American Brands Lose Popularity in Favor of Local Brands

There is a growing threat to the appeal of U.S. brands as a result of recent tensions and shifting attitudes towards American culture, according to New York-based RoperASW’s Roper Reports 2003 Worldwide study among 1000 consumers in 30 countries. There has been a broad increase in the number of global consumers who feel distant to American culture with an average jump of 2% from 1999. The strongest increases were in Argentina (74%), Thailand (60%), France (50%) and Taiwan (49%).

Sixty-six percent of global consumers now feel closer to their own culture, up 5% from 1999. “Closeness” to local culture rose the most in Venezuela (84%), Turkey (78%), Indonesia (73%), Australia (70%) and Japan (52%).

Additionally, in measuring the market strength (familiarity, likeability, usage) of nearly 40 leading brands from across the globe, the study found only one U.S. brand improving its rating this year versus nine non-American brands.

While corporate misconduct is not unique to the U.S., a significant number of high-profile scandals in the last year have put America in the spotlight. In fact, in ranking the trust-level of leading companies worldwide, the study found American organizations dominating the bottom of the list.

“The winds of consumer change were in motion well before the U.S. entered Iraq,” explains Tom Miller, managing director, RoperASW. “A confluence of factors including rising nationalism, economic uncertainty and corporate scandals have led to ‘global cooling’ and a weariness of American culture.”