- 42% of Romanians are "Feeling the Brunt" of the recession, almost double the number in an international survey, with 86% considering the economic situation to have worsened in the last 6 months. They are pessimistic about the future. - Television remains the primary source of information, but 70% of Romanians check news of the recession daily online as the internet allows for multiple sources. Newspapers are still key information sources but via their online editions. - Consumers have reassessed their needs versus wants and changed shopping habits, with 59% shopping in lower-price stores and 66% seeking promotions. This has impacted purchasing across many categories as consumers prioritize necessities over brands.

1. The Game Changer

3. THE GAME CHANGER
The global recession has taken its toll on the majority of Romanian
citizens. People have been affected in a variety of ways, they have
been forced to face a new reality that demands they change their
behaviour in order to maintain, or at least minimize any decline in their
standard of living.
At the same time, the rapid growth of internet usage has provided
these people with the tools that are necessary to implement this new
behaviour, through a combination of easier access and sharing of
information, through time saving, easier access to jobs and learning
resources or through cheaper communications. For many people the
internet and mobile communications are now an indispensable part of
their daily life.
At the convergence of these technological, social and economic
developments a new type of consumer is being born. In Romania, for
some this process is happening rapidly, whilst for others it is much
slower, but the game is changing.
Our “Game Changer” study explores these developments and looks
at how brands need to adapt to demonstrate that they remain relevant
to the consumer.
The Methodology
Following the same methodology as
Initiative’s international “Game Changer”
study, we actively sought the opinion of
612 Romanian citizens using a synergy
of CATI and CAWI data collection tools
in order to learn the current level of
consumer confidence in the present
economic climate and to understand
how the crisis, combined with
developments in technology are leading
to a fundamental change in consumer
behaviour. The study covered people
aged between 21 and 45 years old,
living in urban areas who are financially
independent and is statistically
representative of this segment of the
population.
The Game Changer study has so
far been conducted in seven other
countries: UK, Germany, France, Spain,
Italy, US and China. When referring to
the general average figures from those
countries the term “international figures”
will be used, unless otherwise specified.

4. THE PSYCHOLOGICAL IMPACT OF THE
RECESSION IS FAR GREATER THAN THE
ACTUAL IMPACT
Romanians generally have a very negative opinion regarding the
economic situation within their country and tend to be pessimistic
about the future.
Currently 86% think that the current economic situation is worse than
6 months ago, with 54% considering their own household situation
has worsened during this time. Their expectations for the future are
low, with three quarters of them expecting the situation to worsen in
the coming 6 months and 53% expect the situation within their own
household to also worsen.
This is in direct contrast to our international survey, where 70% of
respondents felt that the economic crisis had stabilized and were more
optimistic about the future, however 60% had been directly impacted
by the economic downturn.
When it comes to the current reality in Romania, the biggest impact of
the recession has been in the form of reductions in household income,
with almost a third of respondents (31%) saying that they have received

5. a decrease in salary, 14% have had bonuses cancelled and 14% have
seen a decline in the value of their homes. At the same time 12% of
respondents have lost their jobs in the last 6 months alone.
As in the international survey, we have split the respondents into 4
distinct segments that classify how people are managing in the current
situation:
“Confidently Secure” (5%) – People who consider themselves as
not having been impacted by the downturn at all and are carrying on
life as normal. They have not had to adapt to a lower standard of living
and have the financial resources to comfortably see them through the
current times.
“Live for Today” (16%) – They have not given up their standard of
living and have carried on as before, but have a general feeling of
nervousness and insecurity about the future. They do not have the
financial resources to maintain these standards should their income
decrease, and they would have to quickly think of solutions and
strategies to cope with any change in their financial situation.
“Hurt but Optimistic” (37%) – Have been directly impacted by the
recession, and have had to adapt to their new situation by cutting
back on their expenditure. Living at a slightly lower standard than they
had before, but still feeling optimistic that things will improve soon.
“Feeling the Brunt” (42%) – Directly and strongly impacted by the
recession. They have drastically cut back on their spending, sometimes
even in basic areas. They are not optimistic that the situation is going to
change anytime soon. This segment represents the major divergence
from our international study, where only 24% of respondents fell into
this segment.
It should also be noted that this is happening at a time where politically,
the government are being given a vote of no-confidence by 91% of
respondents, with more than half of them having increased their level
of distrust in the past 6 months.
• 42% of Romanians are
“Feeling the Brunt” of the
recession, almost double the
number in the international
survey
• 86% consider things to have
got worse in the last 6 months
• They are not positive about
the future, 75% expect things
to get worse in the next 6
months

6. CONSUMERS ARE DRIVING THE SHIFT
IN MEDIA CONSUMPTION
situation, with 70% of them checking the latest developments on a
daily basis. This is far higher than internationally where only 45% said
they followed the economic situation on a daily basis.
Television is still the most popular way of doing this with the internet
being second. As with the international survey, over 80% mention
television as one of their three primary sources of information.
However significantly more (56%), cite television as the primary source
in Romania compared to only 41% internationally, with the internet
being the primary source for 26% of Romanians, very similar to the
international figure of 27%.
Newspapers rank lower than internet as a primary source of information,
with only 20% of respondents considering them a top three primary

7. Implications for Marketers
The financial pressures of the recession are increasing consumers
need to be in control of their own financial situation, fuelling the
growth in platforms and resources that allow them to do this. As
this increases, brands will need to engage consumers on their
own terms and through a wider array of touch points.
• 70% of Romanians check the
news regarding the recession
at least once a day
• Television is still the primary
source of information
• Internet allows consumers to
explore multiple sources of
information
• Newspapers are still key
sources of information, but
via their online editions
source, but only 4% of them would consider it their primary source
of information. The percentage being slightly higher for generalist
newspapers and lower for financial newspapers.
Whilst printed media rank lowly in terms of being a primary source of
information, 69% of respondents read online editions of newspapers
and magazines, with over half of them reading for the specific purpose
of keeping up to date with the latest economic developments. This
is very important for consumers as the internet provides them with
a platform to read many different views and opinions on the same
subject, allowing them to formulate their own opinion from multiple
sources without feeling that they may have been unduly influenced by
any biased reporting.
This is reflected by 60% of respondents saying they consider the
internet a reliable source of information about the recession, higher
than for all other media, and only speaking with friends and family
(75%) or the advice of experts (66%) are considered to be a more
reliable source.

8. CHANGING CONSUMER VALUES
CANNOT BE IGNORED
As a result of the economic crisis, the trust that consumers give to
institutions and corporations has been redistributed. A polarization
occurs between “heroes” and “villains”, with a positive or negative
view depending on how that institution or corporation has impacted
upon the respondents own wellbeing and quality of life.
As mentioned previously, Government and politicians are given
the least degree of trust by consumers. However, this has been
constantly visible in the Public Opinion Barometer since 1989 and is
not necessarily a result of the current crisis. The level of no-confidence
and distrust in government institutions in Romania is almost identical
to the levels seen for Western Europe and China, where it is a direct
consequence of the recession.
Other notable “villains” are Advertising, not trusted by 48% of
consumers (although it is usually the first place that they receive
information about products), the Media where 47% say they distrust
articles and comments in the media (mostly due to them being
perceived as biased), and Banks and Financial Institutions where 46%
of respondents do not trust them.
Generally, the level of trust in major industries and large corporations
has declined in the past 6 months by over 25%, with the highest
decrease being for banks where the level of distrust increased by 37%.

9. Romanians’ “heroes” are their own Friends and Families (trusted
by 71% of respondents), the Internet in general (with 52% of the
Romanians having trust in it) and in Supermarkets (44%). Supermarkets
are becoming trustworthy as their discounts and special offers are
perceived as being a positive response to the crisis and helping relieve
the financial pressures that consumers currently face.
When it comes to respondents trust in a company, “credibility” and
“competence” are the key qualities for respondents, with an equal
number of respondents (38%) claiming it was one of the three most
important qualities. “Security” was third with 33%. This reflects a need
for companies and brands to ensure they deliver on what they claim
they do.
Interestingly, for respondents the qualities of “being popular”, “well
known”, and “established” were unimportant, with less than 5%
of respondents claiming they were a key quality for building trust.
Traditionally these qualities would be exploited by marketers as they
are considered be an important influence in a consumers trust in a
company.
When it comes to building trust, the internet plays a key role. 31%
of respondents claim company websites reassure them about the
trustworthiness of the company, with 30% claiming professional
websites & 30% saying search engines provide this reassurance.
Advertising, although considered a villain above is also reassuring to
28% of respondents.
Implications for Marketers
There is a need for a new approach to brand communication, one
which is more focused on credibility, competency and security (in the
form of stability), ensuring that the brand delivers on the consumer’s
expectations. It is no longer enough for brands to rely on being well
known and established to convince consumers. Understanding
that the consumers are part of a larger community and being able
to influence the influencers means that brands have to enter the
online arena with relevant content and genuine interactivity.
• Trust in institutions and
government continues to
decline
• Friends and family remain
the most trusted sources of
information
• Consumers are re-evaluating
their understanding of trust
• “Credibility” & “Competence”
are now the most important
qualities

10. INTERNET AND MOBILE PHONE ARE THE
ESSENTIALS FOR EVERYDAY LIFE
platform. 87% of respondents consider it essential or important. This
differs significantly from the international survey where only 56% of
respondents considered mobile phones to be so important. Despite
mobile phones being so important for respondents, the economic
situation has led to 22% of respondents saying that they have cut their
expenditure in this area over the past six months.
Internet was considered the second most important technology, being
considered essential or important for 79% of respondents – despite
being ranked second, this is still higher than for the international
survey, where 75% of respondents considered the internet essential.
Landlines are considered far less a priority than mobile phones, with
only 49% of respondents considering them essential, and 21% saying
they would be the first thing to cut if they were forced to reduce their
spend on communication and technology.
Printed media is considered non-essential with over half of
respondents considering newspapers (51%) and magazines (54%)
to be unimportant or totally unimportant. If forced to make cuts in
spending in this area, newspapers would be the first thing to go for
31% of consumers & magazines first for 20%.
• Mobile phones are far more
important for Romanians than
for consumers in other countries
• Internet is now an essential part
of life
• The importance of magazines
& newspapers is continuing to
decline
Implications for Marketers
The Internet has become an indispensable tool for life with implications
that are no longer rational but also emotional. The work-personal life-
rest cycle is becoming more the work-Internet-rest cycle, giving brands
the opportunity to follow their consumers in places and at moments
that were previously unreachable. What needs to be understood
though is that the Internet as a mediun is very different from classical
media, which requires a specific approach and customized content.

11. MOST CONSUMERS HAVE REASSESSED
THEIR PURCHASING BEHAVIOUR BASED
ON NEEDS, RATHER THAN WANTS
Consumers have re-evaluated their spending patterns across all
goods & services, as they balance their purchase decisions based
upon their needs as opposed to their wants. This is reflected in
over half of respondents saying that they have changed their
shopping habits in the last six months and now shop in stores with
lower prices, and 66% of them actively look for special offers and
promotions.
In this regard, there are three identifiable trends in consumers
purchasing behaviour :
• “Positive adaptation”, where the consumer decided to continue
buying the same brands in a similar or lower quantity. This is
the easiest or the most necessary way to adapt to their needs.
• “Negative adaptation”, where a consumer switched from a
brand to a cheaper alternative brand or a retailer own label
brand, or purchased products on promotion or special offer.
This reflects products or services that are a necessity, but
where the brand itself is a want.
• 59% of respondents have
changed their shopping
habits in the past 6 months,
compared to 70% in the
international survey
• A re-evaluation of needsA
versus wants is affecting
many categories
• Brand loyalty skewed towards
more personal products

12. • “Renunciation”, in this case a consumer gave up buying both
the brand and the product as they are seen as wants and so
not essential items.
“Positive adaptation” can be seen in categories that are more
personal for consumers and where they are less willing to
compromise on their brand choice. For example Personal Hygiene,
where 75% of consumers continue buying the same brands, and
Fresh Fruit and Vegetables (70%) but also Alcohol and Coffee, both
with 59% of the consumers buying the same brand. For these
categories consumers remained loyal to their preferred brands and
continued buying them.
Although remaining loyal to their brands in these categories the
quantitypurchasedwassignificantlylower,whilst75%ofconsumers
said they would continue to purchase the same Personal Hygiene
brands, only 59% of them said they would buy the same quantity
as before. Whilst just over half would purchase the same quantity
of fresh fruit and vegetables and fresh meat, with only 47% buying
the same amount of coffee as before.
“Negative adaption” occurs for products that have a less personal
impact directly on the consumers themselves. Household hygiene
products and pet food are examples of the segments where
this occurs, with 59% switching to cheaper brands or buying on
promotion for household hygiene products and 37% switching their
pet food brands.
Purchases of retailer own label brands are still relatively small, the
leading categories for purchasing own label brands occurs for
non-alcoholic beverages (16%), household hygiene (14%) and for
skincare (11%) .
Unsurprisingly “renunciation”, is more likely for those categories
requiring a higher level of expenditure. 24% of consumers have
stopped purchasing products in the personal technology category
and 18% have stopped purchasing home electronics. At the same
time, 65% say that they have cut back some or all of their spending
on holidays, and less than 10% intend to purchase a car or home
in the next 6 months.
A direct consequence of the economic crisis has been the
rationalization of buying patterns where the cost to benefit ratio is
of far more importance than any emotional attachment to a brand
or product. Allegiance to a brand – something that is considered
more of an emotional bond – has become a strictly rational decision

13. Implications for Marketers
Consumers have been quick to adapt to their new financial situation
and to rethink their buying patterns. In the short term marketers
can benefit from buying behaviour driven through offers and
promotions, in the longer term they will need to provide consumers
with information and advice that satisfies their needs, whilst at the
same time building brand equity at a time when consumer priorities
are changing.
related to the brand’s (perceived) capacity to deliver on specific
needs in a way that alternative brands could not.
CATEGORY PURCHASE CHANGES (%)
5
10
14
10
3
8
11
5
2
24
10
17
1
9
20
11
4
12
10
12
3
5
20
10
5
6
15
13
15
12
2
23
25
20
15
9
5
5
7
5
7
16
11
6
5
5
9
4
1
4
14
11
4
4
1
1
3
1
7
5
4
9
8
7
4
4
9
18
1
19
18
24
16
18
26
12
7
19
12
30
20
33
16
7
19
8
7
12
5
4
59
52
33
47
51
34
40
23
29
14
31
39
27
27
28
13
12
8
Personal Hygiene
Fresh Fruits & Vegetables
Alcohol
Coffee
Fresh Meat
Non-alcoholic Beverages
Skincare
Confectionery
Snacks
Clothing & Accessories
Grooming Products
Milk & Diary Products
OTC Medication
Home DIY
Household Hygiene
Furniture & Home Décor
Home Electronics
Personal Technology
Buy the same brands in the same quantity
Buy the same brands in a lower quantity
Switched to a cheaper branded product
Buy whichever brand has the best offer
Buy more retailer own brands
Stopped purchasing this category

14. THE RECESSION DRIVES INTERNET USAGE
FOR SHOPPING AND PRICE COMPARISON
The growth in internet usage in Romania has led to consumers using
it in many different ways, however it has not reached a stage where
a significant level of purchases are actually made online. Personal
technology and home appliances and electronics are the leading
categories for online purchases, but of the 38% of consumers who
say they use the internet to help when purchasing personal technology
only 63% of them actually purchase the products online. In the case
of home appliances and electronics, of the 37% who use the internet
to research purchases, only a third of them purchase online. In other
categories the level of online purchases falls well below 10%.
The strength of the internet is in its ability to allow people to search
for information about products and services before actually making a
purchase. Over half of respondents (55%) use it as a tool to find more
detailed information about products and services, an increase of 34%
over those saying they used it for this purpose 6 months ago.
52% of respondents say that they use the internet to specifically
search other customers experiences with the products and services
that they are intending to buy, a third of them read product review
sites and almost half of respondents use price comparison websites
– an increase of 21% in the last six months and a reflection of the
continued growth in these type of sites in Romania.
• Online purchases are still
relatively low in Romania
• Internet provides the platform
for searching out information
before purchasing
• Other customer experiences
are important in making
purchase decisions
• Price comparison websites
continue to grow in popularity
as an effective strategy in
cutting costs.
Implications for Marketers
The recession has increased the
opportunities for marketers to be
present on online platforms, either
interacting with the consumers or
pro-actively meeting their needs for
information. There are a wide variety
of ways for marketers to connect
with consumers in the online
environment, and a very wide range
of activities in which consumers
can engage online in order to find
the best deals, bargains, special
offers and discounts that marketers
should be involved in.

15. THE CURRENT CRISIS IS A NEW PARADIGM
The economic downturn has been a game changer in terms of
consumer behaviour, with the growth and usage of the internet
providing a catalyst for this change. We have observed a number of
fundamental changes:
• Careful reassessment of their needs versus wants to ensure they
maximize their purchase power in an environment where their
income has stayed the same or is diminishing.
• Internet is now an essential part of everyday life, being considered
more important than television
• At the same time, internet is playing an ever greater role in influencing
purchase decisions, through a variety of sources including other
customer reviews, product and price comparison websites, etc.
• A change in the perception of trust, with the key qualities now
“credibility” and “competence”.
This change is not temporary, 54% have changed their behaviour and
will maintain at least some of these changes even after the recession
is over.
The new game is on! Are you playing?
• Roughly half of the
Romanians have adopted
various new behaviours
as response to the
recession and they are
expected to totally or
partially keep them after
the crisis is over

16. About Initiative
Initiative (www.initiative.com) is a media
communications company that transforms media
exchanges into marketing results through a
commitment to performance.
Initiative believes that all marketing should be
performance-driven. Data, analytics, insight and
innovation are central to all our services, and we hold
ourselves fully accountable to client business goals.
This commitment to performance is the heart of
Initiative’s unique process and culture. Owned by
the Interpublic Group, Initiative is part of media
management group Mediabrands and a partner
of Magna, IPG’s centralized media negotiation
entity. Initiative employs more than 2500 talented
professionals, working in 91 offices across 70
markets, worldwide.
Initiative’s comprehensive range of performance-
led communications services include: research
and insight, media planning and buying, digital
communications solutions, content creation, and
evaluation and accountability services.
For more information about the Game Changer
research or Initiative, please contact:
Manuela Ramona Zidaru
Corporate Communications Manager - Initiative
M + (40) 740 084 896
E ramona.zidaru@ro.initiative.com
Initiative Romania
17 Ceasornicului Street
Bucharest - 1, Romania