Inside Story unveils new consumer research survey
Research company Inside Story has revealed new insight into consumer buying behaviour.
The announcement:
New research shows Australians are more cautious and want brands they know and trust.
Despite the recent declines in local retail spending, the surge in online shopping thanks to a strong currency and the softening of consumer confidence, Australians are currently more brand than price oriented according to an independent national survey conducted by Australian research based insight consultancy, INSIDE STORY.
The findings from this nationally representative survey provide a snapshot and insight into current consumer buying behaviour and the importance of price or brand when they buy. The results show that in service sectors such as telecommunications, ISPs and finance, people are looking to buy within a set of brands that they know and trust and that price is a secondary priority. Findings revealed that half of consumers stick to known and trusted brands when choosing a bank and 2 in 5 will do the same when it comes to superannuation. For services such as mobile telecommunications and ISPs, one third will stay with who they know and trust, and for mortgage providers, the figure is around a quarter.
The research highlights there is some careful purchasing going on among consumers and there is also the opportunity for brands in many sectors to protect themselves against price commoditisation and continue their growth trajectory by working hard to build that familiarity and earn the trust of their customers.
“Certainly there is a degree of price sensitivity in the market. This is not surprising in the current economic environment – people are reducing their reliance on debt and saving more. Also, we’ve observed in our research a softening in consumer confidence over the past 12 months, which is definitely challenging for the retail sector. However this type of consumer caution does not mean it’s all down to price in all categories”, said Liane Ringham, Managing Director, INSIDE STORY.
“Most marketers spend their working lives getting a fundamental understanding of the segments they serve – what I think we’re seeing here is that the post-GFC world has fundamentally changed their segments. Simple as that.”
“We all know behaviour change happens when situations change. We know from experience that attitude change is not essential for behaviour change, but the GFC has delivered fundamental and enduring changes in the situation and marketers need to get inside how the situation has affected their own customers in order to ensure their ongoing success”, said Ringham.
The nationally representative survey was conducted online between 17th and 23rd May 2011 with a sample size of 141 respondents reflecting the general population aged 18-69 years.
BACKGROUND INFORMATION ON INSIDE STORY
INSIDE STORY is a research based insight consultancy with expertise in discovering what really makes people and markets tick. Their clients include Marketing Directors (in conjunction with their creative and digital agencies) in the FMCG, financial services, telecommunications and tourism industries.
Clients use the INSIDE STORY team to help them see below the surface of their market, to know what’s really happening and to respond creatively and strategically. Their promise is pragmatic marketing strategy and business acumen founded on deeper consumer insight.
The company firmly believes that an insight is only truly valuable if it transforms thinking to deliver a breakthrough opportunity. That’s why everything they do is measurable, accountable and focused on helping clients create future success.
INSIDE STORY is Australia’s leading company in both metaphors in marketing and research plus psycho physiological based insight for communications optimisation.
Source: Inside Story press release
