Over 6,000 respondents from across seven countries completed the online survey and rated 500 brands. The brands were selected as a representative set that respondents would be most likely to know or use in each country. In 2010, the Global Brand Simplicity Index survey found that technology added complexity to the lives of older respondents but added simplicity to the lives of younger people. 

 

So, seeking to explore further what this could mean for consumer-facing businesses, the 2011 survey included more internet brands and asked questions specific to technology, social media and online retail. Respondents described the dual effects of technology on the simplicity of their lives. On the one hand, technology saves time and makes connection easier. On the other hand, it takes up time because of the increased pressure to be connected, and because each new innovation generates another learning curve.

 

Simplified communications are worth it in the eyes of modern consumers. The Simplicity Index showed that on average, consumers across the globe would pay a premium of 5 to 6.5% for simpler communications and experiences, and the survey says that “in the US, UK and Germany alone, brands that offer increased simplicity stand to capture close to $30 billion.”

 

Ease of communication was found to be the number one reason that respondents felt technology makes their lives simpler. The industries leading the way for simplicity, however, were online search and internet retail, suggesting that ease of finding information and ease of purchasing are also welcome aspects of technology. But the study showed that there are also technological generation differences: “While younger generations and retirees think technology greatly simplifies their lives, older generations still working find technology most challenging.”

 

Industries were rated on factors such as transparency, usefulness, and pain of interactions, and brands were rated on how easy their communications are to understand. It is clear that people are willing to pay more for brands that offer simple communications and interactions.

 

Some of the global brand giants rank highest for simplicity in this study, while others have achieved their success despite being perceived as complex. Google was found to be a leader in this year’s Global Brand Simplicity Index. Google came top in internet search in every part of the world except China where the local search engine Baidu still dominates. Amazon came second globally, ranking third for simplicity in the US, second in the UK, and first in Germany. 

 

In addition to being an online retailer priding itself on ease of finding, ordering and returning, Amazon has maintained simplicity with its electronic devices, such as the Kindle. With its target look of elegant simplicity, Apple ranked first among electronics and appliances companies and was the fifth most simple brand overall. Its new position represents an increase on its 2010 position, showing that the company gained simplicity points with the introduction of the iPad2. A respondent added, “Apple is clear about its products, what it does and what it stands for, and, in the end, it delivers what it promises.”

 

Sitting near the bottom of this year’s global list are Panasonic and GE which are hindered by the breadth of their product lines when it comes to simplicity. The study also revealed that GE’s communications were perceived as unclear.

 

LinkedIn users commented that the business network site often impedes their ability to connect rather than facilitating it: a result of unfocused communications, unhelpful site upgrades and a disorganized interface. LinkedIn ranked as the sixth most complex brand in the US and as the third most complex brand in the UK.

 

Some sectors are more simple than others because of the nature of their products or services. The fast food industry is perceived as simpler than the insurance industry because a cheeseburger is simpler than an insurance contract.

 

Some of the most complex industries would gain significantly by simplifying. In the UK, consumers would collectively spend £460 million more per year for simpler banking, and some institutions are already leading the way – a respondent commented that “First Direct always answers the phone with a real person... and never sends you to automated phone systems that we all hate.” 

 

Within the technology field there are also industries which are perceived as more or less simple. Despite the rapid growth of the tablet market and the millions of users on Facebook, globally, computers and email still rank as simpler than tablets and social media.

 

The survey gathered responses from seven countries and found that consumers in the Middle East, China and India are willing to pay more for simplicity than the UK, the US and Germany. In India, people are willing to pay between 5.9 and 8.3% more for simpler experiences, and on average people are willing to pay 7% more; but in the US, people are willing to pay between 2.4 and 5.3%  more, with an average of 3.8%.The technology sector is leading the way in simplicity in the Middle East, China and India. In India and China the five least complex brands and industries were all technology related. In this global survey, it isn’t always the global brands that come out on top within each region. Many of the top Simplicity Index brands in each country are not known in outside markets. 

 

The survey suggests that these local brands achieve simple communications and interactions. However, 73% of online retailers trade overseas (according to the E-business Benchmark Report 2011 from Sage Pay), suggesting that in online retail many organisations are required to deal with the layers of complexity that international business brings.

 

The study highlights cause for concern for the health insurance and general insurance industries and the utilities industry where complex billing structures and unsatisfactory customer service mean that respondents find interactions far from simple.

 

But the study also offers hope of increased revenue if brands can simplify. Globally, over 82% of people would be more likely to recommend a brand that provided simpler communications and experiences. Across all industries, and building on the trend revealed by the 2010 Index, it was found that investing in a stock portfolio based on simplicity continues to beat the major indexes. A portfolio made from the publicly traded top ten global brands of the Simplicity Index outperforms and is less volatile than the major indexes. UK respondents said they would pay over £2.75 billion a year for simpler communications and experiences across industries.

 

Simply put, there is much to be gained.