According to a new study from Nielsen, 60% of global consumers with Internet access prefer to buy new products from a familiar brand rather than switch to an unfamiliar label. But getting the word out broadly can win any brand shopper attention.
The Nielsen Global Survey of New Product Purchase Sentiment surveyed more than 29,000 Internet respondents in 58 countries and concluded that brand familiarity is a product characteristic that resonates strongly with consumers worldwide.
In North America, brand loyalty is bolstered by geographic allegiance. Across the globe, 40% of survey respondents said they are partial toward proximate options with North Americans, at 47%, most in favor of local brands. Asia-Pacific respondents are less likely to make a local purchase, and 26% stated that they do not prefer to buy local over large global brands.
Half of global respondents said they would consider a new product purchase, with respondents in North America and the Middle East/Africa, at 57%, most enthusiastic about making a switch. Almost two-thirds of Nielsen survey respondents said they would consider value or store-brand options. Still, 60% said they would wait until a new innovation has proven itself before making a purchase.
As regards financial influences, 45% of global respondents reported that challenging economic conditions would make them less likely to try a new product. However, four in 10 respondents indicated a willingness to pay a premium price for a brand new item.
Nielsen asserted that it studied 21 methods of reaching consumers across various media and advertising platforms, and the market research firm concluded that a mix of word-of-mouth communication, traditional advertising and Internet activity can best drive awareness. However, potential reach and ease of execution varies from case to case.
Although 77% of global respondents said word-of-mouth advice from family and friends is the most persuasive source of new product information, 67% search the Internet to find new products and 59% consider traditional television advertising. Worldwide, survey respondents said the Internet is very or somewhat important to their new product purchasing decisions regarding food and beverages, at 62%, personal hygiene categories, at 62%, personal health/over-the-counter medicines, at 61%, and hair care categories, at 60%.