Phoenix Marketing International study shows that less than one in five foresee their financial situation next year as worse than today and give as much attention to online advertising as other media
RHINEBECK, N.Y., Nov. 9, 2009 — Phoenix Marketing International, one of the fastest-growing research companies in the U.S., announced today findings from its quarterly study among online investors age 21+ reporting investable assets of at least $50k and who typically place 4 to 9 trades each month (active investors) or 10+ monthly trades (active traders).
Phoenix reports that 48% of investors ignore online advertising, as many expect these ads to show more than just the company name, and 41% want to be told something about the company. "Although about one-third of investors perceive online advertising as appropriate for financial services companies, our research shows that despite some notable exceptions, online ads fall short of enhancing investors' perception of the brand," stated Marc Grozalsky, Product Manager for this study. "In fact, only 13% indicate feeling more positive toward companies that advertise online and 14% prefer online advertising to locate financial services companies," added Grozalsky. Brands need to be cautious when associating their name with poorly designed Internet advertising because 41% of online investors regard ads that appear on their computer as an annoyance/intrusive.
The Phoenix study, which was conducted this past August/September, shows that Charles Schwab, E*TRADE, Fidelity, Scottrade, and TD AMERITRADE command the most favorable overall impression among firms well-known to online investors. They are also impressed by other familiar brands, such as A.G. Edwards, Edward Jones, ING Direct/ShareBuilder, Merrill Lynch, Morgan Stanley, T. Rowe Price, UBS, and Wells Fargo/Wachovia. Lesser known brands, but impressive nevertheless, include Firstrade, Interactive Brokers, optionsXpress, thinkorswim, and TradeStation.
The 1,250 who participated in the Phoenix study are representative of online investors grouped by trading volume. Also reported are detailed evaluations of 12 print, 17 TV, and 11 online ads for: ADM Investor Services, BSG Traders, Charles Schwab, Deutsche Bank, Electronic Settlement Network, E*TRADE, Fidelity, Forex Capital Markets, FX Solutions, GAIN Capital Markets, Genesis Securities, Global Forex Trading, IG Markets, Interactive Brokers Group, MarketClub, OptionsHouse, Royal Bank, Scottrade, TD AMERITRADE, thinkorswim, and TradeStation.
TD AMERITRADE received top honors for the most effective print and TV ad, while an online ad for Scottrade topped the field of Internet advertisers. Least effective was a print ad for ADM Investor Services, a TV ad for thinkorswim, and an online ad for IG Markets. "Successful online ads enhance brand equity and share common strengths that have been continuously observed by Phoenix for over five years. Furthermore, advertising to online investors is a necessary challenge because 56% have trading relationships with multiple brands (primarily because they perceive differentiated offerings) and many are evaluating new brands, yet these investors are generally unimpressed by brands advertising on the Internet today," cited Grozalsky.
Phoenix Contact:
Marc Grozalsky
508-647-0151
Email
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