Environmental consciousness is increasingly affecting consumer purchase behaviour- an InsightzClub Study findings

Climate change is arguably the greatest threat facing humanity. The responsibility to minimize our impact on the environment falls upon everyone of us. Brand have sought to capitalise on the ‘eco-friendly’ trend. Intentions are difficult to ascertain, but it has contributed to more responsible purchasing behaviour. InsightzClub, a tech-based market research start-up, investigates consumer behaviour towards the environment in South East Asia. 

Environmental responsibility is one of the many hallmarks of the current generation of consumers. When asked to identify the level of concern towards the environment, all responses indicated some concern. 70% of users were at least moderately concerned about the environment. This is useful data as it shows that concern towards the environment is high. For marketeers and brands, it can be used to orient marketing campaigns towards a more environmentally friendly agenda to resonate more with target audiences. 

Among our participants, 80% occasionally recycled. It might be accounted for by the recycling regulations that are beginning to take hold in countries across South East Asia. Singapore is also quite strict when it comes to reducing pollutants and ensuring an efficient recycling process.

In our study, 66% of consumers reported that they generally preferred purchasing products that claimed to be eco-friendly. Only 12% did not prioritise eco-friendly products. These values further reduced when asked about the brand. Responses indicated that brands with eco-friendly marketing and/or initiatives were preferred 80% of the time. 

Preference towards eco-friendly market offerings may be explained by how consumer’s feel about their environmental responsibility and the impact they can make through consumption. Eight in ten consumers reported that they felt their individual actions can contribute to improving the environment. Only 4% disagreed with the statement. Furthermore, 56% claimed that their current purchasing behaviour was contributing to a healthier environment. When asked to identify personal efforts in reducing their environmental impact, reducing plastic, water, and electricity consumption were the most selected options.A highly positive indicator is that 80% of respondents were willing to spend more on products that lowered their impact on the environment. 

Consumer sensitivity to environmental issues has developed purchasing behaviour targeted at more environmentally conscious market offerings. While brands may be able to capitalise on this, it is imperative that brands approach this advantage responsibly, keeping in mind the overarching objective of the campaign – improving the environment. 

To know more InsightzClub and insights on changing consumer behaviour reach out to InsightzClub.

Mounting interest in micro investments in South-East Asia – An InsightzClub study

Cryptocurrency token values have broken their respective barriers in the past week as Coinbase raised $89 billion in the first crypto listing on the stock exchange. Other  investment opportunities have also become mainstream among day traders via apps like Robinhood. InsightzClub, a technology-based market research start up, examines key findings from a regional study on micro investment behaviour in SEA.

The majority of the study’s participants, or 78%, reported having at least a moderate understanding of investments. Only 8% were considered to have high understanding. These figures may be explained by the often-complex nature of investing – trading jargon and calculations. Furthermore, in the Singaporean market, 60% of investors had a total investment value of S$10,000

There are a wide range of assets deemed as viable investments. For the purposes of this study real estate was excluded as it is rarely offered on major trading platforms. Stocks were the most selected investment at 66%, while the second was cryptocurrency (50%). This was followed by bonds and unit trusts. Stocks have long been the frontrunner with regards to popularity and accessibility. The relatively small difference between the number of individuals investing in the stock market and cryptocurrency may be an indicator of shifting consumer sentiment. Recent rallies of Bitcoin, Ethereum, and Ripple to all-time highs has also served to induce higher trading volumes. Although an extremely volatile and high-risk market, returns can surpass that of traditional investments many times over. Overall, responses point towards a diversified investing strategy that stabilises risk and raises annual returns.

It is no surprise that 70% of participants selected retirement as the primary motivator for investing. Intelligent investments at a young age can support early retirement goals. Security was the second most selected reason at 48%. Uncertainty has become the hallmark of global economic conditions despite the slow recovery from the COVID-19 pandemic. As predicted, bullish markets have also induced higher investment volumes among SEA consumers.

There are hundreds of trading apps for consumers to choose from. The largest and most popular can hold assets in the billions of dollars. Among the study’s participants, Binance held the majority (32%). It is the largest global cryptocurrency trading platform; hundreds of coins are available and the investment process is relatively easy for newcomers. Surprisingly, Coinbase was not selected by any of the participants, despite its popularity. Luno, another cryptocurrency platform, was used by 24% of participants. It is highly popular in Malaysia and Singapore as it offers quick transfers and deposits from local banks. OctaFX was the third most selected option, with Charles Schwab and WeBull close behind.

With countless platforms to choose from, it is important to understand the reason(s) behind consumer preferences. User experienced ranked first among SEA consumers. As shown in a previous InsightzClub study on usability testing, user experience can determine the success or failure of an app. Recommendation was second at 46%. Many trading apps have referral programs where users can earn commission by inviting a friend to join the platform. In a saturated market, word-of-mouth becomes trusted as it is easier to understand and the source is familiar.

To know more about micro-investments and other consumer based choices and brands, reach out to InsightzClub to know more about our solutions.

Death of third party cookies and implications for marketeers- an InsightzClub review

Google has begun testing its alternative to third-party cookies in an aim to improve user privacy in a paradigm shift away from individually personalized ad offerings. At first glance initiatives like these seem ostensibly beneficial for all parties involved. InsightzClub, a tech-based  consumer insights start-up, reviewed the implications for brands and marketeers

In January of 2020, Google reinstated their commitment to phase out third-party cookies over a period of two years. Cookies are small data files collected through a browser and stored locally on a user’s device.

From a privacy standpoint, consumers may slightly benefit form a transition to first-party data and grouped ad targeting.  Advertisers may however find it more challenging to target users with the same effectiveness, inducing them to collect data in less than ethical methods. It is not uncommon for black markets to blossom as a result of ‘red tape’. Furthermore, businesses could be enabled to target cohorts based on race and other differentiating characteristics that may otherwise be restricted. Companies using Facebook’s solutions that share a similar cohort-level personalized advertising approach have been shown to racially discriminate against consumers.

Procedures for releasing targeted ads will definitely evolve as FLoC is tested. For the moment, marketeers will need to use first-party data to target cohorts or use Google’s solutions. It is now the company’s responsibility to collect data and generate insights, even if Google Ads is the party delivering ads. Additionally, the undeniable ethical responsibility of companies collecting data is not a matter to be taken lightly.

Marketers are scrambling to collect large amounts of data in preparation for the inevitable removal of cookies. There is a clear need for marketeers to become savvier in how they target consumers. One potential solution is to understand their consumers to the best of their ability along with the collection of first-party data. Tech-based market solutions offered by firms like InsightzClub will be imperative in a cookie-less future. For instance, utilising a comprehensive understanding of the consumer journey with other key touchpoints can help marketeers bypass the need to work with Google’s FLoC solution. Combining first-hand insights and data collection, with Google’s FLoC approach seems to be the most ideal solution.

Marketing is a dynamic industry, and once again, professionals need to get with the times to mitigate potential adverse effects of Google removing third-party cookies. Established solutions are currently available for brands to tap into to move forwards. It necessitates strategies built upon a thorough understanding of target consumers and optimizing data to engage said consumers.