TNS’s Digital Life Study has shown interesting consumers’ behavior on Brands engagement in the social media. Surprisingly, only 43% of the people in Singapore do not want to engage with brands on social media, as compared to the average 57%. And the report also has some interesting facts that brands might want to listen when they do their marketing. Read on.
‘Digital waste’ pollutes the online world as brands fail to listen to what people want
Global report from world’s largest research consultancy, TNS, shows
43% of Singapore consumers don’t want to be bothered in social networks
Singapore, Thursday 10 November 2011. Businesses are wasting time and money trying to reach people online without realising that many resent big brands invading their social networks – according to findings from a global study launched by today by TNS, a Kantar company and part of WPP [NASDAQ:WPPGY].
The findings were revealed by TNS’s Digital Life study, the most comprehensive view of how more than 72,000 consumers in 60 countries behave online and why they do what they do – an interactive data visualisation of the key findings can be found at www.tnsdigitallife.com.
The race online has seen businesses across the world develop profiles on social networks, such as Facebook or YouTube, to speak to customers quickly and cheaply – but TNS’s research reveals that if these efforts are not carefully targeted, they are wasted on 43 per cent of those online in Singapore.
It found that 43 per cent of people in Singapore do not want to engage with brands via social media against a global average of 57 per cent in developed markets*. Instead, misguided digital strategies are generating mountains of digital waste, from friendless Facebook accounts to blogs no one reads. This is being combined with ever-increasing content produced by consumers – the study shows 46 per cent of Singapore consumers now comment about brands online.
The result is huge volumes of noise, which is polluting the digital world and making it harder for brands to be heard – presenting a major challenge for businesses trying to enter into dialogue with consumers online.
“Winning and retaining customers is harder than ever,” said Arnaud Frade, Regional Director Digital Strategy, TNS APAC. He continued, “Whilst there are obvious and very significant opportunities for brands online, success will only come from a deliberate strategy, considered tactics and careful tailoring aligned to a market, a channel, a category or even a group of individuals. Getting this wrong and adding to the cacophony of noise in the online world risks alienating potential customers and impacting business growth.”
TNS’s Digital Life study asked consumers around the world whether they actually want to engage with brands on social networking websites – either to find out more or to make a purchase.
Although 62 per cent of people in Singapore admit social networks are a good place to learn about products, the research shows brands must harness digital more carefully if they are to use it to their advantage and deepen relationships with customers and prospects.
The study also reveals big market contrasts which highlight the risks of brands employing a catch-all approach that doesn’t take the needs of different consumers into consideration.
Fast growth markets** were found to be more open to brands on social networks. 73 per cent of Vietnamese and 69 per cent of Indonesians said that social networks would be a good place to learn about brands, compared to only 50 per cent in a developed market like Korea, and 62 per cent in Singapore. Yet across the board, over 40 per cent of internet users in Asia said they don’t want to be bothered by brands in their social networks, revealing that Asians would rather initiate contact with brands than have brands approach them. Brands must plan and manage online engagement carefully to avoid alienating consumers and doing more harm than good.
Arnaud Frade explains: “Digital waste is the accumulation of thousands of brands rushing online without thinking who they want to talk to – and why. Whilst many brand owners understand the value and relevance of the vast online world, many fail to understand the audience they are connecting with.” “Control is firmly in the hands of consumers. The goal should therefore be to understand your target audience intimately, enabling your brand to connect openly and with integrity. This also means that selecting the right online approach and focusing on efficient messaging are critical to be relevant.”
TNS’s Digital Life study also sheds vital light on why people do engage with brands online. 45 per cent of Singapore users motivated to post comments on companies do so for the simple desire to impart advice.
Findings showed that more people like to praise than complain online globally (13 per cent vs 11 per cent). The same proportions were found in Singapore. In Asia, Thais were most likely to praise online, with 22 per cent claiming to do so, and online Japanese were the most polite, with only 7 per cent writing to complain.
However, motivations of online commentators can be self-serving. 76 per cent of Singaporean consumers are driven to engage with brands online by a promotion or special offer.
When examining global contrasts, TNS found that consumers in fast growth markets are incredibly keen to spend more time and money online than they currently do – presenting major growth opportunities for brands.
There are, however, infrastructure challenges still to be overcome in these countries before businesses can really tap into the enthusiasm for the digital world. 48 per cent of people in fast growth markets around the world would use the internet more if it was less expensive – including 76 per cent of people in Indonesia, 69 per cent of Thai users, and 59 per cent of Malaysian users.
Likewise, while just a quarter of people in developed markets globally see social networks as a place to buy products, this rises to 48 per cent across fast growth markets. The most eager online consumers for developed markets in the Asia-Pacific region are found in Singapore, where 41 per cent see social networks as a good place to buy products from brands.
And when it comes to online shopping habits, Asian consumers are leading the adoption of group buying and purchase via mobile. Almost half (46 per cent) of consumers in China and 33 per cent of Singaporeans already use group buying tools – in stark contrast to Europe where adoption rates are as low as 6 per cent in Sweden and Finland.
Adoption of shopping via mobile is also high in the region – 25 per cent of Singapore mobile internet users shop on their phone, compared to 34 per cent of mobile internet users in China and South Korea, and just two per cent in Vietnam.
Arnaud Frade adds: “Across the region, internet access is a source of empowerment as much as it is a source of future trade, none more so than in those markets where mobile platforms are becoming the primary way to get online. Digital Life shows that the power of an effective, considered online presence can enable brands to harness the massive potential of fast growth markets, to deliver superior consumer engagement and very tangible ROI.”
~ ENDS ~
*Developed markets: Australia, Austria, Belgium, Canada, Czech Republic, Denmark, Finland, France, Germany, Greece, Hong Kong, Ireland, Israel, Italy, Japan, Luxembourg, Netherlands, New Zealand, Norway, Portugal, Republic of Korea, Singapore, Slovak Republic, Spain, Switzerland, Sweden, Taiwan, United Arab Emirates, United Kingdom, United States.
** Fast growth markets: Argentina, Brazil, Chile, China, Columbia, Egypt, Estonia, Ghana, Hungary, India, Indonesia, Kenya, Malaysia, Mexico, Morocco, Nigeria, Pakistan, Peru, Philippines, Poland, Romania, Russia, Saudi Arabia, South Africa, Tanzania, Thailand, Turkey, Uganda, Ukraine, Vietnam.
TNS has made some of the key findings from this study available to the public via an interactive data visualisation that can be found at www.tnsdigitallife.com. The visualisations were developed in partnership with Digit London.
Follow the conversation on Twitter – @tns_global and #tnsdl.
About Digital Life
Digital Life provides recommendations on how to use digital channels to grow your business through a precise understanding of human behaviours and attitudes online. Based on in-depth interviews with over 72,000 people in 60 countries, Digital Life’s size, scale and detail make it the most comprehensive view of consumer attitudes and behaviour online, on a global and local level.
About TNS
TNS advises clients on specific growth strategies around new market entry, innovation, brand switching and stakeholder management, 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 human behaviours and attitudes across every cultural, economic and political region of the world.
TNS is part of Kantar, one of the world’s largest insight, information and consultancy groups.
Please visit www.tnsglobal.com for more information.
About Kantar
Kantar is one of the world’s largest insight, information and consultancy groups. By uniting the diverse talents of its 13 specialist companies, the group aims to become the pre-eminent provider of compelling and inspirational insights for the global business community. Its 28,500 employees work across 100 countries and across the whole spectrum of research and consultancy disciplines, enabling the group to offer clients business insights at each and every point of the consumer cycle. The group’s services are employed by over half of the Fortune Top 500 companies.
For further information, please visit us at www.kantar.com.
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