Mobile is the key that unites emerging markets
As growth in Brazil, Russia, India and China—known as the BRIC countries—slows, multinational consumer packaged goods (CPG) brands are examining other developing markets where young populations with a growing middle class are hungry for new products and experiences, according to a new eMarketer report, “CPG in Developing Markets: Consumers' Digital Habits in Emerging Economies.”
Demographics, geography, infrastructure and unstable political situations will create challenges for brands as they enter new territories. But these markets also present great opportunity.
In many of these markets, a young, mobile-connected middle class has emerged that is beginning to recognize and prefer name brands. But these mobile-toting consumers don’t necessarily parallel American or European consumers, or even each other. Indeed, mobile is probably the only universal marker—a starting point when considering the opportunity.
Infrastructure may be suboptimal in many of these markets, but this has sometimes been a catalyst for innovation and new consumer behaviors. The development in Kenya of a simple, successful mobile banking system is indicative of how these countries’ consumers are leapfrogging over traditional technologies to embrace new ones.