muslim consumers and islamic marketing

Islamic Marketing: demographics, consumers, and

brandsDr. Baker Ahmad AlserhanQFIS - Doha, October 2015

Presentation 1. History

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Definition

Toyota

Alislami Nokia

Connecting People

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History of branding: Recent History

Livestock branding: America

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History of branding: Recent History Livestock branding: Arabia

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History of branding: Mesopotamia 9000 years ago!! (7000 B.C)

Seals used to close jars: not art, but to describe contents, grade or household origin.

Containers traded far and wide

Article (2008). Brand Names: From Mesopotamia to MAC

Question

What was the first brand in Islam?

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History of branding: Islam Seal of the Prophet (First Islamic

State)

Presentation 2: Why Islamic Marketing?

Massive consumption!

Famine!Equality, Justice, humanity???

We are better than this!

World Spending (Billion USD)Military VS Hunger

Military; 1756; 98%

To end hunger; 30; 2%

America Spending on pets (Billion USD)Pets VS Hunger

Pets; 56; 65%

To end hunger; 30; 35%

Source: Time Magazine

Can We feed the poor?

We already did this:“to go where no man has gone

before”!!

Yet!!!

Yet our neighbor ….is so far far away!

How come if we want to kill anyone anywhere in the world we can do that?

But to give him food… is beyond our capabilities?

Because the above is the outcome of this

Traditional Market Economy System

We now have new market realtiesThis

Will be replaced by this

What will happen next?

Will traditional and Islamic marketing?

OrIslamic Marketi

ng Traditional

Marketing

Resistance is futile!

Traditional Marketing is to Cease and desist!

وداعاAdiosΑντίο

SayonaraEnough Greed!

Summary of Islamic Market System“We have come to take people out of worshiping people to worshiping the God of the people…” Islamic Traditional

Sharing hoardingJustice injusticeEquality inequalityHumanity greedFreedom slavery

More information!Do you need:Books? We have booksJournals? We have journalsConferences? We have conferencesScholars? 1000s speaking numerous languages can answer your questions

Step forward, Join the new world market community

The philosophy! While Market Economy is controlled by

the Market,….. The Market in the Islamic economy is

controlled by Islam.

Presentation 3. Thompson Reuters

Main sources

Pew – Templeton (2015): The Future of World Religions: Population, Growth, Projections, (2010-2050)

Thomson Reuters (2013): State Of The Global Islamic Economy 2013 Report

Key words before we start Open mind Shariah Halal Haram

Demographics compared (2010 PEW reportTotal Muslim Population 1.5 -1.8 Billion (23.4 – 26.4%)

Share in world youth

(15 – 29) years old

1990: 20%2010: 26%2030: 29%

60% of Muslim majority countries’ populations are under 30 years old

Comparison to other population

s, 2030

Median age Muslims: 30yrs French: 40yrs German: 40yrs Japan: 40 yrs

(Economist, 2011)

Growth rate, Muslims: 1.5%Non Muslims: 0.7%

(Pew Research

Center 2011)

Growth rate: 35%Popul:2.2 Billion

Number of people

Percentage of the world population

Islam Growing Fastest

Total fertility rate by religion

Projected cumulative change due to religious switching

Long-term projections of Christian and Muslim share of the world population 2070

- 2100

Age distribution by religious groups

Country Total Male Female Total Male Female Monaco  48.9 48 49.9  Brunei  28.1 28 28.2 Japan  44.6 42.9 46.5  Turkey  28.1 27.7 28.4 Italy  44.3 43 45.6  Indonesia  27.9 27.4 28.4 Germany  43.7 42.3 45.3  Libya  24.2 24.3 24.2 Jersey  43.4 42.5 44.2  Egypt  24 23.8 24.3 Hong Kong  42.8 42.4 43.2  Oman  23.9 25.4 22.1 Guernsey  42.7 41.8 43.5  Bangladesh  23.5 23.2 23.8 Austria  42.6 41.5 43.6  Syria  21.5 21.3 21.7 Finland  41.6 40.2 43  Djibouti  21.4 19.8 22.8 Greece  42.2 41.1 43.2  Pakistan  21.2 21.3 21.2 San Marino  42.1 41.3 42.8  Ghana  21.1 20.8 21.3 Slovenia  42.1 40.4 43.7  West Bank  20.9 20.7 21.1 Belgium  42 40.7 43.3  Iraq  20.6 20.5 20.8 Sweden  41.7 40.6 42.9  Wes. Sahara  20.1 19.7 20.6 Bermuda  41.6 40.2 43.1  Sudan  19.3 19.1 19.5 Bulgaria  41.6 39.4 43.9  Mauritania  19.3 18.5 20.2 Spain  41.5 40.1 42.9  Nigeria  19.1 19 19.2 Liechtenstein  41.4 40.8 41.9  Comoros  18.9 18.6 19.2 Switzerland  41.3 40.3 42.4 Croatia  41.2 39.3 43 Netherlands  40.8 40 41.6 Denmark  40.7 39.8 41.6 Canada  40.7 39.6 41.8 United Kingdom  40.5 39.4 41.5 Czech Rep.  40.4 38.9 42.2 Hungary  40.2 38.1 42.8 Norway  39.7 38.8 40.5 France  39.7 38.2 41.2 Portugal  39.7 37.6 41.9 Ukraine  39.7 36.5 42.9 Singapore  39.6 39.1 40 Luxembourg  39.3 38.3 40.3 Belarus  38.8 35.8 41.8 Georgia  38.8 36.3 41.3 Russia  38.5 35.3 41.7 Cayman Islands  38.4 38 38.9 Saint Helena  38.2 38.2 38.1 Poland  38.2 36.5 40 Romania  38.1 36.7 39.6

Demographic pyramids

Minority old,Less than 40%

Median age30 years or less

Majority young,More than 60%

 Figure 1. Muslim demographics2030

Majority old,More than 60%

Median age40+ years

Minority young,Less than 40%

Figure 2. Western demographics 2030

91.8

Presentation 4. Implications

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Islamic branding: Why?

Corporate transformation - converting a company to Islam can increase the value of a company by 18 to 25%.

Fastest growing consumer market in the world. (Bigger than China or India)

Many of the world’s consumer segments are reaching a saturation point, the Muslim consumer is fast becoming a new outlet to build a base for future growth.

A. T. Kearney, 2007

Demographics and Markets: What does it mean?

Implications for markets Implications for policy makers Are the world markets ready for Muslim

consumers? Are Muslim consumers ready for

themselves?

حالل حر

ام

Islamic marketing Islamic branding Muslim consumers Commercializing Islam Islamic marketing mix Halal market Islamic management & leadershipIslamic entrepreneurshipSocial Innovation Islamic economicsIslamic business educationIslamic business ethics & Social responsibility

Islamic law & mrkting practices Trade with Islamic marketsIslamic media & communicationsIslamic retailIslamic fashion & clothing Islamic pharmaceuticals, cosmetics and toiletryIslamic hospitality & tourismIslamic logistics Islamic e-market Islamic finance | Accounting | Zakat Islamic HR

General topics discussed within the Islamic economy

Islamic Market: USDSize 2012: 3- 12 Trillion | Size 2030: 30 Trillion

Food and Bev 29% (1.088 B)

Finance (1.354 B)

54%

Medicine (70 B) 2%

Personal & beauty care1%

Media & En-tertainment4% (151B)

Fashion6% (224 B)

Hospitality & Tourism (137 B) 4%

Food Industry: Halal VS Global

Global Food Industry; 0.84

Halal Food Industry; 0.16

Implications: Pharmaceuticals!

Example. Medicine: Melrosum 5% alcoholHaram or Halal?

Implications! Example. Medicine:

CodeineDextromethorphan

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Issues in Islamic Branding: Misleading Information

DefinitionIs this an Islamic brand?

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Issues in Islamic Branding: Commercialization of Islam

Mecca Cola

The Islamic 4Ps: Product

://http. . / /10056/1453904/www versandapo de en M

- .elrosum Hustensirup htm

The Islamic 4Ps: Product

The Islamic 4Ps: Product

The Islamic 4Ps: Product

The Islamic 4Ps: Promotions

https://www.youtube.com/watch?v=54Lvwu7ayno

http://www.youtube.com/watch?v=P-M-npVgJkY

http://www.youtube.com/watch?v=aZMbTFNp4wI

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Issues in Islamic Branding Divinity:

Is an Islamic brand Holly?