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Financial Sector Conduct Authority says fine imposed should remind companies that misleading and false advertising will not be tolerated.
MARKETING STRATEGY
By our African Marketing Confederation News Team | 2024
When marketing convinces consumers that a product or service is simple, they are more dissatisfied than usual when things go wrong.
For decades, ‘simpler is better’ has been accepted as a universal truth in marketing. However, when companies tout the simplicity of their products, they may unknowingly invite customer dissatisfaction.
Photo: Unsplash
This is according to new research from the University of Oregon in the United States, which tested the assumption that ‘simpler is better’ and found that most consumers do, indeed, prefer offerings which appear to be easy to use and understand. But making it too much of a selling point comes with a downside.
“When marketing convinces consumers that things are simple and they inevitably go wrong, consumers get really angry or dissatisfied,” says Nick Light, Assistant Professor of Marketing. His paper, co-authored by Philip Fernbach, a marketing professor at the University of Colorado, Boulder, recently appeared in the peer-reviewed Journal of Marketing Research.
“Simplicity is not a silver bullet,” Light says. “Like all marketing strategies it has its positives and negatives, and those negatives for some companies can be both unexpected and significant.
“The strategy might work for established companies with track records to back up their claims. But it can be risky for a start-up with no history, or a company in a complex market category where flaws or malfunctions are more common.”
He believes the lesson for consumers is to try to look beyond reassuring marketing messages of simplicity and do more research to see what features or benefits align with their needs.
Experience in the business world sparked interest in the topic
Light’s earlier experience in the business world sparked his interest in the topic. He was a marketing manager at a direct-to-consumer mattress company that promoted its streamlined approach.
Using the tagline ‘one perfect mattress’, the company offered only one mattress model shipped directly to the consumer’s door, dramatically simplifying the mattress-buying process.
“Some customers calling with even minor complaints, such as a ding from shipping or a slight discoloration in the fabric, would get really angry,” Light explains.
“They would say things like, ‘I don’t understand what’s so difficult about this,’ even when the logistics of manufacturing, assembling and shipping are quite complex. These customers were getting overly upset because the product and process had been portrayed as simple.”
Through experiments, surveys and data analysis, Light found that when consumers view a brand as simple, they think its products are less likely to break or fail, which leads them to be more upset when things go wrong.
The data also showed that consumers judged the complexity of brands or products based on the complexity of their cognitive association networks, also known as mental representations. For example, when study participants viewed sample advertisements for two different financial-planning firms, they formed mental pictures of the simplicity or complexity of the brand depending on how plain or busy the artwork was and the details provided in each advertisement.
In summary, the researchers concluded that consumers are less likely to recommend simpler brands after failures, compared to their willingness to recommend more complex brands after failures.
You can find out more about the research here.
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Dr. Kin Kariisa is an extraordinary force at the helm of Next Media Services, a conglomerate encompassing NBS TV, Nile Post, Sanyuka TV, Next Radio, Salam TV, Next Communication, Next Productions, and an array of other influential enterprises. His dynamic role as Chief Executive Officer exemplifies his unwavering commitment to shaping media, business, and community landscapes.
With an esteemed academic journey, Dr. Kariisa’s accolades include an Honorary PhD in exemplary community service from the United Graduate College inTexas, an MBA from United States International University in Nairobi, Kenya, a Master’s degree in Computer Engineering from Huazong University in China, and a Bachelor’s degree in Statistics from Makerere University.
Dr. Kariisa pursued PhD research in Computer Security and Identity Management at Security of Systems Group, Radboud University in Nijmegen, Netherlands. As a dynamic educator, he has shared his expertise as a lecturer of e-Government and Information Security at both Makerere University and Radboud University.
Dr Kin did his PhD research in Computer Security and Identity Management at Security of Systems Group, Radbond University in Nigmegen, Netherlands. He previously served as a lecturer of e-Government and Information Security at Makerere University in Kampala, Uganda and Radbond University in Netherlands.
Dr Kin did his postgraduate courses in Strategic Business Management, Strategic Leadership Communication and Strategies for Leading Successful Change Initiatives at Harvard University, Boston USA.