New products popular in Latin America

5 February 2013

NEW YORK: Consumers from Latin America are more interested in new products than their peers in any other region, according to a study.

Nielsen, the insights provider, polled 29,000 web users from 58 countries, and found 63% of the panel liked it when manufacturers made additions to their portfolio, rising to 80% in Latin America.

Totals here stood at 65% for the Middle East and Africa, versus 62% in Europe and 61% in North America. Asia Pacific recorded the lowest returns, on 59%.

Similar results followed regarding the willingness to pay a premium for new lines, with Latin America on 56%, ahead of the Middle East and Africa on 46%.

Respondents from Asia Pacific yielded 43% here, with North America on 31% and Europe on 28%, demonstrating considerable levels of difference around the globe.

Overall loyalty rates, however, proved weakest in North America and the Middle East and Africa, where 57% of interviewees would be "generally willing" to switch to a new brand, as were 56% of Europeans.

This figure fell to 47% in Latin America and 45% in Asia Pacific, where fealty to specific brand names was markedly higher.

Some 47% of North Americans also preferred purchasing local brands over their global rivals, falling to 44% in the Middle East and Africa, then 42% in Latin America and 41% in Europe.

Just 37% of those polled in Asia Pacific took the same view, however, a situation which may change in the longer term as indigenous offerings improve both their quality and positioning.

"Although local brands are increasingly becoming premium, perception around quality remains an issue," said Therese Glennon, managing director, innovation, brand  and social practices at Nielsen Asia-Pacific, Middle East, Africa.

"Additionally, much of the positive sentiment in Asia toward global brands is rooted in Asian consumers' perception around the status that ownership of global products provides."

Data sourced from Nielsen; additional content by Warc staff