The latest report by the leading consumer intelligence company, NielsenIQ, on Consumer trends across the ages from Gen Alpha to the Boomers has revealed powerful shifts in Kenya’s Consumer landscape.
The report themed “One Market, Many Voices” shows that 58% of Kenyans cite good value for money as a top factor, this being durability, quality, convenience, trust, and eco-friendliness.
At the 3rd Annual Breakfast Conference, Nielsen IQ’s Managing Director for East & West Africa, Faith Wanderi, and the Strategic Analytics & Insights Director for East Africa, Pauline Achayo, revealed a fast-evolving marketplace where economic resilience, generational diversity, digital adoption, and sustainability are driving the future of commerce.
Despite East Africa’s Gross Domestic Product (GDP) being on the upward trend ahead of other African regions with Kenya’s growth projected to grow by over 5%, the study shows 91% of Kenyans still feel constrained by recessionary pressures.
63% expect the downturn to persist another year with top concerns being rising food prices, economic slowdown, job insecurity, political unrest, and higher utility bills.
In Oil & Gas, Shell leads the market in terms of consumer regular usage at 61% of consumers among private car owners, Total Energies at 39%, Rubis at 28% while Astrol ranks fourth.
The top 10 FMCG categories make up 65% of the basket with most of the top 10 categories consisting of basic essential commodities.
Education tops household spending priorities, followed by health and wellness, childcare, utilities, transport costs, and savings.
Kenya’s savings culture is increasingly digital; mobile apps now rival SACCOs and banks, with Gen Z leading app adoption. Mobile money dominates payment preferences, used by 96% of consumers.
Supermarkets remain the preferred channel for Millennials and Gen Z, but social commerce is surging.
63% of Kenyans discover products on social media; 70% among Gen Z while TikTok influences 57% of shoppers’ choice before purchase.
The AI revolution is also reshaping decisions, with consumers using AI tools to compare products and prices. ChatGPT ranks as the most used AI platform, particularly among Gen Z.
Sustainability is now a decisive factor with 71% of Kenyan consumers identifying as eco-friendly or socially responsible.
According to the report, Millennials and Gen Z expect brands to engage in corporate social responsibility (CSR) as a core value.
The conference underscored that success in Kenya’s evolving consumer market will require a balanced approach; blending performance, value, innovation, and sustainability, while embracing the demographic and technological shifts that are reshaping buying behaviour.
