by Leigh Andrews
ABSA was voted the Top Banking Brand in South Africa in the
2006 Sunday Times / Markinor Top Brands Survey, as well as the Coolest Bank in this year’s
Sunday Times Generation NeXt Awards, voted for by urban South African youths between the ages of eight and twenty-two. This is proof that the bank has literally ‘pulled up its socks’ in recent years and decided to become a truly recognisable brand, through an innovative new marketing strategy that sees the bank targeting specific demographic and age-related sectors of the market audience.
Paul Coxhill of ABSA spoke at a recent Village Pro event sponsored by ABSA, held at the Johannesburg Country Club, Woodmead. He emphasised the importance of understanding not just the market one caters to, but also the specific people one’s proposition is aimed at. He elaborates that the challenge lies in balancing what one knows and what the audience knows of the topic, with what one is trying to express. Different generations have entirely different mindsets, and should therefore be addressed with this in mind- as individual market sectors, as opposed to a general ‘ABSA customer base’.
Despite these generational differences, Coxhill described various trends common among all age groups. These include a need for instant gratification, virtual social interaction technological literacy (even among the older generation), big brand associations, and being perception driven. Coxhill adds that companies need to take advantage of these psychographics by embarking in conversations with customers in the new social mediums, as opposed to waiting for customers to contact them through a more traditional route.
Coxhill adds that South Africa is patriotic; entrepreneurial; creative, and future-orientated, with age as the least important psychographic variable. In addressing customers, ABSA takes their income and attitude into account, as people of different ages can have a similar midset and lifestyle. He feels marketers should not assume anything based on what they see. As opposed to the typical market research method of holding focus groups, he explained how ABSA’s researchers hung out in bars, visited older clients at home, and asked questions while standing in banking queues, in order to get more informal, useful responses. Results were surprising. For example, the over-55 group has become the fastest-growing group of internet-users. He went on to explain that advertisers have taken this to heart and decided to target a wider group in their campaigns, such as the latest Nintendo Wii ads, which are aimed at all demographic groups, including families, elderly people, the youth market, and people who merely want to stay fit. Therefore, advertisers need to keep in mind that stereotypes on the page are different to the reality.
ABSA realised that as a financial institution catering to the mass market, not every message would be well-received by all people- but simply having a presence in the audience’s wider awareness would create awareness of the bank. It therefore decided to tailor its advertising messages and services, to reach specific customers. For the entry-level market, there’s a new pre-paid banking style, similar to loading airtime on a cellphone. Stokvel or communal banking appeals to the older market, while general ABSA branding ads appeal to the core, middle and niche markets. ABSA has also developed marketing strategies aimed at family banking, and recently embarked on an Islamic banking training initiative, so as to ensure staff are aware of how to treat clients of different cultures.
For each different market segment, the company employs and engages with people of the specific age group, to ensure their campaigns are hard-hitting and relevant, and that they have the right target ‘audience member’ in mind. The ABSA challenge as a brand is to be all things to everyone (overarching the specific demographically targeted ads)- to find an idea we can all connect to, regardless of our differences- generational or otherwise. ABSA’s current unifying branding theme is ‘Hopes for the future’. This is evident in their latest ‘Put your best foot forward’ campaign, which goes to a space where banks are not traditionally found. ABSA has embraced this trend by launching a
Facebook profile page, where customers can interact with the company, leaving comments and messages on its message wall. This page is linked to a competition running until 17 July, where entrants stand a chance of winning an Apple Mac notebook, by describing how they put their ‘best foot forward’. ABSA will select the top 10 best entrants, and Facebook users will narrow these down to find the winner. This further enhances the bank’s interactivity and accessibility for customers.
To embrace the kids and ‘tweens’ market, ABSA sponsors the World Knowledge Olympiade, and is strongly promoting investing in what comes next- teaching parents that it’s never too early to start saving for their children’s future. ABSA has a MXit platform, which is an innovative way of reaching and interacting with the youth market. ABSA’s mobisite, Mibli, will be launched in the next few weeks. This is a mobile ecosystem developed by Blue Label Telecommunications. It offers a potential market bouquet, through an exciting portal filled with services and a chat feature where users can ‘stay connected’ and interact with friends- and of course, learn to manage their finances. Adding to its presence in the youth market, ABSA is also on the virtual reality world, Second Life, thereby engaging in a fun, interactive new medium where they can connect with young clients in an original way. The bank has adopted Idols winner Jody as a brand ambassador, to create a young ‘face’ for the company among this market.
ABSA embarked on a different approach in reaching the student market. Campus billboards were erected, and ABSA sponsored the Design Indaba. A recent campaign saws ABSA offering students the chance to purchase a laptop off their student loans, and branding of various cars and campus student buses. This enhanced the bank’s mobile presence and helped take the brand to the people, in an attempt to better understand what customers want and need. ABSA also offers its student account holders a free fantastic all-encompassing package called Campus Kulcha, which is comprised of a number of useful services. These include a telephonic information and procurement service; as well as a negotiation/ search for cheaper travel packages; and excellent deals on a wide range of products such as cellphones, appliances, and gadgets. There’s also a portal for members to access digital CV uploads and updates; and a service providing assistance in emergencies at campuses or on the road. The package also offers assistance throughout the process of buying new or used motor vehicles; a telephonic counselling in case of accidental exposure to HIV; a research centre for assistance with assignments ; and information on gig and event happenings (with directions).
Professionals are catered to with various products, specific to their demographics. This affluent market will most likely be attracted to the new Centurion branch, where specific technologies and channels are used as a platform for customers who aspire to be treated differently. The bank has a different look and feel, for this specific niche market.
In keeping up with technological advances, the ABSA website is updated regularly and provides the option of receiving RSS feeds of breaking news. NotifyMe, ABSA’s initiative to inform clients of any movement within their accounts via sms, offers clients the chance of winning a Vuka Skuta motorcycles, and new internet banking clients stand a chance of winning a laptop. This increases the brand’s value and reputation among the target market, as it is seen as a bank offering more than just financial services.
In an environment where banks are now struggling, it has become important to offer a range of focused strategies, and offer several options in one advertisement. Coxhill ended his talk by stating that technology is a massive enabler, particularly with the new trends of social and mobile media. It’s essential to try understand the technologies one’s company employs, to create a level of understanding within the work environment. Conxhill concludes that the question to be answered is, “How do I take what I am applying externally, to my company internally?”