A few Nigerian companies are consistently pushing the narrative that brand loyalty can be guaranteed through a reward system to satisfy customers’ expectation, as demonstrated by the recent move by Dangote Cement Plc to reward consumers with N1billion. Raheem Akingbolu reports.
Globally, customer reward and promotions have been identified as marketing strategies to reinforce existing relationships between organisations and customers. The primary reason is to ensure brand loyalty and generate profit.
The deployment of these strategies by organisations is with the understanding that consumer loyalty is pre-requisite for success in a highly competitive environment like Nigeria’s market. But more important to customer reward and promotions is the drive of value and trust.
Until recently in Nigeria’s market, promotion activities were believed to be the exclusive marketing tool of the players in the fast moving consumer goods (FMCG), but this is fast changing with the players in the Telecom, Real Estate, Banking and Manufacturing sectors leveraging promotion to drive sales.
Perhaps more than any business organizations in the country, the management of the Dangote Cement Plc, is a trailblazer in this regard, considering the volume of investment it has voted into promotion in recent years. It would be recalled that towards the end of 2015, the company did something unusual in the market when it unveiled a promotion that was worth N300million to support its product.
At the beginning, many analysts dismissed it as nothing but a marketing gimmick but within a month, many millionaires emerged and by the end of the promotion, Dangote hadn’t only changed the game, it had raised the bar in the market.
Becoming Multi-millionaire
Again, in an unprecedented manner, rather than waiting till the end of the year when all the media usually go abuzz and consumers are sucked into the frenzy of reward programmes and promotional offers by producers of goods and services in the country, Dangote Cement had last week rolled out N1 billion worth of promotion for its teaming patrons. The promo is tagged ‘Spell Dangote and become a multi-millionaire.’
The promo, which was launched in Lagos in the presence of regulators from the National Lottery Regulatory Commission and Federal Competition and Consumer Protection Commission, is expected to offer life-changing prizes, which will have immense economic value to the loyal consumers.
According to the company, Dangote Cement Bag of Goodies Promo Season 3, which runs from July 5 to October 31, 2022, promises to be a blast as there are over 32.3 million mouth-watering prizes to be won, including television sets, refrigerators, rechargeable fans, 2KVA generators, and millions of airtime gifts of major networks in Nigeria.
Interestingly, the company also indicated that every single bag of Dangote Cement to be produced daily through the promo period will contain scratch cards for various gifts to be won by consumers.
Speaking at the unveiling ceremony, Group Managing Director, Dangote Cement Plc, Michel Puchercos stated that the Bag of Goodies Promo series is designed to continuously reward loyal Consumers who have stayed faithful and remained the backbone in the cement business. He said these consumers have contributed in no small measure to make Dangote range of cement products the first choice for construction purposes across the country.
Puchercos explained: “We are offering life-changing prizes, which have immense economic value as they can be used to kick-start small scale businesses. These prizes are targeted to help many families recover from the impact of the COVID-19 global pandemic, which adversely affected their sources of livelihood.”
Giving details about the promo, National Sales Director, Dangote Cement, Funmi Sanni, described the promo as a huge investment aimed at rewarding new and existing consumers, “especially in these trying times of our nationhood with the much needed financial and material palliatives.”
She said the promo is also targeted at stimulating the economy that has been negatively impacted by COVID-19 and global energy crisis to move towards much needed recovery especially in the construction/real estate industry sector.
She explained: “To emerge as one of the lucky winners, all you need to do is to pick out the scratch card inserted in the bag; scratch the panel at the back of the card to reveal what you have won; go to any of the over 200 redemption centers to collect an instant prize. Collect cards, spell D-A-N-G-O-T-E and win a star prize of N1 million instantly. Additionally, if you find an eagle in one of the letters, you will automatically win N5 million.”
Sanni said N125 million worth of prizes are expected to be won monthly, among which there will be 25 multi-millionaires. “The good thing about this promo is that a consumer stands the chance of winning N1 million repeatedly. There is no limit to the number of times you are expected to win. All you should do is to continue to buy Dangote Cement.”
Validating the promo, the Head, Lagos Office, Federal Competition, and Consumer Protection Commission, Mrs. Susie Onwuka commended Dangote Cement for giving back to consumers through the Bag of Goodies promo.
“Dangote has always fulfilled its promises to the consumers of its product. Our duty at the agency is to protect the rights of the consumers. Dangote Cement has lived up to expectations,” she said.
Director, Inventory and operations, National Lottery Regulation Commission, Mr. Obi Iregbu said Dangote Cement Promo has always been massive and impressive. “This Season 3 promo is bigger than Season 1 and 2 past promos. I want Dangote to continue to add value to the lives of the consumers of its product. In so doing, the company is also helping to boost economic activities in Nigeria,” he said.
The Group Managing Director, Mr. Puchercos further stated that: “Testimonies abound from the previous winners in Bag of Goodies Season 2 Promo. Onwemere Anselm, a winner from Ihiala, Anambra State invested his million-naira prize money in starting a new business. Today he has opened three shops in different locations. Opara Augustine from Imo State invested the prize money in his block-moulding business. He is buying more bags of cement which translates into more blocks and better sales. Edet Udeme from Delta State acquired a motorcycle to increase mobility in reaching more cement customers. Yahaya Isah Abdullahi from Kano State expanded his business, as he buys more bags of cement for sale rather than depending on credit grants from distributors. He has more capital to run his businesses.”
Puchercos said the company has a wide range of gifts and rewards for consumers of the Dangote Cement brand in this new promo. “We are expecting over 500 consumers to emerge as millionaires in the promo, and we have made the process of winning as easy as possible,” he added.
He noted that the promo is open to all consumers of Dangote Cement products, while redemption of the gift items will be at the company’s depots, regional offices, and at specially selected wholesale outlets in areas that are distant from the company’s depots and offices.
Sustaining Brand Loyalty
For any brand, it is important to sustain the already built brand loyalty and create new ones. This is what Dangote, which has maintained prime position in the manufacturing sector for decades in the Cement market, appears to be doing with a pan Nigeria consumer reward.
This is the best time for patrons of Dangote Cement brand because in the next 3 months, the company would be producing millionaires daily among its customers for participating in the ongoing promotion initiated to strengthen their relationship. According to THISDAY independent investigation, the initiative is already boosting the profile of the brand in the market place as new customers are coming on board to be part of the promotional activities.
Marketing Mix
After advertising and experiential marketing, promotion is another major marketing tool used by business owners to connect consumers. However, promotion has a dual advantage because it doesn’t only drive sales, it also rewards consumers.
At the moment, many analysts are wondering why handlers of the cement brand still take it up a notch through innovative relationship strategies with their consumers, despite the huge investments of the group in marketing and distribution. But the company had succinctly stated at the unveiling of the promotions that it was conceptualised to reward their patrons and appreciate their loyalties. According to the company, the promotion, which at the end would produce 25 multi-millionaires, was conceived to reward patrons of the brand in the market.
