The boundaries that once separated the entertainment, media, technology and telecommunications sectors have fallen, merging them into one world through rapid digitalisation.
In 2022 the media industry will continue its post-pandemic bull run, resulting in greater convergence among the industry sectors and perhaps even a few media casualties along the way. We will see more streaming and fewer cable networks, more digital advertising and fewer traditional channels.
Overall, we can expect new waves of innovation and experimentation across e-commerce as brands. Relationships with consumers will be built by crafting unique experiences, targeting methods, and a more hassle-free journey from product discovery to purchase.
Five key things all marketers should look out for
To succeed, marketers will need to be as agile as consumers. The pandemic accelerated omnichannel adoption and created hybrid behaviours beyond our shopping for products and services. How we work, play and live is fluid, and consumers expect brands to keep up with the rapid pace of change. The 15th annual Fjord Trends report from Accenture provides practical guidance for marketers who want to deliver value and relevance to their consumers:
- Come as you are. Pandemic restrictions have pushed people to look for greater freedom and expression in all aspects of life. They are starting to focus on what’s important to them due to a heightened sense of awareness, and openness to new ways of working and living. In designing brand experiences that work for African consumers, brands must make sure to strike a balance between amplifying collective mindsets and nurturing personal growth.
- The end of abundance thinking? Many have experienced empty shelves, rising energy bills and shortages in everyday services. While supply chain shortages might be a temporary challenge, the impact will persist and lead to a shift in “abundance thinking” – built on availability, convenience and speed – to greater consciousness about the environment. As we adapt to this new economic reality, it is essential to understand that “less” doesn’t mean “loss” and look to indigenous methods for innovation.
- The next frontier. Africa is home to a young population with an appetite for new technologies and innovation. The metaverse will be a new frontier of the internet, combining all the existing layers of information, interfaces and spaces with which people interact. It offers a new place to make money, creates new job types, and offers infinite brand possibilities that people will expect businesses to help build and navigate. In Africa, immense opportunities exist for the many young start-ups, entrepreneurs and visionaries.
- This much is true. People now expect to ask and have questions answered at the touch of a button or through a brief exchange with a voice assistant. The fact that it’s so easy and immediate means people are asking more questions. With increased access to the internet, Africans are turning to the web to seek answers, but recent events have fuelled misinformation. It is more important now than ever that organisations focus on driving credibility to mitigate risk.
- Handle with care. Care became more prominent this past year in all its forms: self-care; respect for others; the service of care; and the channels to deliver care, both digital and physical. It creates opportunities and challenges for employers and brands, regardless of their health or medical credentials. Africa is socially orientated, and her communities care as a collective. We encourage businesses to do the same.
South Africa’s media forecast for 2022
Research shows that South Africans have high demands, with consumers pushing for ethics and innovation. As screen time is at an all-time high, we all need to adapt to keep up with changes in media consumption and make sure we offer South Africans the content they want to see in a format that best fits the context of 2022. As the current patterns dictate, it is pretty reasonable to assume that in 2022 and 2023, there will be more South African-focused content on our screens.
At the box office, a recovery in attendance and rising ticket prices, along with improved offerings, will result in modest growth at a 3.5% CAGR through 2022. South African audiences are willing to pay more to watch big-budget movies with surround sound, flashy seats, temperature swings, strobe lights and so on. In addition to this, consumer income in South Africa is expected to grow at a robust CAGR of 7.6% through 2022, to R135.7-billion in 2022, and digital revenue alone will add approximately R41.3-billion.
With South Africa now on the world map, the entertainment industry can capitalise on its presence, the best examples of which are live music concerts and the upcoming sports year, which offers vast opportunities for further growth of media brands. Music festivals and events that didn’t exist many years ago occur annually, giving brands a significant opportunity to expand their audiences. The fashion industry is also growing, leading to more shows and related entertainment. Improved connectivity and economic growth could also lead to more people travelling outside South Africa or within the country.
While online advertising will surpass traditional models by 2022, the South African television landscape will still have a solid conventional focus. However, since South African markets tend to follow global patterns, online advertising will far outpace TV advertising in terms of growth.
Accenture Interactive’s media moves
At Accenture Interactive, we are constantly finding new ways of engaging with our clients and helping our customers create compelling and transformative experiences. The digital commerce market in South Africa is growing at an unprecedented speed, and Accenture Interactive sees a need to capitalise on this appetite by expanding our capabilities and capacity to meet demand.
Accenture Interactive has been increasing its digital footprint across the globe with a mixed strategy of acquisitions and organic growth. Its current investments are part of the company’s larger expansion plan in the African market.
Accenture Interactive recently made its first acquisition in Southeast Asia, Entropia, to help clients in customer experience, design and creative communications. It also added Openmind, an Italian commerce consultancy, to its fold.
Locally, Accenture has acquired the King James Group, a highly awarded creative agency and our first planned acquisition in South Africa and Africa. This move will strengthen Accenture Interactive’s focus on putting creativity at the centre of experience-led transformation to drive relevance and growth for its clients. King James Group brings an impressive roster of clients, critical assets, people and skills to enhance Accenture Interactive’s capabilities in meeting and exceeding the accelerated demand from our clients for differentiated and innovative experiences.
King James Group adds additional depth in brand strategy, creativity and digital marketing services to Accenture Interactive. We want to enhance capabilities in South Africa to support our vision of transforming and reimagining our clients’ entire business through the lens of experience.
Haydn Townsend is managing director at Accenture Interactive. His focus is on combining the power of Accenture’s business consulting, creative, digital and technology capabilities to help organisations rewire their businesses. Haydn is a cross-functional marketing and advertising professional with over 25 years’ experience that reaches across marketing management, sales, advertising, activations, sponsorship and digital marketing.
