Pro football still rules in the U.S.
Professional football continues to surge in popularity as one-third (33 percent) of U.S. adults who follow at least one sport say it is their favorite sport. This is up three points from 2004. Baseball slipped slightly again in 2005, dropping to 14 percent, down one point from 2004. Coming close on the heels of baseball is college football (13 percent) followed by auto racing (11 percent). While both of these saw a rise from 2004 to 2005, racing was up four points in 2005, most likely as a result of NASCAR’s increasing popularity.
These are the results of a nationwide survey by Harris Interactive, Rochester, N.Y., conducted online between December 8 and 14, 2005 among 1,961 U.S. adults, of whom 1,402 follow at least one sport.
In the past 20 years, professional football and baseball have seen the most dramatic changes in popularity. Since 1985, professional football has risen nine points in popularity (from 24 percent to 33 percent), while baseball has dropped the same amount (23 percent to 14 percent). The next largest change in popularity is in auto racing, which has risen six points since 1985, from five to 11 percent. Men’s tennis has seen a drop in popularity of four points in this same time period down to one percent from five percent in 1985.
The survey also finds some sizable differences between different segments of the population. Pro football is most popular among African-Americans (47 percent), those with household incomes of $50,000 to under $75,000 (41 percent) and $35,000 to under $50,000 (40 percent), and among Generation X - those aged 28 to 39 - (39 percent). Those with a post-graduate education are least likely (23 percent) to call professional football their favorite sport.
Baseball does best among Hispanics (20 percent) and Echo Boomers - those aged 18–27 - (21 percent). African-Americans are least likely to say baseball is their favorite sport (6 percent).
College football is particularly popular among Republicans and those with post-graduate degrees (both 20 percent). Five percent of those with household incomes of less than $15,000 cite professional football as their favorite sport.
Auto racing (which includes NASCAR) is most popular among those with a high school education or less (19 percent) and Baby Boomers (15 percent), while it fares worst among those with a post-graduate degree (2 percent) and Generation X (4 percent). For more information visit www.harrisinteractive.com.
Wal-Mart shoppers lag Target customers in Web use
Scarborough Research, New York, has released an analysis of the online purchasing patterns of shoppers of retail behemoths Wal-Mart and Target, comparing them to all consumers in the 75 local markets measured by Scarborough. The analysis reveals that 52 percent of Target shoppers made an online purchase during the past year, versus 35 percent of Wal-Mart shoppers. Almost half (45 percent) of Target shoppers spent $100 or more online during the past year, versus slightly more than one-third (35 percent) of Wal-Mart shoppers.
Scarborough found that Wal-Mart shoppers are either average or slightly below average for making purchases in several key shopping categories, while the opposite is true for Target shoppers. For example, Target shoppers are 25 percent more likely than all consumers to have made an online purchase in the clothing/accessories category during the past year, while Wal-Mart shoppers are 6 percent less likely to have done so. “Demographics play a part in the higher Internet shopping among Target customers, since affluent consumers are more likely to be shopping online,” says Karla Eyerly, manager, advertising marketer services, Scarborough Research. “Additionally, our data shows that Internet shopping is more prevalent in larger local markets, so Wal-Mart’s heavy small-market concentration certainly plays into the equation. However, their recent push toward attracting a more upscale consumer could change this equation and help Wal-Mart attract more online shoppers in the future.” For more information visit www.scarborough.com.
Health-conscious consumers still want comfort foods
A study on American health and well-being conducted by Landis Strategy & Innovation, Palm Beach Gardens, Fla., reveals a strong correlation between everyday life stress and consumers’ increased need for instant gratification in the consumption of less healthy or diet-busting comfort foods.
The survey explored the health and wellness perceptions, needs, values and beliefs of 1,031 census-representative American adults and uncovered insight supporting the contention that current medical guidelines and health food choices that don’t fit American lifestyle realities - and are premised on the complete avoidance of comfort foods - are not realistic and have little hope of success.
The study, “Evolving Consumer Choice and Well-being: Fat, Carbs and Sugar Still Rule,” also contends that brand manufacturers and health experts must retire the philosophies of the old paradigm that required consumers to change entrenched behaviors to fit product agendas - and accept a new healthy-living paradigm that introduces breakthrough thinking and product innovations more congruent with varied American health mindframes, lifestyles and circumstances. By not expecting healthy products to draw most consumers unless they also deliver comfort, or are part of a broader wellness approach that also encourages comfort foods, brand manufacturers may close their product growth gap - thereby flourishing in today’s burgeoning health market while making a more sustainable contribution to the overall health of America.
Landis uncovered seven different consumer health mindframes - health belief and value systems that guide choices and actions. Although each mindframe group is different, stress and the ability to cope with it are inextricably tied to success or failure. The study also uncovered mindframe correlations derived from age, gender, ethnicity and household composition.
Landis discovered that almost all Americans know what they need to do in order to be healthier - they just fail to follow through. The study revealed consumers found it hard to eat the recommended daily servings of fruits and vegetables, and that it was a struggle to eat sensibly when stressed.
With 46 percent of consumers rarely or never giving up taste for health benefits, today’s consumer has a now-vs.-tomorrow core mindset. One of the key findings is the relationship of stress to the failure to achieve personal health and wellness goals, and a resulting sense of frustration. It appears that health and wellness are primarily aesthetics-motivated and life stress-disrupted. Consumers choose quick gratification (such as release in comfort food consumption) - and perceived gains like attractiveness and energy - over more longevity-based health benefits. When specific health stresses were a factor - such as migraines, back pain, allergies and other non-weight-related health issues - the findings revealed consumers’ need for instant gratification and stress release displaces the desire for the future benefits of healthy living.
Landis’ analysis suggests a person’s health values and beliefs evolve over time. Younger American adults are far less likely to be focused on health and well-being, falling into the mindframe of groups unwilling to expend strong, consistent efforts towards their health and wellness. As people age, things change. The biggest shifts occur when people have some kind of health shock. The constant across all age groups is that the vast majority of adults fall into lower-commitment health mindframes, maintaining only minimal effort to optimize their health and well-being regardless of their age or life stage.
The survey findings suggest that while women have the desire to succeed with their health goals in greater numbers and either succeed or struggle with the guilt of not succeeding, men appear more able to take a carefree approach. Ethnic variations in health and well-being mindframes exist as well. Caucasians are far more likely to be constantly stressed to achieve the health and well-being they desire but seem unable to attain. Non-Caucasians, driven by the need to stand out and feel attractive, are serious about their health and take some positive action but also engage in less-healthful indulgences and are more likely to do very little to live healthy.
Adult consumption of almost every junk food is higher in households where teens are present. The survey found that the incidence of regularly occurring stress is about the same in non-teen households as it is in teen-dominated households. The availability of junk food in teen-dominated homes impacts the consumption factor and the prevalence of less healthy mindframes more than stress.
The Landis study portends four key shifts brand manufacturers and health experts need to make. The first is mindframe congruency: Americans do not share one common health and wellness belief and value system, therefore one-size-fits-all solutions are doomed to fail. Lifestyle congruency: Strategies and products must better fit the challenges and realities of American lifestyles and health mindframes to increase the odds of consumer success. Goal congruency: Health goals must redefine success by narrowing the gap between consumers’ sense of actual and ideal self. This shift will reduce the hopelessness that health aspirations are unattainable, which drives down self-esteem and is linked to destructive behavior, such as overeating. (It is no surprise the survey uncovered that 43 percent of consumers in the struggler mindframe experience depression). Product congruency: Innovate new products and health regimens that recognize the inextricable link between stress, comfort food and failure. Healthful foods that provide comfort or health regimens that incorporate comfort foods are more realistically sustainable than strategies that seek to eliminate stress or expect consumers to radically alter their lifestyles. The results of the study are summarized in a case article available at www.landis-si.com and clicking on “Landis Knowledge Resources.”
Marketing execs working with bigger budgets in 2006
A survey of 366 senior marketing executives, conducted during the last week of November and the first week of December 2005, found that 60.7 percent will be working with bigger budgets in 2006, according to an article by Kate Maddox of BtoBOnline. As reported by the Center for Media Research, the BtoB survey “2006 Marketing Priorities and Plans” found that 31.6 percent said their budgets would be flat. And only 7.7 percent said their budgets would decrease. The optimism is 11 points over last year.
In 2006, 72 percent of marketers plan to increase online budgets. Within Internet spending, the specific media that will receive the greatest share of marketers’ online budgets in 2006 will be: Web sites (30.3 percent), e-mail (22 percent), search (20.3 percent) and sponsorships (10.3 percent).
For offline media, 52 percent of respondents said they plan to increase direct mail in 2006; 40 percent plan to increase event marketing; 33 percent plan to increase print advertising.
The survey also found that: 81 percent of marketers plan no changes in their broadcast spending; 80 percent will not change outdoor spending; 46 percent plan no changes in their print and event marketing budgets; 21 percent of respondents will decrease print advertising; 15 percent will reduce outdoor advertising; 14 percent will decrease events and telemarketing spending.
According to BtoB’s survey, 24.9 percent of marketers’ total budgets will be spent on direct marketing in 2006, up from an average 21.6 percent allocated to direct marketing in 2005.
Primary marketing goals found in the study included: 60 percent of respondents said their primary marketing goal will be customer acquisition; 20.8 percent said brand awareness; 11.5 percent said customer retention; 7.7 percent specified “other.”
Other significant marketing objectives identified were: entering new markets; generating leads; increasing revenue; growing market share; proving ROI; and improving brand awareness. For more information visit www.btobonline.com.
Online holiday shoppers valued site design
While over 70 percent of e-shoppers think shopping online is easier than shopping offline, Web design played a key role in 2005 online holiday spending, according to a report issued by San Francisco research firm Questus. Aside from pricing and shipping costs, the report found that over a third of shoppers cited navigation, the checkout process and product descriptions as critical site aspects that affected their completion of online purchases.
Appearance also affected e-shoppers, with most (68 percent) citing distrust of sites that didn’t appear professional. The report found that a quarter of shoppers left a site if they found it difficult to locate products, and a fifth left because the site didn’t seem trustworthy or secure. Additionally, online shoppers preferred fewer links than more links on each Web page.
Required site registration was also a major barrier for shoppers. The report found that nearly a third of online holiday shoppers left a site without making a purchase because they didn’t want to register with the site.
Overall online spending was strong during the 2005 holiday season, with 77 percent of Internet users making online purchases and almost 40 percent making half or more of their 2005 holiday purchases online. The report found that online holiday shopping is poised for even more growth in 2006, with 40 percent of online shoppers planning to spend even more online during the 2006 holiday season. The report was based on an Internet survey using Questus’ proprietary panel, Big Look. The 425 respondents were all employed U.S. residents over the age of 18. For more information visit www.questus.com.
Sony ranks as most popular consumer electronics brand
An international survey measuring the health of some of the world’s most famous consumer electronics brands reveals that Sony is the most popular brand, while Sanyo is the least popular across all ages, genders and income levels in 18 countries around the world.
In November 2005, the Stewart-Allen/GMI BrandBarometer (www.brandbarometer.com), co-created by marketing consultant Allyson Stewart-Allen and Seattle research firm Global Market Insite, surveyed 17,502 consumers worldwide about 15 leading international consumer electronics brands.
These brands include Apple, Canon, Casio, Dell, Hitachi, Hewlett-Packard, Microsoft, Nokia, Panasonic, Philips, Pioneer, Sanyo, Sharp, Sony and Toshiba. Consumers were asked about their perceptions and experiences of these brands, levels of trust, overall quality and perceived country of origin.
When asked to associate values with a particular brand, BrandBarometer respondents perceive: Sony as “luxurious”; Nokia as “innovative,” “friendly” and “engaging”; Apple as the most “individualistic” and “exclusive”; and Microsoft as “powerful” and the most “American” brand. Sony also scores well in other areas - respondents see the brand as being “international,” “trustworthy” and a “luxury” brand. Nokia scores highly for being “customer-focused,” for “listening” to its customers, and for being the most “responsive” and “empathetic.” Sony and Nokia are also seen as the two most reliable brands out of the 15 surveyed.
However, the BrandBarometer did find some dark clouds on the horizon for other consumer electronics brands. Sanyo appears to have a serious image problem and is regarded as the most “stagnant,” “dull,” “insignificant” and “weak” of all of the brands in the study.
When it comes to investing in brand recall and intentional associations, large consumer electronics companies clearly dedicate generous marketing and advertising budgets to achieve these:
- Microsoft spent $260 million on domestic measured media during the first 10 months of 2004 (Adweek, January 25, 2005).
- Sony’s electronics division spent $150 million on U.S. advertising in 2004 (Adweek, September 14, 2005).
- Apple spent more than $100 million on advertising in 2003, and about $90 million between January and October 2004, $70 million of which on iPod ads alone (MediaWeek, January 13, 2005).
- Panasonic spent about $60 million in U.S. media in 2005 (Adweek, December 02, 2005).
According to the survey, the power of consumer electronics brands appears to be wavering in Western markets where branding is most sophisticated. When asked how important a brand name is when buying such products, consumers in such countries as the U.K., Germany and Denmark rank brand names as less important compared to others in emerging countries. For instance, consumers in Mexico, China and Brazil rate brand names as either important or very important. To download the full Consumer Electronics BrandBarometer report visit www.brandbarometer.com.