Consumers in the Asia-Pacific region spend more on brands they follow online, a new report released by Waggener Edstrom Communications reveals.
The study, entitled "Content Matters: The Impact of Brand Storytelling Online in 2014," was based on a survey of over 2,200 consumers between that ages of 15 and 60 across Australia, China, Hong Kong, India, Indonesia, Japan, Singapore, South Korea and Vietnam.
Seventy-four percent of Asian consumers reported that they click on advertisements posted by brands they like.
Paid media engagement is highest in China and Vietnam where 86 percent of digital consumers reported that they click on ads by brands they like. It’s also high in India (83 percent), Hong Kong (82 percent) and South Korea (82 percent).
About 78 percent of Asian consumers also said they obtain information about products and services, while 74 percent look for the latest deals and promotions on social media. Another 69 percent said they participate in contests and giveaways, while 68 percent share information about products and services also on social media.
The study noted that this increases the likelihood of consumers to advocate for a brand. Nineteen percent of consumers in Asia-Pacific are more likely to recommend a mobile device brand to friends, family or colleagues.
Electronics and appliance brands online are more likely to get 17 percent of consumers to recommend their products. It’s 24 percent for food and beverage products, 29 percent for personal care brands, 39 percent for travel and tourism brands and 27 percent for healthcare.
“Communications professionals across Asia find themselves under increasing pressure to prove the ROI of their investments in digital content. Our new research reveals a clear relationship between brand storytelling online and increased consumer spending, referrals, and engagement,” said Stephen Tracy, APAC Lead at Waggener Edstrom’s Insight & Analytics (I&A) practice. “Put simply, the more consumers engage with brand content, the more they spend on brands.”
The study found that Australian consumers who follow personal care brands online spend up to 111 percent more on products per week, while in Vietnam; consumers spend up to 156 more per week.
Meanwhile, Chinese consumers who follow food and beverage brands online spend up to 160 percent more on food and beverage products every week. In South Korea, consumer spending is 167 percent more, while in Singapore, it’s 108 percent more per week.
In India and the Philippines, spending on travel and tourism products also increases 187 percent and 257 percent, respectively, for those who follow travel brands online.
In Japan, where interest in consumer electronics is high, the study found that consumers spend up to 12 percent more per purchase. Sixty percent of digital Japanese consumers also consume online advertorial content or click on digital ads.
Lastly, in Indonesia the study established that 95 percent of online consumers obtain information about products and services on social media, while 87 percent search for the latest deals and promotions from brands on social media.
"This study shows that in 2014 digital-driven brand storytelling is central to successful communications. Consumers want to be engaged by brands online,” said Matthew Lackie, Senior Vice President at Waggener Edstrom. “We are seeing that B2B and B2C companies will be rewarded in 2014 with larger spends, engagement rates, and higher levels of brand advocacy when they provide their audiences with great content."