Advertising Builds Confidence for Financial Brands in Crisis, Nielsen IAG Study Finds."Out of Sight" Businesses Risk Perception of "Out of Business" NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of -- At a time when financial institutions are pulling back on their advertising, a new study from Nielsen IAG IAG Insurance Australia Group IAG Information, Advice and Guidance IAG International Association of Geodesy IAG Interagency Agreement IAG International Association of Geomorphologists IAG International Association of Gerontology IAG International Audio Group shows that consumer confidence in the long-term Long-term Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. health of these companies is dramatically influenced by advertising and marketing efforts. Details from the study, including charts and a video of Richard Khaleel, EVP EVP Executive Vice President EVP EGR (Exhaust Gas Recirculation) Valve Position Sensor EVP Electronic Voice Phenomenon EVP Europäische Volkspartei (Germany) EVP Employee Value Proposition of Nielsen IAG's Financial practice, are available at Nielsen Wire: http://blog.nielsen.com/nielsenwire/nielsen-news/financial-company-ads-out-of-sight-out-of-business. When asked about their own banks, insurance companies and investment firms, 55% of respondents In the context of marketing research, a representative sample drawn from a larger population of people from whom information is collected and used to develop or confirm marketing strategy. who said they had seen more advertising for their financial institution reported having "complete confidence" in the financial health and soundness of their financial company and only 18% said they had "little or no confidence" in their company. However, among those who said they had seen less advertising, only 18% had "complete confidence" in their financial company and 45% said they had "little or no confidence" in their company. "This research shows that 'out of sight' can mean 'out of business,'" said Richard Khaleel, EVP of Nielsen IAG's Financial practice. "The current economic climate makes it more important than ever for financial institutions to bolster This article is about the pillow called a bolster. For other meanings of the word "bolster", see bolster (disambiguation). A bolster (etymology: Middle English, derived from Old English, and before that the Germanic word bulgstraz confidence among their clients and this study clearly demonstrates the link between advertising and confidence levels. With constant scrutiny on the industry it's clear that taking control of the message in advertising and press can make all the difference for a brand." "This recession is now driven by consumer spending Consumer demand or consumption is also known as personal consumption expenditure. It is the largest part of aggregate demand or effective demand at the macroeconomic level. ," said James Russo, VP Marketing, The Nielsen Company The Nielsen Company is a global information and media company. It was formed in 1964 through the merger of two Dutch publishing companies De Spaarnestad and Cebema. Its original name was Verenigde Nederlandse Uitgeversbedrijven . "In 2008, Nielsen data shows that consumer's concerns were around food and fuel. Today consumers are driven by fear aligned to the weakening weak·en tr. & intr.v. weak·ened, weak·en·ing, weak·ens To make or become weak or weaker. weak  en·er n. job and
equity markets. Companies that will thrive in this climate of fear are
those that manage consumer confidence through the turbulent times.
Companies that deliver a message of value will be key to turning around
the economy and determining who survives in the months ahead."
The study comes as data show year to year reductions in advertising expenditures in the financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. and insurance categories. Year over year ad spending on financial services and insurance was down 13.4% in 2008 compared to 2007. The drop off was even sharper (-23.3%) for the 4th Quarter of 2008 vs. the same period in 2007. [TABLE OMITTED] More Study Findings The study also found that confidence was linked to age and affluence as well as the amount of risk associated with the financial institution. Older adults aged 55+ and those with assets over $100,000 were more confident than average. Banks fared much better than life insurance companies and investment firms. Overall, a minority of respondents said they had "Complete Confidence" in their financial institutions: * less than 38% had confidence in their checking and savings bank savings bank, financial institution that, until recently, performed only the following functions: receiving savings deposits of individuals, investing them, and providing a modest return to its depositors in the form of interest. * only 28% were confident of the company that manages their investment or retirement accounts * only 28% had confidence in their life insurance company When asked what factors would increase confidence in the safety and soundness of their financial institution, respondents cited: * Seeing regular advertising for that institution (25%) * Receiving regular mail or email offers from that institution (25%) * Regularly seeing internet offers/advertising from that institution (21%) * Reading positive stories in the press about that institution (44%) About The Nielsen IAG Financial Brand Confidence Study The Nielsen IAG Financial Brand Confidence Study was a national online survey of 5500 U.S. respondents. Respondents were asked questions about their confidence in * the bank where they have their personal checking and savings accounts Savings Account A deposit account intended for funds that are expected to stay in for the short term. A savings account offers lower returns than the market rates. Notes: * the company that handles their investments and retirement accounts * their life insurance company Respondents were also asked about the amount of advertising they had seen in the last 6 months for their financial companies. Finally, respondents were asked about factors that might positively or negatively affect their confidence in these financial companies. About The Nielsen Company The Nielsen Company is a global information and media company with leading market positions in marketing and consumer information, television and other media measurement, online intelligence, mobile measurement, trade shows and business publications (Billboard, The Hollywood Reporter, Adweek). The privately held company privately held company A firm whose shares are held within a relatively small circle of owners and are not traded publicly. is active in approximately 100 countries, with headquarters in New York, USA. For more information, please visit, www.nielsen.com. Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-bin/mmg.cgi?eid=5920926&lang=en |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion