28 November 2008
	ADVERTISING IN AFRICA Playing by different rules By David Furlonger Don't kid yourself about operating in less developed markets - it's not easy

Those marketers who believe they understand how to advertise and promote their products in the rest of Africa may be deluding themselves. Advertising agencies say rules that govern advertising in SA are often irrelevant in other countries. DraftFCB Africa director Philip van Rensburg says: "SA companies are as naive as everyone else in Africa. Because the SA environment is so sophisticated, they have no idea what to expect in less developed markets." Many African markets are less regulated than SA, both in terms of content and activity. It's not unheard of for an agency to license and erect an advertising billboard, then find a competitor has positioned another directly in front a couple of days later. Redress is difficult. Media buying can also be challenging. Media Shop MD Harry Herber says rates are often at the whim of the media owner. Nevertheless, the lure of Africa is hard to resist and several leading SA advertising groups have set up operations across the continent. DraftFCB and Ogilvy, for example, are each active in about 30 countries. JWT CE Modise Makhene says his agency is keen to "expand our African footprint". Often, the expansion is at the behest of existing SA and multinational clients moving into these markets. They want to partner an agency with which they are familiar, particularly since the African advertising message is often a variation of what they already do in SA. MARKET DIFFERENCES The differences between SA and other African markets are typified by the experiences of Johannesburg-based oil company BP Southern Africa, which is responsible for regional marketing as far north as Tanzania. Market differences require most campaigns to be tailored to individual countries, says marketing investments manager Bishen Morgan. Tanzania is a big diesel user so most advertising is focused there. In Zambia, there is more of a business-to-business message because of the importance of the mining industry. In Botswana and Namibia, like SA, it's petrol retail. Retail regulations also dictate campaign direction. Unlike SA, some countries allow fuel price competition, loyalty price discounts and competitions. Marketing messages are directed accordingly. Radio spend is usually higher than in SA and ads are often translated into local languages. SA marketers say there is still some trial-and-error when planning campaigns north of SA. According to Morgan: "We apply rigorous planning tools and collect as much market intelligence as possible. But this is an evolving market, so there is still much to be learnt." "Many clients create an advertising template that can be localised for each country," says Van Rensburg. Not only is it convenient but it also saves money. Marketers don't like to spend big in emerging, relatively small markets. It's not uncommon for a multinational to budget as little as US$20 000 for a national campaign. They can't always get it on the cheap. Advertising rates in countries such as Angola are rising very quickly. And whereas marketers in SA and elsewhere can usually settle their advertising bill on account, some African countries' media demand full campaign payment in advance. On the other hand, there is often the lure of payment and retainers in "hard" currencies like euros and US dollars. That can be particularly attractive to smaller agencies, says Paul Middleton, MD of full-service agency Ebony & Ivory. Then there's the issue of black economic empowerment (BEE), which determines the destination of many advertising contracts in SA. "A number of owner-run smaller agencies are effectively barred from a lot of deals here," he says. "In most African countries, they don't care about BEE. They just want the right agency for the job." Advertising localisation in Africa means more than simply translating predetermined messages into French, Portuguese, Swahili, or any of the continent's dozens of languages and dialects. It often means finding alternative means to get the message across. TV is not big in many countries. Illiteracy is rife. Radio, by far Africa's biggest advertising medium, remains a common denominator. Billboards are still popular but there are so many that some advertisers are looking for less cluttered alternatives, such as pole posters, leaflets and giveaways. Then there's the message itself. "Keep it simple," says Ogilvy Africa business director Karabo Denalane. "Where markets are less sophisticated, you must stay away from conceptual ideas." Van Rensburg is even more straightforward: "You need to get your message across in no more than a couple of seconds." National and regional differences also play a part. Religious and cultural sensibilities should never be underestimated, says Denalane. Van Rensburg offers Tanzania as an example of a market requiring care. "The people are very proud and you have to talk to them not only in their language but also in a particular tone of voice." In most cases, SA agencies operate through joint ventures or affiliates in these countries. "We try to infuse our way of doing things into our partners," says Makhene. Some campaigns are managed from the SA "hub", others are run in the countries themselves. Lack of creative resources in many countries often makes the first alternative preferable, says Denalane. "It's harder to come up with good work when the resources aren't there." When talent does emerge, it's usually snapped up by agencies in Europe and the US. "Lack of creative depth is one of the industry's big challenges in Africa," says Van Rensburg. "We are losing talent at a rate you wouldn't believe. We are trying hard but we are fighting a losing battle."