Indian Consumers Willing to Pay More for Technology and Banking Industry Brands that Offer Elegantly Simple Experiences and Interactions
Siegel+Gale’s Global Brand Simplicity Index™ Ranks Top Brands Consumers Deem Least Complex
DUBAI, UAE FEBRUARY 16, 2011 – While consumers around the world have been forced to grapple with the challenges of increasingly complex environments, Indian consumers are willing to pay more than others are for technology and banking industry brands that help create a less complex lifestyle. This is a key finding of the first annual Global Brand Simplicity Index™, released today by global strategic branding firm, Siegel+Gale. This survey of more than 6,000 consumers across seven countries uncovered the perceived points of complexity in people’s lives, as well as a Simplicity Premium™, the added value people would place on having less complex experiences with brands in various industries. According to the survey, Indian consumers are willing to pay between 6 and 8 percent more for brands that offer simple experiences and interactions.
Industries with the most to gain from minimizing complexities include telecommunications and technology/electronics. Specifically within the telecommunications: cell phone industry, 34 percent of Indian consumers claim they would be willing to spend more for brand experiences that make their lives easier—this in comparison to 13 percent of United States consumers and 12 percent of consumers in the United Kingdom.
Despite the top spot being held by Haldiram’s on the India Brand Simplicity Index™ top 10, American restaurant brands also scored well, with Pizza Hut, Domino’s and McDonald’s securing spots. Indian consumers view the restaurant industry as offering the least complex interactions and communications in line with the global findings.
Conversely, the insurance, banking and credit card industries are rated as most complex and least clear. Many of the insurance brands appearing in the index occupy spots near the bottom of the ranking, with Birla Sun Life, ICIC Prudential, Max India and Bajaj Allianz holding the bottom four out of five spots.
Defining the Impact of Complexity
To understand how and in what context complexity affects the lives of Indian consumers, the Siegel+Gale survey examined respondents’ answers to the following types of questions:
- How complex do people feel their lives are? Over the years, how has this changed?
- What business sectors contribute most to making people’s lives more or less complex?
- What brands are clearest and less confusing in their communications and interactions with consumers?
- What value do less complicated communications and interactions provide to consumers?
Recognizing that complexity prevents organizations from realizing their true potential, Siegel+Gale used the survey results to develop the first ever Global Brand Simplicity Index™ which generates a Simplicity Score™—a rating of each brand and its category on the elements of the simplicity methodology. Siegel+Gale defines simplicity as ease of understanding, transparency, caring, innovation and usefulness of communications, as well as how painful typical interactions are in relation to industry peers.
The Indian Brand Simplicity Index™ top 10 brands are:
Key survey findings from respondents revealed that the top brands on the Global Brand Simplicity Index™ make people’s lives less complex by:
- Communicating directly, clearly and without jargon
- Reducing stress by providing savings/value
- Saving time by increased convenience and accessibility
- Facilitating ease of use and interactions
- Enabling consumers to get more from life: deeper relationships, easier going lifestyles
“Global brands are high in the rankings, but local brands also make a great showing with many appearing in the top 25,” says Tarek Sultani, managing director, Siegel+Gale. “Simplicity is an essential factor when determining how people respond to brands, and those that produce simpler experiences for consumers will eventually be more successful.”
Key survey findings from respondents revealed that the lowest rated brands on the Global Brand Simplicity Index™ make people’s lives more complex by:
- Communicating in ways that are hard to understand and/or perceived as deceitful
- Being perceived to intentionally overcharge
- Being seen as ‘niche’ or targeted to too selective of an audience / not accessible
- Being found difficult to interact with, with poor customer service experiences and/or hard to use interfaces
Review the full survey results here.
About the Global Brand Simplicity Index™
Siegel+Gale’s Global Brand Simplicity Index™ is an output of global brand ratings based on an online survey of more than 6,000 consumers in seven different countries. Each rating comprises the simplicity/complexity of a brand’s interactions and communications in relation to their industry peers. The index also incorporates an industry simplicity score for a particular brand’s industry/category(ies).
Siegel+Gale is a global strategic branding firm committed to building world-class brands through elegantly simple, unexpectedly fresh strategies, stories and experiences. With Simple is Smart as its operating philosophy, Siegel+Gale delivers powerful services in brand development, simplification, research, and digital strategy.
Since its founding by branding pioneer Alan Siegel in 1969, Siegel+Gale has helped drive business results for brands such as Aetna, American Express, Bank of America, China Youth Development Foundation, Dell, Dow Chemical Company, The Four Seasons Hotels and Resorts, The Internal Revenue Service, The King Abdullah University of Science and Technology, Microsoft, Motorola, Pfizer, Qatar Telecom, SAP, Sony PlayStation, Yahoo! and the YMCA.
Siegel+Gale has offices in New York, Los Angeles, San Francisco, London, Hamburg, Dubai, Shanghai and Beijing and strategic partnerships around the world as a member of the Omnicom Group of companies.