© Emmanuel Jaitto-Jeffrey, June 2015

Nigerians Consumers Media Habits & Lifestyle

2015

SEGMENT CLASS VARIABLE DESCRIPTION SIZE

UPPER UPPER

WEALTH  INHERITORS    

(‘A’  SEGMENT)  

UPPER MIDDLE

WEALTH  CREATORS  

(‘A’  SEGMENT)  

AB

“UPPER  CLASS”  

 FULFILLED  

 

ACTUALISERS  

 

RETIRED  PUBLIC  

OFFICIALS  

5%

LOWER UPPER

WEALTH  MANAGERS  &  POLITCIANS  

(‘B1’  SEGMENT)  

LIFESTYLE OVERVIEW MONTHLY INCOME

• Mature, Satisfied, Comfortable, Reflective

• Value Order, Knowledge and Responsibility

• Educated, Literate and well travelled

•  Top Professional , Ministers, Commissioners ,Directors in public service, Senior Management in large companies, Large business owners/Employers.

• Worldly, Interested in National Events & Keen to Broaden Socio-Political Influence

>US$32,000

•  Successful, Active, High Self-Esteem

•  Access to Abundant Resources with less sophistication

•  Keen to Develop, Grow, Express & Explore

•  Highly Principled and well educated

•  Fairly exposed/travelled

US$12,800

-

US$32,000

•  Successful, Career and Work- Orientated, Risk Averse

•  Value Consensus, Predictability, Stability, Self-Discovery

•  Deep Family Commitment

•  Sense of Duty, Require Material Rewards, Sense of Duty

US$9,600

-

US$16,000

HIGH  NET  WORTH  INDIVIDUALS  

(‘B2’  SEGMENT)  

Sources: Research & Media Services Nigeria

Income: Socio-Economic Classification Of Nigerian

C

UPPER MIDDLE

(C1)

PROFESSIONALS, BUSINESS MEN &

WOMEN

MIDDLE LOWER

(C2)

JUNIOR-MIDDLE LEVEL MANAGERS,

BUSINESS EXECUTIVES,

ARTISANS

“THE  MIDDLE  CLASS”  

ACHIEVERS  AND  

EXPERIENCERS  

24%

D LOWER CLASS

SKILLED OR SEMI-SKILLED WORKERS,

CLERICAL STAFF, ARTISANS

SOCIETALLY CONSCIOUS

STRIVERS 31%

E POOR/ SUBSISTENT

UNEMPLOYED

LIVE BELOW POVERTY LEVEL

SEGMENT CLASS VARIABLE DESCRIPTION SIZE LIFESTYLE OVERVIEW MONTHLY INCOME (US$)

•  Upwardly mobile professionals/forward looking career wise, high taste moderated by means

•  Deeply Committed to Work & Family

•  Work - Material Rewards and Prestige

•  Senior Managers of small/medium companies

US$2,500

-

US$6,500

•  EMULATORS, Moderate taste

•  Young & Mature, Enthusiastic, Impulsive

•  Seek Variety, Not Risk Averse, Offbeat

•  Politically Uncommitted, Ambivalent

US$650

-

US$1,300

•  THE BELIEVERS/BELONGERS

•  Conservative, Conventional, Concrete Beliefs Based on Traditional Established Codes (Family, Religion, Community, Nation)

•  Established Routines

•  Organised Around Home, Social, Religious, Family Structures and Organisations

•  Mixed grill educational attainment.

•  Little or no sophistication

US$190

-

US$510

•  Constructed Lives

•  Poor, unskilled, hardly well educated, Lack Social Bonds

•  Passive

•  Lack Self-Orientation

US$38

-

US$64

SURVIVORS & SUSTAINERS 40%

Sources: Research & Media Services Nigeria, 2010

Income: Socio-Economic Classification Of Nigerian

Media Consumption & Usage by Social Class The upper class are more in-tune with Western content and cable TV

-  TV to the ABC1 is DSTV, Startime or cable TV generally

-  TV is their primary entertainment medium,

closely followed by digital media, as internet connectivity is relatively affordable and connected to the homes on Wi-Fi basis

-  Newspaper & magazine are secondary medium

-  Listening and connecting with this group with

radio is low as against TV & digital media

Upper Class – ABC1

-  The Middle class sometimes own a cable TV but most times do not subscribe, as subscription rate are still very high in Nigeria

-  To this group, local TV channels appeal to them first, since access is free

-  The mix of TV & Radio serve as their priority media.

-  Digital is for contingencies and not readily available in the homes i.e. Wi-Fi as it is to the upper class, thus digital media consumption is very low

Middle Class – C2

-  TV is non-existence to this category, it’s a privilege to view it in a public place or by the road side at night where Nollywood DVD’s are sold

-  Radio is their primarily

means for information and entertainment.

Lower Class – DE

0-15 years (15%)

•  Receptive to ads & influence parents •  First choice is TV (& DVDs). Also high exposure to OOH.

•  Mobile becomes important from around 10+ for wealthier families

16 – 24 years (31%)

•  Digital (esp. Mobile) 1st choice, followed by TV & Radio – low usage of Newspapers (unless online).

•  The group most likely to use all the functions of their phone.

25 - 34 years (32%)

•  Trend setters – a core TG for many advertisers •  High usage of all media –TV, Radio, Print & Digital Highest group for Pay TV & Mags.

•  Mostly unemployed

35 - 49 years (15%)

•  Conservative attitudes but sociable. •  Strong on Radio, TV & Newspapers and the group most likely to attend religious meetings

•  Low tech – have a mobile, just for calls.

50 years & Above (7%)

•  Traditional. More influenced by WOM than advertising. •  Radio is first choice, followed by TV. The group most likely to read Newspapers.

•  Low tech – mobile is just for calls

(Source: AMPS 2014 + Consumer Insight)

Age & Lifestyle – 78% of Nigerians are under 35

Nigerians Consumer Lifestyle

Top 5 Consumer Trends in Nigeria

E-commerce growing at a fast pace

Increased use of mobile devices, the Internet and social media

Rising numbers of young affluent Nigerians demand upmarket goods

Changing lifestyle patterns for middle-class consumers

Demand for affordable mortgage & viable alternatives on the rise

This trend is based on the 3 major tribes that make up Nigeria

Consumer Segmentation in Nigeria by Age

Babies & infants: -  mothers increasingly turn to milk formula -  Parents adopting modern baby products

Kids: -  Back-to-school shopping

patterns are changing -  More parents are getting more skeptical about stay-in housemaid

Tweenagers: -  Tweens are spending more time watching TV

-  Increase use of mobile phones by tweens

Teenagers: -  They are adopting technology at an early age -  They are high users of social network sites

0 – 12 Months

1 – 3 years

4 – 12 years

12 – 18 years

Young Adults: -  Children of middle-&

high-income parents increasingly attending private universities

-  Uneducated female young adults are getting married & having children sooner

Middle Youths: -  Dismal job prospects are

affecting spending habits

-  Lounges are gaining in popularity among people in middle youth

18 – 24 years

25 - 34 years

Mid-lifers: -  Caring for children,

parents & other relatives affects personal finances

-  Mid-lifers consumption habits change with age

35 – 55 years

Late-lifers: -  ‘Active ageing/active

retirement’ is replacing traditional retirement

-  The health expenditure

of late-lifers is rising

Consumer Segmentation (cont.)

56 & Above

Housing & Households What is the trends in Nigeria housing?

-  Aspiring home owners resort to ‘stub housing’

-  Prospective home owners reconsider whether to build or acquire homes

-  High rate of unemployment keep children in their parents’ home longer

-  Gender roles limit couples’ disposable income

-  Reliance on boreholes for household water supply

-  Consumer are largely unfamiliar with ‘energy efficiency’

Eating, Drinking & Fashion Trends

Eating Habits: -  Change in dietary habits among

consumers on middle & high income

-  Noodles appeal to all consumer groups

Drinking Habits: -  The demand for alcohol is rising -  Consumers show an increasing

interest in healthier soft drink and herbal drink

Uti Nwachukwu (Big Brother winner)

Hair Grooming: -  The hair extensions industry is

booming -  More men are inspired by celebrities facial hairstyle

Female fashion: -  Lagos leads the demand for designer

goods, replicas and fashion -  More ladies are now going for local

fabrics and its creating a growth in local fabrics and fashion industry

Shopping, Recreation & Government

Shopping:

-  Increasing road traffic & convenience creates more opportunity for online shopping malls

-  More people visits the shopping malls for shopping, window shop or for movies than before

Commuting:

-  Bad roads, poor air safety records discourage Nigerians from travelling within the country

-  More vehicles owners use private vehicles for commercial purposes

-  The sale of bicycles is rising, following the ban on motorcycles.

Government & Politics:

-  More people are becoming more interested in politics than ever

-  More youths are gaining political seats and having political ambitions than ever

Money & Savings

Attitude Towards Payment Methods: - Cashless policy makes a slow start - mobile money fails to attract unbanked consumers Savings -  Formal & informal saving mechanisms for people on low

incomes -  Bank & Govt schemes encourage consumers to save Loans & Mortgages -  Consumers are unable to afford the interest rates on

mortgages -  Low-income earners fall into debt traps

Q & E: Emmanuel Jaitto-Jeffrey jaittoemmanuel@gmail.com +234 806 120 5359