The first payment was a 60% upfront payment I used to develop software that enabled us to do the work,” – Thabo Mphathe.
Thabo Mphate was brave when he ventured into the uncharted waters of digital market research sector, an industry dominated by only a few players. Motivated by a burning ambition to transform the industry, Mphate founded Afritorch Digital, a market research consulting firm that utilises digital technology to process consumer data. His company services research agencies operating in South Africa and in countries such as Kenya, Ghana, Nigeria, Zimbabwe, Mozambique and Tanzania. He has been in the research industry for the past ten years.
“Our biggest success stems from transforming the market research landscape, moving it from paper-based and face to face focus groups to more digital tools that enables market researchers to gather consumer insights online. We do this by doing Online Live video groups, Online communities and AI Chatbots that enables markets researchers to move their data collection and consumer engagement methods online,” Mphate tells Transform SA.
White people still hold a lion’s share of the market research sector in South Africa. According to Who Owns Whom, the industry is dominated by local subsidiaries of large international firms such as Nielsen, Ipsos, GFK, GenX, which
mostly still have white people at the helm of them. According to Who Owns Whom, the industry is dominated by local subsidiaries of large international firms such as Nielsen Marketing and Media.
“I believe that there are not a lot of black youth, women and people living with disabilities in this industry. I think there
is only one research agency called Plus 94 Research that is black-owned, owned by a gentleman called Dr. Sifiso
Falala. He is the only one that I have seen introducing this industry to the youth,” he says.
According to Mphate, market research is still unexplored for many people, particularly black business owners. “A lot of people go into marketing but not into marketing research, not a lot of people know that it can be done. “I don’t believe we as black people are as collaborative as we should be to harness our capabilities and see what we can do to compliment our businesses. I have observed that we are still governed by other organisations such as SAMRA and do not have our own forums led by young black youth who have a deep understanding of our market.”
says Mphate.
He says, people still don’t know that they can become a panel manager or a data analyst. Mphate believes a lot still needs to be done to transform the industry. Getting the business off the ground was no
easy feat for Mphate. He had to convince a client to buy into his idea without having a website or registering his business. “I went into this industry without knowing if it was going to be a success, with no funding, I was self-funded. How I did, was I first sold the idea to a client who bought into an idea of a business that didn’t exist. The first payment was a 60% upfront payment that I used to develop software that enabled us to do the work,” he recalls.
From there, Mphate was set to start growing his business by hiring graduates to help him grow the company.
He adds: “That worked pretty well in terms of transformation. We identified young people who had just graduated from the varsity. The process of transferring skills became easy as they already had a solid technological background. When they leave university, most of these guys have a good command of English, but executing tasks becomes a huge challenge for them.”
Succeeding in the ICT space depends on two key areas: passion, and finding a mentor who can hold your hand. Mphate says when he started he had to learn a lot of things on his own. “I had to learn how to handle finances in a small business, things like submitting our Vat returns and ensuring we are compliant. Those are things that you are never taught.” There is a saying that goes, “twenty years from now, you will be concerned about the things you did not do than the things you did. Mphate concurs, “Believe in your idea and start with what you have. As entrepreneurs, we tend to worry about things that don’t matter. We need a website before starting a business; what will you do with a website if it is not generating income? If you can’t sell your idea without a website, what makes you think
you can sell it when you have a website? If you can’t sell it without funding, what makes you think you can be successful when you have funding?”
While you do not need a degree to start a business, you always need someone with a degree to help you run it. Today Mphate has employed some of his ex-colleagues who were his seniors. Some of them hold PhDs. “I don’t hire people to tell them what to do. I hire them to tell me what to do. I surround myself with people who know the industry and what they are doing. I am good at coming up with brilliant ideas and putting together people who can execute it for me,” he says.
When Mphate is not working, you will find him riding his S RR superbike at the race track. “I am an adrenaline junkie; I also do church. When I am home alone, I watch movies. My all-time favourite movie is Shutter Island by Leonardo Di Caprio. I also listen to a lot of podcasts. I am a big fan of Vusi Thembekwayo. I also like DJ Sbu, who is also a fearless salesperson.”
