Kelechi Okereke knows that consumerism in Africa is growing at a much higher level than the gross domestic product (GDP) statistics that were common in the past. There are many factors that have influenced the increase in consumers in the region, especially economic growth. Here he explores other factors that have contributed to the massive upswing in African consumerism.
- Population growth and urbanization are the leading catalysts for consumer growth in Africa. In the last few years, the total African population has increased by as much as two percent per year. At that rate, it is estimated that the population of the continent will breach two billion citizens by the year 2060. The number of Africans living in urbanized cities, as opposed to rural villages, is projected to grow from thirty-seven percent to fifty percent by 2030. These factors will open up many opportunities for continued consumer growth.
- Thanks to the efforts of many foreign and domestic organizations, charities, and businesses, the total number of impoverished in the region is on the decline. While Africa is still the leader in overall poverty, the middle-class population is increasing as poverty starts to decrease. That middle-class will have greater freedom when it comes to spending. Economists are anticipating that the year 2060 will show Africa as the home to more than one billion middle-class people.
- Kelechi Okereke understands that poverty is not the only debilitating factor in regard to consumer growth and spending habits. In many years past, Africans did not have access to products and services in their area.