.  He said though it has been hectic for him, he had to device means to cater for himself. Besides, he revealed that he has now resorted to calling his customers to know when they need some goods.

    Read Also: Balogun Market fire:Traders seek compensation from Lagos

     

    A trader, Daniel Ibeku explained that rather than sympathise with traders, some unscrupulous marketers are trying to take advantage of theirmisfortune. He explained that till date, most of them are yet to have their names on the list of the affected traders which has been submitted at the Lagos State Secretariat, Alausa, Ikeja. He pleaded with Governor Babajide Sanwo-Olu, to do thorough investigations on the names that have been submitted.

    “We have realised that there has been some shady activities by faceless people who want to use our situation to make money from government.

    Some names have already been submitted to the government, but the question on every one’s lips is who are these people?

    The owners of the affected building are in the best position to give accurate names of tenants that occupied the building. If there is any list to be used, the landlords should be the ones to submit it because they know their genuine tenants. I am begging the governor to please ensure the assistance get to the rightful victims,” he pleaded.

    Danger looms

    The Nation Shopping on visit to the two buildings adjacent to the burnt stores where traders now use temporarily observed that such  portends great danger to lives and properties.

    This is because these structures have deep cracks all over, and may collapse if urgent steps are not taken to prevent this. However, typical of the resilient Nigerian, the traders said they are not perturbed by this as they cannot stay idle.

    For them, it is survival of their businesses and eking a living that is of bigger concern for them.

    But at what cost will this thinking by traders be achieved? Should be this be at the expense of human lives?

  • JARA Shopping mall takes shape in Benin, sets to open before year end

    Our Reporter

    As part of initiatives to boost commerce and drive investment to the retail sector of the state, JARA Shopping Mall, a newcomer in the retail space in Edo State, is taking shape at the Sokponba Road axis of Benin City, with commercial operations set to begin before the end of the year.

    In a statement, Special Adviser to the Edo State Governor on Media and Communication Strategy, Mr. Crusoe Osagie, said the mall is the product of a Memorandum of Understanding (MoU) between the company and the Edo Development and Property Agency (EDPA) on behalf of the Edo State Government to expand the retail space in the state.

    He said construction work is complete with interior fittings being installed at the shopping mall, which promises to revolutionalise leisure and the shopping experience in the bubbling Sokponba axis of Benin City.

    READ ALSO: NAF, Edo partner to safeguard night-landing facilities at Benin Airport

    According to him, “The State Government in the last three years has pioneered projects that would redefine Edo State as an investors’ delight and we have closed a number of projects in this regard. The JARA Shopping Mall is the latest in the bag. The construction work involved local labour and we are very sure that when the mall kicks off in earnest, more youths in the state would be employed at the facility.

    “We are indeed happy that the mall will change the landscape at the Sokponba axis of Benin City and will bring a new lease of life to the ever-busy, densely populated area.”

    He added that the mall is another proof of the ease of doing business reforms of the Governor Obaseki-led administration, as the facility would be up and running barely few months after the MoU for its operation was signed with the state government.

  • Multichoice introduces new offerings

    Pay-TV service provider, MultiChoice Nigeria, has announced the launch of new packages on the DStv and GOtv platforms namely; DStv Confam, DStv Yanga, GOtv Jolli, and GOtv Jinja, for the festive season.

    The company says customers with active subscriptions on DStv Family, DStv Access, GOtv Plus and GOtv Value will enjoy a two-week free trial from December 1 – December 15, 2019, on the new packages, at no extra cost.

    The Chief Customer Officer, Martin Mabutho, explained that the objective  of the launch of the new packages was to offer customers new lower and higher tier packages for DStv and GOtv at affordable prices.

    Read Also: MultiChoice introduces new DStv, GOtv packages

     

    “Our key priority is to put subscribers’ needs at the heart of every new offering. From time to time, MultiChoice reviews the packages available on our platforms that may result in the addition or removal of packages” he said, adding that with more package options available on both the DStv and GOtv platforms, subscribers can easily choose the subscription plan that best fits the budget and viewing needs of their families.

     

  • ‘How advertising can respond to digitilisation’

    By Jane Chijioke

    The President of the Association of Advertising Agencies of Nigeria (AAAN), Ikechi Odibo, has declared that advertising practice needs to undergo a change to cope with the demands of post-digital age.

    Odibo, who made the declaration in a paper presented at the National Advertising Conference, organised by the Advertising Practitioners Council of Nigeria (APCON) in conjunction with other sectoral bodies, in Abuja,  noted that practitioners must acquire new business mindsets and approaches crucial to the business in a rapidly evolving business landscape.

    He further revealed that the evolution has been assisted by the emergence of e-commerce, with television advertising transferred to digital platforms such as Youtube, Instagram advertising taking the place of print advertising and with celebrity endorsements mutating into influencer marketing. This process, he said, is still treated by practitioners as requiring just a few changes when wholesale changes are required.

    “We congratulate ourselves a lot for adapting things that have been done before, making minimal changes and feeling like we understand the modern world. However, we cannot force-old templates to new expectations, new objectives and expect to be regarded as relevant, strategic and indispensable by the clients,” he said.

    Read Also: YouTube announces new initiatives to support local Creators in Nigeria

     

    He made it known that in a fast-changing business environment, clients seek up-to-the-moment partners, who are ahead in terms of proffering understanding, thought leadership and fresh solutions to their marketing problems. This, he said, makes it important to accurately understand and embrace digital reality and for practitioners to continuously broaden their perspectives and take creative responsibility without waiting for marching orders from clients.

    The AAAN President further advised practitioners to embrace new tools, which are multi-functional and not limited by geography. “In the digital age, devices do a lot of things well and also work together across physical geographies thanks to telecommunications and the internet. Consumers now move seamlessly between devices, with data providing borderless interconnectedness and continuity. We can seamlessly engage our favourite apps, social platforms and skits across various devices, anywhere and anytime,” he said..

     

  • Balogun traders: Rising from the inferno

    Rising from the fire incident that gutted their shops over a month ago, traders in the Balogun market, Lagos, are braving the odds to start life afresh. But at what cost to their safety is this being achieved? JANE CHIJIOKE warns that while this effort is commendable, unless urgent steps are taken, another disaster may be lurking in the corner.

    It was a devastating experience for them.  Many are yet to come to terms with the reality that their investment over the years, which ran into several millions of naira, had vanished just within a few hours to the inferno that gutted their shops at the Brasas Plaza in Balogun market, Lagos, last month.

    Reminiscing the incident could be life threatening. Some had anticipated good sales for that day; some had just acquired new goods hoping to cash in on the fast approaching Christmas season. Some even had goods on credit  that were yet to be paid for, while some also had  some monies earned as proceeds from their previous day business transactions, locked up in their stores. And characteristic of most Nigerian business, majority of these traders did not take insurance policy on their wares, thus making their situation more serious. For now, they all sit back, licking the wounds from their losses.

     

    Braving the odds

    But, for the brave traders, life and business must continue. A visit to the site of the inferno, earlier in the week, showed signs of return, albeit, of trading activities to the market, though on a skeletal level. At the site, some of the victims have constructed makeshift shops, having removed the remnant of the burnt structure.  They now sell the few goods they were able to salvage from the inferno. Some have been able to return to business through the benevolence of fellow traders and friends not affected by the incident.

    One of the affected traders who spoke with The Nation Shopping, Lawrence Eze, said it has been very difficult coping with the loss. According to him, two days after the incident, some traders paid N120, 000 to alleged “park owners” for them to be allotted space at the Oluwole Park, adjacent to the razed building housing their former shops.

    Sadly, in spite of this payment, these traders claimed they were  denied space. One of the victims, who pleaded anonymity for fear of reprisal attacks, informed this reporter that the money paid for the space has now led to a tussle among some “miscreants” over sharing formular and as to who has the right to even collect and allocate space.  Consequently, this has further compounded the woes of the already traumatised traders who appear to have been left further stranded as no positive response have been given to them.

    Undeterred by this additional loss, the affected traders sought another alternative. Eze noted that two other traders, including himself, were able to raise N147,000 to clear up a portion of the rubbles stacked at the affected site and put up a makeshift shop to assist themselves to sell some wares at least, for the yuletide season.

    “Weeks after this incident, I am just resuming sales today (Monday). I am tired of staying idle.The thought alone is not good for my health. Most of us have families to cater for.  Again, this is Christmas season that every trader looks forward to. I was able to secure few goods which I am selling now.We cannot even increase the price otherwise we will not sell. It has not been easy for me, I am just trying to cope with the situation I have found myself in,” an obviously dejected Eze said.

    Read Also: Millions lost in Balogun Market fire

     

    Another trader who identified himself simply as ‘CJ’, said he is yet to recover from the injuries sustained from the fire incident. He explained that the few goods he was able to rescue would not make much difference as they were already stained by the thick smoke that emanated from the fire. Though he made efforts to clean the wares, he is sad that such items would not fetch him good returns on his investment because they cannot be sold at a profitable margin anymore. “I sell them cheaper now as customers no longer see them as new. If I can even get them sold at the cost price, I wouldn’t mind, so that I can move on from this unwholesome experience,” he said.

    For Christian Mgbeji, who lost a good sum of goods to the fire, he can only thank his friends for their assistance thus far. Mgbeji gets wares from his friends to sell at his makeshift shop and then returns the principal value of the goods after realising marginal profit on the items. He said though the state government has collected some names of the affected traders, they were yet to receive any response from the government. He called on the government to fulfil its promise to victims, especially when it is considered that they contribute significantly to commerce in the state and by extension, the state’s internally generated revenue (IGR).

    However, while some have been able to secure temporary space, others still wander around the market trying to make a living. For instance, a trader who gave his name as Ejike Collins said he has been hawking his rescued wares around the market, practically begging customers to patronise him.  He said though it has been hectic for him, he had to device means to cater for himself. Besides, he revealed that he has now resorted to calling his customers to know when they need some goods.

    “That comfort you get having your own shop is no longer felt.  Now, I come to the market daily and start roaming about with clothes in my hands looking for customers to sell to.  It is like I am just starting life afresh. Again, I have samples of some of my wares on my phone so I show it to customers. So when they make their choice of what item they need, I rush to bring it for them from where I manage to pack them. However, only the few patient and understanding customers would want to go through such processes to buy from you,” he lamented.

    Another trader, Daniel Ibeku, who noted that fire protection equipment were a necessity for all traders in the affected plaza, believed that the fire incident was just fate that played out and not a result of human mistake or negligence. He said though difficult to endure his loss, he tried to put the incident behind him.

    “In the midst of the tragedy, I am grateful to God  we did not lose any member of the plaza to the fire.  I have been running helter-skelter looking for means to assuage my pains. You come to the market, you see your fellow traders selling their wares and you cannot but ponder on your loss. But I thank God for friends who have been very helpful.  They give us goods to sell  and we take any little profit we are able to make from it, then return the money to the owners. At least it is a step I have taken hoping on God to make a way for me,” he said.

    Ibeku explained that rather than sympathise with traders, some unscrupulous marketers are trying to take advantage of their misfortune. He explained that till date, most of them are yet to have their names on the list of the affected traders which has been submitted at the Lagos State Secretariat, Alausa, Ikeja. He pleaded with Governor Babajide Sanwo-Olu, to do thorough investigations on the names that have been submitted.

    “The government promised to help us but how sure are we to receive the government’s sucour when it eventually comes? We have realised that there has been some shady activities by faceless people who want to use our situation to make money from government.  Some names have already been submitted to the government, but the question on every one’s lips is who are these people? The owners of the affected building are in the best position to give accurate names of tenants that occupied the building. If there is any list to be used, the landlords should be the ones to submit it because they know their genuine tenants. I am begging the governor to please ensure the assistance get to the rightful victims,” he pleaded.

     

    Waiting for succour

    According to the Lagos State Emergency Management Agency (LASEMA) chief Nosa Okunbor, a committee has been set up to investigate the incident to know how to compensate the affected traders.

     

    Danger looms

    The Nation Shopping on visit to the two buildings adjacent to the burnt stores where traders now use temporarily observed that such  portends great danger to lives and properties. This is because these structures have deep cracks all over, and may collapse if urgent steps are not taken to prevent this. However, typical of the resilient Nigerian, the traders said they are not perturbed by this as they cannot stay idle. For them, it is survival of their businesses and eking a living that is of bigger concern for them.

    But at what cost will this thinking by traders be achieved? Should be this be at the expense of human lives?

  • How effective is celebrity endorsement?

    Celebrity endorsement is a marketing tool employed mostly by top brands to expand their grip in the market space. However, the advancement in technology and the harsh economic climate have altered the curve of consumers’ behaviour, thereby impacting the influence of celebrities as brand ambassadors, JANE CHIJIOKE writes

     

    It has been an age-long practice to use faces of celebrities to promote a brand. This is because of the influence and glamour believed to be associated with this category of people. The thinking, and usually so, is that famous faces attract consumers to the brand.

    Celebrity endorsement is simply a marketing communication channel through which a celebrity becomes the spokesman by using his or her personality, popularity, status in the society or expertise in his field to promote a brand.

    Factors like values, appeals, large followership on social media platforms, popularity, and ethics are critical considerations for brands while choosing an ambassador. The ultimate aim is to appeal to the targeted audience.

    Such strategy, to a large extent, has kept the brand it represents in good perception of the consumer. And immediately, they are attracted or motivated to buy. For instance, a popular toilet soap from the stable of a multinational, UNILEVER, in its advertisement that adorned the screens in the early 1980s, used the face of a Nigerian beauty queen to advertise. The soap became an instant hit and recorded good success. The beauty queen became the face of the soap and vice versa.

    Indeed, several practitioners in the world of advertising have acknowledged the use of celebrities as a technique for enhancing trade. Advertisers and managers spend huge budget on celebrities to enhance their products in the market and especially to keep it ahead of competition because owing to the influence they command in their society, some consumers would love to patronise goods and services endorsed by their favourite celebrity.

    In the Nigerian space, these celebrities are usually chosen from musicians, Nollywood stars, comedians or a public figure, because they are perceived as potential marketing tool to reach a targeted audience.

    Experts are convinced that with the attention they command, celebrity endorsement can be a way of enhancing credibility, gaining visibility for brands and expanding market access.

    Read Also: 2019: Tiwa Salvage Celebrates First Endorsement Deal in Style

     

    For instance Holliandia Evap Milk recently chose a Nollywood actress, Mercy Johnson-Okojie as new brand ambassador. In considering her for the position, the brand owners submitted that “she is an accomplished actress, wife and mother which perfectly embodies the milk brand’s  all-rounder proposition.”

    “Through her versatility, the actress would bring her lifestyle choices and influence to bear to fully relate the nutritious benefits of the milk to every member of the family,” the brand owners said in a statement.

    Chi Limited’s Managing Director, Mr. Deepanjan Roy, agreed that Johnson-Okojie’s truly embodies the ideal qualities that the brand wants to be associated with.

    “We chose Mercy Johnson-Okojie to be the face of the Hollandia Evap Milk brand as we believe she will inspire a much larger audience to understand and adopt Hollandia Evap Milk for its quality nutritional benefits, convenience and value for money. We are thrilled to have her as our Hollandia Evap Milk Brand Ambassador,” he said.

     

    What influence?

    In recent years, the market has seen a tremendous shift in consumers’ behaviour. It has become more complex and the reason can be attributed to technological advancement.  Unlike in the past, consumers are now well informed, have access to information and even dictate the tone in which products  place more emphasis on satisfying the consumers needs in order  to remain relevant in the market.

    Consumers now have higher expectations from brands and with various platforms including social media, thus making it easier for consumers to lodge  complaints against any brands perceived to fall short of its  expected value.

    With these high expectations from brands to deliver value, can celebrity endorsement influence consumers to purchase a product?

    Some of the consumers The Nation spoke with said celebrity brand ambassadors do not motivate their buying habit let alone ignite their loyalty to a product.

    A consumer and housewife, Mrs Ijeoma Dimude said: “gone are those days I see celebrities advertising a product as big deal.  Then I used to think that if I used that product, I am also using the same thing a big star uses, mostly in the cosmetic products. Then it makes me feel like, I can actually have the same smooth skin projected in the advert. But with the exposure I have gotten, it’s just a fad to me”.

    Another consumer, Dickson  Aruwajaye, noted that such deployment of celebrities as brand ambassadors have become overused strategy that its value is decreasing.

    “In this time and age, how can I be influenced to buy a product just because of a celebrity?  I think this method has been overused might not be having the same effect as it used to in the past.  Some weeks ago, I saw a brand of phone being advertised by some popular musicians in the industry. I went to the market to check out.   I noticed that some of the phone’s features are not up to what I would like to have let alone being advertised by a popular musician. The hype is just too much,” he said.

    For others, it is just the fun of watching the funny adverts of most of the brands where they use celebrities to pass across their message in their commercials. While they enjoy the entertainment associated with this, yet, it has not lured them to opt for such products if it is of lower quality.

    For a supermarket operator in Ikeja, Jason  Chukwuemeka, the use of celebrity is not a determinant but the value he gets from a brand. He added that so long as a product or brand does not appeal to a consumer, it cannot be sold.

     

    “A good product sells itself.  It needs little or no celebrity endorsement. However, a good celebrity advert content that is well integrated with the target market characteristics and other marketing mix elements such as product design,  packaging, pricing and branding  can be effective on consumers.   Also brands need to understand that such venture is capital intensive and in some cases, do not achieve it’s intended objectives,” Chukwuemeka explained.

     

    Consumer sophistication

    A consumer analyst, Benjamin Adegoke, explained that today’s consumers are more influenced by their social network than a celebrity connection, stating they have become more informed and difficult to impress. Rather, they are only influenced by adverts that are relevant and provide information.

    A research conducted by Daha Tijjani, Acheampong  Owusu, Bakare Akeem Soladoye and K. Ramanatha published in the Asian  Journal of Scientific Research to determine the effectiveness of celebrities on the buying habit of consumers, mostly the youth showed that the expertise  of a celebrity does not influence the youth to purchase an endorsed product.

    The research also noted that the marketing strategy has little or  no impact on the targeted audience , an outcome that could be partly influenced by the numerous odd publicity associated with the brand’s chosen endorsers. It also noted the costly strategy which is highly embraced by telecommunication marketing managers and advertisers in Nigeria is not yielding meaningful result as expected.

    However, for some consumers, celebrities influence by celebrities  to purchase an item.  For Tayo, the status of a celebrity can authenticate  a brand as a celebrity who knows his worth would not want to associate with a brand that is substandard.

    Likewise for  Mrs Charity  Oni, the love she has for some of her selected celebrities can motivate her to purchase products  which they advertise.

     

    Double-edged sword

    The Group Chief Executive of MediaCraft Associates, John Ehiguese, said the marketing strategy is a double-edged sword.  He said it is essential for profiling and to pass strategic messages to a target audience especially when there is a coincidence between the followership the celebrity has and the target audience of a brand.

    “These  people (celebrities) have a lot of followership and can add value to a brand especially when you have a specific message you want to pass across. So the idea is to use them to reach their communities or followers especially on social media.  So they have some value. But the drawback is that should they suffer a reputational damage, it automatically affects the brand. So there is a collateral risk attached to this kind of arrangement,” Ehiguese explained.

    The Chief Executive Officer Eat’N’Go, the franchisee for Domino Pizza, Cold Stone Creamery and Pinkberry Frozen,  Yoghurt, Patrick Micheal, said though he does not use celebrity to promote his brand, but the use of brand ambassadors is still relevant in businesses. However, it is campaign and product dependent.  In relation to profitability, it depends on the brand sales’ projection in relation to the cost.