General News
How Discount Solutions Can Drive Customer Loyalty in Africa
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In Africa’s economically diverse and highly competitive market, building customer loyalty has never been more important for businesses. The continent’s consumers are highly price-sensitive, driven by the need to get a bargain or good deal on purchases. Indeed, research on consumer behaviour indicates that affordability and value for money are top considerations for many Africans when making purchasing decisions.
For businesses seeking to stand out and thrive, discount solutions such as those offered by SeerBit provide a powerful way to attract and retain customers. These strategies not only build trust but also inspire repeat patronage, turning casual buyers into lifelong advocates.
Discounts also tap into cultural values and purchasing behaviours that vary across regions, ensuring that businesses connect deeply with their target audiences.
Importance of Discounts in African Markets
Economic factors play a critical role in the effectiveness of discounts. With much of Africa’s population operating on tight budgets, discounts act as a motivating factor that makes goods and services more accessible. For example, a promotional discount can help a consumer purchase essential household items without financial strain. Beyond economic incentives, discounts also tap into emotional triggers that foster brand loyalty. When customers feel they are getting a good deal, they are more likely to associate positive emotions with the brand, enhancing long-term relationships.
Moreover, discounts provide businesses with a competitive advantage in saturated markets. By strategically offering discounts, companies can differentiate themselves from competitors, encouraging customers to choose their products or services over others. This advantage is particularly crucial in sectors like retail and e-commerce where customer retention is key to growth and sustainability.
Popular Discounts Models for African Consumers
Different discount models resonate with African consumers, depending on their needs and cultural contexts.
Loyalty-based discounts: Loyalty-based discounts rewards repeat customers with exclusive deals, encouraging them to continue patronising the business. For instance, a business offering a discount after a specific number or value of purchases not only builds customer trust, but also boosts sales through consistent engagement. This strategy appeals to customers who value recognition for their loyalty.
Seasonal promotions: Seasonal promotions linked to cultural and local events are another effective strategy. For instance, during festive seasons like Ramadan, Christmas, Valentine’s Day, etc., businesses can provide discounts on relevant products, creating an emotional connection with customers while driving sales.
Referral discounts: These are equally impactful, as they leverage word-of-mouth marketing by rewarding existing customers for introducing new ones. This type of discount encourages social proof and expands the business’s customer base organically.
Flexible payment options: When tied to discounts, these are especially powerful in Africa, where digital wallet adoption is growing rapidly. Discounts that incentivise customers to use mobile money or other digital payment methods promote financial inclusion while simplifying transactions. For example, offering a small discount for payments made via platforms like M-Pesa encourages faster adoption of these tools, while enhancing customer satisfaction.
The Role of Technology in Delivering Discounts
Technology is revolutionising how discounts are designed and delivered. Mobile payment systems allow businesses to integrate discounts seamlessly into their platforms. Customers receive instant cashback or discounts at checkout, enhancing convenience and satisfaction.
AI-powered personalisation further elevates the experience by tailoring offers to individual preferences. By analysing customer behaviour, AI algorithms suggest discounts on products that customers are more likely to purchase, increasing conversion rates. This level of personalisation fosters a sense of exclusivity, encouraging customers to return.
Data analytics also plays a crucial role in optimising discount strategies. Businesses can track customer responses to various discount campaigns, identifying what works and what doesn’t. This data-driven approach ensures resources are allocated efficiently, maximising ROI. Companies like SeerBit have built platforms that support instant cashback and reward programs, simplifying the management of discount campaigns for businesses across industries.
Real-World Success Stories
Across Africa, businesses are witnessing tangible benefits from well-implemented discount programs. Jumia Black Friday sales is an example of a successfully implemented discount program. For example, in 2021, Jumia’s Black Friday revenue increased by 30% to $150 million, and it has continued to experience a year-on-year increase. TEMU is also a recent and very good example of a brand that has leveraged discount offerings to drive customer adoption and repeat patronage.
Common Challenges and Solutions
While discounts are highly effective, there are a few challenges that some businesses still have to navigate
Over-discounting: Over-discounting is capable of eroding the profit margins of business. To avoid this, companies should align discounts with broader business goals, offering them strategically rather than indiscriminately.
Fraud: This is a present concern with digital transactions. Secure payment gateways, such as those offered by SeerBit, help mitigate these risks by verifying transactions and ensuring transparency.
Transparency: This is essential for maintaining customer trust. Clear communication about terms and conditions prevents misunderstandings, ensuring customers fully understand the value of the discounts offered. Businesses that prioritise transparency in their discount programs are more likely to build loyal customer bases.
Best Practices for Implementing Discounts
Successful discount programs are built on strategic planning and execution.
Align discount strategies with business goals: This can be to drive sales, enhance customer retention, or increase market share.
Use clear messaging: Discounts should be communicated through engaging campaigns on social media, email and other marketing channels. For instance, using visually appealing graphics and videos of winners can make discount promotions more attractive and authentic.
Promote discounts effectively through social media, email campaigns and partnerships.
Monitor and measure the ROI of discount initiatives. By analysing metrics such as redemption rates and customer feedback, businesses can refine their strategies to achieve better results.
Why Discount Solutions Represent Game-Changer for Businesses
Discount solutions play a critical role in the successful implementation of discount programs. They enable businesses to automate processes like instant cashback and reward allocation, reducing the administrative burden and enhancing customer experience.
SeerBit’s secure and user-friendly discount solution is designed to support innovative discount initiatives tailored to African markets, empowering businesses to deliver value seamlessly. The SeerBit Discount Feature enables businesses to configure and apply discounts based on their unique requirements to suit various product/service types.
With businesses often struggling to implement and manage discounts effectively, leading to missed sales opportunities and customer dissatisfaction, the SeerBit Discount Feature addresses this challenge by providing a user-friendly solution that streamlines the discount configuration process, enabling businesses to attract customers, boost sales and enhance customer satisfaction.
The SeerBit Discount Feature is ideal for businesses of all sizes across various industries, including retail, e-commerce, hospitality and more.
How it Works
With the SeerBit Discount Feature, businesses can access and set up discounts using card BIN with options to specify single or multiple card BINs. Alternatively, discounts can be set up based on payment methods. In addition, the SeerBit Discount Feature allows businesses to decide how the discount is applied. This could be via flat amounts or as a percentage on their prices, thereby encouraging flexibility and convenience.
Users can also define the period for the discount, including start and end dates. This feature allows businesses to schedule discounts in the future or deactivate upcoming discounts
Discount solutions are a proven strategy for driving customer loyalty in Africa. By leveraging technology, understanding market dynamics and adopting best practices, businesses can create meaningful connections with their customers. As competition intensifies, staying ahead requires not just offering discounts but delivering them strategically.
General News
NAFDAC Introduces Traceability Technology to Combat Fake Drugs
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National Agency for Food and Drug Administration and Control (NAFDAC) has taken a significant step in its fight against substandard and falsified drugs by introducing advanced traceability technology in Northwest Nigeria.
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Professor Mojisola Adeyeye, director-general, NAFDAC,
This initiative aims to ensure the safety and efficacy of medical products available to the public.
The agency has deployed a traceability system designed to monitor the movement of pharmaceutical products from manufacturers to end-users.
This system enhances transparency in the drug supply chain, making it easier to identify and eliminate substandard and falsified medicines.
One of the key tools introduced is the GreenBook, a digital verification platform that enables consumers and regulatory authorities to authenticate pharmaceutical products in real time.
In addition to the traceability system, NAFDAC has launched the Paediatric Regulation 2024, which focuses on addressing the unique medical needs of children and ensuring that paediatric medicines meet stringent quality and safety standards.
Professor Mojisola Adeyeye, director-general, NAFDAC, emphasised that the introduction of these technologies aligns with the agency’s broader mandate to protect public health. She stated that the five-year traceability implementation plan, in line with the Nigeria Pharmaceutical Traceability Strategy, will enhance supply chain visibility and further strengthen measures against substandard and falsified medical products.
By leveraging these digital solutions, NAFDAC aims to restore public confidence in the pharmaceutical sector, ensuring that Nigerians have access to safe and high-quality medicines.
The initiative also supports the agency’s ongoing commitment to enforcing regulatory compliance and tackling the challenges of counterfeit drugs in the country.
General News
New Horizons Partners Four More Varsities on ICT Empowerment
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New Horizons, a technology training institute has partnered with additional four universities to train their students in 21st-century-oriented, lucrative international certification-based ICT and project skills.
The universities include Lagos University Teaching Hospital Schools, Hillside University of Science and Technology, Aletheia University, and Ahman Pategi University.
The initiative was a response to the increasing demand for highly qualified graduates who possess both academic excellence and internationally recognized professional IT, e-business, and project management certifications, aimed at addressing the pervasive graduate unemployment syndrome.
The management team of New Horizons, led by the MD/CEO, Mr. Tim Akano, was present at the events. Akano asserted that the four universities had taken a bold step toward making their institutions relevant in the 21st century by embracing the rapid advancements in emerging technologies such as AI, robotics, and machine learning.
He further stated that New Horizons would leverage its 43 years of international experience as a U.S-based organization with 370 centers in 71 countries and 20 years of operations in Nigeria.
With existing partnerships with 25 Nigerian universities, New Horizons aims to ensure that undergraduates are equipped with internationally recognized IT, e-business, and project development skills.
The stakeholders emphasised that the initiative was designed to enhance post-graduation employability and entrepreneurial opportunities for graduates, positioning them to compete on an international level with their counterparts from the U.S., Europe, Asia, and other parts of the world.
Vice-Chancellor of Hillside University of Science and Technology, Oke-Imesi, Ekiti State, Professor Iheayinchukwu Okoro, led other principal officers of the institution to sign the commencement of the training programme with New Horizons on September 23, 2024.
Similarly, at an event hosted by the Chief Medical Director (CMD) of LUTH, Professor Wasiu Lanre Adeyemo, on December 17, 2024, a strategic partnership was established with the school. The principal officers led by the CMD, expressed excitement over this landmark achievement, stating that the collaboration would enhance the institution’s training programmes with ICT, aligning them with global medical developments.
Also, the partnership was launched at Aletheia University, Ago-Iwoye, Ogun State, on October 20, 2024. The principal officers, led by Professor Amos Adeyinka, stated that the collaboration would increase the value of students both before and after graduation by providing entrepreneurial empowerment and preparing the institution for global competition.
General News
Rising Costs, Rising Challenges: What’s Forcing Telcos to Increase Costs?
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After over a decade of maintaining stable pricing, Nigeria’s telecommunications industry has implemented a 50% tariff increase, a move that has stirred mixed reactions and ignited conversations nationwide.
Approved by the Nigerian Communications Commission (NCC) on January 20, 2025, this adjustment marked the first tariff change in 12 years and is attributed to rising operational costs and the need for long-term sustainability within the sector.
Reactions to the tariff hike have been largely focused on the newly-priced data plans. However, charges for SMS, and voice calls have increased across different networks. Users noticed that text message prices have risen to N6.00 from the previous N4.00. Telco giant, MTN Nigeria, began to implement the increase on its data prices. Followed closely by Airtel. Glo and 9mobile are expected to follow suit. (Additionally, Airtel has introduced a 25 kobo flat rate for all voice calls.)
The price hikes have sparked widespread discussions, with subscribers taking to social media to voice their discontent. Nigerians have expressed concerns over higher telecom costs, especially with rising inflation and the removal of fuel subsidies. Telecom operators have explained, on the other hand, that call and messaging tariffs have remained static for years, while they have faced soaring operational costs. These costs have been driven by inflation, exchange rate fluctuations, and the substantial investments required to meet growing consumer demand. Industry data indicates that running costs have surged by over 300% in the last 18 to 24 months, forcing operators to scale back investments in network infrastructure.
According to the Chairman of ALTON, Gbenga Adebayor, many systems within the telecom sector are outdated and require optimisation. In his words, “If nothing is done, we might begin to see in the new year grim consequences unfolding, such as service shedding. Operators may not be able to provide services in some areas and at some times of the day leaving millions disconnected.”
The coming months will be critical in determining whether the tariff increase can indeed revitalise the industry and pave the way for sustainable growth.
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