By Nudge Sustainability Reporter Daniel Espeland
A fresh study shows that top ranked brands deliver significantly better marketing KPI outcomes than lower scoring brands.
This is the overall conclusion of this year’s Meaningful Brands study, a global bi-annual marketing survey done by Havas Media across 12 industries and over 1,000 brands, surveying over 300,000 people across 34 countries. The survey aims to show how our quality of life and wellbeing connects with brands at both a human and business level.
The survey inquires on different parameters of how brands affect people’s lives, including personal and collective wellbeing, and marketplace factors. These inquiries yield answers on what role brands play in our communities, on our self-esteem, health, lifestyle, social connectedness, as well as how consumers perceive quality and price of products.
It seems that this year’s top performers have managed to get ahead by offering more tangible benefits to customers in terms of personal wellbeing. There is, however, no universal formula for achieving this, as each brand has followed a different pathway to achieving meaningfulness.
What the study found was that the top scoring meaningful brands deliver marketing KPI outcomes that are double that of lower scoring brands. For example, a meaningful brand has a 46% higher “share of wallet” than lower-scoring brands – that is to say that more meaningful brands are able to capture a larger amount of what any single costumer total spending. Moreover, the top 25 meaningful brands outperformed the stock market by 133%.
The study also uncovered some noteworthy aspects among consumer perception of brands; in developed countries, most consumers only trust between one third and one fifth of brands. Even bleaker are the numbers of how many brands that perceivably has a positive contribution on quality of life and wellbeing – only 3 to 7 percent of brands.
The same parameters are significantly higher for developing parts of the world, but also here there is a sharp distinction between trust and positive contribution to health and wellbeing. From these statistics, it seems that brand trust is no longer enough, but merely a pre-requisite, for creating deeper and more meaningful connections to customers.