Earned advertising more trusted than ever, but paid media still strong: Nielsen

Trust in earned advertising in the form of recommendations from family and friends has increased and continues to be the most influential source of advertising among Australian consumers, according to research released today by Nielsen.

The Nielsen ‘Global Survey of Trust in Advertising‘ polled more than 29,000 internet respondents in 58 countries to measure consumer sentiment on 19 forms of paid, earned and owned advertising formats. In Australia, word‐of‐mouth recommendations increased seven percentage points from 77% when the study was last conducted in 2007, and online banner ads jumped 10 percentage points to 27% in 2013.

59% of respondents trust consumer opinions posted online, overtaking trust of ads in newspapers (58%).

For traditional media, TV, magazine and newspaper advertisements continue to be among the most‐trusted forms of paid advertising for consumers in Australia. 54% of consumers said they trust television ads (behind the global average of 62%), however 66% said that they would take action from ads on TV.

58% of respondents trust ads in newspapers, down one percentage points from 2007. Magazines declined in credibility by 4% over the six years and radio dropped eight points to 54% since 2007.

 

Figure: Trust and reaction to advertising – Australia (Source: Nielsen)

Trust in advertising 2013

 

Figure: Advertising that resonates – Australia (Source: Nielsen)

Ads that resonate

 

About the study: The ‘Nielsen Global Survey of Trust in Advertising’ was conducted between 18 February and 8 March 2013, and polled more than 29,000 consumers in 58 countries throughout Asia‐Pacific, Europe, Latin America, the Middle East, Africa and North America. The sample has quotas based on age and sex for each country based on their internet users, and is weighted to be representative of Internet consumers and has a maximum margin of error of ±0.6%. This Nielsen survey is based on the behaviour of respondents with online access only. Internet penetration rates vary by country. Nielsen uses a minimum reporting standard of 60% internet penetration or 10M online population for survey inclusion. The Nielsen Global Survey, which includes the Global Consumer Confidence Survey, was established in 2005.