Teen Study Sees the End to the Global Romance with USA Brands.

A generation ago, Coca-Cola taught the world to sing. Today, USA brands no longer dominate the list of top 10 global teen brands.

While Coca-Cola, McDonalds and Disney can still boast worldwide brand awareness, findings in the 13-nation GenWorld Teen Study recently conducted by Energy BBDO suggests that to a new generation of global teens, being well-known isn’t enough to make a brand popular. In fact, several American mega-brands appear to be slipping, with McDonalds and Disney leading the descent. McDonalds, while still #2 in recognition, has fallen off the charts in preference (a dismal showing at #32). While Disney’s awareness is #9, positive ratings leave it at #23. Coca-Cola still ranks #1 in awareness; but its preference ratings have slipped to #8.

Which brands are tops today? Sony, Nokia and adidas rank highest in teen consumer preference. These three brands are all from different countries (Japan, Finland, Germany). Is this a sign of the weakening stature of “America” in the global teen market?

Teen expert Chip Walker, executive vice president and director of planning at Energy BBDO explains, “It is unclear whether attitudes towards America are driving these ratings. There seems to be a great ambivalence towards America among global teens. About half admire America while half don’t. Yet, it remains by a slim margin the country they would most like to visit.”

Moreover, Walker says, “Some American brands are thriving among global teens.” These include several energized up-and-comers like Microsoft, Levi’s, MTV, M&M’s and Kellogg’s. At the same time, a host of fading stars from around the world are also better known than liked among global teens, including: Samsung, Philips and Motorola.

Walker suggests, “More than a sign of the political times, dominance of these brands signals the increasingly global nature of teen consumer culture as well as the mileage brands get out of doing their job well. Leading brands connect deeply with teen passion points -music, media, sports and communication- and do so in a stylish, individualized way.”

What does this bode for USA brands? “Companies based in the US must do more than build brand awareness or rely on American cachet to increase their status with the increasingly brand savvy global teens,” added Walker. “Instead, whatever their country of origin, brands with global teen ambitions need to serve up great products, and find new, more relevant ways to connect.”

GenWorld Teen Study commissioned by Energy BBDO gauged the lifestyle, values attitudes and brand perceptions of 3,322 teens aged 13-18 in 13 countries around the world. Countries included: USA, Mexico, Brazil, U.K., France, Germany, Spain, Australia, Russia, Poland, China, Taiwan, and India. The study was fielded over the summer of 2005 and administered in participants’ indigenous language. An on-line methodology was used in developed countries where Internet access is widely available and an in-person methodology was used in developing countries. The sample was balanced male and female, with older and younger teens equally represented and reflected broad socioeconomic status (A, B, C social classes based on DRI’s Purchasing Power Parity buying ratings including all households with the PPP buying power equivalent of $7,500 USD).