In the first episode of Inside Africa Startups, I want founders to understand that the road to entrepreneurial success is paved with both triumphs and setbacks. The flashy sponsorship deals, the ambitious promises, and the grand visions are all part of the journey.
The Big Brother Naija (BBNaija) phenomenon has become a staple in the Nigerian entertainment landscape, drawing millions of viewers with its drama, intrigue, and compelling personalities.
For startups seeking to make a splash in a competitive market, sponsoring BBNaija appears to be a golden ticket to instant recognition. However, the story doesn’t always end with success.
Some startups that entered the BBNaija ring with high hopes ultimately crashed, leaving behind valuable lessons in the perils and pitfalls of high-stakes branding.
BBNaija offers unparalleled visibility. The show, with its massive and diverse audience, presents a unique opportunity for brands to reach potential customers across Nigeria and beyond.
Startups, often struggling for recognition in a crowded market, see this as an opportunity to leapfrog competitors by associating their name with a beloved cultural phenomenon.
Payporte: The Fashion Fiasco
Remember Payporte? The online fashion retailer burst onto the BBNaija scene with a bang, promising to dress the housemates in the latest trends. Their sponsorship deal seemed like a match made in heaven, but it quickly descended into a fashion fiasco that had viewers rolling their eyes.
Payporte’s clothing choices for the housemates were nothing short of bizarre. Think of mismatched patterns, ill-fitting outfits, and questionable color combinations. Social media erupted with memes and jokes, mocking the fashion faux pas that paraded across our screens.
One memorable incident involved a housemate sporting a dress that looked suspiciously like a curtain.
The online backlash was swift and merciless. Payporte became the laughingstock of the nation, their brand synonymous with fashion fails. The sponsorship deal, intended to boost their visibility, ultimately tarnished their reputation.
They quietly exited the BBNaija stage, and their dreams of fashion domination were dashed. However, behind the scenes, financial mismanagement and an inability to scale operations to meet the surge in demand began to unravel Payporte’s fortunes.
The company struggled with logistics, customer service issues, and mounting debts. By 2018, Payporte had ceased operations, a stark reminder that even the brightest branding opportunities cannot compensate for fundamental business weaknesses.
Abeg: The App That Couldn’t
In the age of digital innovation, Abeg, now Pocket App, a social payment app, decided to jump on the BBNaija bandwagon. They envisioned themselves as the go-to platform for fans to interact with their favorite housemates, send virtual gifts, and even win cash prizes. But alas, their app proved to be more of a glitch than a gift.
Abeg’s technical issues were legendary. The app crashed frequently, leaving users frustrated and unable to access the interactive features. Transactions failed, virtual gifts disappeared into the digital abyss, and cash prizes remained elusive. The promised seamless experience turned into a chaotic mess.
To add insult to injury, Abeg’s customer service was nonexistent. Complaints went unanswered, leaving users feeling abandoned and cheated.
The app quickly became the target of online ridicule, with memes and jokes highlighting its numerous shortcomings. Abeg’s grand plans to revolutionize social payments fizzled out, so they decided to rebrand into a social commerce platform.
Patricia: The Bitcoin Blunder
Patricia, a cryptocurrency trading platform, saw BBNaija as the perfect opportunity to introduce Nigerians to the world of Bitcoin. They envisioned themselves as pioneers, educating the masses about this revolutionary digital currency. But their ambitious plans backfired spectacularly.
The platform’s technical issues didn’t help matters. Their website crashed under the weight of increased traffic, leaving users unable to access their accounts or trade Bitcoin. The promised seamless experience turned into a frustrating ordeal, further eroding Patricia’s credibility.
Patricia and Abeg sponsored their pitfall; it was like signing their classic downfall on an endorsement paper. Today, Patricia is still paying its users, according to a report by an African publisher, the company faced a massive breach amounting to a loss of over $2 million, which converts customer funds into tokens.
For startups, the decision to sponsor a high-visibility event like Big Brother Naija is fraught with risks. The immense costs associated with such sponsorships can drain resources that might be better invested in strengthening core operations. Additionally, the sudden spike in brand awareness can lead to demand outstripping supply, overwhelming young companies that are ill-prepared for rapid growth.
They highlight the importance of thorough planning, robust technical infrastructure, and effective communication. A flashy sponsorship deal is not enough to guarantee success. It takes more than just throwing money at a popular show to win over the hearts and minds of Nigerian viewers.
By learning from these failures, new startups can better navigate the treacherous waters of high-profile sponsorships, ensuring that their brand not only shines brightly but endures the test of time.
