Jason Levin the company’s MD
Ever wondered why some brands are perceived & considered to be ‘cool’ and others not as ‘cool’, well I have and this question has been really clamoring on my mind especially now during youth month. Just what is it about tech brands like Blackberry and clothing brands like Nike that drives young South Africans to zealously want to be associated with them and be willing to spend all their allowance on these branded goods without a problem? Well to have this and other questions I had relating to youth marketing answered I decided to take a drive from our head-quarters in Randburg just 10 minutes up the road to Bryanston to have a young chat with one of Africa’s biggest youth research and marketing agency. I had initially planned to have a 30 minute chat with these guys but ended up staying an hour and half because once you get them talking you just cannot stop them as these guys are really an exciting bunch passionate about the youth.
HDI Youth Marketeers is a company founded by Liesl Loubser 16 years ago and most of her earlier days of running the establishment were spent persuading corporate brands to see the value in youth markets. A R105bnspend accounted for amoungst South African youth between ages 3-23 clearly shows that the days of convincing corporates on the value and buying power of this market are long gone. The company offers a range of services within the insight and execution space and primarily helps corporate brands create educational, experiential or in-store communications, which are primarily geared at young people. The company does not only run youth targeted campaigns for clients but also has developed its own platforms through partnerships & co-funding. An example of a co-funded partnership is the annual Sunday Times Generation Next youth survey, which is an exciting initiative by HDI showcasing multinational and local brands considered to be ‘cool’ by the South African youth. The survey and research helps brands better understand and in so doing be able to effectively communicate to young South Africans. Research is marshaled throughout 6 South African provinces and the findings are then published on the annual insert packaged within the Sunday Times newspaper.
‘Young people from all over South Africa be it in the township or in Sandton somewhere all have one thing in common & that’s ambition and aspirations’, says Jason Levin the company’s MD. We have seen brands like Nike consecutively hold the no.1 spot in terms of ‘cool’ and according to Jason one of the reasons for this is that these brands have remained consistent in their offering, identity and culture and yet at the same time have been flexible enough to innovate. ‘BlackBerry is a cellular phone brand, you won’t hear that they are now manufacturing cold-drink, they stick to their offering and this is one of the things their youth market appreciates about them.’ Jason added. HDI is a multinational in its own rights as the company operates in Kenya & Nigeria with a slightly different business models in these countries as the markets differ.
Youth between ages 16-35 make up 52% of the South African population making them dominant. Brands that are able to invest in this emerging youth market stand to reap the benefits of their investment in the future. One common mistake that a lot of corporate brands seem to be making is marketing or selling their brand only to consumers that are likely to make an immediate purchase. By this I mean that you are not likely to find a billboard advertising the latest Mercedes or BMW in lower LSM markets just like you rarely find those adverts on youth platforms. What brands need to realize is that people are constantly looking to move up socially and live better lives especially young people as Jason mentioned are very aspirational. Brands that are able to start marketing and exposing their offerings to this youth earlier in their lives are able to plant seeds as these young people will grow up aspiring to drive that Mercedes and BMW based on their exposure to the brand.
HDI is fast growing and we can expect about two or three new platforms from them this year an expansion in new territories with the middle- east being a potential plus a likely investor acquisition keep watching this space.
