Brand positioning and entrepreneurship in the age of AI

In recent years, artificial intelligence (AI) has emerged as a transformative force across various sectors, including marketing, finance, healthcare, and education, and has existentially disrupted entrepreneurship as we know it.

 African entrepreneurs ought to be invested in AI processes and, by extension, understand how to position their brands in this rapidly evolving landscape effectively.

However, African entrepreneurs should also be keen players in exploring solutions that can better serve the African contexts, which are more vested than the global players domiciled elsewhere.

In this week’s edition, we explore brand positioning in the age of AI within the African context.

Brand positioning, in its broadest sense, refers to the space a brand occupies in the minds of current/potential consumers relative to competitors.

It involves the entrepreneurs and marketing executives together with their representatives to clearly define what the brand stands for, what makes it unique, and how it delivers value to its customers and the broader stakeholder chain.

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In the age of AI, this concept is evolving, allowing brands to leverage data-driven insights to refine and enhance their positioning strategies.

African entrepreneurs have a golden opportunity to be active players in shaping the emerging Afro-centric AI, how the peoples of Africa interface with technology, and how they shape their brand choices from a technology anchored on indigenous knowledge systems rather than perpetuating coloniality through digital coloniality.

 Our entrepreneurs must stand up and be counted!

AI and  brand positioning

Since brand positioning is about competing for limited space in the customer’s mind, entrepreneurs must prioritise the methods and approaches they use to be better positioned in that mind, especially when the customer is at the point of making the purchase decision.

In this age of brand clutter, the customer’s mind is congested due to the ‘screaming’ brands across platforms competing for this limited attention.

Brands should, therefore, work on smatter approaches to reading the customer’s mind.

If it is done well, the brand has the opportunity to become a ‘category’ like Coca-Cola products did in the category industry, Colgate in the toothpaste category, and Pampers in the diapers category, among others.

AI technologies enable enterprises are geared to analyse vast amounts of consumer data that is ethically accrued from the customers, with their consent.

This allows for a deeper understanding of customer preferences, behaviours, and trends, which can inform more effective positioning strategies at their preferred platforms.

When African entrepreneurs are invested in understanding the customer through data-driven insights, as articulated above, this will facilitate their respective brands’ offering a personalised experience to the customers and increase brand positioning accordingly.

AI facilitates hyper-personalisation in marketing campaigns.

Brands can tailor their messages and offerings to meet the specific needs of different segments within the African market and beyond, leading to more relevant and resonant brand positioning.

Suffice it to say that the organisations that are invested in AI and data-driven insights are more responsive than the legacy entities that use traditional approaches.

With AI, brands can quickly respond to changing market conditions and consumer feedback. This agility helps brands stay ahead of competitors and meet evolving consumer expectations.

However, as AI becomes more integrated into business operations, consumers are increasingly concerned about data privacy and ethical AI practices.

African brands should prioritise transparency and demonstrate the ethical use of AI to build trust and loyalty among their customer base.

There was the recent experience of the global company LinkedIn, which was silently mining data for its users to use the data sets for predictive purposes when the users discovered an immediate uproar online questioning why LinkedIn was using such intrusive means without seeking permission from the users.

Some of the users exited the platform.

As African brands invest in AI for positioning, which has the potential to enhance brand positioning, there remains a significant digital divide in Africa.

Brands must consider access to technology and the internet when developing their strategies, ensuring that they reach underserved communities. This requires a healthy balance between digital and brick-and-mortar strategies.

Further, not all AI applications are universally acceptable in African contexts. When implementing AI-driven marketing strategies, brands must be culturally sensitive and aware of local customs and values.

The future of brand positioning

As internet penetration and smartphone adoption grow across Africa, more consumers can engage with brands online. AI-powered platforms will enable businesses to reach these consumers through personalised marketing strategies that consider local contexts and preferences, enhancing brand relevance.

AI will allow brands to deliver hyper-personalised experiences at scale. By analysing consumer behaviour and preferences, brands can create tailored marketing messages, product recommendations, and customer experiences. This level of personalisation will strengthen brand loyalty and engagement, as consumers feel understood and valued.

Further, with the advancements in AI, brands can leverage predictive analytics to anticipate consumer needs and behaviours.

This foresight can guide product development, inventory management, and marketing strategies, allowing companies to position themselves as leaders in tune with consumer demands.

As AI continues to shape the business landscape in Africa, brands must adapt their brand positioning strategies to leverage the opportunities presented by this technology while attending to the risks that this double-edged sword carries.

Businesses can create compelling brand narratives that resonate with African consumers by focusing on data-driven insights, personalisation, and local relevance.

Embracing AI enhances brand positioning and enables companies to build lasting relationships with their audiences, driving growth and innovation in a dynamic market.

Till then, think, eat, sleep and dream branding!

• Farai Chigora is a businessman and academic. He is a senior lecturer at the Africa University’s College of Business, Peace, Leadership and Governance and a global business modelling practitioner. His doctoral research focused on business administration (Destination Marketing and Branding Major, Ukzn, SA). He is into agribusiness and consults for many companies in Zimbabwe and Africa. He writes in his personal capacity and can be contacted for feedback and business at fariechigora@gmail.com, www.fachip.co.zw, WhatsApp mobile: +263772886871.
• Tabani Moyo is an extra-ordinary researcher with the University of North West, South Africa’s Social Transformation School. He holds a Doctorate in Business Administration (Research focus on new media and corporate reputation management, UKZN),  chartered marketer, fellow CIM, communications and reputation management expert based in Harare. He can be contacted at moyojz@gmail.com @TabaniMoyo (X)