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SA chooses most loved local businesses

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A new World Wide Worx research report identifies and names South Africa’s 12 Most Loved Local businesses, and places the spotlight on the vital role commercial businesses play in the South African economy. The country’s favourite local businesses include the Chapman’s Peak Hotel in Hout Bay – famed for its calamari, celebrity chef David Higgs’ Rosebank eatery Marble as well as Rouge Day Spa with branches in Kenilworth and Constantia in Cape Town run by a dynamic mother and daughter duo.

The aim of the Most Loved Local report was to celebrate those businesses South Africans love the most and to investigate exactly what makes consumers big fans of these entities. It further offers these enterprises insights into what it takes to succeed in business, highlights the qualities that convert clients into fans and encourages more South Africans to ‘shop’ local.

Report results

Commissioned by Santam, results were compiled using a combination of digital listening tools and traditional research. Social media listening using organic search analysis looked into which business categories were being searched for most. This was followed up with a trend analysis to assess whether a business category was growing in popularity, keyword volume analysis to refine the categories and finally social listening within the categories which businesses were being spoken about in the most positive terms. Thereafter, a poll was conducted among 2 489 respondents to find out what made them love a local business – or not. The sample was nationally representative and aligned to the economically active population per province. A respected independent research house World Wide Worx conducted the research.

The full list of businesses that came top across 12 categories are:

  1. Place to Stay: Chapmans Peak Hotel (Cape Town) – the one with the perfect calamari
  2. Eatery: Marble (Johannesburg) – the one with the celebrity chef in the kitchen
  3. Butcher: The Butcher Man (Cape Town) – the one that people cross town for
  4. Bakery: Fournos (Johannesburg) – the one that is way more than a bakery
  5. Spa: Rouge Day Spa (Cape Town) – the one run by a dynamic mother-daughter team
  6. Entertainment Spot: Gold Reef City (Johannesburg)  – the one with the heart of gold
  7. Gym: Dream Body Fitness (Johannesburg) – the one that is completely unintimidating to work out at
  8. Interior Designer: By Dezign Interiors (Johannesburg) – the one that really, really gets its clients’ style
  9. Market: Bryanston Organic & Natural Market (Johannesburg) – the one that was an organic market before it was trendy to be an organic market
  10. Laundromat: Exclusive Dry Cleaners (Johannesburg) – the one that treats every single client like family
  11. Car Wash: Tubbs’s Car Wash (Johannesburg) – the one that cleans your car while you have a haircut
  12. Construction company: Radon Projects (Pretoria) – the one that is ready all day and all night

Delving into what makes a consumer go from ‘client to fan’, the key factor standing out above all others was service. Arthur Goldstuck, CEO of World Wide Worx, says it seems South Africans will forgive a multitude of ‘sins’ if they are treated well. “Good service was the number one factor that makes 40% of those surveyed support a local business. This was followed by quality products at 18%. Third place went to value for money at 10%, proving the old adage that competing on price alone is not a sound business strategy,” said Goldstuck.

When asked what makes them loyal to a local business, some interesting views across age groups emerged. “Younger clients are more swayed by quality, while older ones are impressed by service. This seems to fit with younger people wanting the status of nice things, and older people wanting to feel valued and respected,” said Goldstuck.

Unsurprisingly, all 12 Most Loved Locals called out service as one of their guiding lights and core pillars when interviewed. Theo and George Parpottas, owners of Exclusive Dry Cleaners, the selected company in the laundromat category, believe when someone walks into their shop, they should be greeted with smiling faces and courteous people. “We don’t care if it’s the president or a beggar, from the moment they walk in, they are a client. We greet them, we are courteous, and we treat them with respect. It doesn’t matter what they bring.”

For Gary Karycou, who co-owns Marble in Rosebank with celebrity chef David Higgs, it is all about attitude. “You can teach someone anything if they want to do it, but we employ on attitude. You get the basic skills but if someone really wants to learn, you can transform them.” He continues, “Giving the best service to our clients, is our motto. It’s something that’s lacking in South Africa and even globally. Businesses just become a bit complacent.”

Famed Green Point butchery and restaurant, The Butcher Man, is owned by Arie Fabiani. He says people will drive past other butcheries and come all the way to the Butcher Man because “we deliver a great service. Good service is critical, and our team knows it.”

Another key finding was that people are more likely to recommend a business if there is a good deal or excellent value for money. Mokaedi Dilotsotlhe, Chief Marketing Officer at Santam, says this is an interesting finding. “Perhaps we are more likely to share a good deal with others and keen to help others find great nuggets of the positive trade-off between value and price. So, it is worth ensuring that, in addition to service and quality, your clients feel like they are getting value for the money they spend with you. That way, they are more likely to tell family and friends the good news!”

Dilotsotlhe added that the report’s release has been well-timed as the need to stimulate sectors of the economy which can create jobs has never been more vital. Commercial enterprises are responsible for a significant percentage of the labour-force in South Africa, and the impact thereof is significant. Due to the fact that these enterprises remain a largely underinsured sector, the campaign also seeks to highlight the need for insurance as a vital aspect of business continuity. When they thrive, it benefits the whole nation, and from a Santam perspective, this translates into sustainable growth for our business.

To download the full report, click here.

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Millennials turning 40: NOW will you stop targeting them?

It’s one of the most overused terms in youth marketing, and probably the most inaccurate, writes ARTHUR GOLDSTUCK

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One of the most irritating buzzwords embraced by marketers in recent years is the term “millennial”. Most are clueless about its true meaning, and use it as a supposedly cool synonym for “young adults”. The flaw in this targeting – and the word “flaw” here is like calling the Grand Canyon a trench – is that it utterly ignores the meaning of the term. “Millennials” are formally defined as anyone born from 1980 to 2000, meaning they have typically come of age after the dawn of the millennium, or during the 21st century.

Think about that for a moment. Next year, the millennial will be formally defined as anyone aged from 20 to 40. So here you have an entire advertising, marketing and public relations industry hanging onto a cool definition, while in effect arguing that 40-year-olds are youths who want the same thing as newly-minted university graduates or job entrants.

When the communications industry discovers just how embarrassing its glib use of the term really is, it will no doubt pivot – millennial-speak for “changing your business model when it proves to be a disaster, but you still appear to be cool” – to the next big thing in generational theory.

That next big thing is currently Generation Z, or people born after the turn of the century. It’s very convenient to lump them all together and claim they have a different set of values and expectations to those who went before. Allegedly, they are engaged in a quest for experience, compared to millennials – the 19-year-olds and 39-olds alike – supposedly all on a quest for relevance.

In reality, all are part of Generation #, latching onto the latest hashtag trend that sweeps social media, desperate to go viral if they are producers of social content, desperate to have caught onto the trend before their peers.

The irony is that marketers’ quest for cutting edge target markets is, in reality, a hangover from the days when there was no such thing as generational theory, and marketing was all about clearly defined target markets. In the era of big data and mass personalization, that idea seems rather quaint.

Indeed, according to Grant Lapping, managing director of DataCore Media, it no longer matters who brands think their target market is.

“The reason for this is simple: with the technology and data digital marketers have access to today, we no longer need to limit our potential target audience to a set of personas or segments derived through customer research. While this type of customer segmentation was – and remains – important for engagements across traditional above-the-line engagements in mass media, digital marketing gives us the tools we need to target customers on a far more granular and personalised level.

“Where customer research gives us an indication of who the audience is, data can tell us exactly what they want and how they may behave.”

Netflix, he points out, is an example of a company that is changing its industry by avoiding audience segmentation, once the holy grail of entertainment.

In other words, it understands that 20-year-olds and 40-year-olds are very different – but so is everyone in between.

* Arthur Goldstuck is founder of World Wide Worx and editor-in-chief of Gadget.co.za. Follow him on Twitter and Instagram on @art2gee

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Robots coming to IFA

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Robotics is no longer about mechanical humanoids, but rather becoming an interface between man and machine. That is a key message being delivered at next month’s IFA consumer electronics expo in Berlin. An entire hall will be devoted to IFA Next, which will not only offer a look into the future, but also show what form it will take.

The concepts are as varied as the exhibitors themselves. However, there are similarities in the various products, some more human than others, in the fascinating ways in which they establish a link between fun, learning and programming. In many cases, they are aimed at children and young people.

The following will be among the exhibitors making Hall 26 a must-visit:

Leju Robotics (Stand 115) from China is featuring what we all imagine a robot to be. The bipedal Aelos 1s can walk, dance and play football. And in carrying out all these actions it responds to spoken commands. But it also challenges young researchers to apply their creativity in programming it and teaching it new actions. And conversely, it also imparts scholastic knowledge.

Cubroid (Stand 231, KIRIA) from Korea starts off by promoting an independent approach to the way it deals with tasks. Multi-functional cubes, glowing as they play music, or equipped with a tiny rotating motor, join together like Lego pieces. Configuration and programming are thus combined, providing a basic idea of what constitutes artificial intelligence.

Spain is represented by Ebotics (Stand 218). This company is presenting an entire portfolio of building components, including the “Mint” educational program. The modular system explains about modern construction, programming and the entire field of robotics.

Elematec Corporation (Stand 208) from Japan is presenting the two-armed SCARA, which is not intended to deal with any tasks, but in particular to assist people with their work.

Everybot (Stand 231, KIRIA) from Japan approaches the concept of robotics by introducing an autonomous floor-cleaning machine, similar to a robot vacuum cleaner.

And Segway (Stand 222) is using a number of products to explain the modern approach to battery-powered locomotion.

IFA will take place at the Berlin Exhibition Grounds (ExpoCenter City) from 6 to 11 September 2019. For more information, visit www.ifa-berlin.com

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