It is estimated that South Africa generates 300 000 tonnes of e-waste a year – making it the second highest in Africa. This mobile phone recycling today take your electronics to a recycling depot instead of dumping them.
Did you receive a new smartphone, tablet or television for Christmas? Are your children enjoying new electronic toys? This International Mobile Phone Recycling Day, South Africans must consider recycling the goods these gifts have replaced, or donating them for refurbishment.
The Global E-Waste Monitor 2017, released by a specialised agency of the United Nations, estimates that 44.7 million metric tonnes of e-waste were generated in 2016. Of that amount, only about 20% was recycled.
Each year, South Africa generates about 300,000 tonnes of electronic waste – about 5,7kgs per citizen. In Africa, we’re the second-highest generator of e-waste.
“Mobile devices are among the most disposable of electronic goods, contributing significantly to the shocking amounts of e-waste generated every year,” explains Alicja Radwanska, Chief Marketing Officer at weFix. “Consider that South Africa is one of the most connected countries on the continent. As devices locally get more affordable, we can upgrade and replace smartphones and tablets more frequently which is fantastic for individuals – but there is a resulting risk to the environment.”
The Jane Goodall Institute’s International Mobile Phone Recycling Day campaign was started to protect chimpanzees and safeguard their habitats, threatened by extraction of minerals used to manufacture electronic devices. Control over mining these minerals has created conflict among human communities, and perpetuated unsustainable livelihoods for the people in areas like the Congo Basin.
Pauline Stuart from South Africa’s Jane Goodall Institute says: “As consumers, we can make a big difference by recycling our phones and reducing the demand for these minerals. Doing so removes these electronics from the waste stream, and reduces the demand for extraction of resources from the habitats that many species – especially chimpanzees, other great apes, and human beings – call home.
“Extraction of these natural resources involves destroying the forests that chimpanzees call home. Tracts of forest are cleared to make way for new roads leading to mining sites which then open the previously inaccessible forest to loggers and poachers. Control over the mining of these minerals has fuelled conflict among human communities and perpetuated unsustainable livelihoods for people who migrate to forests in search of safety from the conflict, which also results in the hunting of local wildlife for food, including chimpanzees for bushmeat (food) and pet trades.”
Radwanska says that South Africans are increasingly calling for refurbished or reconditioned items products that exist within a new ‘circular economy’ that rejects the ‘take, make and dispose’ industrial model. In the last few years, local companies such as Vodacom, DSTV, and weFix are offering refurb or repair products that are affordable and environmentally conscientious.
weFix believes that there is great value giving a ‘second life’ to mobile devices that are pre-owned, damaged during shipment, demo units that are shop-soiled, or new devices that have a fault upon opening.
“Acknowledging that our business is part of a wider industry that generates e-waste, weFix has partnered with the Jane Goodall Institute to educate South Africans about device recycling, and to make it really easy for citizens to dispose of their devices responsibly,” says Radwanska.
From today, weFix will place recycle bins in its 35 stores around the country, part of an ongoing initiative to promote recycling and refurbishment of mobile and other electronic devices.
“Consumers are invited to drop off any old devices instore. For every 20 devices we recycle, we will also adopt a chimpanzee for a year, with the aim of sponsoring all 33 chimps at Chimp Eden in Mpumalanga.”
“Recycling devices, donating them for refurbishment and purchasing refurbished, rather than new, devices, are all important, impactful ways that citizens can ensure our love of electronic devices doesn’t risk the environment and human health,” says Radwanska.D
VoD cuts the cord in SA
Some 20% of South Africans who sign up for a subscription video on demand (SVOD) service such as Netflix or Showmax do so with the intention of cancelling their pay television subscription.
That’s according to GfK’s international ViewScape survey*, which this year covers Africa (South Africa, Kenya and Nigeria) for the first time.
The study—which surveyed 1,250 people representative of urban South African adults with Internet access—shows that 90% of the country’s online adults today use at least one online video service and that just over half are paying to view digital online content. The average user spends around 7 hours and two minutes a day consuming video content, with broadcast television accounting for just 42% of the time South Africans spend in front of a screen.
Consumers in South Africa spend nearly as much of their daily viewing time – 39% of the total – watching free digital video sources such as YouTube and Facebook as they do on linear television. People aged 18 to 24 years spend more than eight hours a day watching video content as they tend to spend more time with free digital video than people above their age.
Says Benjamin Ballensiefen, managing director for Sub Sahara Africa at GfK: “The media industry is experiencing a revolution as digital platforms transform viewers’ video consumption behaviour. The GfK ViewScape study is one of the first to not only examine broadcast television consumption in Kenya, Nigeria and South Africa, but also to quantify how linear and online forms of content distribution fit together in the dynamic world of video consumption.”
The study finds that just over a third of South African adults are using streaming video on demand (SVOD) services, with only 16% of SVOD users subscribing to multiple services. Around 23% use per-pay-view platforms such as DSTV Box Office, while about 10% download pirated content from the Internet. Around 82% still sometimes watch content on disc-based media.
“Linear and non-linear television both play significant roles in South Africa’s video landscape, though disruption from digital players poses a growing threat to the incumbents,” says Molemo Moahloli, general manager for media research & regional business development at GfK Sub Sahara Africa. “Among most demographics, usage of paid online content is incremental to consumption of linear television, but there are signs that younger consumers are beginning to substitute SVOD for pay-television subscriptions.”
New data rules raise business trust challenges
When the General Data Protection Regulation comes into effect on May 25th, financial services firms will face a new potential threat to their on-going challenges with building strong customer relationships, writes DARREL ORSMOND, Financial Services Industry Head at SAP Africa.
The regulation – dubbed GDPR for short – is aimed at giving European citizens control back over their personal data. Any firm that creates, stores, manages or transfers personal information of an EU citizen can be held liable under the new regulation. Non-compliance is not an option: the fines are steep, with a maximum penalty of €20-million – or nearly R300-million – for transgressors.
GDPR marks a step toward improved individual rights over large corporates and states that prevents the latter from using and abusing personal information at their discretion. Considering the prevailing trust deficit – one global EY survey found that 60% of global consumers worry about hacking of bank accounts or bank cards, and 58% worry about the amount of personal and private data organisations have about them – the new regulation comes at an opportune time. But it is almost certain to cause disruption to normal business practices when implemented, and therein lies both a threat and an opportunity.
The fundamentals of trust
GDPR is set to tamper with two fundamental factors that can have a detrimental effect on the implicit trust between financial services providers and their customers: firstly, customers will suddenly be challenged to validate that what they thought companies were already doing – storing and managing their personal data in a manner that is respectful of their privacy – is actually happening. Secondly, the outbreak of stories relating to companies mistreating customer data or exposing customers due to security breaches will increase the chances that customers now seek tangible reassurance from their providers that their data is stored correctly.
The recent news of Facebook’s indiscriminate sharing of 50 million of its members’ personal data to an outside firm has not only led to public outcry but could cost the company $2-trillion in fines should the Federal Trade Commission choose to pursue the matter to its fullest extent. The matter of trust also extends beyond personal data: in EY’s 2016 Global Consumer Banking Survey, less than a third of respondents had complete trust that their banks were being transparent about fees and charges.
This is forcing companies to reconsider their role in building and maintaining trust with its customers. In any customer relationship, much is done based on implicit trust. A personal banking customer will enjoy a measure of familiarity that often provides them with some latitude – for example when applying for access to a new service or an overdraft facility – that can save them a lot of time and energy. Under GDPR and South Africa’s POPI act, this process is drastically complicated: banks may now be obliged to obtain permission to share customer data between different business units (for example because they are part of different legal entities and have not expressly received permission). A customer may now allow banks to use their personal data in risk scoring models, but prevent them from determining whether they qualify for private banking services.
What used to happen naturally within standard banking processes may be suddenly constrained by regulation, directly affecting the bank’s relationship with its customers, as well as its ability to upsell to existing customers.
The risk of compliance
Are we moving to an overly bureaucratic world where even the simplest action is subject to a string of onerous processes? Compliance officers are already embedded within every function in a typical financial services institution, as well as at management level. Often the reporting of risk processes sits outside formal line functions and end up going straight to the board. This can have a stifling effect on innovation, with potentially negative consequences for customer service.
A typical banking environment is already creaking under the weight of close to 100 acts, which makes it difficult to take the calculated risks needed to develop and launch innovative new banking products. Entire new industries could now emerge, focusing purely on the matter of compliance and associated litigation. GDPR already requires the services of Data Protection Officers, but the growing complexity of regulatory compliance could add a swathe of new job functions and disciplines. None of this points to the type of innovation that the modern titans of business are renowned for.
A three-step plan of action
So how must banks and other financial services firms respond? I would argue there are three main elements to successfully navigating the immediate impact of the new regulations:
Firstly, ensuring that the technologies you use to secure, manage and store personal data is sufficiently robust. Modern financial services providers have a wealth of customer data at their disposal, including unstructured data from non-traditional sources such as social media. The tools they use to process and safeguard this data needs to be able to withstand the threats posed by potential data breaches and malicious attacks.
Secondly, rethinking the core organisational processes governing their interactions with customers. This includes the internal measures for setting terms and conditions, how customers are informed of their intention to use their data, and how risk is assessed. A customer applying for medical insurance will disclose deeply personal information about themselves to the insurance provider: it is imperative the insurer provides reassurance that the customer’s data will be treated respectfully and with discretion and with their express permission.
Thirdly, financial services firms need to define a core set of principles for how they treat customers and what constitutes fair treatment. This should be an extension of a broader organisational focus on treating customers fairly, and can go some way to repairing the trust deficit between the financial services industry and the customers they serve.