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Consumer confidence shows signs of improvement as three in five (61%) say their finances will improve in the next six months

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Consumer Trends

The WARC 2024 Consumer Trends reports explore key issues influencing consumer purchase decisions with regional analysis from APAC, Europe and North America

24 July 2024 – WARC has today released its 2024 Global Consumer Trends report exploring the key issues that will influence consumer purchase decisions across brands and categories, with additional regional highlights for Asia-Pacific, Europe and North America.

Based on a comprehensive set of GWI surveys combined with WARC’s own research, case studies and analysis, the reports provide a view of the major issues facing the advertising industry through the lens of the consumer, with suggestions to help businesses create the most impact in the coming year.

Stephanie Siew, Senior Research Executive, WARC, says: “2023 was a year of resilience, with consumers persevering through persistent high inflation and subdued economic growth. Today, consumers feel more optimistic about their financial situation but remain cautious. Lingering economic uncertainty and high living costs force trade-offs, such as moving back in with family for additional support. At the same time, advancements in AI generate interest, particularly its potential to make cost-cutting easier and more efficient.”

The five consumer trends that will shape consumer spending in the year ahead identified by WARC are:

Cautious optimism drives changes in spending: three in five consumers (61%) think their finances will improve in the next six months

Consumer confidence shows signs of improvement with more being optimistic about their personal finances. While pricing and special promotions remain important purchase drivers, some cost-cutting behaviours, such as using coupons and vouchers, are in decline as defensive spending habits gradually shift.

Three in five consumers (61%) think their finances will improve in the next six months. Younger consumers are more optimistic: 68% of Gen Z and 65% of millennials expect their finances to improve compared to 29% of baby boomers.

Despite financial pressures, the travel and tourism industry is experiencing a post-pandemic boom. The International Air Transport Association (IATA) predicts a record-breaking 4.7 billion passengers will fly globally in 2024, exceeding the pre-pandemic level of 4.5 billion in 2019.

Grace Kite, CEO, and Charles Cleasby, Senior Economist, of magic numbers, say: “In 2024, inflation is slowing, but that doesn’t mean the episode is over. Prices are still going up, just more slowly. For consumers, nothing’s getting cheaper.”

Marketers can respond by maintaining investment in brand-building to build pricing strength, think incrementally by adding value to products and services, and target areas where consumer spend is likely to increase.

Rising temperatures shift spending patterns: Nearly half of consumers (48%) have considered purchasing a product to help with cooling

Intensifying hot weather resulting from climate change creates demand for products that can mitigate the negative effects of extreme weather, such as cooling appliances and accessories. Per GWI data, purchases of air conditioning units have increased by 358% since 2020.

The majority (84%) of consumers aware of the heatwaves reported being either slightly, somewhat, or significantly affected personally by them. Among consumers who were aware of the heatwaves, nearly half (48%) have considered purchasing a product to help with cooling and air circulation, such as air conditioning units, protective clothing, cooling accessories, and energy-efficient technology.

Olly Lawder, Senior Strategy Director, Revolt, says: “With the rate and severity of the three Fs (flood, fire and famine) predicted to increase with rising CO2, any brand that makes, moves or sells products that rely on natural resources not only has a risk to manage, but an obligation to be part of the solution.”

Marketers can respond by catering to consumers’ changing needs, re-evaluating seasonal marketing efforts to reflect longer periods of warm weather, and helping consumers protect themselves.

The rise of multigenerational households: 24% of full-time and stay-at-home parents are living with their own parents

High living and caretaking costs are pulling more consumers into a multi-generational living arrangement. Merging families create new decision dynamics for household shopping.

GWI data shows that in 2023, 24% of full-time and stay-at-home parents said they were living with their own parents – a nine-percentage point increase from 15% in 2020 – driven by rising childcare and caregiving costs.

As families merge, purchase decisions are less likely to be made by a single household figurehead. In Q1 2024, half (50%) of respondents said they were the main shopper in the household. This compares to 62% who said the same in Q3 2021.

Lori Meakin, Founder & CEO, The Others & Me, says: “We tend to use “family” to mean a mum, dad and kids – anything from babies to teenagers – all living together in one busy but happy household. But that doesn’t properly represent the real experience of family for millions of people.”

Marketers can respond by reconsidering the target audience to reflect the diverse nature of modern and multi-generational families, and adapt new and existing products by considering product and format sizes.

AI creates new expectations for the purchase journey: Over half of consumers (51%) use AI tools for price comparisons

The integration of artificial intelligence (AI) tools can help brands meet consumers’ growing expectations for a convenient and seamless purchase experience. Consumers have begun to explore these new technologies when shopping. Nearly three-quarters (72%) are aware of the use of generative AI in shopping experiences, and 20% have already used such tools.

Consumers express interest in using AI tools for various tasks at the consideration stage, such as meal planning (28%), travel recommendations (26%), and fashion recommendations (22%).

Among the top use cases for which consumers would consider using AI chatbots are price comparisons (51%) and deal alerts (34%). More than a quarter (28%) are open to interacting with AI chatbots for personalized recommendations.

Yasmine Mansour, Regional Head of Growth for Southeast Asia, .Monks, says: “Brands will stand out by catering to their customers’ specific needs and the powers of hyper-personalization and enhanced marketing intelligence will certainly help them do that. While challenges may arise, there’s no doubt that generative AI is a potent force and there’s no going back from here. New realities will require new ways of thinking and executing.”

Marketers can respond by considering the role of AI at every stage of the customer journey, ensure that the technology is accessible to all groups, and address privacy concerns to build trust.

The resurgence of live events: 16% of consumers purchased concert tickets in Q1 2024

Demand for in-person experiences and the return of mega events is boosting the live music and sports industry.

Concert attendance in 2023 increased by 20.3% to 145.8 million globally compared to the previous year thanks to Beyoncé and Taylor Swift world tours as well as a strong showing across a range of genres. GWI data shows that in Q1 2024, 16% of consumers had purchased concert tickets.

Major sporting events such as the UEFA Euros and the Paris Olympics, forecasted to attract 15 million spectators and 3 million additional visitors to the French city, are expected to drive economic growth in 2024.

Live events also boost consumption across verticals. According to GWI data, two-thirds of consumers who attended a concert tour, music festival, or sporting event purchased food and beverages, and nearly half of concert-goers travelled for the event.

Marketers can respond by ensuring a good fit in event partnerships to drive reach at scale, and explore ways to reach fans across different touch points beyond the event.

Part of WARC’s Evolution of Marketing programme, complimentary sample reports of the 2024 Consumer Trends reports featuring global and regional insights are available here: Asia-Pacific, Europe, and North America.

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RIOT Network and MediaTek collaboration expands digital access in South Africa through innovative, community-driven Wi-Fi solutions

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MediaTek

RIOT Network aims to make fast, unlimited Wi-Fi services accessible for people in townships and underserved communities

JOHANNESBURG, South Africa, November 22, 2024/APO Group/ — 

MediaTek (www.MediaTek.com), a global fabless semiconductor company powering nearly 2 billion connected devices a year, and RIOT Network (https://RIOT.Network), a community mobile broadband provider in South Africa, have announced the successful integration of Mediatek’s Filogic 830 (https://apo-opa.co/3CIbkNl) chipset into RIOT’s second-generation CROWDNet Core Nodes.

The successful deployment of the CROWDNet nodes has enabled RIOT Network to achieve its aim of offering uncapped internet at an affordable price of R99 per month, and to do so profitably. To date, RIOT Network, in partnership with Sonke Telecommunications, has leveraged the nodes to connect more than 800 households and 5000 users in Olievenhoutbosch to uncapped Wi-Fi services.

RIOT Network aims to make fast, unlimited Wi-Fi services accessible for people in townships and underserved communities. Its CROWDNet Nodes, enable an innovative model for deploying user-operated network infrastructure. Community members serve as operators of some of the core network devices to earn a share of the fee from neighbours who use the service.

With each new connection, RIOT Network is highlighting the role of innovative fixed-wireless solutions in extending broadband access and improving digital inclusivity

CROWDNet powered by MediaTek Filogic 830 brings affordable, last-kilometre broadband to communities where it is not commercially viable to deploy towers or fibre. The MediaTek Filogic 830 is a high-performance SoC for routers, repeaters, access points and mesh networking devices. The SoC enables device makers to build-in powerful applications based on an energy-efficient, Wi-Fi 6-ready platform.

“The Mediatek’s Filogic 830 chipset delivers a unique balance of high performance and cost-efficiency, allowing us to keep operational costs low while maximising network reliability and speed,” said Jarryd Bekker, CEO at RIOT Network. “This combination of affordability and sustainable business growth is pivotal to our vision of expanding digital access in underserved communities. Our work in Olievenhoutbosch near Centurion demonstrates the power of reliable, affordable internet, creating new opportunities for economic and social engagement.”

“With each new connection, RIOT Network is highlighting the role of innovative fixed-wireless solutions in extending broadband access and improving digital inclusivity,” said Rami Osman (https://apo-opa.co/4ghZBUn), Director for Business Development, MediaTek Middle East and Africa. “We look forward to supporting RIOT in building a future where high-quality internet is accessible and impactful for all.”

Distributed by APO Group on behalf of MediaTek Inc

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African Energy Chamber (AEC) Endorses Inaugural Congo Energy & Investment Forum, Catalyzing Growth in the Republic of Congo’s Energy Sector

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African Energy Chamber

The African Energy Chamber proudly supports the inaugural Congo Energy & Investment Forum, scheduled for March 25-26, 2025 in Brazzaville

BRAZZAVILLE, Republic of the Congo, November 21, 2024/APO Group/ — 

The African Energy Chamber (AEC), as the voice of Africa’s energy sector, proudly supports the inaugural Congo Energy & Investment Forum (CEIF), set to take place in Brazzaville on March 25-26, 2025. Unveiled during African Energy Week: Invest in African Energies in Cape Town by the Republic of Congo’s Ministry of Hydrocarbons, this milestone event signals the nation’s commitment to strengthening its role as a key energy player on the continent, while showcasing a range of investment opportunities. 

Under the leadership of Hydrocarbons Minister Bruno Jean-Richard Itoua, the Republic of Congo has emerged as sub-Saharan Africa’s fourth-largest oil producer, with anticipated production of 280,000 barrels per day (BPD) by the end of 2024 and ambitions to reach 500,000 BPD within three to five years. Building on this momentum, the CEIF will highlight innovative projects and foster strategic partnerships that enhance investment, drive economic growth and position the Congo as a leader in Africa’s energy expansion.

Meanwhile, Société Nationale des Pétroles du Congo (SNPC), led by CEO Maixent Raoul Ominga, is spearheading the Congo’s energy growth. SNPC holds a majority stake in the Mengo Kundji Bindi II permit, with 2.5 billion barrels of estimated oil potential. The company is developing the site through 13 wells, 3D seismic data acquisition, and the construction of six production platforms. 

We are honored to secure the Chamber’s endorsement for this pivotal forum

With the Chamber’s official support, the CEIF is set to attract government leaders, C-suite executives from major IOCs and energy experts, who will offer critical insights into Congo’s oil, gas and energy sector developments. The country is overhauling its gas sector to unlock 10 trillion cubic feet of resources through a comprehensive Gas Master Plan and new Gas Code that introduces favorable fiscal terms and enables small-scale project development, as well as large-scale, integrated gas megaprojects like Eni’s Congo LNG and Wing Wah’s Bango Kayo. 

“The Congo Energy & Investment Forum marks a major milestone for the country, amplifying its strategic energy initiatives and showing industry stakeholders that it is serious about advancing its energy sector. We look forward to supporting this forum, which promises to connect investors, drive impactful partnerships and elevate the Congo’s position within Africa’s energy sector,” says NJ Ayuk, Executive Chairman of the AEC.  

“We are honored to secure the Chamber’s endorsement for this pivotal forum, which, through its vast network and influence, will help attract key stakeholders and decision-makers to the event. Together, we aim to highlight the immense potential of the Congo’s energy sector, foster strategic partnerships and drive transformative investments that contribute to sustainable growth across the industry,” notes James Chester, CEO of Energy Capital & Power, organizers of the CEIF.   

This premier forum provides a unique platform for connecting local and international investors with high-impact opportunities across a diversified range of energy projects, paving the way for collaborations that drive growth and transformation. The AEC’s endorsement underscores its commitment to fostering strategic partnerships, sustainable investment and regional cooperation, aligning with its broader mission to make energy poverty history across the continent by 2030.  

As the energy industry continues to serve as a critical pillar of the Congolese economy and a catalyst for sustainable development, the AEC remains dedicated to supporting initiatives like CEIF that foster progress, investment and partnerships across the African energy landscape. 

For more information, please visit www.CongoEnergyInvestment.com

Distributed by APO Group on behalf of Energy Capital & Power.

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Any Successful African Energy Policy at Conference of the Parties (COP) or Anywhere Must Have Oil and Gas at its Core (By NJ Ayuk)

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Conference of the Parties

Africa will need global financial systems, including multilateral development banks, to play a significant role in financing our energy growth which must include fossil fuels

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JOHANNESBURG, South Africa, November 21, 2024/APO Group/ — 

By NJ Ayuk, Executive Chairman of the African Energy Chamber (www.EnergyChamber.org).

I believe the ultimate responsibility for getting there is ours and no one else’s. Yes, we need partners to walk alongside us, but the success of our energy movement rests on African shoulders.

To begin with, I would love to see African energy stakeholders speaking in a unified voice about African energy industry goals.

This will be particularly important in COP29 in Baku. It is imperative that African leaders present a unified voice and strategy for African energy transitions. We must make Africa’s unique needs and circumstances clear and explain the critical role that oil and gas will play in helping Africa achieve net-zero emissions in coming decades.

I would encourage African leaders to talk about the need for financing, as well, to make it possible for us to adopt renewable energy sources and set up the necessary infrastructure. Africa will need global financial systems, including multilateral development banks, to play a significant role in financing our energy growth which must include fossil fuels.

Africa’s governments have a role to play in a successful African energy movement as well.

Because Africa’s energy industry still can benefit greatly from the presence of international oil companies, our government leaders need to approve contracts with oil and gas companies promptly instead of allowing red tape to delay projects after discoveries are made.

And, they need to offer the kinds of fiscal policies that allow oil companies to operate profitably in Africa. In turn, that will help those companies generate revenue, create jobs and business opportunities, and foster capacity building.

I also would encourage governments and civil societies to reward companies that exemplify positive behavior. Let’s incentivize the kind of activities we want, from creating good jobs and training opportunities to sharing knowledge.

I would love to see African energy stakeholders speaking in a unified voice about African energy industry goals

And there’s more.

We in Africa must work together to create more opportunities for women to build careers in the oil and gas industry at all levels. Our energy industry can’t reach its potential to do good when half of our population is left out. Our progress on behalf of women has not been great—We need to do better, and we need to act quickly.

How the world can support

Now, I mean it when I say Africans are responsible for building the future they want. But, I would love to see Western governments, businesses, financial institutions, and organizations support our efforts.

How? They can avoid demonizing the oil and gas industry. We see it constantly, in the media, in policy and investment decisions, and in calls for Africa to leave our fossil fuels in the ground. Actions like these, even as Western leaders have pushed OPEC to produce oil, are not fair, and they’re not helpful.

I also would respectfully ask financial institutions to resume financing for African oil and gas projects and stop attempting to block projects like the East African Crude Oil pipeline or Mozambique’s LNG projects.

Please understand that with the war in Ukraine, the energy crisis in Europe, and the energy poverty facing our continent, our countries, like many others, are simply choosing the paths they believe are most likely to help their people.

You know, people for years have accused me of loving oil and gas companies more than Africa. The opposite is true. In my frequent travels around the continent, I’ve observed far too many young people with little in the way of opportunities.

I know our young people have aspirations for a better future. I know they have big dreams. And, I know that future is nearly within their grasp.

A thriving, strategically managed energy industry can make it possible for many of these young people, whether it leads to good jobs or it fosters the kind of economic growth that creates jobs in other fields. Even if we only get the lights on in their communities, we’ll be giving our young people hope and improving their chances of realizing their goals.

This is what drives me, the idea that with our ongoing efforts and determination, our young people can realize meaningful opportunities. I encourage each of you to work with us at the African Energy Chamber, in a spirit of cooperation and mutual respect. Together, we can build the kind of African energy movement that our continent, our communities, and our young people need and deserve.

Distributed by APO Group on behalf of African Energy Chamber.

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