Global or local – what do we want?
Nielsen have just released their Global Brand-Origin Report – a survey of more 31,000 people from 63 countries around the world. Across the 34 categories examined, overall, we demonstrated a preference for global brands compared to local ones. A trend Regan Legget of Nielsen put down to the increasingly connected world in which we “have greater access to global brand than they have in the past, thanks to factors such as expanding distribution, ecommerce offerings, and modern trade retail channels. As a result, we’re seeing a swing in preference toward the big multinationals.”
The categories where there was a strongest preference for global brands were baby food/formula and baby wipes/diapers, where only 10% and 7% respectively would go local. Under 15% of people would choose local vitamins/supplements, feminine care, sports drinks, canned foods and pet food products.
In contrast, categories where people seemed to prefer local were dairy products (54%), biscuits/chips/snacks/cookies (32%) ice-cream (31%) and mineral/bottled water (30%). There was also regional variance in preferences, for example in South East Asia, there was a 50% preference for local snack brands (global average 32%), and in Europe there was a bigger preference for locally sourced dairy products as they were perceived to be of higher quality.
With this overall preference for global brands, should brands be dialling up their global credentials? Owning your identity as a global brand does had advantages, as Llonch-Andreu, Lopez-Lomeli and Gomez-Villanueva point out “to many consumers, global availability and acceptance is taken as evidence that the brand has to be of high quality, is more prestigious, or is symbolic of the emerging global consumer culture with its promise of progress and modernity” which leads to a greater preference, higher likelihood of purchase and willingness to pay a premium.
While overall there was a bigger preference for global brands, it seems clear that category and local differences have a greater impact on consumer behaviour. In different regions it will be more important to dial up local or global credentials depending on your product and consumer’s perception of it. It doesn’t necessarily matter whether your brand is in fact global or local, what matters is what consumers categorise it as and whether in that category they are willing to look global, or what local products.
Waitrose: Wine Tasting
In a further move into providing experiences to its customers, Waitrose is now offering wine tastings in the comfort of your own home. Launching in London and surrounding areas, with prices starting at £35 per person, Waitrose experts will come to your house with six different wines, cheese and charcuterie. Oh and you can keep the glasses.
Nike and Foot Locker: Sneakeasy
Nike and Foot Locker have teamed up in New York to launch a pop-up ‘Sneakeasy’ inspired by the secretive speakeasy. To get your hands on the Nike and Jordan products, visitors are guided through the experience with the shoes (and other items from the range) being dispensed via a safety deposit box in shoeboxes covered in gold foil with hidden UV ink designs. Sneaky.
Lowe’s: DIY Escape Room
The American hardware store built an escape room to launch their Black Friday deals, then tasked four DIYers to build their way out using their tools. See if they made it here: