Algeria flag Algeria: Buying and Selling

Advertising and marketing in Algeria

Marketing opportunities

Consumer Profile
The population in Algeria is relatively young even if the amount of old people is increasing. The median age is 28.9 years, up about 3 years from 10 years ago. There are 43.5% of people under 24, 42.9% of 25 to 55 and 13,6% of over 55. The population growth rate in 2020 is 1.52%. On average, there are 6.12 people per household, a relatively high figure. Women represent 49.4% and men 50.6% of the population with 73.7% of Algerians live in urban areas. The northern part, close to the coast, is denser than the centre and the south of the country. The main cities are Algiers, Oran, Constantine and Annaba. The level of education in Algeria is estimated as one of the worst in the world according to the OECD. There are 17% of illiterates, and 82% of adults have not passed secondary school. However, the number of students enrolled in university is increasing.
Purchasing Power
The GDP per capita PPP in Algeria is about USD 11,820, a relatively low level (2019, World Bank). The average annual salary is 478,800 dinars. The latest available data for private consumption published by CEIC Data show a 1.5% increase year-on-year at the end of 2018. The Gini index on income inequality is 27.6, a figure to be taken with caution because it dates from 2011. Although inequalities had previously decreased, they are now widening again. The gender gap index is estimated at 0.6052.
Consumer Behaviour
In Algeria, it is difficult assert that the country is a consumer society. Generally, the consumption is determined by price since the organization of the expenses is important. Purchases are often made from small retailers even though supermarkets are growing. However, in the big cities one can find shopping centres. About 66% of the population has confidence in the future of the economy, but the political and social tensions linked to the elections may affect this figure. Online commerce is growing and consumers are increasingly attracted by easier and faster ways of buying. However, online payments are still abandoned in favour of cash payments made after the order. As a general rule, consumers are open to international products. However, the government has launched a campaign to promote local products. In terms of loyalty branding is an important buying factor but consumers are willing to go elsewhere for a better price. About 50% of the population has internet and is active on social networks. However, purchasing decisions on networks are not as developed as in Europe or the United States.

Organic and non-intensive agriculture attracts a tiny part of the population. Dietary habits are changing to a diet richer in animal fat and sugar. The second-hand market is very developed like ready-to-wear but also for furniture and vehicles. The collaborative economy is developing, particularly with Airbnb and carpooling sites.
Consumers Associations
Ministry of Commerce , List of Consumer Associations
Main Advertising Agencies
Lotus Conseil, agency of the Publicis Group
Memac Ogilvy
Echo Advertise

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Latest Update: June 2022

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