Long seen as a bridge between Asia and Europe, Turkey is itself bridging the gap between demographic potential and robust, resilient growth.

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Lying at the junction of Asia and Europe,
the Republic of Turkey is seen by many as
a bridge between two continents, fusing
cultures and ethnicities. As the successor
state to the Ottoman Empire, Turkey
owes much of its modern identity to the
House of Osman, one of the longest
uninterrupted royal dynasties in history.
Despite the demise of the Empire during
WWI, its legacy lives on, breeding
a country brimming with pride
and nationalism.
Today, Turkey’s population tops 76 million people, with a fifth
of the nation residing in the commercial capital of Istanbul.
In recent years, Turkey has emerged as an exciting investment
prospect, with a growth rate earning it the ‘T’ in the acronym
‘MINT’. Together with Mexico, Indonesia and Nigeria, the Eurasian
nation forms part of a group of emerging markets renowned for
exceptional growth and favourable demographics.
This title has been hard-won and over the past 20 years, Turkey
has endured significant economic turbulence. The country
suffered its first economic crash in 1994, followed by the
biggest financial crisis in Turkey’s history in 2001, which saw the
currency devalued by 50% in just one day and 120% over a year.
Nevertheless, it clawed its way back to economic stability and
saw sustained growth until the global economic crisis of 2008.
Its remarkable resilience may in part be owed to the mobilisation
of its population; economic tensions saw mass domestic migration
throughout the 1990s, with people fleeing to urban markets in
search of financial stability. As a result, today over 73 percent
of the population live in urban dwellings compared to only
44 percent in the 1980s.
This changing social context has driven a distinct change
in consumer behaviour, forcing brands to adapt to survive.
Discount stores have surged in popularity, with BIM leading the
pack, followed by SOK and A101. Boasting over 4,000 stores,
BIM pioneers the hard discount model, with a spartan layout,
minimal staff and warehouse-like stores. Its explosive growth has
caused many independent retailers to suffer, with pricing and
convenience – not power brands - underpinning FMCG sales.
The proliferation of discount stores has been coupled with a rise
in mall shopping. In the early 1990s, prior to urbanisation, Turkey
only had eight shopping malls. Fast forward 20 years and today
the country boasts 367, many of which are deemed essential
destinations for brands seeking success. The rise of mall shopping
The empire strikes back:
resilient Turkey rises again

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The empire strikes back:
resilient Turkey rises again
About the author
Murat Demiral has been the Managing
Director of TNS Turkey since August 2012.
As one of the pioneers and leaders in the local
research industry, TNS Turkey is part of the
global TNS network with more than 90 employees.
Email Murat at Murat.Demiral@tnsglobal.com to find
out more about TNS Turkey.
About TNS
TNS advises clients on specific growth strategies around new
market entry, innovation, brand switching and customer and
employee relationships, based on long-established expertise
and market-leading solutions. With a presence in over 80
countries, TNS has more conversations with the world’s
consumers than anyone else and understands individual
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economic and political region of the world.
TNS is part of Kantar, the data investment management
division of WPP and one of the world’s largest insight,
information and consultancy groups.
Please visit www.tnsglobal.com for more information.
is rooted in Turkey’s youthful population; over 40 percent of the
country is aged 24 or less and the median age of the population
is just below 30 – the youngest in Europe. To accommodate,
developers are tapping into the needs of Turkish millennials,
building malls where young people can congregate, socialise
and shop.
Telecomms providers are also satisfying the young population’s
demand for connectivity. Mobile penetration is above 90
percent and 3G subscriptions surpassed 40 million in 2012,
providing brands with distinct opportunities for targeted
online advertising. Turkey has the 13th largest global online
population, with people spending on average 2.7 hours online
per day according to Connected Life 2014, a TNS study of over
55,000 internet users worldwide. As a result, the population
has become increasingly familiar with international brands and
trends, influenced via sites like Facebook, of which Turkey is the
world’s fourth largest user.
Women play an essential role in modern Turkey, having access to
higher education and contributing towards households’ growing
disposable income. The multifaceted role of women in the home
and workplace requires a tailored approach from brands as many
Turkish women have dramatically different needs to those of past
generations. Brand owners that can relate to these rising young
adult middle-class women have a higher chance of success in
the marketplace.
Despite Turkey’s position as one of the leading growth economies
in the world, a shadow has been cast over this dynamic and
thriving market. Political turbulence, corruption allegations and
widespread public protests have dominated the headlines of the
past year, gaining international publicity and temporarily denting
confidence in this MINT market. Nonetheless, the outlook for the
future remains optimistic, particularly when many home-grown
multinationals such as durables powerhouse Arçelik/Beko or denim
niche player Mavi Jeans are gaining strength on a global scale.
A unique case in perspective is Turkish Airlines; the long-time silent
and modest national carrier of the country became a respected
global brand over the past 10 years. They blended aggressive
route expansion with celebrity advertising (featuring famous faces
from Kevin Costner to Kobe Bryant and Lionel Messi) and sports
marketing (sponsoring FC Barcelona, Manchester United, Borussia
Dortmund and Euroleague Basketball ) to make a name for the
brand at an international level.
The country’s status as a former epicentre of an empire seems
to run through its core, creating a nation able to adapt to social
struggles and thrive in even the most challenging conditions,
allowing it to push ahead and realise its emerging market potential.
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