Saturday, October 29, 2011

Design Thinking

Brief: Explore the Fringe area and search for problems in the area. Do research among current stakeholders within the area. Design solutions to these problems.

Objective: Uplift and develop the Fringe so it can progress from its current state of stagnation.

We interacted with stakeholders of the fringe area on a daily-basis, as well at nights. Interviews and questionnaires were conducted and it was documented on film to refer back to when key points were made.



The stakeholders in the Fringe:


1. Homeless and jobless people


2. Students


3. Businesses


4. Creative group


5. Municipality and Police


6. Investors


SWOT analysis on the Fringe area:



Strengths


· Potential for development


· Accessibility


· Investment opportunities


· Good footprints; tourists, students, every day people


· Gets exposure; a lot of vehicles passes by, in and out


· Rich history around the area; The Castle, Good Hope Centre


· Great positioning – View of Table Mountain, close to inner city


Weaknesses


· Lack of infrastructure


· Lack of entertainment facilities


· Homeless comfort zone


· Bureaucracy


· Lack of parking


· Crime


Opportunities


· Old buildings (Restore)


· Development in the infrastructure


· Underground water resource


· Wind – sustainable energy


Threats


· Possibility of gentrification within the region


· Displacing homeless people


· Traffic creation with the implementation of an expansive project

Lack of stakeholder engagement, unwillingness to invest and lack of responsibility for their areas of interes



Insight:




Above is a circle of chaos:


There is crime, why? There is unemployment, why? There are vacant buildings, why? There is no investment, why? The area is in disarray and is decayed, why? Vagrants, homeless and unemployed people live there, why? There is a form of income, why? There is crime.


We had initials ideas of extending the fan walk and make it part of the fringe, forming a new creative hub, build a community centre to train homeless people (primary research proved they are skilled), new walking footpaths. None of this will be the catalyst to fix the circle of chaos, as identified above.


The area need to be improved through investment. How can investment be attracted to the area?


Solution:


The area has a lot of open and vacant spaces filled with gravel and a lot of litter. The idea is to simply green the area; to plant grass and trees in these open spaces that will result in beautiful parks. Each park will be equipped with a small nursery and will be the storage of gardening tools. The parks will also contain gardens with excess plants and vegetables that can be sold for a side income for governing these parks. The homeless people are incorporated in this plan and will be given an opportunity to work and maintain these beautiful parks on a volunteering daily basis. An opportunity is created for unemployed residence, as they will have small tasks such as ranking the leaves, planting of seedlings, and more physical work to maintain these gardens and parks. Each park will also have a community leader in charge that will decide whether an individual is fit to work the day. This eliminates the problem with individuals who do not want to work every day or come to work intoxicated.


Two critical points in the solution must be highlighted that we think will solve the current problems and that is by ‘Greening’ the area and the creation of employment. We thought this solution is also very relevant, because it improve property value and make the area pretty without causing Gentrification.


This idea is not only relevant in the Fringe, but can be implemented throughout South Africa in areas with the same problems.
Branding the area:


This would be a destination brand and we thought of branding it as commUNITY. This is a revelation for us as this was exactly what we wished our project to be about. We wanted to include all stakeholders and create a stronger sense of community, a unity and a sense of pride and belonging in the Fringe district.




Examples of solution:










Contributing Composers:


Roxanne Green, Nonku Phiri, Abraham Van Zyl, Kimon Christodoulou,Martin Feiter and Richard Steele

Brand Challenge 2011

Brief: Design Absa’s sponsorship for the Design Indaba 2012.

Objective: To associate Absa with creativity and to ultimately achieve awareness among Absa’s sponsorship at the Design Indaba 2012.



Reseach:

Interviews and questionnaires were completed at Woodstock Industrial Centre, Cape Peninsula University of Technology, University of Cape Town (Michaelis School of Fine Arts) and Cape Quarter Mall in Greenpoint. The research was documented to use as evidence for key findings and arguments.



Brand Equity audit on the Absa brand in partnership with the Design Indaba:

Awareness
Absa have high brand awareness, but awareness of the Indaba and Absaʼs partnership is low. Primary research showed that respondents did not connect the two.

Perceived Quality


Primary research showed that the perceived quality is negative in terms of customer service and services offered by Absa. The perceived quality as to why they are sponsoring the Design Indaba is also negative. There is confusion as to why Absa is sponsoring the Design Indaba, as people do not know that Absa supports arts and culture in South Africa.


Brand Associations


Research showed that the brand association connected to Absa was that of a bank. There were a few mentions of corporate or sport. It showed that people do not associate the arts and creative industry to the brand.


Absa has leadership skills, although they are not the market leaders in the banking industry. The bank sponsors leading events and sport teams in the country. People might like to support Absa for the fact that they sponsor Bafana Bafana for example. A person that banks with Absa might also like to be associated with a brand that sponsors events (sport and culture) that mean something for South Africa and are positive for the country, where it might be contributing to the GDP or just improving towards a positive image of the country.


Brand Loyalty


Loyalty is seen as the heart of the brand and Absa has shown loyalty by improving services to ultimately make the customer experience easier. Innovation Group is a client of Absa and they play a key role in improving Absaʼs services, which not only helps Absa to save money, but also improve customer experience and service. Absa currently owns a loyal customer base of different segments in the South African market of over 12 million people. While these people do bank with the brand, they may not have positive feelings towards the brand. Primary research showed that there are still negative feelings about the brand. In conclusion, according to primary research, the intangible brand equity (how people feel, act and think towards the brand) is low.


The attitude towards the Absa brand needs to be positively uplifted. In South Africa, with respect to tangible equity such as market share, price and profitability, the brand equity is high, but within the context of the Design Indaba partnership it is rather low, as only 22% of respondents knew that Absa is sponsoring the Design Indaba.


Insight: Creative minds perceive Absa as just another bank. They do not associate Absa with design or creativity. It was found irrelevant for Absa to sponsor the Design Indaba under its current mother brand that, for example, also appears on the jerseys of the Springbok rugby team.


Absa sponsors mainly to categories; sport (teams & events) and Design & Art (creative cultural fest and Design Indaba etc.) This model describes what the Absa and the two categories have in common.



Absa: Partnerships

Spoert: Teramwork

Design & Art: Collaboration

Idea: Create a subbrand; Absa Collectic.


Collectic: 1.) A new style of design embracing your own style and combining it with more than one other style. 2.) Design without the conventional and traditional rules proposed. (Urban dictionary)


Absa is the co-driver and Collectic is the main-driver for the subbrand.


Purpose: To link Absa with the creative and design fields, to extend Absaʼs vision of creating a better future through working together.


Essence: Supporting creativity


Message


Absa Collecticʼs support enables the opportunity for creative to develop their ideas.


Concept: Challenging passionate designers to be original.


This campaign will launch on Facebook, Absa Collectic page, and a website.




There is a guide on the facebook site displaying how to go if you have a create idea or solution towards a problem.


The main key contact point with this proposed contact plan is the Absa Collectic website. This website will form the base of the brand and campaign. The website will be launched under the name Absa Collectic and will form another ʻcreative platformʼ for designers. The function of the website:


· A social network platform for creatives


·A detailed message board aimed at encouraging conversation and relationships between creatives


· A personalised profile with published blog and gallery options for easy display of portfolio work


· The website has a "Patron" facet where creatives who need funding for a particular project can submit their proposal and can receive donations from the community and Absa


· The website will hold a competition that runs for a period of time and Absa will sponsor the winners


· The website will also have a function that when a creative reaches a certain percentage of their goal, Absa will then sponsor the rest


Screenshot of the website’s homepage:





Alternative brand contact point:

The sticker is intended to irritate creatives, as one can see the cliché font and layout of the sticker.
At the Design Indaba Absa Collectic give a conference bag away and it will contain a moleskine and pen with the following challenging copy on it:


A selection of people whom have entered on the Absa Collectic website will get the change to exhibit their work at the Absa Collectic stall at the Design Indaba 2012.


Healthy brand audit on Absa’s mother brand:


· Does the brand have a particular and meaningful purpose?

Yes, clear purpose that supports their brand identity in that it is all about bringing prosperity through partnerships


· Is the brand purpose served in all that the brand does?
Yes, through partnerships with other corporates and brands, they strive to better South African’s lives. They also highlight that they work with clients to create prosperity.


· Does the brand have a distinctive identity?


Yes, in ways they are the only bank that highlights their togetherness, but in other ways, no, they are seen as just another bank. They do not own their ‘togetherness’ yet.


· Is the brand an engaging, authentic and coherent communicator?


Yes, engaging and authentic, coherent not so much


· Does the brand add value to the lives of people?


Yes, innovations, relationships and events they sponsor


· Does the brand build sustainable relationships by never taking more than it gives?


Yes, in the form of sponsorships, it gives back to the community, but primary research shows that people do not relate Absa to good service in serving clients


· Does the brand and the business that underpins it demonstrate that profit is not the driver but a consequence of all of the above?


Yes, profit not the only driver, gives back to community.


Rationale for Absa Collectic:


The brief required an increase in Absa’s brand awareness as a sponsor of Design Indaba, in demonstrating its support and relevance to the design industry by positioning themselves as a proudly South African organisation contributing towards this growing community.We felt the best way to create more awareness around Absa sponsoring the Design Indaba was to create a sub brand; a creative extension called Absa Collectic. As the link between passionate designers and Absa, Absa Collectic wants to boost the creative industry by encouraging originality and enabling passionate designers to reach their potential by funding their proposed ideas.



Contributing composers:


Jenette Jurgens, Segun Ajayi, Dean Norman, Jodi Smith, MW van der Walt, Ljubljana Albertyn, Brittney Cannon and Vida Schiff

Creative Development

Concept: Absent-mindedness

Financial Analysis

In a group, we have analysed Distell Group Ltd‘s annual financial statements of the years 2006, 2007, 2008 and 2009.


Assesing the year 2007:


Marketing Ratio:



Dividends Yield = Dividend per share/ Market price per share = 0.362


This is the ratio that identifies the return, in terms of cash dividends, on the current market price of the stock.


Price/Earnings Ratio (P/E) = Market Price per share/ Earnings per share = 1.271


This ratio is used as a guideline in measuring stock values. The higher the price-earnings ratio, the more opportunity a company has for growth.


The price/ earnings ratio rose from 2006 to 2007 from 1.248 to 1.271. This raise is positive for the growth rate of a company as it allows more opportunity for growth.


Earnings per share (EPS) = Net Income after tax/ No. of shares = 4.259


This measure indicated how much income was earned for each share outstanding.


The earnings per share increased vastly from 2.707 to 4.259 from the years 2006 to 2007. This is excellent as it means more income is gained for each share. Investor confidence would increase in the Distell brand.


Net Asset Value per share = Equity (Net Assets)/ No. of shares = 19727


This ratio identifies the realisable value of the entity should all assets be sold and liabilities repaid.


Ratio Analysis


Solvency


Financial Leverage = Total Assets/ Total Equity = 1521.843


Debt/ Equity Ratio = Total Liabilities/ Total Equity = 0.522


0.522 is the portion of the company’s assets that are contributed by the owners.


Liquidity


Current Ratio = Current Assets/ Current Liabilities = 2.241


This ratio determines whether the company has enough short-term assets to cover its short-term debts. A healthy current ratio turnover would be 2:1.


Acid Test (Quick) Ratio = Current Assets- inventory/ Current Liabilities = 0.801


This ration determines whether current liabilities can be paid without having to sell the assets that are difficult to quickly convert into cash. This ratio should be as close to 1:1 as possible. If it is above 1:1 the company is not utilising its assets as well as it could.


Profitability


Gross Margin = Gross Profit/ Sales = 0.136


This ratio is an indication of product pricing and product mix.


The gross margin has increased for 0.129 to 0.136. The increase in this ratio is positive.


Net Income Margin = Net income after Interest & Tax/ Sales = 0.103


0.103 is the average “bottom line” profit on each unit of sales.


Return on Assets = Net Income after Interest & Tax/ Total Assets = 0.141


This ratio assesses the ability to generate a return on assets.


The 2006 figure of 0.098 has also increased in 2007, which is a good thing as more can be pumped back into the company from its asset investments. Assets and what they give back can be recognized as a symbol of the value of a company, so the higher these ratios the better.


Return on Equity = Net Income after Interest & Tax/ Shareholder’s Equity = 0.215


This is the ratio measuring the return on historically accumulated owners’ investments.


An increase such as that from 0.1612 to 0.215 is also a positive. This ratio measures how much the shareholders is gaining from their input into the business.


Efficiency


Asset Turnover = Sales/ Total Assets = 1.367


The asset turnover has increased from 1.256 to 1.367 over the year period. This is the measurement of how efficient the assets have been in producing sales and drawing in income to the business.



Receivable Collection Period
= Accounts Receivable/ Sales x 365 days = 36.009


This is the amount of days it takes on average to collect sales revenue.


Inventory Turn = Cost of Sales/ Inventory = 2.621


This is the level of inventories in relation to the volume of activity.


The level of inventories has also increased from year 2006 to 2007, which shows that inventory levels have increased in relation to the volume of activity, this is because the business is growing.


Days inventory of Hand = Inventory/ Cost of Sales x 365 days = 13.925


This is the number of days it takes on average to sell all stock on hand.


The amount of inventory days on hand has dropped immensely which is a good thing, as this tells us that stock is being sold at a much faster rate, which means the company is becoming more popular.


As you can see by looking at the above information the percentage change in all aspects of the business has been positive. This means that the company is growing and is becoming more profitable.


In the 2008 & 2009 Distell continue with prosperous growth and their annual turnover for 2009 was R10.9 billion.


Contributing composers:


Tara Louw, Kimon Christodoulou, Adderley Williams


Vicki Nortje and Matthew Rosenveldt


Friday, October 28, 2011

Who is JH?

Personal Information:


Jan-Hendrik Stapelberg van Wyk


Born on 13 February 1990, Caledon


South African


ID number: 9002135226089


Drivers licence: code A1 & B


Academic Qualifications:


I am currently studying at Vega, the brand innovation school. I am in my third year of study and in the process to accomplish a bachelor’s degree in Brand Building and Management at the end of the year 2011.


National Senior Certificate (2004 – 2008).


Subjects include: Mathematics, Industrial Graphics Design and Computer technology.


Bmus Basic music course (2006 – 2008). Classical composition.


University of Stellenbosch, equal to grade 6 in music theory


Instrument: Classical Guitar.


Work History:


(2011) I finished a 6 week internship at strategic brand institute, Arctic Circle.


(2010 – Present) I do part time research for youth trend agency, Instant Grass.


(2009) I did an internship at advertising agency, Ninety9Cents Communications.


Interests:


Design thinking, music composition, trends in various disciplines, strategic planning and nature.