Press Releases

Australians more influenced by catalogues than Kim Kardashian

04 March 2019

New data from Salmat also finds that we trust Google more than our friends and family

Australia, 4 March 2019: New research from Salmat has found that letterbox catalogues are five times more
influential than celebrities (28%). In fact, only 5% of Australians said they make purchase decisions based on
endorsements from celebrity ambassadors or influencers, with in-store promo people wielding twice as much
influence as famous people (10%).

The findings are from the third annual Salmat Marketing Report (SMR) which compares the behaviours of
Australian marketers and consumers to present how and why Australian consumers buy what they buy.

Karen Lewis, Head of Digital and Performance Marketing, Salmat, said: “Our research found that advertising
a health drink in a catalogue, or offering free in-store samples, are going to be more effective than Kim Kardashian posting a photo of her drinking one on Instagram. Some reports estimate that in 2017, brands spent over $1 billion on Instagram influencers, but only 5% of Australians use them as information sources to make purchase decisions. Influencers are still important for building brand awareness but it's important to look at other touch points - 28% of Aussies turn to letterbox catalogues and 10% turn to in-store promo people for recommendations.”

We trust Google more than our friends and family

However, digital channels are still important for influencing our purchasing decisions. In fact, some technology
we trust more than our loved ones. More specifically, Search engines.

For the first time in the report’s history, internet Search engines topped the list of 23 channels that consumers use to make purchase decisions, making it more influential than recommendations from friends and family which came in second (49% vs 46%). This is a dramatic change from last year, when 72% of respondents said they consulted friends and family before making a purchase.

Lewis said: “The massive decline in influence of friends and family shows how much technology is changing the way we shop. One reason that consumers are turning to search could be convenience. Search is easily accessible and can be done instantly, wherever and whenever, using a mobile. It’s even more convenient than talking to friends and family. And even better, it’s private. No one knows what you are searching for, so you can search without fear. Indeed, Google might know you better than your friends and family do.”

We’re addicted to our phones, even when shopping

Phone addiction is a well-documented ailment plaguing modern day society, and now we can see the impact this is having on our shopping behaviour. More than half of consumers (57%) are using their phone while in store, to go online to compare prices, find the best deal, access specific retailer apps, and research product information (56%). The research also showed that in-store technologies are not really being used. Less than a third of shoppers (31%) are using iPads and virtual reality experiences offered in-store.

“We already know consumers like to shop around – especially when it comes to finding the best deal. But what
we’ve found is that even when they are in-store, they still want to be doing their own research on their phones.
This makes a lot of the in-store technology like iPads and even Virtual Reality experiences redundant. Instead,
mobile-addicted shoppers would benefit more from free Wi-Fi, phone charging stations and lounges to relax on
while they browse the internet,” Lewis added.

ENDS


Methodology
All figures, unless otherwise stated, are from YouGov. Salmat commissioned YouGov to conduct two online
surveys - one with consumers and one with marketers. The consumer study was conducted between 28
September – 1 October, 2018, while the marketers study was conducted between 26 September – 5 October,
2018.

The consumer sample comprises of 1,039 Australian consumers aged 18 years and older. Age, gender and
location quotas were applied to the sample.

The marketers survey was based on 512 Australian marketers who are key decision makers in the marketing of
products in businesses with 25 or more employees.

Following the completion of interviewing, the data was weighted by gender and region to reflect the latest ABS
population estimates.

About Salmat
Salmat is a leading Australian marketing services provider. We help clients connect with their customers, weekin, week-out. Salmat's unique combination of targeted letterbox and online marketing channels enables clients to Reach, Convert and Serve their customers. We also provide a wide range of back office solutions, through our Philippines-based Managed Services business.

Founded in 1979, Salmat has evolved from a small letterbox distribution business to an ASX-listed company.
With a talented team across three countries we work with some of Australia’s most recognised and trusted
brands.

“Reach: We offer the broadest reach media (online & offline), with the ability to target individuals and up to 17
million people. Convert: We deliver conversion across multiple channels, creating more opportunities for our
clients’ customers to buy. Serve: We make every one of our clients’ interactions count online and offline.”

About the Salmat Marketing Report
The 2019 Salmat Marketing Report compares the behaviours of Australian marketers and consumers to give indepth analysis and advice on recommended marketing strategies for the year ahead. The report uses insight on how marketers are investing budgets, what channels they’re focusing on, and how they’re evaluating their
strategies. Looking at the three stages of the customer buying journey - Awareness, Consideration and Purchase- it also explores how consumers research products and services, the factors influencing their purchasing decisions, and general shopping behaviour.

This is the third report in the annual Salmat Marketing Report series. To find more marketing insights and tips,
please download our previous reports here: 2017, 2018.

For further information please contact:
 Gem Mejer
 Senior Account Manager, WE Buchan
 M: +61 435 291 299
 E: gmejer@we-buchan.com

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