Research shows it’s ‘word-of-mouth’ that rules

JAMIESON

Advertising in the form of word-of-mouth (WOM) recommendations from family and friends remains as the most influential source of advertising among Filipino consumers, according to research released by Nielsen.

The international market research firm also reveals that the trust in traditional advertising remains strong, while online and mobile ads are steadily gaining the trust of more consumers.

Nielsen’s Global Survey of Trust in Advertising polled more than 29,000 Internet respondents in 58 countries to measure consumer sentiment on 19 forms of paid, earned and owned advertising formats.

According to the survey, consumers across Southeast Asia place the highest level of trust in word-of-mouth endorsements. Eighty-nine percent of the respondents in the Philippines believe in this form of advertising; 86 percent in Malaysia; and 85 percent in Singapore and Indonesia.

Nielsen also reveals that the trust in traditional advertising remains strong as more than seven in 10 consumers in the Philippines, Indonesia, Thailand and Malaysia say they trust television ads—reportedly well above the global average of 62 percent.

Despite declining trust in magazine and newspaper advertising across the region in recent years, the majority of markets scored higher than the global benchmarks of 60 percent and 61 percent, respectively, Nielsen says.

“Faced with the challenges of media fragmentation and the emergence of new advertising platforms, television remains undeterred as the platform of choice for the delivery of marketing messages  because of its undisputed ability to reach the masses,” says Stuart Jamieson, managing director of Nielsen Philippines.

Meanwhile, the survey also shows that the credibility of online advertising has also improved in recent years.

About two-thirds of consumers in Indonesia, Philippines, Singapore and Malaysia say they trust e-mail messages sent with their consent, while more than half of consumers polled in Indonesia, Philippines, Thailand and Malaysia say they trust ads in search engine results compared to the global average of 48 percent.

“The positive response of consumers toward brand website content presents opportunities for marketers as it is an avenue where they can control the brand messages in a way that consumers consider credible,” Jamieson notes.

According to Nielsen, 47 percent of respondents globally agree that humorous ads resonated the most. However, 57 percent of consumers in Asia Pacific prefer ads featuring real-world situations. Although market nuances exist, comedic relief and ads that focus on family and health speak to the hearts and minds of consumers in Southeast Asia, Nielsen adds.

Filipinos, in particular, are most likely to respond well to advertising that used real-life situations, while ads that were value and family-oriented, and humorous also fared well, the survey shows.

“Advertisers should ensure that their brands connect with the consumers in a remarkable and meaningful way,” Jamieson says.

“The effectiveness of the reach lies on the positive impact of the message on the consumers when they are making a purchase decision. Similar to their South East Asian neighbors, Filipino consumers’ hearts and minds are easily captured by advertisements which feature relatable situations, comedic relief, and advertisements that focus on family and health,” Jamieson adds.