SOUTH AFRICA: BETWEEN A ROCK AND A HARD PLACE - Ipsos
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SOUTH AFRICA: BETWEEN A ROCK AND A HARD PLACE The tension between the economic downturn and the fear of the Covid-19 pandemic Ipsos South Africa 7 August, 2020 © 2020 Ipsos. All rights reserved. Contains Ipsos' Confidential and Proprietary information and may not be disclosed or reproduced without the prior written consent of Ipsos.
THE STORY SO FAR…
1 2 3 4 5 6
March ‘20 April ‘20 May ‘20 June ‘20 July ‘20 August ‘20
Covid-19 seen as The Lockdown will Reality dawns: our Uncertainty and Getting to terms: we Dealing with
an economic rather last longer than 3 lives are changing confusion; job are in this for the corruption?
than a health crisis weeks! losses long haul
2 © Ipsos 2020
THE WORLD IS HEADING IN THE WRONG DIRECTION
61% globally think the world is heading in the wrong direction, with 79% of South Africans thinking
the country is heading in the wrong direction
World
-61% 39%
South Africa
-79% 16%
3 © Ipsos 2020 July 2020
Source: Ipsos Global Advisor (What Worries the World)
…AS GLOBALLY, THERE ARE MANY CONCERNS
Covid-19 is becoming less of a threat - there are now more serious concerns
70%
0,7
60%
0,6
Coronavirus /
Covid-19
50%
0,5
Unemployment
40%
0,4 Poverty & Social
Inequality
30%
0,3
Financial / Political
Corruption
20%
0,2 Crime & Violence
Healthcare
10%
0,1
0%
0
Jan '20 Feb '20 Mar '20 Apr '20 May '20 Jun '20 Jul '20
4 © Ipsos 2020 January - July 2020
Source: Ipsos Global Advisor (What Worries the World)
WE CONTINUE THE GRADUAL MARCH TO RE-ENTRY…
“There are often several phases or stages that people go through when times are hard. Which one of the following phases do you feel best
describes your current situation?”
PRE ADJUST- OPENING NEW
PREPARATION ACCLIMATISATION RE-START POST PANDEMIC
PANDEMIC MENT UP NORMAL
The pandemic has not I am getting ready for
I am reacting day-by-day to I have adapted to the I am starting to do some I feel the pandemic is behind
reached my area and/or possible new restrictions, It seems restrictions will I am doing most of the things
the restrictions and restrictions and settled into things again that used to be me, and I am moving on with
there have been no preparing, and stockpiling soon be lifted in my area I used to do pre-Covid
establishing new routines new routines restricted life
restrictions supplies where possible
WW
June 5% 8% 17% 32% 9% 17% 9% 4%
18 - 21
WW
May 3% 8% 21% 41% 13% 7% 5% 3%
7-10
SA
May 2% 6% 27% 45% 10% 6% 2% 1%
14 - 17
5 © Ipsos 2020 May - June 2020
Sources: Ipsos Signals webinar – 8 July’20
BUT RETURNING TO NORMAL IS TAKING INORDINATELY LONG
There is a significant increase in nearly all countries that a return to normal will be at least a year.
How long do you think it will take before things feel like they are getting
back to normal?
In March, South
Africans thought
58%
44% 45% 43% 44%
50% the Coronavirus
41% 39%
37% 38% 36%
29%
35%
28% 29% would be a thing
24%
of the past by
June…
WW AU BR CA DE ES FR IN IT JP MX RU SK UK US ZA
Change since May
8 13 8 8 5 5 9 7 0 16 15 9 19 1 7 14
% 1-2 years & 2 years or more
6 © Ipsos 2020 May - June 2020
Source: Ipsos Essential Report
THAT DOESN’T MEAN WE’RE COMFORTABLE WITH IT
Anxiety about resuming normal activities is particularly high in India, Brazil, Japan, Mexico and
South Africa
Thinking about resuming normal activities after the pandemic makes me
feel very anxious.
82% There is a growing
74% 74% 72%
65% 67% recognition that
62%
59%
57%
51% 51%
we will not be
47% 45%
39% 39% returning to the
35%
lives we knew
anytime soon.
WW AU BR CA DE ES FR IN IT JP MX RU SK UK US ZA
% Strongly/Somewhat Agree
7 © Ipsos 2020 May - June 2020
Sources: Ipsos Signals Webinar – 8 July 2020
WE QUESTION IF NORMAL WILL EVER LOOK LIKE ‘NORMAL’
AGAIN?
Mexicans, Indians, South Africans and Brazilians expect to adapt to a new world
Over time people will resume ‘regular’ activities. Thinking long-term,
which of these statements will best apply to you?*
62% 63%
“A brave new
world…”
55% 55%
48%
42% 44% 42%
40% 39%
35%
32% 30%
23% 24%
* I will change many things about the
17% way I live and what I do
* My life will completely change as a
result of Covid-19
WW AU BR CA DE ES FR IN IT JP MX RU SK UK US ZA
Change since May
3 8 3 -4 6 1 -3 10 -7 19 18 1 10 6 2 -1
% Many changes & Completely change
8 © Ipsos 2020 May - June 2020
Source: Ipsos Essential Report
…AND THERE ARE MANY NEW RISKS TO BE TAKEN
South Africans foresee also many practical risks to be taken in the post-Covid world
WW / Total South Africa
Dining at a restaurant 64% 83%
Taking a vacation 64% 83%
Going to salons, barber shops, or spas 62% 78%
Attending in-person gatherings of friends and family
59% 80%
outside your household
Going to the grocery store 52% 76%
Shopping at retail stores 52% 77%
Returning to your normal place of employment 50% 69%
Doing your job 43% 51%
% Large & Moderate Risk
9 © Ipsos 2020 June 2020
Source: Ipsos Essential Report
… AND CHOICES TO BE MADE
Living with the tension between public health and the economy
Neutral
13%
13%
Neutral
30%
Strongly
18% Agree Public Health is more important
Agree
55%
13%
25%
Strongly
Agree Agree The Economy is more important
31%
10 © Ipsos 2020 June 2020
Source: Ipsos News24 Survey – Q15.1. Statements: Public health vs. the economyTHE SOUTH AFRICAN ECONOMY HAS BEEN STRUGGLING
FOR A WHILE
GDP QTR Growth Overview Unemployment is on the rise
Consumer Confidence Weakening Rand
11 © Ipsos 2020 May - June 2020
Source: FNB and Bureau of Economic Research
http://www.statssa.gov.za/?p=13401AND COVID-19 HAS MADE THINGS WORSE
For its part, S&P notes that 2020 has one thing in common with previous years — most South Africans will be poorer at
the end of the year than they were at the start. The government can at least blame the pandemic this year.
https://www.dailymaverick.co.za/article/2020-05-25-sp-sees-sa-economy-contracting-4-5-in-2020-and-notes-sour-long-term-gdp-per-capita-trend/#gsc.tab=0
12 © Ipsos 2020 May - June 2020
Source: https://www.dailymaverick.co.za/article/2020-05-25-sp-sees-sa-economy-contracting-4-5-in-2020-and-notes-sour-long-term-gdp-per-capita-trend/#gsc.tab=0
https://businesstech.co.za/news/government/409499/ramaphosa-warns-of-job-losses-we-have-to-be-realistic-about-our-prospects/
https://twitter.com/TheSun/status/1256395482500341761HOW IS ALL THIS MAKING YOUR CUSTOMERS FEEL
Find out with ‘Closer to Customer’: A qualitative immersive experience.
Be part of consumers’ new reality and understand the new norms shaping their lives and behaviors.
Decisions which normally took a long time to negotiate are currently being made on the spur We have designed a series of qualitative immersive
of the moment and sometimes with very little consideration. People are faced with new experiences in order to be part of consumers’ reality
challenges daily which needs to be resolved in a quickly shifting environment. Now more than and understand the new norms shaping our lives
ever it is important to stay close to customers to tap into these behavioural changes and get a and behaviours. Our solution is flexible and
feel for what will stick and what will be discarded. affordable, allowing for a degree of customization
when it comes to adding specific research questions
OUR PROPOSITION AT A GLANCE and modular approach to purchase.
WHAT DO WE SELL?
• A bundle of 3 conversations across 3 different LSM Ownership # of groups Price
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• You can choose how many topics you want to Individually
1 topic of 3 R75 000
purchase owned
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WHY DO YOU NEED THIS? Shared 3 R45 000
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a way that is engaging, immediate and comes at an 2 topics of 6 R126 000
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WHAT IS THE STRUCTURE OF A GROUP?
• 4 respondents per group, 1 Hour online conversation Individually
• You would be invited to listen in with space for asking 3 topics of 9 R162 000
owned
questions directly to the participants for 20 minutes at choice
the end of the session Shared 9 R99 000
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WHAT IS THE OUTPUT? All 8 24 R432 000
owned
• 5 Minute impactful videos per topic across LSMs topics
Shared 24 R264 000
13 © Ipsos 2020 MAREE FOUCHE +27 (0)82 379 4497 maree.fouche@ipsos.com
• Fully Owned (You are the only client in this group): Customised to your LSM requirements.
• Shared (Up to two other clients listening in on group): LSM across 3 different tiers.
• Excluding VAT.14 © Ipsos 2020
AND THIS ANXIETY IS EXPECTED TO LINGER
Over 50% stating their finances have severely been affected & those not yet impacted anticipate to
be impacted in the future.
APRIL 2020 MAY / JUNE 2020
Do you agree or disagree with the following: Q: How severely or not has the Covid-19 pandemic affected your
Very Likely / Somewhat Likely personal finances
0 is no effect at all and 10 is severely affected 33%
The coronavirus or COVID-19
10% 9% 11% 9%
outbreak will have a financial 5% 3% 4% 3% 6%
impact on me and my family
1 2 3 4 5 6 7 8 9 10
90%
Q: How was your salary/wage/income affected by the Covid-19
pandemic?
Salary / Wage / income was reduced 35
A major employer in South
Job was lost 14
Africa or in my city will go out
Was requested to take unpaid leave 8
of business
No difference yet, but expect change 21
75%
No difference, change not expected 21
Salary / wage increased 1
Wave 2: n=1,000 / N=26,411,804
15 © Ipsos 2020 April - June 2020
Sources: Ipsos Covid Tracker: 20-23 April 2020
Ipsos News24 Research: 25 May – 4 June 2020UNEMPLOYMENT IS OUR TOP CONCERN
With the COVID-19 pandemic only ranking 4th after Corruption and Crime & Violence
76% stated that they were earning an income pre-lockdown and of them 78% said their job security and salary have been affected by the
lockdown. Covid-19 is ranked 4th on SA’s Worries. SA continues to feel the strain from pre-Covid19 issues.
South African Worries – July 2020 Unemployment is a global issue
Unemployment 60%
Crime & Violence 55%
62% 60%
Financial/Political Corruption 51% 59% 59%
50% 51%
Coronavirus 36% 47%
40% 39%
Poverty & Social Inequality 34% 34% 35% 35%
30% 31%29%
Education 14%
19%
Healthcare 13%
Immigration Control 7%
Moral Decline 5% WW AU BR CA DE ES FR IN IT JP MX RU SK UK US ZA
Change since June
Inflation 5% -2 - -6 -3 +1 -6 -2 -3 -4 -4 +1 -3 -4 +2 -5 +1
16 © Ipsos 2020 July 2020
Sources: Ipsos What Worries the World – Q7. Were you earning an income from employment before lockdown started (i.e. salary, wages or income from a business you own)?DECLINE IN JOB SECURITY
Jobs Index More confident about job security
100% 100%
50% 50%
0% 0%
-50% -50%
-100% -100%
Jan Feb Mar Apr May Jun Jul Jan Feb Mar Apr May Jun Jul
Lost job as a result of economic conditions Likelihood of losing job as a result of economic conditions
100% 100%
50% 50%
0% 0%
-50% -50%
-100% -100%
Jan Feb Mar Apr May Jun Jul Jan Feb Mar Apr May Jun Jul
17 © Ipsos 2020
Global South Africa January – July 2020
Sources: Ipsos Global IndicatorsWITH MOST TRUSTING THE GOVERNMENT LESS THAN
BEFORE THE PANDEMIC
Although most respondents believed that the government is handling the Covid-19 pandemic well, the trust in government is
less now than before pre-Covid-19.
Neutral
19%
16% I trust the government more now
19%
Strongly 37%
Neutral Agree
I trust the government less now
21%
44%
Agree
27%
Age split
Strongly 55%
Agree 47% 46%
17% 41% 40%
38% 35%
Agree 26%
18-24 25-34 35-49 50+
18 © Ipsos 2020 June 2020
Source: Ipsos News24 Survey – Q15.6. Statements: Trust in GovernmentTHERE IS STILL STRONG APPROVAL FOR THE PRESIDENT
Nkosazana Dlamini-Zuma Bheki Cele Zweli Mkize Cyril Ramaphosa
5.14 5.18 6.67 7.34
COUNTRY COUNTRY COUNTRY COUNTRY
AVERAGE AVERAGE AVERAGE AVERAGE
Nkosazana Dlamini-Zuma Similar to NDZ, Bheki Cele has low Much better support in the three Strong support for the president in
received low approval overall, this approval amongst the three major major provinces than BC and NDZ. DA led WC, similarly in GAU and
could be attributed to the provinces. Increased GBV and Receiving mostly neutral sentiments; KZN. Most South Africans approve of
negative sentiments pertaining to mishandling of civilians by SAPS public generally agrees with health the way President Ramaphosa has
the tobacco ban has contributed to a poor public and safety measurements responded to the pandemic
image
10 – Strongly
10 Approve
9
8
7
7,05 7,28 7,26 7,34 7,51 7,55
6 KZN GAU
6,67 GAU KZN WC COUNTRY
6,00 6,25
5 5,65 5,69 5,83 WC COUNTRY AVERAGE
KZN 5,18 AVERAGE
5,14 GAU KZN
4 4,54 GAU 4,68
COUNTRY COUNTRY
3 WC AVERAGE WC
AVERAGE
2
1
0 – Strongly
0 Disapprove
19 © Ipsos 2020 June 2020
Source: Ipsos News24 Survey – Q3. How would you rate the way the following government officials have handled their jobs during the Covid-19 outbreakSOUTH AFRICANS FEEL GOVERNMENT’S COMMUNICATION
SHOULD IMPROVE
The drop in trust in government could have been influenced by some of the rules and regulations they undertook in order to manage the Covid-
19 outbreak. Although most of the respondents supported the initiatives the government undertook, majority of respondents also felt that
communication was vague and confusing.
Vague and confusing communication Support for the Government
from the Government stimulus package
100%
90% Both the R500 billion government
80% stimulus package and the initiative to
70% assist the poor, were supported by
60%
60% of the respondents. It was
52%
mostly respondents who lived in
50%
Gauteng, KwaZulu Natal and the
40% 36%
Western Cape who supported the
30%
R500 billion stimulus package. While
20%
12% participants aged between 18-24
10% years supported the government
0% assisting the poor.
Agree Disagree Neutral 60%
Q4. To what extent do you agree or disagree with the following: Government’s communications on lockdown rules and Q4. To what extent do you agree or disagree with the following: I support the R500 billion government stimulus
regulations have been vague and confusing. package.
20 © Ipsos 2020 June 2020
Source: Ipsos News24 Survey21 © Ipsos 2020
SMME’S DRIVE JOB CREATION AND ECONOMIC GROWTH
The impact of lockdown has been significant considering the already weak economy
Unemployment:
22% 22%
21% R3mil lost jobs since lockdown inception on 27 March 2020, 18%
decline in employment Feb to March 2020.
15%
South Africa is calling for SMME’s to be supported.
9%
8%
3%
1%
Decrease Decrease Decrease Decrease Decrease Decrease No Increase
of 11 – of 31 – of > 90% of less of 51 – of 71 – change in of above
30% 50% than 10% 70% 90% revenue 50%
Vusi Thembekwayo speaks out RASA & Four Cousins initiative
Q7. Please estimate any change (or anticipated changes) in revenue
your business has experienced as a result of COVID-19 blaming SA Government #Jobssavelives
22 © Ipsos 2020 May - June 2020
Source: Ipsos News24 Research: 25 May – 4 June 2020 (n=180, unweighted data\)
Business Tech, report reveals shocking number of job losses in SA during lockdown – 15 July’20SMME’S ARE FILLED WITH UNCERTAINTY YET REMAIN HOPEFUL
The start of 2020 brought renewed goals and Businesses have been immersed into turmoil, fear
energy. They were optimistic and looking forward to of the unknown and uncertainty. Despite this, a
growth and expansion despite a challenging sense of optimism immerged based on human
economy collaboration and resourcefulness
BEFORE COVID=19 SINCE COVID=19
There is a new rhythm in the way we work. Despite the
initial significant chaos, a new normal is being restored.
The pace has decreased but there is a lot more order.
With the beginning of lockdown, fear of the unknown
and uncertainty played a major role in our decision
making. Fear turned to panic... that we may be asking
too much of our staff, but they proved us wrong by
coming to the party. Panic turned to
motivated...motivated to ease our team’s challenges by
being there, being available, motivating, helping each
other.
The different bright colors symbolize the turmoil that
our workplaces are in. It feels that if we don't adapt
soon, everything will get mixed up and we will loose
our business … emotions are in turmoil, anything could
happen, and everything is uncertain.
My staff’s uncertainty made me feel like a father who
was confused and didn't know what to say to his family
about the future. We’ve had to come together.
BUSINESS EMOTIONAL STATES
23 © Ipsos 2020 June - July 2020
Sources: Ipsos SMME Syndicate: Qualitative AnalysisTHEY ARE SHOWING THEIR ENTREPRENEURIAL SPIRIT -
FORCED TO PAUSE, RETHINK AND BE RESOURCEFUL
Most businesses are cautiously optimistic about the future.
A sense of togetherness and empathy immerged in workplaces and staff’s wellbeing and security
are top of mind. Incurring further debt to survive financially, is a last resort for most, instead they
have employed various coping mechanisms:
Delving into personal Negotiating payment Looking to support
savings terms and discounts local suppliers
Expanding business
portfolio’s by
Cutting operational Leaping into the
applying skills &
costs digital world
thinking out of the
box
Offering their
Finding new
Utilising social media services in exchange
marketing avenues
for payments, etc.
24 © Ipsos 2020 June - July 2020
Sources: Ipsos SMME Syndicate: Qualitative AnalysisMANY ARE NOT YET BENEFITING FROM THE SUPPORT PUT
IN PLACE BY GOVERNMENT
Not everyone applied for Government support, and many who did still have not received feedback
UIF:
Yes, I applied for • Improve communication (feedback on application) & turnaround time
the TERS • Applied but was only able to pay a few employees – Foreigners
funds. Have
received
acknowledgement
of the application Support from solidarity / initiatives launched
and nothing further.
It would have made • Don’t qualify because of BBBEE
a difference • Many applied but did not receive feedback
financially
DID YOU •
•
Some didn’t apply but rather used savings or took out a loan
Concern raised about fairness of the qualifying criteria
No applying did
not make a
difference since I
APPLY FOR • Some don’t understand how it works and how to apply
opted for a loan
that will sustain my SUPPORT? What can be done to help:
business for the
next 6 months. • Help pay for COVID related burials
• Better communication on process of application and outcomes
We applied for • Get more support for SME’s from big corporates for subsidiaries
support but it was
not approved. The
• Tax relief for 6 months to 1 year
pitfall being our • Need transparency and improved communication
BEE status. • Improve strategy for future pandemics
• They need better IT systems
25 © Ipsos 2020 June - July 2020
Sources: Ipsos SMME Syndicate: Qualitative AnalysisAND MOST WISHING FOR A PROSPEROUS ECONOMY
Stability, Funding, Growth and Opportunities are what the majority wish for the future
YOUR WISH FOR YOUR BUSINESS
IMMEDIATE FUTURE?
My business wish is to see this business ranking at the top level
going forward and to have more branches nation wide
I would wish for more opportunities to come out of this outbreak
so we can restore the dignity of our people through creating
employment And we wish for funding to support us as we try to
get back on our feet
For a prosperous SA.
Abundant funding available for business growth
I wish our government could have given us financial support. I
wish the government can keep to their promise by investing
more money into infrastructure development. This will benefit a
lot of SMEs and create a lot of jobs at the same time.
A stabilisation of the SA economy and currency to be more
affordable for SA to import and export goods and services
26 © Ipsos 2020 June – July 2020
Sources: Ipsos SMME Syndicate: Qualitative AnalysisUNDERSTANDING THE ROLE AND NEEDS OF SMME’S IN
COVID-19
SMEs ARE THE BACKBONE OF THE ECONOMY WHAT WE NEED TO UNDERSTAND AND EXPLORE
Small and Medium Enterprises are employing millions of How SME’s in South Africa have been impacted by the pandemic and what
South Africans, but they are also the “incubators” for new measures can be put in place to support them. More specifically:
ideas, economic development and entrepreneurship. They
play a leading role in the services industry, and it will be Business Employee Financial Business
impossible to imagine a future without the hairdressers, impact impact impact continuity
hardware stores, plumbers, electricians and many more
dotting the streets of both big cities and little towns.
The impact of the coronavirus pandemic on this sector of the Support What they
New ways What is
needed from learned &
economy has been rather devastating – many people lost financial
of doing next after
what should
their jobs or were placed on furlough and those working on a business lockdown
institutions be changed
commission basis suddenly saw their salaries shrinking – as
businesses were closed.
BRIDGE THE GAP - 3 STAGES OF UNDERSTANDING
The aim of the planned study will be: Qualitative view: Explore /Understand
Online focussed discussion with 20-30 SME owners to gain depth of
• to provide a tool to service providers to SME’s to understanding on key issues.
Cost: R25 000
understand how their clients are being impacted by the
COVID-19 pandemic Quantitative view: Quantify themes
Online survey to the broader SME universe in SA to quantify key themes
• to enable service providers to respond to their changing identified from the exploration phase.
Cost: R40 000
environment and needs.
Qualitative view: Test concepts
Online focussed discussion where organisations have the opportunity to test
TOTAL COST: R65 000* various concepts and approaches with the SME audience prior to launch
(Optional)
27 © Ipsos 2020 ELZETTE CORREIA +27 (0)78 272 9222 elzette.correia@ipsos.com
* Excluding Test Concept Phase and VAT
This is a syndicated programme to enable clients to work smarter with their budgets. Subject to Ipsos T’s & C’s28 © Ipsos 2020
PEOPLE OF ALL AGES ARE FEELING THE PINCH
Resulting in a change in behaviour
76% 60% 61% 60%
0% 100%
0% 100% 0% 100% 0% 100%
Delayed Used savings to Monthly debt & loan Retirement
cover expenses repayments savings
expenditure
Have already used some of Are concerned that they won’t Are worried that Covid-19’s
Are delaying a major impact will damage their
their savings and emergency be able to meet their monthly
purchase because of retirement savings. 75% of
fund to cover expenses, debt and loan obligations, with
what is happening especially those aged between the concern greater amongst those aged 50 years and above
18 – 34 years. those aged between 25 - 49 were concerned that it might
years. impact their savings as they
face retirement soon.
29 © Ipsos 2020 June 2020
Sources: Ipsos News24 Survey (June)
Q12. I am concerned that the coronavirus and its impacts will seriously damage my retirement savings and plan. | Q12. I am worried about meeting my monthly debt and loan payments due to the coronavirus and its impacts
Q12. I have already used money from my savings account or emergency fund to cover my expenses.FRUGAL SPENDING IS HAPPENING IN VAIN AS COSTS OF
ESSENTIAL GOODS ARE ON THE RISE
Which costs have gone up?
Increased % Stayed the same % Decreased %
Food, Groceries and Household Supplies 80% 14% 6%
Utilities (Water, Electricity, Refuse Removal,
Phone/Television/Internet) 60% 38% 2%
Healthcare 40% 55% 5%
Personal Care and Beauty 36% 48% 15%
Entertainment (Electronics, Movies, Books) 33% 52% 15%
Apparel (Clothing, Shoes, Accessories) 32% 44% 24%
Transportaion (Vehicles, Bus, Train, etc) 20% 44% 36%
Taxes 18% 69% 13%
Education and Childcare 18% 67% 15%
Housing (Rent, Mortgage or Home Loan) 15% 72% 12%
Insurance 15% 75% 10%
30 © Ipsos 2020 May - June 2020
Sources: Ipsos South Africa – Cost of livingRESULTING IN A STRONG LINK BETWEEN FINANCIAL AND
EMOTIONAL HEALTH
Those with a lower income that have taken a financial blow are
particularly likely to convey negative emotions Younger people
are more likely to
Low Income/ No
Impacted impact share negative
feelings, while
48% Lonely/disconnected 30%
those over 50
generally share a
36% Not valued/defeated 18%
more confident/
pragmatic
51% Impatient/frustrated 33%
positivity.
31 © Ipsos 2020 June 2020
Sources: Ipsos Signals WebinarSO WE FIND OURSELVES BETWEEN A ROCK AND A HARD PLACE 32 © Ipsos 2020
BUT WE SHOW OUR RESILIENCE, AND THERE IS STILL A
LOT OF GOOD HAPPENING AROUND US
The SA recovery rate from Covid-19 is
more than 70%+, also an emerging
Fusion centres – pooling of resources downward trend in new daily infections.
Many HIV+ patients in the EC’s Oliver
Tambo district survived
Perhaps the investigations into C-19 projects
give SA the opportunity to make
Our death rate is 1.7%
collaboration of government/media/civil
society work on a wider basis
Transparency: Transparency and
The Mandela shirt factory in Cape Town
collaboration with Vulekamali programme of
now produces 2,5 MILLION masks a month
Treasury and Imali Yethu
SA engineers’ designed ventilators went Rhino poaching plummeted
into production 53% during lockdown
33 © Ipsos 2020HOW TO DEAL WITH YOUR CUSTOMERS DURING THIS
CHANGING TIME
Customers are changing and
what is important to them is also changing
Keep up with these changes and be responsive
Price is becoming more and
more important to customers
This might drive switching behaviour
Put your customers at ease.
Make them feel safe
Keep on communicating the Covid-19 measures
Provide empathic customer experiences
They need to feel that you understand them and support them in these tough times
Help them work smarter (Advice on business, financial
management, marketing and more)
Specifically SMME organisations and customers who are financially under pressure
34 © Ipsos 2020WHAT CAN BE EXPECTED OF SOUTH AFRICANS IN
BUSINESS, GOING FORWARD?
Join us on the Mzansi Roars journey: A study on South African Consumer Lifestyles
THE NEW UNCERTAINTY… BRIDGING THE KNOWLEDGE GAP…
During the first half of 2020 the Coronavirus did not only spread around A few years ago Ipsos undertook, together with the then Unilever Institute
the world like wildfire, it also brought previously unimaginable challenges at the University of Cape Town, the very successful “African Lions” project –
to the world’s healthcare systems, wreaked havoc on financial markets for the first time exploring the opinions, lives and livelihoods of the middle-
class populations in ten important cities in Africa (outside of South Africa).
and introduced an existential fear and feeling of apprehension to people
everywhere. The current situation in South Africa is no exception, and
ON-BOARDING SOUTH AFRICA…
we are caught in a time warp of uncertainty about the future. Now “Mzansi Roars” will focus on the total adult population in South Africa
and so open possibilities for much deeper analysis of different consumer
A SHAKY START… and citizen groups in the country. (The scope will thus be much bigger than
Not that South Africans were any more secure before this… only six the “middle class”.)
months previously news bulletins were dominated by the persistent
drought, the quality and the quantity of limited water resources and CONSIDERING OUR CHALLENGES…
Eskom’s “load-shedding”. Moreover, the election in May 2019 left We know that some of the major issues in our country include joblessness,
the country with several questions to answer about democracy, poverty and the huge gap between rich and poor – the gini- coefficient.
leadership and the level of trust in political parties. However, very little tangible and workable information exists to help bridge
these development gaps, although every business in the country is
THE NEED… confronted by these issues.
In this context there is need for an in-depth understanding of the people
of South Africa - their lifestyles, needs, aspirations and coping WHERE THE REAL PEOPLE ARE…
Mzansi Roars will employ a “bottom-up” approach of building on the
mechanisms. This will provide an opportunity for all stakeholders to play
experiences of real people and aggregation of findings to assist businesses
their part in meeting their needs through products and services.
and institutions with rich information to make a positive contribution to the
South African economy and future.
35 © Ipsos 2020THEMES ADDRESSED BY MZANSI ROARS
The survey will measure and generate learnings in numerous areas including:
Demographic profiles and
Nutrition and Health Products and services used
household structure
Interaction with technology
Individual and household Household and individual
and media consumption
financial reality budgets; share of wallet
patterns
Psychographics, lifestyle and
Shopping and spending Segmentation
aspirations
To become a partner in this exciting project and get access to the unique insights and benefits of the study will cost R350,000*
36 © Ipsos 2020 NANZALA MWAURA +27 (0)76 052 6723 nanzala.mwaura@ipsos.com
* Excluding VAT
This is a syndicated programme to enable clients to work smarter with their budgets. Subject to Ipsos T’s & C’sTHANK YOU!
Mari Harris Ezethu Mandlelize Elzette Correia
mari.harris@ipsos.com ezethu.mandlelize@ipsos.com elzette.correia@ipsos.com
© 2020 Ipsos. All rights reserved. Contains Ipsos' Confidential and Proprietary information and may
not be disclosed or reproduced without the prior written consent of Ipsos.TECHNIAL DETAILS: ALL STUDIES REFERRED TO IN THE DECK
South Africa: Between a rock and a hard place
Interviewing
Study Name Sample size Fieldwork/ publication dates Margin of error*
Methodology
Ipsos SA Covid-19 tracker, April 2020 Online** 1,000 20-23 April 2020 ± 3.1 percentage points
16,000 interviews per week in 16 countries Every week during ± 3.1 percentage points
Ipsos Essentials series Online
(1,000 per country) May and June 2020 for SA
Ipsos Signals webinar series (specifically Published around twice a month
the webinars in June and July 2020) since March 2020
17,997 interviews in 26 countries ± 4.5 percentage points
Ipsos Cost of Living Online 22 May – 5 June 2020
(sample size in SA = 500) for SA
Around 18,000 interviews in 26 countries (SA = 500) ± 4.5 percentage points
Ipsos Global Indicators Online January – July 2020
(published monthly) for SA
24.com/Ipsos study Online 52,287 25 May – 4 June 2020 < 1 percentage point
Ipsos Global Advisor (specifically What ± 4.5 percentage points
Online Around 18,000 interviews in 26 countries (SA = 500) Every month of 2020
Worries the World, July 2020) for SA
Ipsos SA SMME Syndicate Personal, Face-to-face Qualitative phase of Study June and July 2020
38 © Ipsos 2020
*Margin of error is determined by sample size, response rate and sampling methodology used
**A representative online study covers about 67% of South African adults (taking into account those with internet at home or on their mobile phones)WE ARE HERE TO HELP YOU WITH THE ANSWERS
SMME Syndicate: Mzansi Roars: A study on Closer to Customer:
Understanding the impact South African Consumer Qualitative immersive
during COVID Lifestyles experiences
Understanding the role and needs of SMEs A study on the South African Consumer We have designed a series of immersive
in Covid-19. How SME’s in South Africa Lifestyle. Mzansi Roars will focus on the experiences with a set of customers in order
have been impacted by the pandemic and total adult population in South Africa and so to be part of their lives and see how they
what measures can be put in place to open possibilities for much deeper analysis navigate through constant change.
support them. of different consumer and citizen groups in Be there and live the change with them.
the country.
Elzette Correia Nanzala Mwaura Maree Fouche
elzette.correia@ipsos.com nanzala.mwaura@ipsos.com maree.fouche@ipsos.com
+27 78 272 922 +27 76 052 6723 +27 82 379 4497
39 © Ipsos 2020ABOUT IPSOS GAME CHANGERS
Founded in France in 1975, Ipsos is now the world’s third In our world of rapid change, the need of reliable information
largest market research company in the world, present in 89 to make confident decisions has never been greater.
countries and employing more than 18,000 people.
At Ipsos we believe our clients need more than a data supplier,
For over 40 years, our research professionals, analysts and they need a partner who can produce accurate and relevant
scientists have built unique multi-specialist capabilities that information and turn it into actionable truth.
provide powerful insights into the actions, opinions and
motivations of citizens, consumers, patients, customers or This is why our passionately curious experts not only provide
employees. We serve more than 5000 clients across the world the most precise measurement, but shape it to provide True
with 75 business solutions. Understanding of Society, Markets and People.
Ipsos is listed on Euronext Paris- Ipsos is listed on Euronext To do this we use the best of science, technology
Paris. The company is part of the SBF 120 and the Mid-60 and know-how and apply the principles of security, simplicity,
index and is eligible for the Deferred Settlement Service (SRD). speed and substance to everything we do.
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IPS:FP Ultimately, success comes down to a simple truth :
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