Influencer social media posts to blame for one in four online ad complaints
Influencers were to blame for more than one in four online ad complaints to the regulator last year, accounting for 4,401 of the 16,767 total online complaints.
In total, the ASA resolved 34,717 complaints about 24,886 ads. Almost half of complaints are now about online ads, while TV accounted for 9,971 complaints about 5,216 ads.
Among non-broadcast ads, some 70% of complaints were about ‘misleading’ ads, 7% ‘offensive’ ads and 9% ‘harmful’ ads. Among broadcast, 29% were about misleading, 32% about offensive and 22% harmful ads.
Online retail sales growth hits 12-year high
Online retail sales growth was up 32.7% year on year in May – the highest rate since March 2008 as coronavirus caused shoppers to head online.
Almost every category (except clothing) experienced a growth in sales, with home and garden sales performing best, up 162.6% year on year. Sales of electricals more than doubled, with growth up 102.8%, while sales of beer, wine and spirits was up 94.9%. However, online clothing sales were down 9.8%.
Multichannel retailers saw the best growth, with online sales up 53.1% compared to 10.1% growth for online-only retailers.
Source: IMRG Capgemini
Consumer confidence hits decade low
Consumer confidence hit an almost record low between 20 and 26 May of -36 as the easing of lockdown in the UK failed to filter through to consumers’ outlook. That is the lowest it has been during the pandemic and just three points ahead of the record low of -39 in July 2008.
Four of the five measures of consumer confidence have taken a hit since the last survey despite the UK government relaxing lockdown rules and some businesses such as fast food chains and estate agents reopening.
People’s perceptions of their personal financial situation over the next 12 months fell to -10 and is down 15 points compared to May 2019. Perceptions of their personal situation over the past 12 months fell to -10 as well, down from -4 in May this year and three in May 2019.
It is a similar story for the economy, with consumers feeling that the general economic situation is getting worse. The measure for the past 12 months is down five points to -60 compared to the previous month and down a huge 30 points compared to May 2019. For the next 12 months, the measure is sat at -57.
The major purchase index shows signs of recovery, rising six points compared to May to -41. But this is still well into negative territory and far below the score of one posted in May 2019.
Car sales slump 90% to lowest since 1952
UK new car registrations fell by 90% in May, with just 20,247 cars registered – the lowest sales figure since May 1952.
Private buyers accounted for the 63.7% of the market, fleet for 32.8% and business for 3.5%. Only battery electric vehicles saw an increase.
Overall, the market is down by 51.4% in the first five months of 2020 with 501,125 registrations compared to more than 1 million in the same period last year.
Majority of consumers using more local stores during lockdown
Three in five (59%) consumers say they have used more local stores and services during lockdown. Some 57% of them say they will be more likely to spend money with local businesses once lockdown has lifted.
Plus, one in five consumers (20%) has stopped using a business due to their response to Covid-19, for example if it did not prioritise frontline workers or failed to ensure the security of staff. Some 19%, meanwhile, say they have started using a brand because of their response.
Overall, one in three (32%) consumers have used new brands, products or services that they had previously never heard of during the lockdown, while 19% say they have purchased a subscription service that they intend to keep up once restrictions have lifted.