News
4 Disastrous Ways to Push Your Start-up Through Lies
There was this popular ad on TVs and billboards. The ad introduced a croissant brand into the one of the biggest emerging markets in Africa, Nigeria.
In fact, the feeling was great, the visuals were powerful and compelling. To crown it all, a popular celebrity was used to personify the brand.
If there were a thousand and one consumers craving for the product, I was one of them but for several weeks, I couldn’t lay my hand on ituntil on a very tiring day while returning home from work.
The adrenalin rush to devour the croissant was unimaginable but hey, the traffic law says you shouldn’t eat why driving!
The whole excitement turned into dissonance even before consumption. The product size could not measure up to the same as the size portrayed by the advertisement.
I felt cheated, embarrassed and discomfited for wasting my hard-earned money on a product that could not deliver its promise.
Since there was no value for money, repeat purchase was the last thing on my mind and never would I allow my close associates to make the same mistake.
Things like these are common in mostemerging markets and because the consumer laws are rather weak in these markets, advertisers sometimes escape the necessary regulatory scrutiny and whack.
Be that as it may, below are four ways I think your start-up can unsuccessfully lie to its market:
Making Promises You Can’t Fulfil
Every start-up should be reminded that a brand is a promise to the consumer to deliver a particular desired experience most of the time.
It should be known that consumers offer their trust and loyalty with the implicit understanding that your brand will behave in certain satisfying ways through product/service performance and through appropriate pricing, promotion, and distribution programs. In the croissant story earlier told, do you think I felt cheated because the product was too small? Not at all.
I felt embittered because the advertiser had failed in its promise to meet my expectations as conveyed in the billboard and television.
Believing Advert Would Do The Magic
Troublingly, many well-funded start-ups oftensubscribe to advertisingto blatantly make implicit promises they would never keep.
When the product or service doesn’t match up to the advertised promise, isn’t that like cheating, or at some level, stealing from people’s hopes?
Well, your ever wise customers would soon realise this, jettison your brand and pitch their tent with your competition who is real and truthful.
A marketing professional once said that advertising is powerful but ad is not what the consumer is buying.
You can spend one billion dollar on ad, if the product lacks merit, you would not sell. In fact, your ad begins to irritate. The value of an ad is based on the fact that the product is right.
There is a coinage in marketing, which underscores this, that the best way to kill a bad product is to advertise it.
Bad Positioning
More importantly, in our social media crazed world, venting out broken promises made to consumers has instant ramifications to the credibility and trajectory of your start-up’s perceived value.It is true that the goal of any brand positioning exercise is to develop a brand promise that is unique, compelling and believable.
Any successful brand positioning project must evaluate all potential brand promises against these three criteria – unique, compelling and believable. The winning promise must deliver against all threecriteria or it won’t work.
Thinking That Lies Would Engender Profitability
It’s wrong to assume that lies would ensure profitability. In fact, a lie told will only stimulate trial but never engender repeat purchase that can guarantee sustainable profitability.
Most times, a betrayed consumer will make sure others around him never fall victim. Tell the truth and don’t shoot yourself in the leg.
Don’t over promise and under deliver. Lies shouldn’t be ‘sold’ to push your start-up.
I’m sure you’re still interested in the croissant story I shared with you at the beginning of this article.
Well, I’m pleased to inform you that its makers only survived for two years. The croissant is abysmally dead, never to be resurrected.
Is your start-uppositioned to lie? If yes, please have a rethink!
Jide Ayegbusi is the founder of Edusko.com, an edtechstart-up that connects Africans with good and affordable schools in Africa and beyond. Follow Jide on twitter @jideayegbusi.
National Orientation Agency (NOA) has revealed that an investigation by its Community Orientation and Mobilisation Officers (COMO) uncovered unethical practices by some tertiary institutions, in collaboration with certain banks, that are depriving students of their rightful access to the Federal Government Student Loan Fund.
Paul Odenyi, deputy director of Communications and Media, in a statement Sunday, disclosed that several universities and financial institutions have been found engaging in fraudulent activities that prevent students from receiving the loans allocated to them.
Mallam Lanre Issa-Onilu, director general, NOA, shared these troubling findings following a high-level meeting with Mr. Akintunde Sawyerr, managing director, Nigeria Education Loan Fund (NELFUND), over the weekend.
According to NOA, preliminary reports led to an urgent intervention from NELFUND after it was discovered that some university officials had deliberately withheld critical details about student loan disbursements.
Further feedback from NOA confirmed that certain institutions, in collusion with banks, have intentionally delayed payments to approved applicants for dubious financial gain.
Additionally, some universities do not acknowledge the disbursements made by NELFUND to students.
Sawyerr confirmed that certain institutions have withheld information about loan payments issued in students’ names while still demanding tuition fees from them.
He warned that NELFUND is ready to take legal action against institutions found guilty of engaging in fraudulent practices.
He stated, “Recent findings by NELFUND have shown that some institutions have received student loan disbursements directly into their accounts yet neglect to inform the affected students or record the payments in their financial records, leading to unnecessary confusion.
“Withholding critical financial information from students is not only unethical but also a breach of the principles on which NELFUND was founded.
“We are prepared to take legal action against any institution engaged in such deceptive practices.”
The investigation revealed that in some instances, universities continued to demand full tuition payments from students, despite having already received the loan funds intended to cover those fees.
According to the NOA, this constitutes a gross violation of student rights and a betrayal of public trust.
Issa-Onilu, therefore, issued a strong warning to the institutions and collaborating financial institutions, demanding an immediate end to these actions.
He also directed all NOA state directorates to intensify feedback collection from students nationwide to aid the Federal Government in identifying and penalising the erring parties.
The NOA emphasised its commitment to transparency, accountability, and ensuring that students benefit fully from the government’s intervention in education financing.
The statement added that the investigation remains ongoing, and further actions are expected in the coming weeks.
Central Bank of Nigeria (CBN) has announced a remarkable $6.83 billion balance of payments surplus for 2024, marking a decisive turnaround from deficits of $3.34 billion in 2023 and $3.32 billion in 2022.
This achievement reflects the impact of sweeping macroeconomic reforms, stronger trade dynamics, and renewed investor confidence in the nation’s economic direction.
Speaking at the 36th Enugu International Trade Fair, Acting Director of Corporate Communications, Mrs. Hakama Sidi Ali, highlighted the CBN’s commitment to addressing economic challenges and fostering productivity, particularly for SMEs.
She emphasized the importance of robust financial systems, foreign exchange stability, and collaboration between monetary and fiscal authorities in achieving industrial development and global recognition.
The President of the Enugu Chamber of Commerce, Sir Odeiga Jideonwo, commended the CBN’s efforts but expressed concerns over the recent hike in interest rates, cautioning that it could hinder access to credit for businesses.
This surplus signals a positive trajectory for Nigeria’s economy, benefiting investors, businesses, and citizens alike.
News
Senate Committee Partners with Kuda Bank to Tackle Compliance Crisis as Nigeria Loses ₦3.4 Trillion
Over ₦3.4 trillion in financial infractions were uncovered across federal Ministries, Departments, and Agencies (MDAs) in 2021, according to the Auditor General’s report — a staggering figure that highlights Nigeria’s deepening compliance crisis and the urgent need for stronger oversight in public institutions.
In response, the Senate Committee on Legislative Compliance is hosting a high-level workshop to address the root causes of weak oversight and institutional gaps. The two-day event, with the theme ‘Consolidating Strategies for Strengthening Legislative Compliance by MDAs’, will take place on April 15 and 16, 2025 at NAF Suites, Abuja, bringing together lawmakers, regulators, and over two hundred representatives from federal MDAs.
Kuda Microfinance Bank is co-sponsoring the workshop as part of its commitment to supporting responsible innovation, governance, and regulatory alignment in Nigeria’s financial ecosystem.
Rasaq Kadri, Kuda’s Head of Compliance, will deliver a keynote address on the second day of the event, highlighting the efforts of Nigeria’s fintechs to promote inclusion and financial literacy without compromising on compliance best practices.
“When public funds go unaccounted for, it doesn’t just damage government credibility, it affects the entire financial ecosystem, including fintechs,” said Kadri. “We can’t build trust-driven products in a trust-deficient environment. Every time compliance is treated as a box-ticking exercise, we miss the chance to build something that lasts. Fintechs have the tools and perspective to support better governance, but more importantly, we have a responsibility to be part of the solution.”
As a sponsor, Kuda will take the workshop to engage directly with key stakeholders in Nigeria’s regulatory and public service ecosystem.
Plenary sessions will be chaired by the Honourable Attorney General of the Federation, Lateef Fagbemi SAN, and the Honourable Minister of Finance, Wale Edun. Conversations will focus on closing compliance gaps, strengthening institutional transparency, and promoting cross-sector collaboration.
The Senate Committee on Legislative Compliance Workshop is a unique platform for dialogue, knowledge-sharing, and collaborative action.
KONFAM 89.5 FM Hits Airwaves in Lagos Tomorrow
CBN Pumps in Additional $150m into Forex Market to Safeguard Naira
Sanwo-Olu, Others Grace Launch of 50-Bed Hospital in Surulere by Avon Medical
GenCos Threaten Nationwide Blackout over N4 Trillion Debt
SERAP Calls for Withdrawal of Nigeria’s Data Act Amendment
E-Business1 day agoNITDA Warns Against Fake Google Play Store
E-Financial1 day agoAfrica Loses $88.6Bn Yearly to Corruption- ECOWAS
News1 day agoNOA Uncovers Fraud by Banks, Universities in Students Loan Scheme
E-Financial1 day agoUBA Redefines Banking with Next-Gen PoS Terminals and Revamped MONI App
E-Financial1 day agoNIBSS Heads to Court to Recover N4Bn Lost due to System Glitch
General News1 day agoLagos Commences Integration of NIN with State Single Social Register
E-Financial1 day agoSEC Bans Unregistered Digital Asset Exchanges, Online Forex Platforms
General News1 day agoNigeria Records $6.83Bn Balance of Payments Surplus in 2024 Amid Economic Reforms