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January/February 2009 Key Findings Newsletter - Marketing/Planning

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Baby Boomer Myths

Generalizing about Baby Boomers leads to several myths in the marketplace. The following chart provides reality checks for some of these myths.

Green Consumers

The majority of American consumers (82%) are "green" - defined as taking some action to improve/conserve the environment. Only 5% of consumers have gone completely green. Their reasons for being green include doing something good for the environment (53%), impacting the future (42%), living a better quality of life (34%), doing good for the community (33%), wanting to make a difference (31%), and wanting to live simply and use less (29%).

Some 42% have "green guilt" because they believe they don't do enough to take care of the environment, down from 51% in 2007. Green efforts that most say they are willing to do are bring their own bag to grocery stores (23%), turn off their heat or air conditioning when not at home (17%), and recycle old cell phones and used batteries (11%).

When it comes to companies advertising their products as environmentally friendly, consumers are skeptical: 65% sometimes believe the ad's claims, and 20% usually believe them. Just 3% always believe the ads, while 12% never do. More than one in four consumers (42%) occasionally research green claims made in the advertisements.

Brand Loyalty

Most 35 to 64 year-olds (66%) say it's risky to buy an unfamiliar brand, compared to 62% of consumers aged 18-34. The following chart shows items with the least brand loyalty.

College Students' Goals and Attitudes

The Higher Education Institute at the University of California reports that more than four in 10 college students in the U.S. (43% of female and 42% of male) plan to continue their education with the goal of achieving a Masters degree. Another 18% of women and 17% of men intend to get a Ph.D., and 11% of women and 8% of men intend to get a medical degree. Some 4% of women and 5% of men plan to get a law degree.

The chart below shows results from a study by Harvard University's Institute of Politics about college students' attitudes on specific societal issues.



Promotional Sources: Newspaper vs. Internet

American consumers say they are more likely to look to newspapers - rather than the Internet - to learn about product promotional sales (68% vs. 42%), decide where to buy (54% vs. 45%), and decide when to buy (43% vs. 30%).

More than half of newspaper readers with Internet access (56%) researched or purchased a product they saw advertised in the paper. Of those who followed up on a product, 67% researched it online, 48% visited a store, 23% called a store, and 23% asked a friend about the item. Of those who looked the item up online after seeing an ad, 47% went directly to a Web address from the ad; 31% used a search engine to find it.

A small majority of newspaper readers (52%) think they would be more likely to purchase an item after they saw it advertised in the newspaper. Some 48% say they would trust the product more if they saw it in a newspaper after seeing it online.

Shoppers Willing to Forego Packaging Perks

More than one-half of Americans say they would give up all forms of packaging designed for convenience if it would benefit the environment. Only 10% say they are not willing to forego any aspect of packaging perks for environmental benefits.

The chart below shows which packaging features Americans are most willing to give up.

Online Shoppers' Frustrations

According to Opinion Research, 90% of Americans shop online. Twenty-seven percent of them name Amazon their favorite retailer, with 21% saying no one retailer was a particular leader. The chart below lists some of the frustrations shoppers say they experience when purchasing items online.

Social Networks' Demographics

As online social networks continue to grow, it's helpful to recognize the distinct audiences they serve. The chart below provides gender and age detail.

Americans Diet for Weight and General Health Reasons

Most Americans (58%) say they are overweight, with women (65%) more likely than men (52%) to think so. Some 44% of those who consider themselves overweight limit both the amount and types of food they eat, as does 39% of the overall population. Three in 10 overweight people (30%) don't restrict their diets, compared to 36% of the population overall.

While 57% of Americans diet to lose weight, a larger percentage (68%) do so to improve their general health and wellness.

Consumers Look to Websites for Health Information

According to Burst Media, the majority of Americans (66%) go online to search out health and wellness information. Women (72%) are more likely to do so than men (61%).

One-third (34%) are online seeking wellness information at least once a week, with 11% doing so daily. People aged 25-34 are the most active online wellness information searchers with 46% going online weekly, and 16% doing so daily.

The sources most used are WebMD.com (36%), Wellness.com (36%), and condition-specific websites (35%). Twenty-eight percent use healthcare provider sites, 28% go to government sites, and 18% use corporate sites.

Mobile Versions of Websites

Nielsen Mobile reports that websites with mobile versions have an average 13% higher (unduplicated) audience than websites without a mobile version. Some websites geared to on-the-go content (weather, games) see even higher increases in their audience.

C-Suite Changes

More than one-half of C-Suite executives (54%) are more than 50 years old. A majority (58%) have been in their present position for fewer than three years, as have 48% of CFOs and 64% of COOs. CFOs (62%) are more likely to have been hired from outside the company than CEOs (42%) and COOs (26%).

Most companies (65%) report that it's harder to find quality candidates than it was three years ago, and 65% also think that as Baby Boomers retire, the shortage is going to worsen.

Women make up 17% of CEOs, 5% of CFOs and 0% of COOs. Over the last three years, 25% of companies report that the number of women on their executive committees has increased, while 20% say it has decreased. Some 40% of companies plan to increase the number of women on those committees in the following three years.

Bullets

  • Americans' reported fraud losses (such as losses from identity theft) nearly doubled between 2005 and 2007 to reach $1.2 billion.
  • Almost one-half of Americans age 35+ (45%) have set up a trust or written a will. Forty-two percent have signed up to be organ or tissue donors. Slightly more than one-quarter (27%) have arranged for their funeral or completed a "do not resuscitate" order.
  • In an average day, Americans send 2.5 billion text messages and 30.9 multi-media messages (such as photos).
  • Almost two-thirds of Americans (64%) listen to radio each day. Forty-seven percent of those listeners say it doesn't matter whether the programming is from a local station, compared to 28% who say it matters a lot.
  • Hybrid car buyers (50%) are more likely than auto buyers overall (23%) to be completely satisfied with their vehicle's mileage per gallon, however they are also more likely to say it's not the mileage they expected to get. Hybrid purchasers say they get 42 miles per gallon, compared to 20-25 per gallon for auto purchasers overall.
  • More than two-thirds of children (68%) have their own television, 67% their own personal game system, 47% their own MP3 player and 44% their own cell phone.
  • Single women do 12 hours of housework a week (includes cooking, cleaning, basic work around house). Once married, the wife does seven more hours of housework each week, while the husband does one less hour. Women with children do about 28 hours of housework in a week.
  • Some 17 million Americans over age 62 (approximately one-third of people in that age group) are active online.
  • Some 73% of online Americans say they are over-exposed to advertising, but only 24% think their shopping habits are affected by the ads.
  • Women (47%) are more than twice as likely as men (22%) to refuse to return to a store after experiencing rude or inattentive salespeople in that store.
  • Nine in 10 GenerationYers (aged 18-24) own a computer and spend more time online than they do watching television. Most (82%) have cell phones and 72% of those send/receive text messages.
  • Car buyers say the information they find on the Internet (32%) has more influence over their purchase decision than vehicle brochures (26%), information displays at the dealership (23%), TV advertising (14%), magazine advertising (7%), newspaper advertising (6%), direct mail advertising (4%), and radio advertising (3%).
  • Seven in 10 women who read magazines (71%) shop online, compared to 34% of women overall.
  • Those who watch television programs on their computer are 47% more likely than those who watch on a TV set to find the ads in the program useful.
  • A recent survey of marketing executives shows that 55% of them are "not too interested" or "not interested at all" in incorporating social networking sites (i.e. Facebook, MySpace) into their marketing strategies. And, only 10% of respondents said they already use these social sites in their marketing plans.
  • One-third of bloggers have been contacted by a brand or agency about being a brand advocate. Four-fifths of bloggers say they discuss their everyday experiences with products and brands, or post reviews of them.
  • One quarter of cancer survivors (25%) are physically active on a daily basis. Only 18% are obese, compared to 33% of the general population.
  • The number of emergency room visits Americans made in 2006 reached 119 million, up 36% from 1996. The average wait time to see a doctor in the emergency room was 56 minutes, up from 38 minutes in 1997.
  • Some 81% of Americans say they woke up with back, neck or shoulder pain during the past year, with 46% of them saying the pain was physically debilitating.
  • Healthy eaters (65%) are more likely than Americans overall (42%) to stick to their shopping list at the grocery store.
  • The main topics that parents of 11-14 year olds want their children's doctor to discuss with the youngsters during check-ups are (1) diet and nutrition, (2) exercise and sports, and (3) physical changes during puberty.
  • Two-thirds of women (66%) have considered fasting to lose weight; 42% have done so. Two-thirds of U.S. smokers have tried to quit, but failed. Of these, 40% have tried quitting more than four times without success. Techniques that smokers used in 2008 to successfully quit smoking include quitting cold turkey (74%), nicotine replacement products (8%), gradually cutting back (6%), oral prescription medication (4%) and other (8%).
  • Eight in 10 workers (82%) have trouble sleeping sometimes, including 51% who have trouble sleeping every Sunday because they dread going to work on Monday.
  • Sales of business jets grew 25% to 1,138 in 2007, up from 886 in the previous year.
  • Twenty-two percent of hiring managers look through social networking profiles to help evaluate potential candidates, up from 11% two years ago.
  • Six in seven workers (86%) have a male boss, and almost as many (76%) prefer working for a male.
  • More than two-thirds of Americans who use search engines (68%) click on a link within the first page of results, up from 62% in 2006. Some 92% click on a link within the first three pages, up from 90% in 2006.
  • Seventy-five percent of workers say they are comfortable looking for a new job while they are still employed, up from 69% in 2002.
  • Only 16% of those who use company blogs say that they trust them. Among those who read blogs at least monthly, 24% trust company blogs, and 39% of those who blog themselves at least once per month trust them.
  • The number of Wi-Fi hotspots in the US - such as those at cafes, airports, hotels - jumped 56% in 2007 to reach nearly 67,000. Even though Wi-Fi is available in only 2.3% of North American universities in 2008, it is expected to be in 99% of them by 2013.
  • Four out of five search engine queries (80%) are to locate specific facts or topics. Some 10% are to find a particular website, and 10% are seeking products and services for purchase.
 

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