The Nation Newspaper

Tag: shoppers’

  • How to attract shoppers to emerging brands

    Shopping malls are increasingly gaining attraction in major cities across the country. A forum organised in Lagos examines how small and medium enterprises (SMEs) can have a better bite of the pie, JANE CHIJOKE reports.

    Small and medium enterprise (SME) operators have been advised to focus on building a sustainable brand to gain market share, rather than competing on price to penetrate more market.

    Experts say competition based on pricing alone could have adverse effect on the sustainability of products.

    They spoke at a SME gathering organised by Marketing Lab.

    With: Marketing to the Mass Market-: How to Build a brand in a Price-conscious Economy as theme, the experts  explained that using pricing alone as a tool does not guarantee having a strong position for any brand. They said providing more value would not only appeal to consumers but also distinguish them in the market place.  They said such value added would drive competitive edge and enhance brand loyalty.

    They maintained that low pricing could attract the traffic intended but could also signal a wrong impression on consumers as it would be regarded as of low quality.

    The Convener, Mr Adeola Kayode, said  though price is relative based on the target market, stressing that ability to communicate beyond pricing is critical to driving brand loyalty and increasing credibility in the long term.

    “You need to justify why your product is a little bit expensive or why it is more affordable by ensuring that you are adding more value to the product. If you say you are cheap, is it enough to keep you in business for the next few years? You need to concentrate on positioning your brand which is the most critical factor. Pricing is an important factor in any business, however, there is a limit you can go with price.  Being cheap could drive much customers until your customers realise that a more cheaper product is now in the market. At that point, what becomes of your business?

    “Price only comes in the absence of value.  People are actually looking for value.  So if you are a new brand, can you mean something different to your target audience? What do you want to be known for?  There is a lot more competitors on price and volume, what are you doing uniquely from others. You need to begin to fill that space. If you are able to connect with them in a way that is more gainful, then you are likely to last longer,” he said.

    Corroborating him, Fred Akinmuyisitan of Noah’s Ark Communications advised  businesses to have clear understanding of their purpose to their target audience.  He explained that scaling up a business has been a major focus for SMEs, and while doing so, they give low attention to building a reputable brand.

    “One thing every SME is looking to actually scale is building their brands. You do not sacrifice brand building on the altar of cutting prices. There would be the temptation of wanting to be the most affordable but what reputation are you building for the brand in terms of quality and value. It is important for every business at all levels to know their what, how and why of the business. You cannot say because you are an SME, you just focus on price. Find why your business exists and also ensure that you can stay competitive,” he said.

    Mrs  Edidiong Uwemakpan of Resori Marketing Solutions  also advised SMEs to have better understanding about their consumers behaviour and market segmnetation so as to identify the gaps or white spaces that exist in such category and explore to their advantage.

    “It cannot be about price nor the volume, it is about putting a brand in a position in a way that the product remains the consumers’ choice no matter the number of products of that category in the market” she added.

  • Yuletide: LASCOPA warns shoppers on product information

    As the Yuletide draws near, the Lagos State Consumer Protection Agency (LASCOPA) has called on consumers to pay more detailed attention to commodities they buy, particularly the commodity information, especially consumable products, before making purchases. The General Manager of LASCOPA, Mrs. Kemi Olugbode, made this call at the weekend while answering questions from journalists.

    According to her, checking the products properly before buying, would help consumer determine the wholesomeness of the products and drastically reduce the purchases of harmful consumable goods. She said consumers should look out for product information like expiry date, best before and date of manufacture and even the packaging of products, if they are properly packaged or not.

    Olugbode said a team that went to FESTAC for enforcement, led by Deji Badejo, an Assistant Director in the agency, had earlier visited the supermarket and found some products on display for sale as reported by a consumer, and directed that the products be removed immediately as they were hazardous to human health.

    “They went back today for enforcement of the order if the supermarket has not complied but found that the products have been removed to the store though most of them had been sold, we ordered that the products be destroyed and that LASCOPA must be present during destruction. These are consumable products like tomato paste that were either expired or about to expire,” she said.

    Advising consumers, Olugbode said, “health is wealth, take your time to check products, what you consume is very important to your health. Don’t consume products hazardous to your health, check expiry date, best before date, date of manufacture etc. Make enquiries about what you want to buy. If you are not sure about a product, stay away, don’t be deceived,” she said.

     

  • Tips for last-minute school supply shoppers

    Making a list of requirements and sticking to a budget is the best way to curb expenditure when buying back- to-school supplies. Experts have, however, advised that parents set limits for what they can buy. TONIA ‘DIYAN writes

    AS  schools resume next week, some parents are afraid of the expenses that await them.

    Some students are already back to school, while others will start next week. But for those still tackling school lists and needs, this might not be the best time.

    With the new school year a week away, malls and other shopping centres are overflowing with parents and kids rushing to make all their purchases but prices are not friendly.

    With just one week to go, this weekend is a big one for back-to-school shoppers.Notebooks, bookbags and lunch boxes were some of the items that flew off the shelves at major shopping places visited by The Nation Shopping. Most parents were seen trying to rush out and complete those shopping lists in time for the big day. Students and parents are flocking to malls, markets and department stores to stock up on school supplies but, for many, it is a costly shopping trip as usual.

    As school children head back to school, they’re going to need supplies. For last-minute shoppers, maximising savings by creating a shopping list is the way out.

    It is important to start by looking and sorting through the things  that are available and taking note of the essentials needed. Budget making to avoid spending on unnecessary items should also be considered before checking for educational discounts.

    Parents say the list of required supplies grows yearly, and with many children, the Naira signs add up quickly. “From school uniforms to note books, of course backpacks, lunch-bags, there’s quite an extensive list,” says Mrs Badmus Omolola, a mother scouting for back to school supplies for her ward at The Arena market in Oshodi.

    Omolola says she tries to make a new budget each school session. She says it’s hard to go overboard, hardly spending N50, 000 on the basics.

    Mrs Okiria Stella, another shopper, said that she spent more than she planned. “There’s a tendency to spend more because things are getting more expensive,” she said.

    Miss Abigail Fagbemi is a student, who puts herself on a pretty low budget. She said: “When I go shopping, I go for the deals because I don’t like being played for over-prices,” she said.

    Back-to-school usually opens up opportunities for retailers to make brisk business and this year, more female shoppers are trooping to markets and stores to buy school items for their wards.

    Ordinarily, one would think sellers of back-to-school items should pace around their stalls and shops, particularly those who sell in the open traditional market, focusing on the road as if they are expecting an important visitor.

    Due to the large number of children returning to schools after a two-month holiday, some retailers claimed this is the peak sales period for them.

    In a chat with The Nation Shopping, Omolara Akanni, a trader in Katangua, said the school resumption has boosted her sales  as she smiles home regularly, making good returns from hawking pencils, ‘biros’, erasers and other school items in the market.

    However, in a world where many children are struggling with academic overloads and growing demands on their time, parents are expected to provide them with the materials to ease their learning.

    Parents are making the best use of this last week to shop for their children’s needs. This is the period parents’ flood shops dealing in school items to buy their children’s needs for the new session.

    Experts advise that for prudent management of available funds, parents should have a list of everything that their wards need and work through it. Sharing these needs into two sections, she explained, is a wise decision.

    “One part for those items to be purchased once in a session and the second part should be for items that will be replenished during the school year. The list will ensure that one does not overshoot one’s budget. It is also proper for school supplies to be bought before resumption and with the child’s consent. And like everything else, school items have fashion trend and children are often disappointed when latest designs are sold out before their parents get to the market or when their sizes are not found.”

     

     

  • Australian plastics ban takes effect amid rage by shoppers

    Australia’s biggest supermarket chains are scrambling to combat “bag rage” as frustrated shoppers vent their anger over the removal of single-use plastic bags. One man put his hands around a supermarket worker’s throat, the West Australian newspaper reported, while grocery stores are putting on more staff to help customers get used to the change.

    The removal of single-use plastics is part of a national push to reduce waste.

    As of July 1, major retailers in all but two Australian states will be fined if they supply single-use plastic bags.

    National supermarket chain Coles, owned by Wesfarmers , on Sunday, July 1, 2018 removed single-use plastic bags from its stores, shortly after rival Woolworths banned the bags on June 20.

    Consumer complaints forced Woolworths to backflip on charging customers 15 Australian cents (11 U.S. cents) for a reusable plastic bag, with the retailer now offering them free until July 8.

    “They just want a little extra help from us to get through the transition,” said Claire Peters, Woolworths managing director, in an emailed statement.

    After seeing the backlash at its rival, Coles said it would open every checkout lane to reduce queue lengths as staffers explain the changes to customers.

    “We are taking a proactive step,” a Coles spokesperson said in an emailed statement.

    The union that represents Australian shop assistants has launched a public awareness campaign on the issue.

    “While we understand that some customers may be frustrated by this change, there is absolutely no excuse for abusive or violent behaviour towards retail staff,” said Gerard Dwyer.

    Dwyer is the national secretary of the Shop, distributive and Allied Employees’ Association, in a statement on the union website.

    The union conducted a survey earlier this week and of 132 members who responded, 57 said they suffered abuse due to the plastic bag ban.

    More than eight million tonnes of plastic ends up in the world’s oceans each year, according to United Nations Environment Programme figures.

    The U.N. wants to eliminate single-use plastic by 2022 and says more than 60 countries have so far taken steps to ban or reduce plastic consumption.

  • Traders, shoppers storm Dubai Shopping Festival

    Traders, shoppers storm Dubai Shopping Festival

    Over the next one month, the 23rd edition of the Dubai shopping festival will deliver the best shopping offers, biggest prizes, as well as a once-in–a-life time experience across a jam-packed season. TONIA ‘DIYAN, who is in Dubai for the festival, writes that over N294.03 million or AED 3 million is up for grabs in mouth-watering deals across the Mall of the Emirates, City Centres Deira, Mirdif, Me’aisem & Al Shindagha and My City Centre Al Barsha.

    For over a decade, Dubai has evolved as the home of trading. The city of Dubai is the second largest and most influential emirate in the United Arab Emirate (UAE), after the capital, Abu Dhabi. Last year, an estimated 14.87 million visitors entered the city for different reasons ranging from tourism to shopping.

    Regarded as the fourth most visited city in the world after London, Paris and Bangkok, it is estimated that by 2020, Dubai will have an annual average of 20 million visitors. Several factors are responsible for the rising profile of this city- one of which is the shopping malls scattered across the city.

    This is what stares a first timer in the face, especially with the ongoing Dubai Shopping Festival (DSF) which began on December 26 and runs through January 28, 2018. In this period, shoppers will be treated to the best of shopping and products in the Emirates.

    For shoppers, some organisers have been lined up to offer a lifetime experience to visitors. One of these is the Majid Al Futtaim, said to be the leading shopping mall, communities, retail and leisure pioneer across the Middle East, Africa, and Asia. Ahead of the DSF, the mall, as part of its commitment to delivering unrivalled shopping experiences for families, will take visitors on a journey of its curated and interactive Dubai Shopping Festival experience held at Mall of the Emirates, City Centres Deira, Mirdif, Me’aisem, Al Shindagha and My City Centre Al Barsha, each of which is hosting world-class entertainment and compelling exclusive discounts, as well as bigger winning opportunities.

    Majid Al Futtaim, in partnership with Dubai Festival & Retail Establishment and in line with the Dubai Retail Calendar, will host an exclusive 12-hour sale at Mall of the Emirates and City Centres Deira, Mirdif, Me’aisem, Al Shindagha and My City Centre Al Barsha. From 12noon until midnight, participating retailers at each mall are offering attractive discounts of up to 90 percent on fashion, jewellery, homeware, electronics and more.

    “Majid Al Futtaim has been a strategic partner of Dubai Shopping Festival (DSF) for over two decades, and each year has delivered a dynamic programme of events and experiences. The annual festival is a platform for Majid Al Futtaim’s six shopping malls in Dubai to create innovative shopping experiences that exceed our customers’ expectations, while delivering our vision of creating great moments for everyone, every day,” said Fuad Mansoor Sharaf, Managing Director for Majid Al Futtaim Properties, Shopping Malls (UAE, Bahrain & Oman).

    “We look forward to another successful DSF at Mall of the Emirates, City Centres Deira, Mirdif, Me’aisem and Al Shindagha, and My City Centre Al Barsha as each mall welcomes residents and tourists to enjoy the carefully curated and interactive events, and compelling promotions starting with the exclusive 12-hour sale the first day.”

     

    Mall of the Emirates

    Mall of the Emirates has launched the #THATMOEFEELING campaign inspired by the incredible emotion every visitor feel when they shop at their favourite destination. One lucky winner would take home AED 10,000 everyday upon shopping  for AED 650 at any retailer in the mall. Additionally, shoppers will have the chance to win 10 per cent instant cashback in gift cards when shopping for AED 1,000, which is an added incentive with the introduction of VAT on 1 January 2018. That’s a total of more than AED 1 million worth of prizes over the entire Dubai Shopping Festival period.

    Regarded as the leading premium luxury and lifestyle destination in the region, the Mall of the Emirates is home to 630 international stores and more than 80 of the world’s most prestigious brands. Fashion lovers can shop for their dream closet from the vast choice of collections owned by leading high-street brands, multi-brand stores and designer boutiques including Prada, Hermès, Dolce & Gabbana, Céline, Harvey Nichols Dubai, Debenhams, AllSaints and lululemon athletica.

    To ease the shopping experience and for utmost convenience, visitors are allowed to use the mall’s popular complimentary Hands-Free Shopping service and their bags will be delivered to their home, hotel or car.

    Known for its out of this world entertainment, Mall of the Emirates promises to host breathtaking shows curated to give visitors the #THATMOEFEELING with details on mall’s social media pages.

     

    City Centre Deira and City Centre Mirdif

    Shoppers can enjoy 33 days of entertainment at City Centre Deira and City Centre Mirdif up till 27 January, and an amazing circus-themed stage show ‘Believe It or Not’, from 7 to 13 January at City Centre Deira and 14 to 20 January at City Centre Mirdif.

    At City Centre Deira roaming performers will be larking around entertaining the young and young at heart.

    At City Centre Mirdif, shoppers are sure to see the Electrika String Quartet between 4pm and 8.30pm Dubai time.

    Shoppers who shop for AED 250 at City Centre Deira and AED 300 at City Centre Mirdif will be able to enter a draw for a chance to win mall gift cards worth AED 30,000 every day including instant prizes worth AED 1 million .

     

    City Centre Me’aisem, City Centre Al Shindagha and My City Centre Al Barsha

    Majid Al Futtaim’s community malls, City Centre Me’aisem, City Centre Al Shindagha and My City Centre Al Barsha, have partnered with Dubai Shopping Malls Group (DSMG) to offer shoppers the chance to win cash prizes and gifts worth a total AED 1 million each week till the programme ends. Upon shopping for AED 200 at the malls, one person will walk away with AED 100,000 and another will win AED 50,000 while three lucky shoppers will take home AED 10,000, plus gifts worth AED 100,000 will be given away.

    City Centre Me’aisem will also host entertainment for families including the tight rope Slack Show artists.

  • Our memories of Black Friday, by shoppers

    Our memories of Black Friday, by shoppers

    TONIA ‘DIYAN  recalls the memories of Black Friday as shoppers made good bargains.

    Lack Friday is set aside for jaw-dropping discounts on most products in major retail outlets online and offline. It is an opportunity to pay less and get more. The level of discounts and products involved is determined by the retailer.

    Expectedly, the media blitz that heralded the Black Friday, which gained popularity from an American tradition in which retailers are urged to give for the sake of humanity, was monumental in Nigeria.

     

    Making of Black Friday

    The Black Friday festival sales  started in the United States.It is the Friday following Thanks Giving Day, after the fourth Thursday in November.

    Since 1932, maybe because of its proximity to Christmas, it has been regarded as the beginning of the Christmas shopping season and most major retailers open early to offer promo sales.

     

    Nigerians’ experience

    The Nigerian shopper has struck good bargain on purchases. Thankfully, it’s a time when most retail shops give out mouth-watering offers to attract buyers to their outlets. This trend is no longer news as it has come to stay in the country.

    Four years ago, the first-ever Black Friday sale happened when e-commerce was still in its infancy in Nigeria and the phenomenon has since gained popularity amongst the enlightened.

    According to a retail expert, Mr Afam Anyika, former Jumia Marketing Manager and former Yudala Marketing Communications Manager, “Black Friday Promo means different things to different people, but what cuts across is that an average Nigerian sees Black Friday as an opportunity to buy products at a much cheaper rate.

    It is an event for which they have waited an entire year. They therefore see it as an avenue of buying products which they struggle to afford on a normal shopping day. Some people embrace Black Friday to stock up edible goods in their houses as well.”

     

    Justification for Black Friday

    During Black Friday, businesses are to reward shoppers who are loyal to their brands. Feedback is positive and the level of engagement continues to be on the increase. The last four years of Black Friday in this part of the world, has facilitated the adoption of e-commerce processes and encouraged the expansion of trade systems for indigenous businesses.

    This year’s event saw major retail outlets testify to massive sales made because of the huge turnout at their various outlets. They expressed appreciation to Nigerians for coming out en mass to buy discounted items.

    Major retail outlet owners have said after the huge success of the Black Friday this year, that they  are optimistic the proposition has become much stronger than ever,  and it’s going to become much bigger in the coming years.

    Spokesperson for Spar, Hypermarket Mr. John Goldsmith, said Spar extended the  Black Friday sale for another three days until November 30, by adding new products to the shelves and making existing offers better.

    At Spar, shoppers turned out from all walks of life and income groups. Management of the retail store told The Nation Shopping that they witnessed more than double the number of people who visit their stores daily.

    According to them, all Spar outlets witnessed unprecedented response from shoppers. Spar in smaller cities, such as Calabar and Enugu witnessed phenomenal growth over last year’s. Enugu being a new city where SPAR opened a store last August had huge crowd responding to Black Friday.

    In terms of the number of shoppers and sales, the SPAR management said their outlets in Enugu and Calabar gave stiff competition to other stores in the major cities of Lagos, Abuja and Port Harcourt. Black Friday, they said, is no more a big city phenomenon, as it has spread beyond and has penetrated small cities and towns.

    To make this year’s Black  Friday  successful, retail outlets created massive awareness of the promo, covering both traditional and digital outlets.

    The campaign was all over the place  – radio, billboards, lampposts, newspaper ads, social media, online display and banners. Retailers call it a 360-degree communication media mix.

    Spar offered over 5,000 products discounted at 70 per cent. The products spread across a wide range of categories namely: electronics, home appliances, laptops, mobile phones, perfumes, watches, clothing, furniture, food & grocery, day-to-day household items, wine, spirits and beer.

    Like Spar, retail giant Shoprite also offered discount of almost 50 percent in some house hold appliances, including beverages, groceries and other products. Opening hours at the store was extended from 7am-10pm to give opportunity to every person partaking in the Black Friday sales.

    For retailers, particularly those who are online, the concept of Black Friday has opened up a whole new avenue for marketing in Nigeria. In the last four years, they say they have recorded tremendous traffic on Black Friday. They said more Nigerians are getting aware of the significant shopping event, and the expectations of shoppers are heightened with many waiting till Black Friday to make strategic purchases.

    According to an online merchant, Osamede Evbakhavboku, Managing Director, Gidimall, who has imported all the western method of shopping in the last four years, “Black Friday boosts the country’s economy by connecting more customers to great businesses. They say it helps consumers get more value for their money and actually save towards enjoying a product they may not have tried otherwise.”

    Evbakhavboku said his colleagues as well as himself witnessed slight increase at the beginning of the Black Friday week, adding that it is because people are searching for great prices on the internet. He also noted that with the success of e-commerce and tech businesses in the country, Nigerians are more comfortable shopping online and more open to enjoying the benefits of the Black Friday trend.

    Some shoppers who spoke to The Nation Shopping shared their experiences in trying to purchase items at cheap rates on Black Friday.

    A Lagos journalist said she was able to buy some discounted items at favourable prices.

    “I got to Ikeja City Mall around 4.30pm on Black Friday and the first thing that caught my attention was the number of people wheeling trolleys of drinks and cooking oil into the expansive car park. There were so many trolleys heaped mostly with cartons of malt drinks, power oil, Laziz Oil and Indomie noodles.

    ‘’I also noticed packs of origin drinks, water and other soft drink brands.

    ‘’It was clear that Shoprite was where the Black Friday deals were hottest.  Many other shops were too quiet in comparison.

    ‘’At Shoprite I met a crowded shop.  There were no trolleys or baskets available in their usual place on the left by the entrance.  I only saw queues of mountain high trolleys in all directions.  There were even trolley queues to get out of the shop with paid goods.

    ‘’There was no queue that day – obviously no time for that – instead, there were many shoppers hanging outside the two back stores behind the aisles.  They were waiting for shoprite workers to bring out more goods with deals.

    ‘’I counted myself lucky to get a bag of eight 900g Omo packs, which sold for N479.99 per pack compared to the wholesale price of N675 in the market. I also bought the Power Oil three-litre bottle for N1,800.  I could not buy Dano milk, which sold for N600 for 400g sachet as against N1000.

    ‘’I learnt that Dettol 500ml bottle sold at N999.99 (former price was N1,800) with a free bar of soap attached to it; Laziz Oil sold for N3,000; Malt for N2,000 and a pack of soft drink N850.

    ‘’I managed to pay for my goods on time by offering to share my bag of Omo with a woman who was close to the till.  Luckily, I did not have to split the detergent because I found more for her to buy,” she said.

    Another shopper Fuad Adelaja also went home with a cheap item.  ”When I heard of Black Friday, I was delighted that I wouldn’t miss it like I did last year. I had saved the date on my phone diary to enable me stay in touch. But I refused to fall victim to tricks online. I, therefore, headed to Spar at Ilupeju where I bought a musical set at a cheap rate of N25,000. Originally, this goes for N60,000. I will say I am fulfilled.”

    Unlike the journalist and Adelaja,  there were some disappointed shoppers who visited shops with unfriendly offers. One of such disappointed buyers was Kadiri Lawale, who had listed several items, especially electronics, he wanted to buy in the price slash bonanza.

    “My sister, I couldn’t even buy one product. I had been dreaming of buying a television set, but when I saw the price, I merely went back to sleep, it was a rip-off,” he said refusing to mention the name of shop.

    Anothe shopper, Patience Vincent, said she was disappointed that none of the online shops slashed their products’ prices by 70 percent like they promise to.” It was as if they were telling us, ‘take what we have or nothing.”

    He said he bought a few things not because their prices were slashed, but because he needed them.”When I saw that none of the four online shops I visited in the early hours of Friday abided with the  percent slash they had offered, I finally decided to patronise one of them, just because I had decided to buy some things, irrespective of the poor price slash they had offered,” he said.

    Kemisola Shobanjo also narrated her ordeal while trying to make cheap purchases on Black Friday. Her words: “My experience on Black Friday was not palatable. I found that the percent discount the stores promised was not real. They all did not give out more than 50 percent on items displayed. When I thought I was lucky to find an item with 50 percent, shortly after I clicked on it, I was told it was  out of stock. I think the whole Black Friday idea was not real; it is a way of ripping off Nigerians. Also, I think it is just a way of luring people to their website to convince them to buy.”

    She added that ‘’what is being practised here is not Black Friday as it is done in the western world. In the UK, for instance, on Black Fridays, people are sure to buy items at very cheap rates, at the percentage advertised. In Nigeria, the reverse is the case. So, why deceive poor Nigerians who are managing to make ends meet because of our very poor economy.”

  • More online shoppers follow brands on facebook

    More online shoppers follow brands on facebook

    An April 2017 survey by Campaigner, an email marketing platform, explored consumer interactions with brands. More than half of US digital buyers said they followed a brand on Facebook, which was significantly higher compared with any other social platform. It was even more common among millennials: Fully 65% of this cohort said they followed a brand on Facebook.

    But social networks are not necessarily the top choice for interacting with brands. As a whole, only a quarter (24%) of digital buyers in the survey said they preferred “to interact with their favorite brands” via social media. Instead, in-store and in-person communication was the most commonly cited channel (65%), followed by company websites (58%) and email (44%). Respondents could site multiple choices.

    Millennials were more likely to say they preferred to interact with brands via social. Almost half (47%) of this cohort cited social networks, compared with just 11% of baby boomers.

    A separate study by Sprout Social found a fairly strong—but not overwhelming—correlation between following a brand on a social platform and purchasing a product from that brand.

    Two-thirds of US Gen X internet users in the survey said they were likely to purchase a product from a brand they follow on social media. Millennials were the second most likely group to purchase from a brand they follow, at 60%, followed by boomers with 51%.

    The study also found that older followers (Gen Xers and boomers) tended to be looking for deals, whereas millennials preferred to be entertained.

  • Shoppers embrace quality over low prices

    Shoppers embrace quality over low prices

    Shoppers now consider good quality and innovations over low price. They no longer compromise comfort for cheap items, writes TONIA ‘DIYAN

    In the past, the average shopper would go for products with low prices, but these days, good quality and innovations have become people’s main considerations.  This trend, it appears, is attributable to convincing sales/promotions, well-stocked shelves and high-quality fresh products available. Therefore, to boost sales, as well as encourage shoppers, some retail shops launch attractive sales promos frequently.

    Such promos, it was learnt, have worked for many shops over the years. According to retail experts: “Promotional offers are aimed at attracting more customers and enhancing sales. There are misconceptions that when discounts are offered by shops, such shops stock inferior products, that is why they sell at cheap rates just to do away with the so-called inferior products. It is not true.”

    While factors relating to good quality, innovations and low prices are important determinants of where to shop and what to buy, retailers and manufacturers who offer good value, either through sales and promotions or via larger-economy packaging, stand to gain the most from hard-income-earning consumers in a tough economy such as Nigeria. That is why discount offers from some shops mean a lot to an average shopper.

    Mr Todd Hale of Consumer & Shopper Insights, in a television interview, said: “For the economically challenged, low prices are a must, but convenience may trump low prices for some from discount retailers.

    “For some shoppers, the value obtained from one-stop shopping can save them time and money. Therefore, manufacturers and retailers need to place a greater focus on shoppers’ benefits to achieve the differences that go beyond prices.”

    Though price is a differentiator in any economy, store brand products, he said, must deliver a level of quality proportionate to their price points.

    “Quality, at an affordable price, is what gets consumers to buy and repeat. If quality and value are lacking, then consumers will buy fewer store brands,” Hale  said.

    People no longer fancy cheap products; they prefer to buy products based on  quality and the benefits such products have to offer. In the market today, there seems to be more new products than the old ones, especially for consumables such as canned foods which also come in sachet leaving the shopper with choices to make.

    When The Nation Shopping went round malls in Ikeja and Surulere, a large number of shoppers indicated their preference for quality and innovation over low price. Some others said they prefer innovation at low prices, and only a few of them said they prefer very low price not minding the value of the product.

    Majority believe quality is not to be compromised; therefore while manufacturers are producing slightly low quality products, they should not forget to keep prices low as it is the least favoured option among consumers because raising prices is a strategy that consumers do not embrace. Consumers typically maintain reference prices for products based on prices they have seen or paid in the past.

    A shopper, Mr Henry Nwanchukwu, said he prefers quality over low price.

    “Low pricing could be deceptive; I am usually not deceived when I want to purchase an item. I make up my mind to go for quality so I can be sure of getting value for my money.”

    Another shopper, Mr Okhiria Caleb, is of the view that good quality and innovation is better than low price if a person wants the best. “The life span of a quality product is longer than that of a cheap inferior product. You will only be buying what you need at once instead of buying the same thing twice because it is cheap,” he said.

    Some people think the new products are either not trusted or they simply do not allow for patronage of the existing ones. May be because some people who will prefer to buy the new ones will want to explore them.

    According to Mrs Kemi Badmus, a shop owner at Adeniran Ogunsanya Shopping Mall in Surulere, Lagos, bringing innovation into the market sometimes does not allow the sale of old products. “But if the new product is of a higher price than the already existing ones, then I am sure of selling my existing products. Therefore, innovations should be accompanied by low price, as it is generally known that low price is the driver of any shopper,” she said

    Mrs Nsofor Chinwe prefers existing products. To her, existing products are better trusted.

    She said: “I have come to trust existing products over the years. I can only be lured to buy newly introduced products if I can get a testimony from someone else about that product. Most times when I go shopping, I don’t check out new products, I simply pick the old names that I am used to.”

    Some shoppers are of the view that new products should be discounted rather than sold at exorbitant prices so that people can be attracted to them.

    A shopper, Mr. Stanley Omokaro, said discount offers should be attached to innovations so that shoppers can easily accept them when they are newly introduced into the market. “ It is only common with shoppers to want to buy new products at cheap rates. Some people would refuse to pay more or same amount as for an existing product for a newly introduced product,” Omokaro said.

    Mr  Odundayo  Agboola is an economist. He prefers innovation to low price stating that the country’s poor economic condition is a major challenge to innovations. “My question is, will these innovations stay? Is our economy encouraging such? Modernism has been brought into production and now we get newly introduced good items. I believe that the newer a product, the better it is. Sometimes I get tired of the old product because some of them have reduced in quality. Therefore, I look forward to new products from time to time,” he said.

  • Three policemen held for extorting money from shoppers

    Three policemen attached to Ipakodo Division in Ikorodu have been arrested for extorting money from shoppers at Computer Village, Ikeja.

    The suspects, among them two sergeants Kennedy, it was learnt, go to Computer Village in plainclothe daily to harass people with their guns.

    But luck ran out on them on July 17, after they arrested Kwam Adesina and Innocent Igwe who came to buy a phone.

    The policemen were said to have bundled the boys into a Toyota car and collected all their money.

    According to the boys, when they asked what their offence was, the policemen claimed that they were criminals.

    The policemen allegedly took N25,000 and N40,000 cash from Adesina and Igwe; collected their Automated Teller Machine (ATM) cards and went to an ATM portal where they withdrew another N40,000 from Igwe’s account.

    Kwam told The Nation that he was hit with gun butt for demanding that they should tell him his offence.

    He said: “They said they were going to kill me. That I do not have the right to ask any question. My friend and I went to Computer Village around 11am. Suddenly, some plaincloth policemen accosted us.

    “They were carrying guns and they said they were policemen. They didn’t ask us anything. They just bundled us into the car. I was surprised and I asked them why they were doing that and what our offence was.

    “They started beating me. They used stick and gun to hit me. They handcuffed us. They were just driving us round like criminals. They started searching us and when they found nothing, they said we should settle them or they will take us to their station as criminals.

    “Then they collected the N25,000 I had on me and took my friend’s N40,000. They collected our ATM cards and asked us to give them our pin. They now drove to a bank at Oba Akran and collected N40,000 from my friend’s account. After taking the money, they drove us to Diamond Estate in Magodo.

    “I copied their vehicle’s registration number and told my uncle what happened. My uncle then called the Rapid Response Squad (RRS) Commander but when they checked the registration number, it was discovered that it was for a Mercedes Benz C Class, which means they just placed it on the car they used.

    “So, after the complaint, RRS operatives went there the next day but we didn’t see them. They went the following day and parked around the underbridge in Ikeja. We saw them and pointed them out to the RRS men. Fortunately, the RRS men picked them up right at the moment they had arrested another young boy and collected N30,000 from him. He was going to buy drugs for a sick relative but they collected the money.

    “They were taken to RRS office and from there, we all went before the Commissioner of Police (Fatai Owoseni), who transferred the matter to Ogudu Division.

    “It was at the station that I knew they were Federal Special Anti-Robbery Squad (FSARS) operatives from Ipakodo Division, Ikorodu. They were detained at Ogudu station and since then, they have been sending people to beg us so that we can drop the case. They said they will be dismissed if we do not drop the case.

    “On Friday, my mother and I were asked to come to the station. Another policeman handed over the money they took from us back. But my uncle said we have to record it otherwise, they will deny it. So, we went back to the station to record it in our statement. The policemen were four but one of them escaped.

    “I heard they are denying they never collected any money from us. But yet, thy have sent someone to pay back the money.”

    At Ipakodo, a source told our correspondent that the commissioner has ordered an investigation of the matter, adding that the policemen might face dismissal after orderly room trial.

    “The CP was not happy about the incident. He has warned several times against such misconduct but some policemen do not want to obey instructions.

    “Those sergeants are done for. Begging the family to drop the case would not help them because the CP might direct that the complainants be arrested for giving false information. They are still in detention,” sad the source.

  • No thumbs up for Buhari, say shoppers

    No thumbs up for Buhari, say shoppers

    Though President Muhammadu Buhari’s programmes are gradually taking the economy out of the woods, TONIA DIYAN writes that shoppers, faced with inflation and naira fluctuation, among other factors, are passing through hard times.

    Since this administration came on board, buying and selling has reduced drastically as a result of the FX rate and inflation, which has gone high from about nine per cent in 2015 to an all-time high of 17.24 per cent.

    The retail industry represents a major component of the industrial market. There are about 24 shopping malls spread across the country. But the malls have a major problem: high rents.

    Many people who go to the malls do so for window shopping. Reason: They cannot afford the prices of the products that are sold at the retail stores that occupy the malls.

    The retail industry is affected by  some of the policies of the administration. Some of the tenants have closed shops because of the high cost of doing business – no thanks to the undulating naira. The multinational corporations which source their wares abroad cannot afford it any more due to forex scarcity.

    The developers of retail malls, for example, have had to deal with low occupancy, high vacancy rate, difficulty in meeting loan repayments, harassment from banks and upward review of interest rate of up to 30 per cent.

    Despite these difficulties, Ini Archibong, a Public Relations Officer, Chastest Consult in Shoprite, praised the Federal Government for promoting the patronage of locally manufactured goods. He believes the economic re-engineering programmes of the government would soon show fruitful results.

    He said: “It wouldn’t be out of place to commend the government on its effort to promote made-in-Nigeria goods, which is a step in the right direction. With time, it will tell on the economy.’’

    Nigerians in e-commerce business are smiling to the banks as more Nigerians do their shopping via their mobile phones or the computer.

    According to the Nigerian Communications Commission (NCC), Nigeria is the largest mobile market in Africa and the 10th largest in the world.

    The digital space has afforded consumers the opportunity to compare prices of goods at various outlets before buying. This has also affected the retail industry as the price war and availability of goods have taken a new dimension.

    Apapa Mall is worst hit by this development. The roads in and out of Apapa are in a bad shape. Residents have virtually vacated the area, due to the traffic gridlock and poor condition of ports access roads.

    High cost of goods and services, low purchasing power and disposable income have taken toll on  retail business. High cost of running the malls due to the high cost diesel and electricity is also major challenge. Between April and July 2015, many housewives adopted various survival strategies to cope with escalating prices of tomatoes and pepper as well as other staple foods—no thanks to naira devaluation and other factors.

    In September, during the Sallah ram price increased by almost 75 per cent. A ram was sold for N120, 000.

    In October, distributors of electronics took the lead in flexible payment options to satisfy the customer’s urge for their dream product because cash to pay for the item was not readily available.

    Also in October, Nigeria’s retail sector grew, attracting not only foreign brands, but also online shopping.

    Back-to-school shopping got bigger in September same year as more people trooped to both the virtual and physical stores to buy school items for their wards to resume a new school session.

    After the festivities, in January, last year, food supplies picked up. Black Friday sales boomed as online stores gave mouth-watering discounts to customers to make the day memorable.

    In July, online stores introduced ‘buy now, pay later’ scheme to enable people have access to their needs as the economic downturn bit harder. The scheme was an interest-free financing scheme.

    Last June, food prices hit the roofs due to the 69 per cent hike in fuel price, galloping inflation, continued weakening of purchasing power, among other challenges.

    Nigerians have since faced a daunting task of feeding as prices of food items went beyond reach.

    About this time last year, online searches rose by 43 per cent as more business went online. The economic realities forced many businesses to fold up because of increasing operational costs.

    Again, in February, consumers groaned under rising food prices as staple food items increased by 60 per cent triggered by prevailing economic realities, particularly crashing oil prices and weakening value of the naira, leaving a sour taste in consumers’ mouths.