Millennials not alone in their search for convenient meal preparation
America’s twenty-somethings, known as Millennials or Generation Y, like to live in the moment. Apparently, that’s also how they choose to eat. Millennials are more likely than consumers in other age groups to say their food choices at main meals are motivated by cravings, cost control and minimal preparation time, according to National Eating Trends, a study from Port Washington, N.Y., research company The NPD Group.
Millennials’ food selections indicate a here-today-gone-tomorrow mentality. They are much more likely than consumers in other age groups to use frozen entrees or other food items that are portable and do not require preparation. As with most of these food offerings, there is usually little opportunity for leftovers, which correlates to their relatively low rate of leftover usage. A typical Millennial has 68 meals a year that contain a leftover item, but adults in their 30s to early 40s are using leftovers in 82 meals a year. The use of leftovers generally increases with age (young Boomers 79 meals; older Boomers 93; and seniors 114).
In addition to convenience, cost control is a major motivation for Millennials, and frozen food and other convenience-oriented food products often provide relatively inexpensive meal solutions.
Millennials aren’t the only ones searching for more convenient food options. Data from the National Eating Trends study, which marked its 30th year in 2010, shows that everyone else is as well, with slow cooker, microwave and grill use having risen dramatically.
Thirty years ago, for example, 72 percent of main dishes at dinner were homemade, compared to 59 percent of main dishes made from scratch in 2010, with many households preferring ready-to-eat/frozen foods and assembling a meal rather than preparing it.
Americans are eating many of the same foods they ate three decades ago, but how and who prepares the foods has changed. A sandwich is still among the top foods consumed, but 30 years ago the sandwich was prepared by someone in the household. Today that sandwich is more likely ready-to-eat, frozen or prepared by a restaurant or food service outlet than ever before.
The average number of food items used per meal decreased from 4.44 in the 1980s to 3.5 in 2010. Year-round grilling, microwave ovens and slow cookers are among the appliances that helped make meal preparation easier and more convenient. The percent of meals cooked by a microwave has doubled since the 1980s. Households using a slow cooker at least once in a two-week period jumped 67 percent from the 1980s to 2010. Over one-third of American households use the grill to make a meal at least once in a two-week period. For more information visit www.npd.com.
User-generated video rivals TV ads for persuasion and memorability
Ostensibly, the purpose of user-generated product reviews is for consumers to help each other become better-informed shoppers. But these videos may end up helping marketers even more. According to an analysis of 25 selected product reviews conducted by Reston, Va., research company comScore and EXPO Communications Inc., New York, there is potentially much marketing value to be mined from user-generated video content, as the most memorable and persuasive user-generated product reviews contained many of the sales effective elements seen in professionally-produced television commercials, and the rates of presence of many of these elements were greater than those typically seen in the rival digital format of banner and rectangle display ads.
Videos were scored on a scale of 1-100 using comScore ARS Zipline, the company’s content assessment methodology, to quantify the potential of advertising creative to be recalled and to persuade consumers. A sample of 25 video product reviews across various categories (including electronics and consumer packaged goods) was selected and evaluated according to their inclusion of content known to be key drivers of persuasiveness and memorability, such as the presence of rational, emotional and structural attributes. The product reviews were drawn from the EXPO online product review database, and the TV and digital ads were selected from comScore’s ARS database. Among the highest-performing videos were reviews for Clairol, Gain, Mr. Clean Magic Eraser, LG Electronics and Apple.
The study also revealed that the user-generated videos displayed their greatest strengths in areas different from other forms of media. When conveying their experiences, the product reviewers were naturally more apt to focus on the product and its attributes. This resulted in a strong branding presence and communication of such elements as product convenience and quality, which are key rational elements in increasing an ad’s persuasiveness to a prospective buyer. For more information visit www.comscore.com.
Caucasians lag in recreational Internet activities
More than eight in 10 Americans say they regularly surf the Internet in a given week, but Americans’ digital activities differ greatly among ethnic segments, according to data from BIGresearch, Columbus, Ohio. Compared to Caucasians, minority groups are more likely to surf the Internet and visit social networking sites in their leisure time; read, post to and maintain blogs; view news, videos and TV shows online; and send text messages.
When it comes to social media, Facebook ranks among the top sites regularly visited by Asians (55.7 percent), Hispanics (54.2 percent), African-Americans (47.7 percent) and Caucasians (43 percent). Regular Facebook usage has doubled since December 2008 for all ethnic segments except Asians, who were early adopters. YouTube places second for Hispanics, African-Americans and Caucasians but is No. 1 for Asians (56 percent). Hulu is also popular among Asians (17.5 percent), followed by Hispanics (15.1 percent), African-Americans (11.3 percent) and Caucasians (8 percent). In addition, minority groups are more likely than Caucasians to regularly use Twitter.
When they aren’t tweeting or sharing videos, what are minority groups doing online? In a word: shopping. For minority consumers, shopping is the No. 1 online recreational activity. They are more likely than Caucasians to regularly purchase products online and research products online before buying them in person. Asians (34.5 percent) are most likely to regularly purchase products online, followed by African-Americans (34.1 percent) and Hispanics (32.2 percent), compared to 29.5 percent of Caucasians. Hispanics (51.2 percent) are most likely to conduct preliminary product research online, followed by Asians (49.7 percent) and African-Americans (46.6 percent), compared to 40.2 percent of Caucasians.
For online entertainment beyond shopping, African-Americans and Hispanics are downloading music or checking movie schedules while Asians are instant-messaging and playing video games. Caucasians are more likely to be found checking the weather or the score of the most recent football game.
Downloading music and videos is a top priority for minorities online, but differences exist when it comes to top downloading sites. Although iTunes.com is the most popular site, more Asians are using YouTube than the other ethnic groups, and Asians also choose Google over LimeWire.
With so many activities to engage in online, Internet users have found ways to stay connected anywhere, and minority groups are on the leading edge in new mobile technology. The African-American segment has the highest percentage of regular BlackBerry users, but Asians are most likely to search the Internet on a BlackBerry (15.3 percent). Asians are also most likely to search the Internet on Droids (9.7 percent), iPads (11.2 percent) and iPhones (20 percent), while Hispanics have the highest percentage regularly using cell phones to go online (23.6 percent). For more information visit www.bigresearch.com.
Online media consumption showing no signs of slowing
Average consumers spend more than one-half of their waking day with media, and media consumption has increased by an hour per day over the last two years, largely resulting from an additional 40 minutes of time spent online since 2009, according to the Longitudinal Media Experience (LMX) study from Ipsos OTX MediaCT, a Los Angeles research company.
This significant rise in media consumption is being driven by the adoption of next-generation media devices and distribution services that enable mobility, multitasking, consumer-control and improved experiences.
Over the past two years, ownership of laptop computers has grown, while ownership of desktop computers has decreased. Moreover, content-hungry consumers are trading in their single-utility mobile phones for Web-enabled smartphones, now owned by 24 percent of consumers. Cell phone ownership has fallen from 81 percent to 65 percent since 2009. In fact, smartphone owners spend 30 minutes more per day multitasking with media compared to non-smartphone owners. Top smartphone activities include social network interaction and gaming.
As these devices become more ubiquitous, consumers are finding additional means of accessing TV content. Live television still represents the lion’s share of hours viewed (78 percent), but non-traditional (DVR, VOD and online video) methods of accessing TV content are ramping up, accounting for almost one-quarter of TV viewing.
The LMX study also indicates a shift in the media mix during prime time (8-11 p.m.). TV and online are still the primary activities during prime time, but online has grown to nearly one-third of the TV/online activity mix.
The data also shows huge impact of social networks in today’s media ecosystem. Over half of the population visits Facebook or MySpace every day, and visitors are spending almost a half-hour on the social network sites. For more information visit www.ipsos-na.com.
Is the American Dream nothing more than a pipe dream?
As the nation struggles to recover from the worst recession in recent history, consumers are sharply divided regarding what it means to succeed in the U.S. Despite a strong undercurrent of hope that success is still possible for hard-working Americans, half say they are not living the American Dream, and of the 48 percent of the country who say they aren’t living the American Dream, 56 percent don’t think they ever will, according to data from StrategyOne, a New York research company.
Just over half of Americans (52 percent) believe they are living the American Dream. But among those in households earning $40,000-$50,000 - generally considered to be a typical middle income - that belief drops to 41 percent. Even among the best-educated (college graduates), 42 percent don’t feel they are living the Dream. About one in three of those in households earning $75,000 or more a year - the highest income category in the survey - report they are not living the American Dream.
In spite of widespread doubts about whether individuals have achieved or will achieve the American Dream, 74 percent believe that the ideal of reaching the American Dream and being able to “make it” in America is largely true and possible, as opposed to being just a myth. Sixty-eight percent of those in households earning less than $25,000 a year also share this belief. There is amazing consistency across racial groups on this point. Seventy-eight percent of blacks believe the possibility of reaching the American Dream is achievable, as do 76 percent of Hispanics/Latinos and 73 percent of whites.
That optimistic outlook was also shared by 81 percent of consumers who believe that if you work hard and play by the rules, you can achieve a middle-class life in America. Seventy-four percent agreed that achieving success in America was more about working hard and less about good luck. This belief was held across the economic divide: 71 percent of those earning under $25,000 a year agreed, as did 69 percent of those earning $25,000-$40,000. This feeling was most pronounced among the highest earners: 78 percent of those who made over $75,000 a year felt hard work was the key to success. For more information visit www.strategyone.com.
When choosing perfume, it’s all about the feeling
While factors influencing fragrance purchase for women such as price, celebrity endorsement or season may be well known, the biggest influence may not be a fixed factor. It seems mood is the most popular motivator of fragrance choice for women, as 54 percent of female fragrance users decide what fragrance to use based on how they’re feeling, according to Chicago research company Mintel.
Coming in at second place, 31 percent of fragrance users say they decide which fragrance to apply based on their activity (work function vs. a personal outing). Meanwhile, 26 percent of users decide based on the time of day and another one-quarter decide based on what they’re wearing. Those who are 45+ are more likely to wear one fragrance - a signature scent - so they’re less likely to base their choice on their clothing or mood.
“Women in the 18-44 age range are more prone to change their fragrance based on a number of different factors, while over-45s are more brand-loyal,” says Kat Fay, senior beauty analyst at Mintel.
Motivations for fragrance purchase differ just as much as fragrance choice, but the clear favorite is in-store samples. Sixty-nine percent of fragrance owners say they’re motivated to purchase a new fragrance based on samples they’ve tried in a store, while 26 percent cite a recommendation from a family member or friend as the impetus behind a new purchase.
“Women have to experience a scent to make sure it’s appropriate, as there aren’t many objective criteria they can use to test smell,” says Fay. “Female consumers often say that a fragrance smells different on their skin than it does out of the bottle, so trying an in-store sample increases the likelihood that they’ll still be happy with their purchase once they get it home.”
For women who don’t wear a fragrance, 28 percent say they have no interest in using them, 20 percent say they’re allergic and 14 percent say they’ve yet to find a scent they like. For more information visit www.mintel.com.
Consumers’ bad online experiences a bane for cross-platform retailers
The majority of consumers (85 percent) expect seamless integration across all channels of a retail organization - delivering a one-brand experience, according to a study conducted by Sterling Commerce, Dublin, Ohio, and Demandware Inc., a Woburn, Mass., e-commerce firm. Compared to results from the 2007 edition of the study, consumers’ expectations increased in all areas of the order lifecycle: 87 percent expect to track an order from any channel (up from 56 percent in 2007); 74 percent expect to modify an order from any channel (up from 65 percent); and 61 percent expect to complete an order from any channel (up from 55 percent).
Survey results also support the overarching trend around the growth of the Web as a primary shopping channel. Sixty-two percent of consumers say they start their shopping experience online at least 50 percent of the time before venturing in-store, and 49 percent of respondents feel that their online shopping experience has a strong impact on their overall perception of a retailer’s brand.
More than 60 percent believe that being able to use their mobile phone while shopping to verify product availability at a particular store location is important or very important. Fifty-three percent of respondents consider it important or very important for a retailer to be able to maintain a cross-channel order history of a customer’s purchases and 91 percent of consumers would use an “order online, pick up in store” option if it were available. Despite this preference, 30 percent of consumers said they have never used this option previously. Eighty-three percent of consumers believe in-store return of an online purchase is important or very important.
Almost a third of respondents said that a negative experience online leaves them with a negative impression of the retailer overall and half of consumers will avoid the retailer for one or more visits after attempting to purchase something that was out of stock. These two factors appear to have a significant effect on consumer loyalty. Nearly half will make fewer trips to the retailer and 31 percent will start shopping online for those items they find are often out of stock at the retailer’s location. When asked which fulfillment method they would most prefer when faced with a stock-out, respondents ranked them as follows: ship the out-of-stock item to the consumer (66 percent); transfer the item to the out-of-stock location (47 percent); and hold the item for pickup at another retail location that does have the item in stock (46 percent). For more information visit www.sterlingcommerce.com.