CONSUMER PERCEPTIONS OF CRITICAL SUCCESS FACTORS FOR SMALL LOCAL CONSUMER BRANDS
DOI:
https://doi.org/10.2478/subboec-2020-0010Keywords:
emerging country; developed country; entrepreneurship; belief; commitment; imageAbstract
Local or regional fast-moving consumer (FMCG) brands sold mostly in delimited geographic areas are a growing trend. This study aims to understand consumer attitudes towards such products and to identify factors critical to their success. The paper is a comparative study between developed (Germany) and emerging (South Africa) nations to identify differences between the preference criteria for FMCG. The methodology involved an online cross section survey in the two countries. Respondents from both countries preferred local brands and believe they are better quality and more supportive of, and connected to, local communities. South Africans feel this more strongly, show greater commitment, and are prepared to pay more than Germans. ‘Beliefs’ regarding quality, value for money, and trust in local brands are critical.
JEL classification: M 30, M31, M13, L26
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