Report: Why Aussie consumers don't trust advertising

New report shows consumers are more wary of brands than ever

A majority of Australians believe there’s too much advertising today, that most is forgettable and that it cannot be trusted.

These are some of the findings of a new Eye on Australia research report entitled Helping Australians Fall Back in Love With Brands, undertaken by communications agency, Grey Group Australia, in partnership with Zing Insights.

The report found 79 per cent of Australians surveyed felt there was too much advertising in the market, and 78 per cent claimed it was forgettable. In addition, 73 per cent said advertising couldn’t be trusted.

Despite this, 73 per cent think brands are important to making judgments round quality, although the report also found more than half of Australians (53 per cent) are not loyal to any brand, and 40 per cent see brands as just about the same today. In addition, 38 per cent believed brands couldn’t be trusted.

Nearly three-quarters of respondents also believed brands on social media and too self-indulgent, led by the 60 and over age bracket (84 per cent) followed by 40 to 49-year olds (76 per cent). The lowest score came from those under 30 (60 per cent).

The list of top influencers on what products or brands consumers buy was led by word of mouth from friends and family (56 per cent), followed by good customer experience (37 per cent), and seeing someone else buy or use it (26 per cent).

More widely, external influencers impacting actual purchase decisions are soft drinks (75 per cent), snacks (74 per cent), grooming/beauty (71 per cent). Health/wellbeing (69 per cent) and alcohol (66 per cent).

“Technology has changed the way Australians consumer media and run their lives,” commented Grey Group Australia’s national planning director, Danish Chan. “Continuously connected and always-on, Australians may be easier to reach but are tougher to influence.

“Advertising doesn’t work the way it used to. It can still be an engine of influence – but it needs to adapt.”

The report advised marketers that the best way to shift attitudes to advertising was to adopt a story-making, rather than storytelling approach, try to fuel social proof, and work on persuading consumers to engage with the brand around experiences.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+: google.com/+CmoAu

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