Recommendations From Friends Remain Most Credible Form of Advertising Among Consumers

The most trusted form of advertising comes from personal recommendations. According to the Nielsen Global Trust in Advertising Report, 83% of online respondents across 60 countries trust the suggestions of friends and family, although this figure is slightly down from 84% in 2013.

Branded websites are also highly trusted, with 70% of people trusting advertising on them – up one percentage point from 2013. In contrast, trust in online consumer opinions decreased slightly, with 66% of respondents expressing confidence in such views, a two-point drop from 2013. Meanwhile, 56% of global respondents trust emails they’ve signed up for, which remains unchanged since 2013.

In a market saturated with ads, understanding how consumers feel about the ads they encounter on different platforms is key to improving advertising effectiveness. Nielsen’s study found that about a third of online ad campaigns fail to generate awareness or encourage purchase intent. With consumers now controlling how they consume content and interact with brands, advertisers must understand how their ads perform across different devices to achieve meaningful results.

Nielsen’s survey, which included 30,000 online respondents in 60 countries, highlights which ad formats resonate best with consumers and where opportunities for improvement lie.

Traditional Advertising Remains Trusted

Despite the rise of online advertising formats, trust in traditional paid media channels such as TV, newspapers, and magazines remains strong. More than 60% of global respondents report trusting TV ads, with a slight increase of 1% from 2013. Ads in newspapers and magazines are trusted by 60% and 58% of respondents, respectively, though both saw slight declines compared to two years ago.

Trust in paid online and mobile ads has primarily remained consistent since 2013. Around 48% of global respondents trust online video ads, the same percentage as in 2013. Other digital formats, such as search engine ads (47%, down 1%) and social media ads (46%, down 2%), also maintain moderate trust. Mobile ads and banner ads hold trust levels of 43% and 42%, respectively, though mobile text ads slightly declined to 36%.

While digital advertising continues to grow in popularity due to its targeting capabilities and flexibility, TV ads still offer the highest unduplicated reach, with 85%- 90% of audiences exposed to a single ad. Experts recommend using a mix of traditional and digital channels to maximize return on investment (ROI).

Traditional Advertising Formats Remain Effective with Millennials

Millennials (ages 21-34), who grew up with the Internet, have the highest levels of trust in online and mobile advertising formats, closely followed by Generation X (ages 35-49). More than half of Millennials trust online video ads (53%), ads on social networks (51%), and online banner ads (47%). Additionally, 41% of Millennials trust text ads on mobile phones. Interestingly, Millennials also show the most trust in 18 of 19 advertising formats, including traditional media like TV, newspapers, and magazines. They are also the most likely to take action based on 16 out of 19 advertising channels. As Beard points out, while Millennials consume media differently and exercise more control over when and where they engage with content, their trust in traditional and digital formats remains strong. For marketers, an integrated, multi-channel approach is key to effectively reaching this audience.

Online Formats Facilitate Quick Action

Nielsen's research reveals that trust and consumer action are closely linked, although credibility isn't always necessary for purchase intent. Even formats with lower trust can still be highly effective in driving consumers toward a purchase decision.

For instance, 83% of global respondents trust recommendations from friends and family, and the same percentage takes action. A similar pattern is seen with branded websites, where 70% of people both trust and take action on these sites.

However, in many paid advertising formats, self-reported action outpaces trust. More consumers report taking action than expressing confidence in the ad. This is especially true for online and mobile ads. For example, 47% trust ads in search engine results, but 58% take action. Similarly, 46% trust social media ads, 56% act on them, 36% trust mobile text ads, and 46% follow through with action.

“The key factor behind these discrepancies is easy access to products or services,” explained Beard. “Online and mobile ads make it quick and simple for consumers to act immediately – often with just a click, leading to more information or the option to make a purchase.”

About the Nielsen Global Survey

The Nielsen Global Survey of Trust in Advertising, conducted from February 23 to March 13, 2015, gathered insights from over 30,000 consumers across 60 countries, including regions such as Asia-Pacific, Europe, Latin America, the Middle East, Africa, and North America. The sample was carefully designed with quotas for age and gender in each country, ensuring it accurately represented Internet users. With a margin of error of ±0.6%, the survey provides reliable data based solely on the behavior of online respondents.

It is important to note that Internet penetration rates differ between countries. Nielsen's survey criteria required a minimum of 60% Internet penetration or an online population of at least 10 million for inclusion. The survey reflects the attitudes and behaviors of Internet-connected individuals and does not account for offline populations. Established in 2005, the Nielsen Global Survey also includes the Global Consumer Confidence Index, offering a comprehensive view of global consumer trends.