BenAnyan.com

Black Friday is an American shopping phenomenon that has made its way to Ghana, becoming more popular by the year. It appeals to the appetite for discounts and retailers are hoping to make it the biggest shopping day in Ghana as well. Looking at how some local retailers are playing it, I doubt it will be anywhere near the success it is in America. Here’s why;

How Black Friday was designed to be profitable

For a long time Black Friday didn’t make sense to me. Why will anyone sell their stock to make a loss? So I looked into it.

1. Not everything in a shop is discounted, so the hope is that in picking up discounted things, you will decide on other fairly priced items that you need anyway.
2. Also in America, retailers do clever things like sell extended warranties and insurance to shore up the margins.
3. They realize that when shoppers enjoy a black Friday experience, they return the following year.
4. They also participate actively to create awareness for their shops in the hope that shoppers become fond of them and continue shopping there year-round. That’s where the reaall money is.

Not all retailers are honest though; some overprice their stock and slash it down so that they can announce huge discounts that are actually small. I worry that it is this aspect of it all that has become too obvious too soon in the Ghana scenario.

The Local Context.

…skepticism is probably the biggest challenge brands face in building a lasting loyal relationship with a Ghanaian consumer.

1. Trust deficiency

Ghanaians are trust-deficient. We have been deceived by politicians, swindled by ‘micro-finance’ companies, encountered confident tricksters and bus medicine-sellers who swear their drugs cure everything from hunger to AIDs, so we typically have little trust to give. We’ve become very skeptical and this skepticism is probably the biggest challenge brands face in building a lasting loyal relationship with a Ghanaian consumer.

This means that any brand that intends to be around for a while must recognize trust for the vibranium it is. It takes a lot more to be trusted (which is a prerequisite to becoming a lovemark) in Ghana than in America.

2. Bargain lovers

Yes, loving discounts is a human thing, but probably more Ghanaian than for the rest of the world. We looovvveee discounnttss! ‘Wo last kraa y3 sen?’ is fundamental to every sales conversation. Yes, because of this we can be irrational at the thought of something being a good deal, but because it’s so loved, it’s sacred territory….don’t mess with our discounts!

3. Savvy shoppers

The Ghanaian consumer has become smarter than most brands realize. This underestimation of consumer intelligence is -I think- the biggest mistake brands are making in Ghana. Technology and Social Media has made it incredibly easy to validate prices, get recommendations, share sentiments and feel powerful. Also, exposure to the wider world and sheer wit has made it much easier for the average Ghanaian consumer to see through BS.

Now, you’d think any meaningful retailer or brand custodian worth his salt will consider these factors before participating in something like Black Friday unethically. Not all

There are several screenshots of our major online retailers giving fake discounts. It was easy to screengrab and share because these are online stores, but this is most likely an occurrence in the brick and mortars who participated also. When consumers call you out like this, it is quite shameful and does have much graver implications because you are already selling in a country that has trust issues.

E-commerce is struggling to become a thing in Ghana so it’s a shame when the modest progress it’s making is riddled with ‘scams’ like this. Unfortunately also Ghanaians are quick to generalize, so it is very easy for a larger audience to conclude that these online retailers are dishonest.

Yes, I am sure there were many items that were genuinely discounted, but in committing gaffes like these on products whose prices are so easy to verify (everyone knows this bag of rice sells for less than GHC60 on a regular day), it does discredit the essence of the event itself.

I suspect brands still go ahead to take such risks because of the belief that ‘Ghanaians forget quickly and are forgiving.’ Not these online ones o, you will be surprised what good options can do to a person.

Bottom line, Ghanaian brands and retailers should place a much higher premium on being trusted by consumers. Everyone is so concerned with short-term returns no one seems to realize the massive long-term economic value of building a trusted and loved brand.