Asians most reluctant to try out new brands: Nielsen

The figure contrasts with with 57 per cent of consumers in North America, the Middle East and Pakistan who are willing to try out new brands, 56 per cent in Europe and 47 per cent in Latin America.

In fact, 55 per cent of online consumers in Asia-Pacific prefer to purchase new products from a familiar brand and 62 per cent will even wait until a new product has proven itself, the Nielsen Global Survey of New Product Purchase Sentiment found. The study canvassed 29,000 online respondents in 58 countries.

Online consumers in Thailand and Japan in particular are extremely reluctant to try a new product from an unfamiliar brand, with 77 per cent of Japanese preferring not to and 70 per cent in Thailand feeling likewise.

“Innovating on established brands that are already trusted by consumers in Asia can be a powerful strategy for companies who are shifting their attention to consumers in this growth engine market,” confirmed Therese Glennon, managing director of innovation practice, Asia-Pacific, Middle East and Africa for Nielsen.

Asia-Pacific respondents also place more faith in global brands versus local brands. Only 38 per cent said they would prefer to purchase local brands compared with 40 per cent globally and 47 per cent in North America.

“In Asia, the preference for global brands versus local brands is two-fold,” said Glennon. “Although local brands are increasingly becoming premium, perception around quality remains an issue.”

In addition, Asian consumers still attach a degree of prestige to global brands. “Over time, this is expected to change as local brands match global brands in premium positioning and high quality offerings,” said Glennon.

So what will get Asian consumers to try new products? Top of the list is word-of-mouth, which more than eight in 10 regard as the most persuasive source of new product infofmation (compared to 77 per cent globally).

However, 71 per cent of online respondents in the region find internet search, ads on frequently visited websites (63 per cent) and traditional TV advertising (60 per cent) remain major components of the influencing mix.

“There is no one-size-fits-all approach to successfully developing and marketing a compelling new product,” said Glennon, adding that Asia’s growth economy is no guarantee of success.

“By focusing on unmet needs, creating a distinct solution, and developing a market-ready offer, marketers and manufacturers will create the best opportunity to succeed with consumers in Asia-Pacific,” she concluded.