Study: Forget The Ads, Why Aussies Still Buy On A Word Of Mouth Recommendation

Study: Forget The Ads, Why Aussies Still Buy On A Word Of Mouth Recommendation
SHARE
THIS



A new study into the buying habits of Aussies has found many of us forgo the ads and still place a great deal of trust in a word of mouth recommendation from friends or family.

The study by Roy Morgan Research found 91 per cent of the population aged 14-plus have given or received advice that resulted in a purchasing decision. Cars topping the list of the topics most talked about followed by eating out at restaurants.

Top 10 word of mouth categories discussed by Australians

Top 10 word of mouth categories discussed by Australians

The most discussed topic amongst Australians aged 14-plus is ‘buying a car’, with nearly two thirds (65 per cent) of the population either playing the role of a trusted adviser (those whose advice has been sought by friends or family), an info seeker (those who go to friends/family for advice) or both. Eating out at restaurants is the second most discussed topic (62 per cent) and planning a holiday or trip comes in third with 59 per cent.

Less than half of the population seek or give advice on categories relating to mobile phones (47 per cent), home entertainment or electronics (43 per cent), signing up to an internet provider (40 per cent), finance and investments (39 per cent), home renovations (39 per cent), and health and nutrition (37 per cent).

In all categories, Australians tend to be more info seekers rather than trusted advisers. When buying a car, 52 per cent of people have gone to their friends/family for advice compared to 27per cent who have provided advice to their friends/family.

Commenting on the findings, Roy Morgan CEO Michele Levine said: “Marketers have always understood the importance and value of ‘Word of Mouth’ to promote their products. This new research identifies the key drivers of this important form of communication. Roy Morgan unveils how much each topic is being discussed, and whose opinions are sought as ‘trusted advisers’, and who are the ‘information seekers’. In some areas, like eating out at a restaurant, there is a large percentage of people who regards themselves as both.

“Surprisingly, this new research shows ‘Word of Mouth’ is as important today even though information of all kinds is increasingly easy to get online. Even with all kinds of elaborate rating systems to score the value, accuracy, helpfulness, likeability or whatever, people still value advice from a ‘trusted advisor’ and people it seems still love to give advice.

 “‘Trusted advisers’, those providing advice to friends and family are an important conduit to the rest of the population.

 “Trusted advisers are not always first to try new products – indeed in some areas, trusted advisers are more likely the voice of caution, e.g. buying a car where trusted advisers tend to be older males; in others they are the voice of optimism, e.g. in make up where younger females tend to dominate the trusted adviser space.

“When it comes to giving advice, trusted advisers are still more likely to be male for computers or computer equipment, computer/console games, home entertainment or electronics, cars, and finance and investments to name a few. Women are still more likely to be trusted advisers for information on skincare and beauty products, fashion, decorating your home and most grocery and retail products.

“From a sociological perspective it is interesting that when it comes to seeking advice, men are below average across all categories. Women are far more open to receive information especially when it relates to information from other women on fashion and beauty products,” Levine said.

Please login with linkedin to comment

Roy Morgan Research

Latest News

Register Now For Your 60-Minute Digital Marketing Masterclass With Rocket Agency’s Co-Founder James Lawrence
  • Partner Content

Register Now For Your 60-Minute Digital Marketing Masterclass With Rocket Agency’s Co-Founder James Lawrence

Modern marketers are tasked with understanding a seemingly endless list of tools, techniques and strategies. To be successful, they have no choice but to be agile. And with the current pace of change in the industry, the demand being put on marketers is only going to increase. Google’s decision to remove third-party cookies from Chrome […]

Partner Content

by Rocket

Foxtel Ramps Up Its News Streaming With The Launch Of Flash
  • Media

Foxtel Ramps Up Its News Streaming With The Launch Of Flash

The Foxtel Group has announced it will launch Flash, a first of its kind, dedicated live news streaming service featuring more than 20 local and global live news sources at launch. To be launched in October, Flash will provide a fresh, convenient way for Australians to stay informed by bringing together a diverse range of […]

Agent99 Adds The Distilled Spirits Council Of The U.S &  Helen Tarrant To Portfolio
  • Marketing

Agent99 Adds The Distilled Spirits Council Of The U.S & Helen Tarrant To Portfolio

Awindependent PR Agency Agent99 has added The Distilled Spirits Council of the US (DISCUS) to its client roster, alongside thought leader and commercial property specialist, Helen Tarrant. DISCUS is a national trade association representing U.S. producers, marketers, and exporters of distilled spirits. The account was won following a competitive pitch earlier this year. DISCUS has […]

Family Guy Drops COVID Vaccine PSA And It’s Totally Brilliant
  • Campaigns

Family Guy Drops COVID Vaccine PSA And It’s Totally Brilliant

Some 55 per cent of Americans have received both doses of the COVID vaccine while, worryingly, about a third remain unvaccinated with cases again on the rise. So, who better to entice nervous Americans to get the jab than the rather un-PC team at Family Guy. Creators of the legendary cartoon have debuted a three-minute, […]

by B&T Magazine

B&T Magazine
Melbourne Creatives Release “Locktown” T-shirts To Raise Funds For Beyond Blue
  • Campaigns
  • Media

Melbourne Creatives Release “Locktown” T-shirts To Raise Funds For Beyond Blue

Melbourne-based independent creative agency, By All Means, has today released limited edition ‘Locktown’ t-shirts to create a positive, artistic commemoration of their city, while shining a spotlight on the significant impact of lockdown on the mental health of Victorians. After 235 days under strict stay-at-home orders, Melbourne today claims the unenviable crown from Buenos Aires […]

Meet JustEggs: The Digital Agency Driving Customers Back In-Store
  • Partner Content

Meet JustEggs: The Digital Agency Driving Customers Back In-Store

Retail is constantly evolving, and there’s no question that the pandemic has accelerated the evolution. One agency that is helping retailers stay ahead of the ever-changing curve is JustEggs. Founded in 2013, JustEggs specialises in customer acquisition and retention, combining creativity with media. The agency has created over 1,000 campaigns for clients that have delivered […]

Partner Content

by B&T Magazine

B&T Magazine
Influencer Marketing Agency Komodo Announces New TikTok Offering
  • Marketing

Influencer Marketing Agency Komodo Announces New TikTok Offering

Global marketing agency, Komodo, has announced it will be launching a dedicated TikTok arm to the business in Australia, following a series of key industry hires and new creators signed to their roster. The agency, who partners brands with social influencers across the globe, aims to bring a new dimension to influencer marketing by assisting brands […]

Joan Warner Announces She Will Step Down AS CEO Of CRA In 2022
  • Media

Joan Warner Announces She Will Step Down AS CEO Of CRA In 2022

Commercial Radio Australia chief executive officer Joan Warner has advised the CRA Board that she intends to step down early next year. Warner has been at CRA, for over twenty years. The search for a replacement CEO will commence immediately with the aim of a new CEO taking up the position during the first quarter […]

How Retail Can Help Consumers Ride The Emotional Rollercoaster Of COVID-19
  • Opinion

How Retail Can Help Consumers Ride The Emotional Rollercoaster Of COVID-19

According to Fifth Dimension CEO Lyndall Spooner, whether you like roller coasters or not, we have all been riding ‘Dashed Hopes’ the COVID-19 emotional roller coaster for over 18 months and many of us have turned to online retail therapy to cope.   Spooner uses the analogy of an emotional roller coaster to depict consumers’ […]

Havas Village Australia Launches ‘Be Together’ To Reunite Staff With Loved Ones When Borders Open
  • Media

Havas Village Australia Launches ‘Be Together’ To Reunite Staff With Loved Ones When Borders Open

Underscoring its ongoing commitment to team care and wellbeing, during and beyond the pandemic, Havas Village Australia has introduced be together – a reconnection initiative to enable staff to reconnect with loved ones for longer when domestic and international borders reopen. The initiative, which reflects the Havas core value ‘Better Together’, gives staff from Host/Havas, […]

by B&T Magazine

B&T Magazine
Independent Media Agencies Of Australia Launches First Campaign
  • Media

Independent Media Agencies Of Australia Launches First Campaign

The Independent Media Agencies of Australia (IMAA), the national, not-for-profit industry association for the independent media agency industry, has launched its own multi-channel ad campaign to promote the benefits of independent media agencies to companies and marketers. The campaign will feature across radio, TV, out-of-home, digital and print channels, with partner organisations contributing more than […]

Howatson+Company Nabs Colenso BBDO’s Levi Slavin For Chief Creative Officer Role
  • Advertising

Howatson+Company Nabs Colenso BBDO’s Levi Slavin For Chief Creative Officer Role

Levi Slavin, former CCO of Colenso BBDO, has been appointed Howatson+Company’s new chief creative officer following the sudden departure of Ant White in August. Slavin will join the Sydney-based agency in January. Chris Howatson (pictured below) commented: “Levi is a wonderful human being first, brilliant creative second. He is renowned for his empathy, his commitment […]

Spikes Asia Portraits
  • Marketing

Spikes Asia Appoints Jenny Lau As Events Director

Spikes Asia has announced the appointment of Jenny Lau as events director. Based in Singapore, Lau will take overall responsibility for Spikes Asia.  Lau (pictured) has worked within the Asia-Pacific advertising industry for more than 20 years and brings a deep understanding of the trends and issues affecting the regional advertising and marketing industry. Lau […]

ANZ Brands Top Pattern’s Best Practice Ranking Of Brands On Amazon.com.au
  • Media

ANZ Brands Top Pattern’s Best Practice Ranking Of Brands On Amazon.com.au

Global ecommerce and marketplace specialist Pattern has ranked a group of 50 brands selling on Amazon.com.au based on a set of best practice criteria it has developed. Pet brand Zenify topped the ranking in Pattern’s Amazon Australia Benchmarking Report, scoring 82 per cent of the possible marks against a set of criteria designed to measure […]

Fifth Dimension Expands Executive Leadership Team
  • Marketing

Fifth Dimension Expands Executive Leadership Team

Fifth Dimension Consulting has announced the expansion of its executive leadership team in response to the organisation’s significant growth over the last 18 months. Lyndall Spooner has moved from the position of managing director to the role of chief executive officer (CEO).  As CEO, she will lead Fifth Dimensions’ innovation arm, as well as the […]

GoDaddy Australia Launches GoDaddy Studios To Support Creative Content By Small Business
  • Marketing
  • Technology

GoDaddy Australia Launches GoDaddy Studios To Support Creative Content By Small Business

GoDaddy Inc. has today announced the Australian launch of GoDaddy Studio, a new content creation tool designed for small and medium businesses to create beautiful visual content for their business for all platforms. Compatible on both iOS and Android mobile apps and desktop, GoDaddy Studio includes thousands of customisable templates and easy-to-use tools, providing small […]

Seismic Announces New Zealand Partnerships To Empower Businesses And Workers
  • Technology

Seismic Announces New Zealand Partnerships To Empower Businesses And Workers

Seismic has announced an expanded New Zealand (NZ) presence to support the transformation of sales and marketing teams, and enable the nation’s employers to focus on upskilling their workforces to overcome a digital skills shortage. The company has also signed NZ-based specialist consultancies, Fresh Perspective Sales (FPS) and Jumping Fox Interactive, as its first two […]