Flair Morocco 2024: Achievement and Accelerations
In this first edition of Flair Morocco, our local experts share their perspectives on themes including emerged middle classes, inflation, and global megatrends.
Flair Morocco looks back on a year marked by a series of major shocks (including the Al Haouz earthquake and geopolitical polycrises) and encouraging signs of international success (Morocco will co-host the 2030 football World Cup, alongside Spain and Portugal).
These events have helped to shape a new socio-economic context, revealing a Morocco that is confident and determined to turn the flame lit at the 2022 World Cup in Qatar into a lasting light.
Moroccan consumers have changed and their view of brands – especially Western ones – is more demanding, with new expectations. In our Flair Morocco 2024 report, our experts invite you to learn more about these challenges, and the strategies needed to succeed.
Flair Morocco 2024 includes topics on:
Major Global Trends
Major global trends centre on six themes including climate emergency, technology, and health. For example, 78% of Moroccans believe that they cannot imagine their lives without technology, which is seven points higher than the world average, but 75% say they fear that technological progress is destroying our lives. Environmental concerns have risen sharply since the government sounded the alarm about the water crisis, and health concerns are also on the rise, with 93% saying that they should do more to look after their physical health.
Inflation
In 2018, a consumer boycott in Morocco targeted brands including mineral water brand Sidi Ali and dairy products brand Centrale Danone. The boycott began with calls on social media for people to stop buying their products, with the aim of pushing them to lower their prices in the face of the high cost of living.
Overall, there is a change in priorities, with a split between what is essential vs. what is wanted – because of consumers having less money to spend. Price and function are the main factors in purchasing decisions, rather than environmental concerns. For western companies, there needs to be an unrivalled functional value added and broad superiority over Moroccan brands to be chosen by consumers.
The Big Winner: Authenticity
Creating a positive brand image trust and transparency are important factors in achieving authenticity, for example 60% of Moroccans are more prepared to spend more on a brand whose image appeals to them and 72% are willing to buy responsible brands. In terms of trust, 53% globally do not believe that company directors tell the truth.
Three factors affecting leading brands are 1) the risk that consumers will not experience a big difference in quality compared to alternatives during inflation, 2) rapid professionalism of local players and communication departments that don’t have to envy international brands, and 3) the rise in quality of local brands that apply international standards.
The Key Change: Pressure on the middle classes
In the past, there was a lack of middle class and a belief that the conditions to achieve an emancipation didn’t exist, but there is now a middle class due to three factors: 1) the increase in the number of women working, 2) more people developing online commercial activities, and 3) Morocco having the highest minimum wage in North Africa.
The emergence of a middle class brings about change in many sectors including education, appearance, leisure activities, new technologies, housing and inflation. This change adds pressures on things such as price, quality of studies, and consumption of services related to leisure and goods. Inflation has led to a decline in household morale due to its impact on household costs.
Pride and Dissatisfaction
A tension between pride and dissatisfaction defines a Moroccan society. For example, reaching the semi-final of the World Cup in 2021 and the rise in industrial power is a source of pride for many, but on the other hand there is dissatisfaction and growing frustration as some Moroccans don’t feel that they are benefiting from the achievements. One consequence of dissatisfaction is emigration abroad, for the opportunity of a better life away from economic difficulties.
Personal pride is based mainly on living in a nice neighbourhood, travel conditions, and harmonising income and purchasing power. The conflict in Ukraine has influenced dissatisfaction but this will likely continue after the conflict, unless consumers see significant price reductions or a downward adjustment.
