Siegel+Gale Unveils Seventh Annual Global Brand Simplicity Index™: Brands That Embrace Simplicity Enjoy Increased Revenue, Valuation, Brand Advocacy and Employee Engagement

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NEW YORK–JANUARY 25, 2017 – Global brand strategy, design and experience firm Siegel+Gale (www.siegelgale.com) today announced the findings of the seventh annual Global Brand Simplicity Index™(www.simplicityindex.com). The research reveals simplicity pays dividends for brands that embrace it.

Key findings:

  • Simplicity earns a premium: 64 percent of consumers are willing to pay more for simpler experiences.
  • Simplicity builds loyalty: 61 percent of consumers are more likely to recommend a brand because it’s simple.
  • Complexity costs: Brands that don’t provide simple experiences are leaving an estimated share of $86 billion on the table.
  • Simplicity performs: A stock portfolio of the simplest global brands outperforms the major indexes by 330 percent.
  • Simplicity inspires: 62 percent of employees at simple companies are brand champions—versus only 20 percent of employees at complex companies.

The 2017 study, based on an online survey of more than 14,000 respondents across nine countries, ranks 857 brands on their perceived simplicity.

“Our seventh Global Brand Simplicity Index™ demonstrates more powerfully than ever that brands that embrace simplicity are more profitable,” said Howard Belk, co-CEO and chief creative officer, Siegel+Gale. “The research shows that businesses that haven’t been providing a simpler customer experience have left an estimated $86 billion on the table! Ignoring that kind of ROI is crazy.”

The 2017 Global Brand Simplicity IndexTop 10 Brands

  1. ALDI
  2. Lidl
  3. Google
  4. Netflix
  5. IKEA
  6. Amazon
  7. KFC
  8. YouTube
  9. McDonald’s
  10.  SUBWAY

Global Movers and Shakers

Each year Siegel+Gale analyzes the movement of brands in the Simplicity Index rankings. Some brands remain consistent year-over-year, while others fluctuate. Highlights from the 2017 study include:

  • ALDI remains the simplest brand in our global ranking for the fourth year running, while competitor Lidl once again lands in the top three.
  • Yahoo! drops 37 places, demonstrating that web search isn’t always simple.
  • Dollar Shave Club and Jet.com land in the top US Disrupters—their current multi-billion-dollar valuations are further testament to the power of simplicity.
  • Insurance provider AXA just can’t seem to break out of the bottom spot, as they are the most complex brand for the second year running.
  • Health and beauty product purveyor Sephora rises 44 spots in the global ranking.
  • Global hotel chain Hilton moves up 50 spots in the global ranking.
  • EasyJet has ascended 16 spots, a smooth takeoff for a customer-focused airline.
  • Five out of six brands representing the restaurant industry are in the top 15, indicating that quick service often means simple service.

The Leaders That Deliver Simplicity

As part of this year’s study, Siegel+Gale interviewed marketing leaders of brands that are featured in the Simplicity Index to explore how they strive to make simplicity manifest in their organizations. Executives from McDonald’s, Target, Jet.com, Spotify and Direct Line opine on how they provide simple experiences.

Global Disrupters

For the third year running, Siegel+Gale asked people to evaluate “disruptive” brands in the US and UK. These emerging businesses are continuously changing consumer expectations by delivering memorable, meaningful and useful brand experiences.

In the US, the top disrupters include Dollar Shave Club, GrubHub, Square, Spotify and Jet.com. In the UK, the top disrupters include OVO Energy, City Mapper, Shazam, GoPro and My Fitness Pal.

“Disrupter brands possess a common characteristic—they place simplicity at the core of their customer experience,” said David Srere, co-CEO and chief strategy officer, Siegel+Gale. “The recent billion-dollar acquisitions of Dollar Shave Club and Jet.com are further proof that simplicity drives brand loyalty and financial gain.”

To view the full report, visit: www.simplicityindex.com.

About the 2017 Global Brand Simplicity Index
The Siegel+Gale Global Brand Simplicity Index is a report of global brand ratings, based on an online survey of more than 14,000 consumers in nine countries who rated a total of 857 brands to gather perspectives on simplicity and how industries and brands make people’s lives simpler or more complex.

The data collected are used to generate two scores: An Industry Simplicity Score™ and a Brand Simplicity Score™.

The Industry Simplicity Score rates each industry on its perceived simplicity. Each industry is evaluated on its contribution to making life simpler or more complex, the pain of typical interactions with companies within the industry and how the industry’s communications rank in terms of ease of understanding, transparency/honesty, concern for customers, innovation/freshness and usefulness.

The Brand Simplicity Score rates each brand on its perceived simplicity. It evaluates each brand on the simplicity/complexity of its products, services, interactions and communications in relation to industry peers. The score takes into consideration the consistency of responses, the difference between user and non-user perceptions and the simplicity score for the brand’s industry.

The annual research study was first conducted in 2010.

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About Siegel+Gale

Siegel+Gale (www.siegelgale.com) Siegel+Gale is a global brand strategy, design and experience firm. Using facts, intuition and creativity, we blend science with art, unlocking the power of simplicity to help organizations realize their full potential. Since 1969, Siegel+Gale has championed simplicity for leading corporations, nonprofits and government organizations worldwide. We have offices in New York, Los Angeles, San Francisco, London, Dubai and Shanghai, but we’re willing to fly just about anywhere. We’re also not alone. As part of Diversified Agency Services, a division of Omnicom Group Inc., we have strong partners all around the world.

About Diversified Agency Services

Diversified Agency Services (DAS), a division of Omnicom Group Inc. (NYSE:OMC), manages Omnicom’s holdings in a variety of marketing communications disciplines. DAS includes over 200 companies, which operate through a combination of networks and regional organizations, serving international and local clients through more than 700 offices in 71 countries.

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Contact:
Molly Muldoon
Associate PR Director, Siegel+Gale
mmuldoon@siegelgale.com
1.212.453.0491

 

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