Tuesday, October 2, 2007

Do Web Ads Lack Credibility?

Source: http://www.brandweek.com/bw/news/recent_display.jsp?vnu_content_id=1003649984

October 02, 2007

By Brian Morrissey

NEW YORK -- A new global study of consumers found that the most popular forms of Internet advertising score at the bottom when it comes to consumer trust.

Nielsen, the parent company of Adweek, Brandweek and Mediaweek, surveyed consumers in 47 markets about their perceptions of different forms of advertising, both traditional and digital. It found that the older forms of ad messages—appearing in newspapers, magazines and on TV—far outscored the most popular forms of Web ads, search links and banner placements.

While 63% said they trust newspaper ads and 56% trusted TV spots and magazine placements, banner ads were trusted by just 26% and search ads by 34%. Even newer forms of digital advertising fared dismally: mobile advertising, forecast to become a huge marketing tactic, was trusted by just 18% of respondents.

The results were not favorable for digital media placements, but other forms of communication fared much better. For example, consumer opinions posted online were trusted by 61% of respondents, and brand Web sites by 60%. The most trusted form of "advertising": recommendations from other consumers, with 78% expressing confidence.

The survey also found consumer-generated media is a potentially powerful way of influencing customers. Globally, 61% said they trusted blogs and other forms of consumer-generated media as reliable sources of information. In North America, 66% said they trusted CGM.

"Advertisers around the world are able to reach consumers across an increasingly diverse range of media platforms," David McCallum, Nielsen's global managing director of customized research, said in a statement. "Even so, the recommendation of someone else remains the most trusted source of information when consumers decide which products and services to buy."

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