This archive report was first published on 3 July 2020.
As the COVID-19 pandemic continues to ravage the world, Kenyan consumers are feeling the pinch of economic uncertainty. According to a recent report by SCANAD, a marketing agency, over 50% of employed Kenyans have received pay cuts, with an estimated 435,000 losing their jobs.
Published on July 3, 2020, the report, titled 'Understanding the New Normal Consumer,' aims to help brands navigate the changing consumer environment. Scanad Chief Executive Officer Sandeep Madan noted that understanding this new context will be crucial for brands seeking to maintain and grow demand.
Key findings of the report include:
- 84% of consumers are grappling with financial uncertainty, with 40% financially vulnerable and less than 30% hopeful of a financial rebound in three months.
- Over half the employed population has received a salary cut, with 47% relying on food donations to survive.
- Mass unemployment and business closures have led to social disruption, with consumers turning to bulk buying and trying new products and brands.
Madan emphasized that the pandemic has disproportionately affected different social classes, with those at the bottom facing threats to their survival. He urged marketers to take responsibility and lead, serving new needs and maintaining brand momentum.
As Kenyans adjust to the new normal, it remains to be seen how brands will respond to these changing consumer habits.
