According to TGi, the Target Group Index, the largest single source consumer brand and lifestyle survey in South Africa, 5% of the South African market are trendsetters. This small market segment is important to brand owners that operate in the luxury market selling premium brands. The TGi database has a wealth of information and enables brand owners to do segmentation analysis of a particular market segment.
BizRadio’s Grant Jansen in conversation with Ask Afrika’s Client Services Director, Dr Amelia Richards.
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The trendsetters can be grouped according to age. Within the 30-44 age bracket, two clusters emerged i.e. the aspiring trend setters and the youthful trend setters. The aspiring trend setters are predominately black females. They are mainly married and 39% of them reside in Gauteng. Segmentation analysis should go beyond a demographic profile and focus on lifestyles as well. The aspiring trend setter is career focussed, wants to get to the very top of her career since she knows that she will be a success. She enjoys owning good quality things and she is money driven.
Should she be thinking of purchasing a vehicle safety features in a vehicle is very important. Lastly to stand out in a crowd is not as important, what is important to them is that their family thinks that they are doing well. The youthful trendsetter although having a similar demographic profile to the aspiring trend setter differs in terms of product preferences. The youthful trendsetter has a strong focus on electronics and trendsetting. Why? Because they think the electronic item they own strongly reflects their status/style to others. This segment considers herself to be more of a trendsetter than others, she doesn’t compromise in fact she want her electronic items to have it all. They are usually the first to adopt a new trend when it emerges and believe that their car should also catch people’s attention. They wear designer clothes and aspire to be successful.
The next age category within the trendsetter market segment is a bit older, between 45-65 years. Within this older market, we get the potential upgrader and the platinum trendsetters. The potential upgraders like to wear designer clothes and to stand out in a crowd that makes them the ideal segment to purchase premium priced cars. The potential upgrader is very concerned with her image in society and would prefer brands and products that catches people’s attention. They appear to be one of the less family orientated clusters in this age group. The platinum trendsetter does not have a skew towards females only but have a 50% male presence as well. A third of them (37%) are green initiative supporters. The electronic items they own, strongly reflects their status/style, and when asked they consider themselves to be more of a trendsetter than other people they know. When it comes to electronic items, they will be the first to adopt a new trend when it emerges. The platinum trendsetter are early adopters of new technology, they seek the most advanced features in all products, they enjoy owning good quality things and they are image conscious regarding the car they drive and the clothes they wear.
In summary it is clear that the trend setter market segment, although only 5% of the overall market, remains important especially when brand owners introduce new product lines in the market. Black females dominate this market segment, but when focussing on the older market, males are also perceived to be become trend setters. With a cluster analysis within each segment it becomes clear that there are different nuances in terms of behaviour, and it important to market to each unique cluster. Although they are early adopters of new brands and products, it is important that the brand/product should make a contribution to their personal life and status.