By Tarsicius Edem Dorpenyo
FAQ 2. Which social media channels should I use?
With the growth of social media platforms, selecting the appropriate methods to reach your target audience is critical. In Africa, where internet access is quickly expanding, social media is an effective marketing tool. However, each site targets different demographics and interests. Here’s a breakdown to help you choose:
· Know your audience: Learn where your target audience spends their time online. Different populations favour varied social media channels. For example, younger demographics may be more active on Instagram and TikTok, whereas professionals and older demographics may use LinkedIn and Facebook.
· Content-type: Think about what type of material you want to produce and share. Visual material, such as photographs and videos, may perform well on visually appealing platforms like Instagram, Tiktok and Pinterest. Platforms such as LinkedIn and Twitter may be better suited for sharing industry news, thought leadership pieces, and professional updates.
· Business goals: Make sure your social media channel selection aligns with your company’s goals. Instagram, Facebook, and Twitter can help you enhance brand visibility and engagement. Consider using networks like LinkedIn, Pinterest, or YouTube to drive visitors to your website and generate leads.
· Resources and capacity: Assess your resources, including time, budget, and labour, for administering social media platforms. It’s best to concentrate on a few platforms and maintain a consistent presence than to spread yourself too thin over several channels.
· Competitor analysis: Evaluate your competitors’ social media presence to determine which platforms are most beneficial to your business. Examine your competitors’ engagement levels, follower growth, and content strategy across many platforms to acquire insight into where your target audience may be active.
· Test and Measure: Experiment with different social media outlets to evaluate which ones provide the best results for your business. To assess each platform’s effectiveness, track important indicators such as engagement, reach, click-through rates, and conversions. Use this data to improve your social media approach over time.
Case study: Kwame’s technology startup – Ghana
Kwame, a software entrepreneur from Accra, Ghana, created a smartphone app that provides educational resources to high school pupils. Recognising that his target audience consisted mostly of tech-savvy youngsters, he concentrated his marketing efforts on sites popular among this group, such as Instagram, TikTok, and WhatsApp. Kwame successfully advertised his app and grew its user base by providing interesting content, using influencer alliances, and actively participating in online communities.
There is no one-size-fits-all approach to determining which social media channels to employ. It’s critical to personalise your approach to your specific circumstances, audience preferences, and business objectives. Regularly review your social media approach and be willing to adjust to shifting trends and audience behaviours.
FAQ 3. How do I set prices competitively?
Pricing influences consumer impressions and purchase decisions. For African entrepreneurs, finding the appropriate mix between affordability and profitability is critical. Setting competitive prices requires conducting detailed market research, understanding competitors’ pricing strategies, and taking into account local economic conditions. Here’s a step-by-step strategy for establishing competitive prices:
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Understand your costs: Determine all of the costs related to producing your product or providing your service. Direct costs include goods and labour, as well as overhead fees like rent, electricity, and marketing. Understanding your costs is critical for ensuring that your prices meet expenses while making a profit.
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Market research: Conduct market research to gain a better understanding of pricing in your sector and location. Examine the prices charged by competitors that provide similar products or services. When evaluating pricing, consider things including quality, features, and brand reputation.
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Determine your value proposition: Determine the distinct value proposition of your product or service. What differentiates you from competitors? Are you providing greater quality, unique features, exceptional customer service, or an improved overall experience? Your pricing should represent the value you offer to your customers.
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Consider customer perceptions: Determine how customers perceive value and price sensitivity. Some clients may be ready to pay a premium for high-quality items or services, but others may choose affordability. Conduct surveys or interviews to learn about customers’ preferences and willingness to spend.
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Evaluate pricing strategies: Select a pricing strategy that is consistent with your business objectives and market positioning. Common pricing techniques include cost-plus pricing, which adds a markup to your costs, value-based pricing, which sets prices based on perceived value, and competitive pricing, which matches or undercuts competitors’ prices.
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Experiment with different price points: Vary your price points to get the best combination of profitability and competition. Consider offering discounts, promotions, or bundling options to entice customers while maintaining margins. Monitor sales and consumer feedback to determine the effectiveness of various price schemes.
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Monitor competition pricing: Keep an eye on competition pricing and alter your prices as needed to remain competitive. However, avoid pricing wars, which reduce profitability and weaken brand value. Instead of focusing exclusively on price, highlight your offering’s distinct merits.
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Review and adjust regularly: Pricing is a continuous process rather than a one-time choice. Continuously monitor market developments, client preferences, and cost fluctuations that may influence price decisions. Prepare to alter your prices as needed to remain competitive and profitable. Following these procedures and taking a strategic approach to pricing will allow you to set competitive rates that attract customers, increase sales, and contribute to your company’s long-term success.
