Sub-Saharan Africa’s economic growth is revised down from 3.2% pre COVID-19 to negative 3.3% in 2020, while business growth expectations slump, 43% expect muted growth between 0 and 5% in 2021. The pandemic is changing the market dynamics with brands and retailers facing tough conditions and changing consumer needs in the year ahead.
This report provides insights into the macro, business, retail and consumer prospects for Africa’s key markets, as well as considerations for unlocking potential in 2021. Some of the key highlights:
- Kenya regains #1 position amidst COVID-19 from its diversified economy and business sentiment
- Tanzania achieves the biggest change, rising to #2 from relative economic standing and retail prospects
- Nigeria drops to joint 3rd position with Ghana, followed by South Africa in 4th place
- Business will reprioritise countries, ranges and route to market to address supply constraints and consumers’ rebased needs
- Insulated and constrained consumers are resetting their basket, home, rationale and value choices to make ends meet
- Retailers face tough trading conditions – only one third are optimistic about growth in 2021