Sports brands battle for national recognition

The top sports brands generate powerful images in the national consciousness, with Fruit-of-the-Loom, Nike, Reebok and Hanes enjoying nearly unanimous recognition in the public mind. These were among the findings of a recently completed study of 186 sports brands conducted by American Sports Data, Inc., Hartsdale, N.Y. Of the top 20 brands registering the highest gains in national awareness from 1993 to 1996, seven were vendors of outdoors products and apparel. Teva, the leading sports sandal manufacturer, more than doubled its awareness during the three-year period with a gain of 119 percent. Other outdoors brands sporting sizable increases in national recognition were Eastpak (+48 percent), Jansport (+46 percent), Timberland (+43 percent), Eddie Bauer (+38 percent), Kelty (+37 percent), Patagonia (+30 percent) and R.E.I. (29 percent).

At the other end of the spectrum, emblematic of changing values which have influenced sports preferences, are the declines in the so-called blood sports of hunting and fishing. Three-year erosion in brand awareness was evident for Colt (-12 percent), Browning (-12 percent), Ruger (-16 percent), Abu-Garcia (-21 percent), Berkley (-18 percent) and Zebco (-16 percent).

Fitness equipment companies, with only a few exceptions, capture a very small share-of-mind. "In general, brand awareness is related to how long a brand has been around, and to how many people have ever purchased it," says Harvey Lauer, American Sports Data president. "So in the case of big-ticket items like exercise machines, where unit sales by individual brands will number ’only’ in the thousands, awareness will be a lot lower than for smaller items like athletic shoes, which can permeate the entire population.

"The exceptions here are brands with a strong TV or direct marketing presence. NordicTrack ranks seventh out of 186 brands with a national recognition of 87 percent. Soloflex, a much smaller brand but a long-time fixture of cable television, enjoys a brand awareness rating of 54 percent. By contrast, Life Fitness - a $200 million brand - is known to only 8 percent of the American public?’

Four out of the 10 most widely recognized sports brands come from the athletic footwear market - Nike (92 percent), Reebok (92 percent), L.A. Gear (89 percent) and Keds (81 percent). However, between 1993 and 1996 the Fila brand has skyrocketedin awareness from 34 percent to 50 percent, and is currently owned by 10 percent of the U.S. population over the age of 13.

While Fila now ranks third in market share, its 50 percent awareness rating is good enough for only eighth place, falling behind Nike, Reebok, LA. Gear, Keds, adidas, Converse and Puma in national recognition. According to ASD, brand awareness is clearly a cumulative phenomenon, with older names lingering in the public mind long after the brand’s peak market performances.

The Sports Brand Intelligence Report is based on a national survey of 3,895 people aged 13 and over conducted in December 1996.

Shop ‘til you drop?

Thirty-four percent of Americans say they are shopping at malls less frequently than one year ago, according to a recent Maritz AmefiPoll. The new study confirms a trend uncovered by an identical AmeriPoll study in 1994.

Also in tandem with the 1994 poll, women today are mining away from malls at a higher rate than men. Thirty-nine percent of women are shopping at malls less frequently compared to 27 percent of men.

The top three reasons people are shopping less frequently at malls are: it’s too expensive (18 percent), they don’t need to buy/shop as much as they used to (9 percent), and they don’t have enough time to shop at malls (8 percent).

However, when they do shop at malls, Americans say crowding is the number one drawback (31 percent). More men find the crowds displeasing than women. Thirty-six percent of men cited this as the biggest drawback to shopping at malls compared to 26 percent of women. Surprisingly, 42 percent of 18-24-year-olds said crowds are the biggest drawback to Shopping at malls compared to 29 percent of those 25 and up.

While many people are using malls less, 11 percent say they are going more frequently, and over half (55 percent) are using them about the same. Among those who are shopping more frequently, better selections/more variety is the most common reason (15 percent). Convenience and increased income were both cited by 12 percent as the next most common reasons for shopping more frequently at malls.

However, the average number of trips people make to the mall each month has dropped from 2.6 in 1994 to 1.97 today. Moreover, 22 percent of Americans spend less than one hour at the mall per visit. Men are nearly twice as likely to get in and out of the mall at lightning speed, as 29 percent claim their average trip lasts less than one hour. Fifteen percent of women make the same claim. Overall, 76 percent of Americans spend less than two hours per trip, 19 percent spend three to four hours, and only 5 percent spend five or more hours per trip when shopping at malls.

Maritz AmeriPoll is a national consumer opinion poll conducted regularly by Maritz Marketing Research Inc., St. Louis. Results are based on telephone interviews with American adults. Accuracy of the results is +/-3.09 percent.

Top 10 tips for selling to the mature market

Why would any company care about the mature market? Maybe it’s because mature Americans hold 50 percent of all discretionary income and 77 percent of total financial assets in the United States. The mature spend more than $1 trillion on products and services every year and that number will continue to grow as one baby boomer turns 50 every 7.5 seconds for the next 18 years. According to Frank Conaway, president/CEO Primelife, a mature market communications consulting firm based in Orange, Calif., the top 10 considerations (in no particular order) for marketing to the mature are:

10. Avoid stereotyping. The mature market is extremely diverse. Just because they’ve passed their 50th birthday doesn’t mean they’ve tripped into senility, are hard of hearing or forgot how to color-coordinate their clothing. Conservatives, for the most part, they can still be influenced by effective advertising and public relations. Collectively, they’re far from being poor. As the last generation to enjoy personalized relationships with people who sold them goods and services, they buy on an emotional level and they still hold traditional values.

9. Get to the point. This generation survived the Great Depression and fought the big fight so they’re not afraid of confrontation. Don’t beat around the bush and don’t lie. They’ll never forget it if you do. They still remember what the word "ethics" means and recognize a lack of it. This is the first generation that really grew up with the media. They heard the sales pitches on radio and graduated to black and white televisions without a look back. There’s nothing they haven’t heard of or been promised, so it’s hard to fool them. And, despite what some marketers think, many of the mature have embraced the computer from the beginning as they now eagerly surf the Web in search of the new and interesting. So get to the point and don’t try to camouflage it in hyperbole.

8. Speak their language. The mature consumer’s values aren’t all that complicated. While they may have had their own jargon at work, at home they like to hear their own language, namely nontech talk. Whether you’re selling a computer system or a car, don’t talk down and don’t talk up, just talk straight at them. They’re not stupid, so you don’t have to use monosyllabic words; but try to tone down the advertisingese.

7. Don’t patronize. It’s been a long time since they were children, so don’t treat them like youngsters. And just because some of them are beginning to sport white hair and wrinkles doesn’t necessarily mean their brains have slipped into neutral. If they happen to be with their grown children, don’t assume the child speaks for the parent. The mature have worked all their lives, they’re still proud of what they’ve contributed to country and home, so they consider themselves equals. Being talked to in a condescending manner will turn them off and you may never regain their respect or their business.

6. Educate as you explain. The mature have always been a part of the information age. Unlike many members of succeeding generations, they know what the printed word looks like between the covers of a book. They are truly the first multi-taskers, having struggled to raise families, hold down jobs and get their college degrees. Now, just because they’ve crossed the threshold of 50, they haven’t stopped seeking out information. They’re still ravenous readers, moviegoers and television watchers. All this means they are more than receptive to your messages. Don’t be afraid to explain your product or service. The mature know from experience that the better informed they are the better choices they’ll make.

5. Provide simple-to-read literature. Simple doesn’t mean simple. Simple means easy to read. While the mature may cling to their youthful ways as long as they can, the fact is, the eyes need a bit more help the older they get. So responding to natural physical changes is just smart business. Increase the type size on labels, use contrasting colors, stay away from fancy fonts and clutter.

4. Be positive but not pushy. One thing the mature have is experience. And lots of it. All those years of living have taught them a thing or two about rushing into a decision without mulling it over. So, they’re in no hurry to make a decision that’s going to cost them money. And the more you push, the more they’re apt to take their business elsewhere. Give them the information they need to make a wise choice. Stress solutions, not problems, and give them time to make the choice that’s best for them. And what’s best for them could be good for you too.

3. Instill trust: Remember that word "ethics?" You better reek of ethics and integrity. This generation has literally put their lives on the line based on trust of their fellow man as well as their country. They’ve been disappointed many times and take it very personally. You lose their trust and you lose them forever- then they’ll tell all their friends you can’t be trusted! And they have a lot of friends.

2. Get personal. The mature are the pre-television generation. In other words, they’re the last of the personal communicators, those who talked over the backyard fence rather than the cell phone. They shopped at local markets, had milk delivered to their doorsteps and were on a first-name basis with the mechanic who worked on their cars. They know their neighbors and have a network of friendships going back 40 years or more. They’ve built their personal lives and businesses on relationships. The quicker you’re able to build a relationship on any level, the better you’ll be able to gain and keep their business. You may not wash their windshields as you pump their gas, but any modicum of full-service these days is still appreciated.

1. Segment and subsegment. Not everyone over the age of 50 belongs to the same generation, so you can’t lump them all together in one simple marketing plan. Some of these people voted for Roosevelt - all four times. Others took their 2.5 kids to Disneyland when it opened in 1952. This is a very diversified group and each segment has different wants and needs. And each age segrnent can be further subdivided by income, ethnicity, health, discretionary time and hundreds of other ways. In this case smaller (segments) is bigger (opportunities) when targeting the mature market.

No list about people can ever be complete. You can never know everything there is to know about a person or group of people. No matter the age, people continue to grow, to change and to head off into uncharted territories. That’s why this top 10 list, or any other list, has a limited life span.

Why not put it off?

When it comes to doing their taxes, a sizable number of taxpayers feel like Scarlett O’Hara - tomorrow is another day. A nationwide survey, conducted for Research Corporation during March 27-29, reveals that one-fifth of taxpayers (20 percent) admitted to putting off doing their taxes this year.

Why do taxpayers wait until the last minute? According to those questioned from a list of possible reasons, the most frequently cited reason was that they were simply too busy with work and family life to make time for doing their taxes. Among those who put off doing their taxes, 51 percent say that their busy family and work life was the primary reason for their procrastination.

Among other reasons cited for putting off doing taxes were not having information organized properly (28 percent); fear of how much they might owe the IRS (21 percent); and not being able to find the time to sit down with their spouse and review yearly costs (18 percent).

Interestingly, only 8 percent of those who put off doing their taxes state that the reason was difficulty understanding the IRS forms.

The survey finds that Americans aged 35-44, a large segment of the baby boom generation, are among the biggest numbers of individuals to put off doing their taxes. In fact, 29 percent of this group say they procrastinate when it comes to doing their taxes. Conversely, those Americans at the top and bottom of the age scale, (18-24 and, 65 and older) are much more likely to get their taxes done, with only 12 percent of these groups admitting to putting off their tax work.

Not surprising, those individuals earning higher annual incomes ($35-$50K and $50K or more) were among the highest percentage of those who put off doing taxes, with 26 percent and 24 percent of these groups, respectively, admitting as such. Those on the lower end of the wage scale (earning under $15K per year) were among those least likely to put off tax preparation, with only 15 percent of this group stating as such.

Similarly, college graduates, who are more likely to be among the higher income groups, were more prone to put off doing their taxes than those individuals without a high school degree (27 percent vs. 12 percent). When given a list of possibilities, 47 percent of Americans say they put off doing household chores or yard work and, 43 percent say they put off shopping for holiday gifts until the last minute.

Among the other activities that Americans would rather not do until the last minute include scheduling doctor or dentist appointments (35 percent); calling relatives such as in-laws (31 percent); getting the oil changed in the car (29 percent); and buying anniversary gifts for their spouse or significant other (26 percent).

When it comes to being the bigger procrastinator, men are much more likely to admit to putting things off then women. According to the survey, 54 percent of men say they are more likely to put things off than their spouse or significant other, In comparison, only 27 percent of women admit as such. In fact, 47 percent agree that their husband is the bigger procrastinator in the family.

Among women, doing household chores or yard work was the most frequently cited activity they tend to put off with 50 percent stating as such. Among men, shopping for holiday gifts topped the list of activities they would rather put off, with 50 percent stating as such. This is also the case for younger individuals (18-24) with 53 percent of this group admitting to putting off holiday gift buying compared to only 26 percent of those aged 65 and older.

Men are also more likely than women (31 percent to 22 percent) to put off buying an anniversary gift for their spouse, and calling a relative such as an in-law (37 percent vs. 26 percent). Younger individuals, those aged 18-24, are among the biggest procrastinators in marriages, with 50 percent of this group saying they are more likely to put things off. In comparison, 34 percent of those aged 45-54 say they are more likely to put things off than their spouse.

Individuals from Western states admit they are more likely to put things off (45 percent) than their spouse compared to those in relationships in North-east, where 36 percent of individuals admitted as such.

The survey is based on a nationwide telephonesurvey of 1,006 randomly selected adults, aged 18 and older. The survey has a margin of error of +/-3 percent.

Brand loyalty assumes new forms

Marketers who wondered if recession-born price shopping would kill brands should rethink their pessimism, advised market researcher Judith Langer in a speech to the Advertising Research Foundation Annual Conference in April. While"100 percent brand loyalty is in the past;’ said Langer, president of Langer Associates, a New York firm specializing in qualitative research studies of consumer lifestyle issues, consumer attachment to brands remains potent. "A number of consumers like, even love, brands," she said, although their loyalty is assuming new forms.

Brands remain important to consumers because they satisfy practical, emotional and social needs, Langer said. Practical, because it’s reassuring to buy consistent, known quality which saves "time, money, disappointment and even self-blame," she noted. On the emotional leve;, brands evoke continuity, sometimes even across generations. They also serve a social role as a shorthand communication of self that "can win acceptance and approval or at the very least, avoid disapproval?"

Major elements in continuing and new brand loyalties uncovered by Langer and her associate Naomi Brody in focus groups and depth interviews include:

  • Consumers are not as cynical as they are sometimes portrayed. They remain loyal to brands that have lasted, and to companies which support their brands with service and respect for the consumer. One consumer said, Sony has "customer relations lines and they take your complaints and help you." A personal letter of apology and dollars-off coupons from Snapple turned around one disgruntled customer. "Unconcerned and unresponsive customer service, however, can lose customers forever," Langer warned.
  • In an era of increasing change and uncertainty, nostalgia plays a growing role in brand loyalty across age groups. Said one consumer, "I’ve used Tide forever- my mother used Tide and when I got married, it didn’t occur to me to use anything but Tide." Food, too, stirs memories. "Mother thought Hellman’s mayonnaise was the brand for us," said another consumer. "I have deviated and gotten other brands, but it doesn’t taste like Mom’s cooking?’
  • Brands are increasingly seen as a way of belonging to a "club," among purchasers of products as varied as New Balance athletic shoes, Gateway 2000 computers and regional beers. Swatch and Saturn offer formal clubs for product owners, but Langer found a growing number of informal connections among brand loyalists. A woman who bought a Gateway computer said, "The minute these cartons hit the lobby of my building, suddenly I had everyone in my building who had one telling me what to do. It became a definite community, a subgroup of people?’
  • Many consumers today practice home-base loyalty (leaving and returning to a favorite brand after experimenting with other products), and dual loyalty (rotating between two brands depending on price or benefits). In both styles, consumers have a strong relationship with brands, if not 100 percent loyalty.

Consumer behavior can be seen clustering into "loyalty segments," according to Langer, and marketers need to understand these segments so they’ll know how to talk to their customers.

The Steadfasts are people who "declare their loyalty to a particular brand as a sign of strength of character." They say, "Why change if there’s no reason to?" While some are middle-aged, others are younger and continuing relationships with brands from childhood or that they have established on their own. Typical comments: "I’m fairly brand loyal. I don’t like change. Once I’ve found something I like, I stick with it, if it’s been good to me." Or "I consider myself a thoroughly dependable person, that’s why I like a dependable product."

Loyalty Minimizers consider themselves smart shoppers and open to change. "It just happens that in a number of categories," Langer said, "they repeatedly buy their old favorites nine times out of 10." Their patterns include both home-base loyalty and dual loyalty: one man said he was loyal to both Kodak and Fuji and swung between the two depending on price.

Category Contingents reserve their loyalty for a particular category of products.If a product is important to them and they see a difference among brands, they’ll buy one brand consistently, but in other areas, they do not.

Image Rejectors "care only about product characteristics and price" and "refuse to pay more for a fancy brand name," said Langer. "Store brands are fine in many categories, they insist?’

Don’t take consumers’ loyalty for granted, not even that of 50-plussers, warned Langer. "Even the Steadfasts will walk away if the quality drops significantly or the new advertising alienates them. They’ll try new or different brands which offer better value, interesting benefits or image enhancement.

"Start with youth in building brands. The brands that make an impression on children, teenagers and young adults will often be selected by them as adults." Or reach them through their parents, suggested Langer: "Habits and loyalties are passed down."

The message to marketers from the consumer is very simple, said Langer: Make me feel good about myself smart, chic, sophisticated, tasteful, successful, mainstream, an individual, frugal, a good parent - or whatever that person is seeking. "Brands that do this will attract and keep a good deal of the business - if not the total loyalty - of their customers," she said.

The study reported above is based on a focus goup of men and women 35-65 years old held in New York City in January, followed by 20 in-depth telephone interviews conducted by Langer Associates Inc.

Asian-Indian consumers enjoy visiting family, friends

According to a new study, the favorite leisure time activity of Asian-indian consumers living in the U.S. is visiting family and friends. The study, by Para- digm Technologies International, Westwood, N.J., surveyed a random sample of Asian-Indian consumers, aged 18 and over, on their preferences in a variety of goods and services and also gathered demographic information.

Japanese vehicles are favored above all other car makes, for both purchase and lease. Toyota is the favorite manufacturer. Most respondents expect the sticker price of their next purchased or leased vehicle to be above $20,000. Most plan to purchase or lease a vehicle within the next two years.

Frequent travel to India is widespread. Three out of four expect to make the trip at least once every five years. Air-India and Lufthansa are the most favored airlines for traveling to India.

More than three of four Asian-Indians have a computer at home. Most have access to on-line services and the Interact. Life insurance, mutual funds and IRAs are the most common investments. The median savings rate - savings as a percentage of income - of Asian-Indians is 14.7 percent, well above the American average savings rate of 4.2 percent.

Three out of five Asian-Indians are not vegetarians. More than two-thirds of respondents dine out at least once every two weeks. Pizza Hut is their top choice among restaurants. Two-thirds eat breakfast cereals regularly, with Kellogg’s being the favorite cereal maker of most respondents.

Almost three out of five use AT&T as their primary carrier. Brand loyalty is strong; most will not change. The median monthly local/long distance phone bill is $54. The median monthly bill for international calls is $69. Most Asian-indians prefer hard news content for both reading and television viewing, hzdia Abroad is the most commonly read Indian-oriented publication.

About two out of five attend religious services at a place of worship one to three times per quarter. Children’s education and financial stability are the two most commonly cited socio-economic conceres. Three out of five respondents live in a single-family house. Almost all adult Asian-indians are bilingual, with Hindi the primary non-English language. The vast majority of American-based Indians were born in India. A third came originally from the states of Gujarat and Maharashtra. More than half have lived in the U.S. for over 10 years.

Almost three in four respondents earned a college degree or higher prior coming to the U.S. The most commonly cited occupation is engineer. One in five owns his or her own business. The median household size is three. Baby boomers comprise the largest age segment of Asian-Indians. Four out of five respondents are married. Median household income among Asian-Indians is almost twice the median for Americans as a whole: $64,000 compared to $34,000.

Patients: doctors put cost above efficacy

One our of four patients believes that doctors prescribe drugs based more on cost considerations than effectiveness, regardless of whether those patients are involved in managed care or fee-for-service health plans, according to a survey by CDB Research & Consulting Inc., New York.

When it comes to insurance, the dis- advantages of a managed care plan outweigh the inconvenience of paying for the medical service up front and subsequently filing a claim for reimbursement, the survey showed. In fact, the majority of those insured have fee-for-service insurance coverage as opposed to the copayment structure provided by managed care (53 percent fee-for-service vs. 43 percent managed care). This statistic holds true even among the older segment of the survey sample, an age group that on average has less disposable income. For instance, twice as many people over the age of 65 have fee-for-service plans than have managed care plans (26 percent fee-for-service vs. 12 percent managed care). Managed care plans, however, are more popular among the 35-44 age group (29 percent managed care vs. 18 fee-for-service).

Those insured under managed care are an average of nine percentage points less satisfied with their care than those insured under fee-for-service plans. For example, more people with fee-for-service insurance agee they have access to the best-qualified physicians (93 percent versus 81 percent), as well as the best-equipped hospitals and medical facitifies (94 percent vs. 87 percent). The fee-for-service group also reports a greater flexibility in changing doctors than those covered by managed care (94 percent vs. 81 percent). In addition, the fee-for-service group finds it easier to process claims (92 percent fee-for-service vs. 83 percent managed care) and to obtain physician referrals (85 percent fee-for-service vs. 79 percent managed care).

Despite these discrepancies in the quality of service, the two insurance groups do share some common opinions. One out of four respondents agree that doctors prescribe drags based more upon low cost than effectiveness (23 percent fee-for-service, 25 percent managed care). The majority of both groups also believe that the type of insurance plan does not prevent their doctors from offering the best care possible (84 percent fee-for-service, 83 percent managed care). Lastly, clients of both plans report that appointments may be scheduled easily without a lot of advance notice (85 percent fee-for-service, 83 percent managed care).