Google rules (so does Apple and Microsoft), as tech-savvy Aussies snub Vegemite and Toyota

Australians have gone tech mad. They Google any and everything. They rely on Microsoft and Apple to get the job done, relax in front of their Sony TVs, keep in touch with their Nokias and iPhones and sell their stuff on eBay, while downing a Red Bull.

These are among the top brands in Australia according to the 2010 Brand Asset Valuator (BAV) study conducted by the global brand authority, Brand Asset Consulting.

Former perennial favourites like Tim Tam, Coca-Cola, Kit Kat and Nikeare slipping as consumers become increasingly demanding and fickle. In2000, 40 per cent of consumers were loyal to an individual brand. Todaythat figure is just nine per cent.

“Brands that are seen as betraying consumer’s trust, that don’t deliveron value and customer service, are being punished,” says BAV researchdirector David Evans.

“Toyota and BP had a shocking year with their product recalls and theGulf oil spill while Australians proved that they were not-so-happylittle Vegemites with the disaster that was iSnack. And chocolatebrands which boomed as the GFC made us all depressed, are being cutfrom our list of favourite indulgences as we’re feeling a lot morerelaxed and comfortable.”

Australians don’t trust casinos; men’s magazines or flavoured mineralwaters, while Easy Off Bam, Fox Sports and Theo’s Liquor are beingtrashed because they are seen as customer unfriendly.

“What’s happened over the past 12 months is that too many brands havebecome commodities. Most don’t stand for anything; they look and feelthe same, which is causing consumers to choose brands based on price orconvenience. In turn, this is forcing marketers to discount and bundlein a vicious circle of margin reduction and business decline. Take forinstance the insurance market. Most of the main insurers are dancing ona price pinhead, with the exception of Youi which has an engaging storyand service delivery to match.”

Evans says that the flip side to this is “Who Dares Wins”. And daringbrands like Google, Apple, Virgin and Red Bull are reaping the rewardsof increasing sales and engagement by being fresh, innovative andproviding a great customer experience.

“Increasingly people are making purchases from companies that reflecttheir values. Even though Australia emerged from the GFC in relativelygood shape, consumers are changing their buying behaviour. They are nowmuch more circumspect, more aware of what they are buying and morequestioning of the values of the companies from which they buy brands.They are demanding transparency and honesty. Status is no longer thepoint. Value is what really matters.”

Evans said that marketers can use BAV to determine their investmentpriorities, brand by brand and category by category. The study alsoidentifies new trends, such as the increasing demand for bettercustomer service which companies are failing to deliver.

“Unlike other brand studies, BAV provides a more reliable marker forthe behaviour of brands and consumers and overall brand health in aconstantly shifting marketplace. It’s the only study that provides botha diagnosis and a prescription for remedial action.”

The 2010 BAV Study examined 1000 brands covering 120 differentcategories. More than 2000 Australian consumers were surveyed on-lineas part BAC’s database of consumer perceptions of brands which isconducted and compiled each year. The Australian database now has morethan 1billion brand facts and opinions.

www.bacaus.com.au