Bridget Dore, head of consumer insights and strategy at Pernod Ricard South Africa, spoke to media update’s Adam Wakefield about South Africa’s place in Pernod Ricard’s African strategy, and what the company has recently learnt about its consumers.

Where does South Africa fit in with Pernod Ricard in regards to broader African strategy, and what characteristics are unique to the South African market?

Pernod Ricard has been operating in South Africa for over 22 years and, as such, it is Pernod Ricard’s most established market in Africa, accounting for over half of our business on the continent. Pernod Ricard’s African regional hub and SSA headquarters are located in Johannesburg, but there are also affiliates operating in several key markets throughout Africa, with successful expansion into Sub Saharan Africa, in particular, having been identified as an important market for Pernod Ricard in terms of further growing  global brand presence and portfolio.

There is certainly no “one-size fits all” approach to the broader pan-African market, as each market has unique market dynamics, both in terms of the local consumer profile and the local market preferences and competitor context.

This is reflected in the differences between which brands or categories are leading in the different markets with entry level whisky brands such as Passport dominating in Angola, whereas in Nigeria the more premium whisky or cognac brands such Johnnie Walker and Hennessy enjoy large scale popularity.

South Africa, as a premium spirit market, has its own unique characteristics and when we compare our local consumer typology and trends with those that we see across the continent and the broader global regions, we often find that it reflects a mix of some Western market dynamics coloured by strong local African influences. 

Based on Pernod Ricard’s research with Instant Grass International within the prestige and premium sector, what behavioural habits, psychological habits, and key trends were identified?

One of the key trends that we’ve seen emerging is the growing shift towards “hometainment”. The recent months have seen some big societal shifts in politics, education and religion – both internationally and here in South Africa. 

In these times of relative volatility and uncertainty, consumers really value socialising and connecting with their friends, and they are being increasingly resourceful in ensuring that they have a good night out. While consumers do still enjoy going out to clubs and parties, there is an increasing number of “at home” social occasions – partly driven by financial and safety considerations, but also because people really enjoy connecting with their friends at their homes or hanging out in more informal venues. 

This doesn’t necessarily mean, however, that consumers will downgrade to less premium brands, as these occasions often provide a more affordable environment in which to trial new premium brands, or show and share their knowledge and appreciation of premium spirits with their closer circle of friends.

How is a consumer purchasing a Pernod Ricard product making a statement about their personal taste and status? 

Pernod Ricard brands are aspirational and premium brands make statements about quality, heritage and authenticity and represent a certain type of aspirational lifestyle. There is a psychology behind badging - why individuals want to be associated with these ‘lifestyle’ brands.

When a brand portrays a parallel aesthetic to that of the consumer, it immediately makes the brand more aspiring and appealing in the eye of the consumer when looking at who and what they stand for and the statement they are trying to make when consuming these brands.

Jameson, for example, is a whisky that is aspirational without being pretentious – the brand has built a reputation among consumers for its smooth taste.

Some consumers tell us that they may buy certain premium whisky brands purely because they want to be seen with the brand, whereas Jameson fans feel confident that the brand does reflect their appreciation of a premium quality whiskey, but it’s not a brand that makes an overt singular statement about one’s status or success, but rather conveys their ability to enjoy a great whiskey that friends can enjoy together.

ABSOLUT, has always been seen as a pioneer in the premium vodka space and doesn’t conform to the overly bling messaging that has become typical in the vodka category. With ABSOLUT, there is substance rooted in the brand’s intrinsic quality credentials coupled with the brand's artistic heritage. Many ABSOLUT brand advocates identify with this brand as they feel that it reflects their own personal creativity and flair.

As social media has evolved over the last five years, how has Pernod Ricard’s attitude towards it evolved, from a research point of view?

Globally, Pernod Ricard has adopted a mind-set which prioritises learning and experimentation with new digital analytics techniques, such as data management and social/web analytics. This data needs to be converted into valuable and actionable insights and supports traditional research methods.This helps us to better understand and connect with our consumers by anticipating their needs and trends.

While social media insights help bring our consumers to life, we do continue to place importance on regular, face-to-face engagement with our consumers, as reflected in the ethos of the company’s founder Paul Ricard, who encouraged his staff to actively engage with people on an individual basis in order to understand how they feel about our brands - “to make a new friend every day”.

For more information, visit www.pernod-ricard.co.za.

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