Despite high inflation rates, median spending for consumers across the most frequent transaction categories fell in both West and East Africa. In our 2022 Urban Wallets report, median transaction amounts fell by 32% in Nigeria and 50% in Kenya compared to 2020 figures – indicating that consumer spending power has kept falling since the pandemic.
Now more than ever, your ability to empathize with customers and meet their needs will help you stand out from competing priorities.
Welcome to the first issue of Transaction Informatics Weekly in 2023, your source for quick, actionable, data-driven consumer insights.
In our African Generations report, which tracks how people feel about business across quarters, an average of 1 in 5 Nigerians felt depressed about their business prospects while in Kenya, 1 in 3 Kenyans felt depressed about business in 2022.
How might this inform your market playbook?
Consumer hopefulness can inform how you update company targets with market realities and the tenor of advertising campaigns. This also ensures we are never out of touch with the realities driving our consumers. Moreover, engaging with this sort of empathy buys measurable brand love and equity because it shows that you listen. It also gives you an outsized advantage at each stage of the consumer journey.
What to Test & Track:
- Consumer sentiment monthly or quarterly.
- Transaction frequency & amount per transaction – stable, growing, falling?
- Competitor response/awareness of these market realities.
Purchase the full Urban Wallets report series from our website to get the full scoop on Nigeria and Kenya. You can also book a consultation call for your market playbook which provides detailed research on how consumers interact with your product or service. You can also subscribe to our Transaction Informatics blog and follow us on Linkedin and Instagram.