Watch out for fallout from the online and PC explosions
Based on its discovery that four of 10 Americans are aware of at least one online service, New York-based CDB Research & Consulting Inc. is forecasting a surge of new subscribers in 1995. Though 11 percent of the 356 individuals surveyed indicated that they had used Prodigy and 8 percent had tried CompuServe at home, work or school, only 3 percent of the group is currently connected into the Internet. No more than 2 percent uses anyone of the commercial online services - Prodigy, CompuServe and America Online are the best known; Delphi/BIX and GEnie less so. Still, 58 percent had either heard of or been on the Internet, and 73 percent had hooked into or heard tell of Prodigy. CDB Research & Consulting, the research arm of public relations firm Creamer Dickson Basford, translates the low current subscription rates and relatively high awareness into perhaps a doubling in the former this year. Curiously, the survey did not measure respondents' interest in or plan for getting hooked into an online service.
Cambridge, Mass.-based Forrester Research Inc. has more good news for the computer industry. According to the company, only 20 percent of American families now have a PC. Forrester analysts believe this means that growth in the PC market will skyrocket in coming years; by 1997, there will be 42 million PCs in U.S. homes. (There are 23 million PCs out there today.) Lower prices, easier-to-use software and the introduction of new interactive services will make PCs more desirable than ever, according to the company. Still, Forrester's report predicts that in 1997, PC makers will encounter problems extending their market into low-income homes, and that a revolution in PC compatibility and affordability will be driven by marketplace needs.
The limited lure of frequent flying
In the go-go '80s, frequent flyer miles could be worn as some kind of badge of honor in business circles. And while massive amounts of travel still qualifies people as hard-core worker bees, the mile meter has lost its appeal as a travel incentive. In a recent Chilton poll in which the Radnor, Penn.-based research organization interviewed 1,000 people nationwide, 56 percent of travelers deemed frequent flyer miles least important among five factors to be considered when choosing a flight. First and foremost, folks who will fly in the next 12 months (463 of those surveyed) are looking for the cheapest flight - 46 percent said the deal was their primary criterion. American Eagle may be dismayed to learn that 32 percent of the travelers' most critical determinant was an airline's safety record. On-time arrivals and departures were most important to 14 percent, and only 4 percent labeled frequent flyer miles of primary concern. Three percent ranked the size and type of the aircraft used for the flight most important.
Falling off the child safety mark
Americans like to think of themselves as paragons of safety, and we believe we're especially zealous when it comes to the well-being of our kids. But a survey of 424 adults with children, completed by Princeton Survey Research Associates for a study sponsored by Prevention magazine. Emmaus, Penn., indicates that not only are our children not as healthy and safe as we'd like them to be, but in general, our efforts in this regard are falling off. The study helped the magazine compile its latest "Children's Health Index," a measure of American kids' status based on survey findings in 14 health and safety categories, such as exercise, diet, home safety, gun safety, weight control and medical care. The magazine concluded that only 35 percent of American children fall into the "good" health and safety range on the index (above 60 percent on the composite index): a mere 5 percent were deemed to be excellent health and safety shape (scoring above 75 percent on the index). Some 38 percent of survey respondents' kids scored between 50 percent and 59 percent on the index. and 27 percent fell below 50 percent. The numbers translate into a tendency on parents' part to put forth a less than ideal effort to keep their kids safe and healthy.
Lack of dietary diligence was deemed to be the primary culprit for the overall poor performance. Parents are diligent about making sure kids 6 to 12 to have a well-balanced, healthy diet. But folks tend to slack off on kids 13 to 17. What's more telling, only 50 percent of parents are trying "a lot" to help their children avoid eating too much fat. In the 1992 Children's Health Index, 64 percent of those surveyed said fat was a primary concern. Likewise, in this survey. 63 percent reported concerted efforts to make sure their kids ingested an appropriate quantity of vitamins and minerals. Last time out, 83 percent said as much. Furthermore, efforts to limit sugar in children's diets dropped from 72 percent in 1991 to 49 percent in the next index. Folks weren't watching the salt or cholesterol as closely either: 60 percent in 1992 to 51 percent this time on the sodium scale: from 60 percent down to 46 percent when it came to cholesterol. The survey also discovered a jump from 1984 to 1993 in the number of children who are overweight: from 24 percent to 31 percent. In '84, 67 percent of kids were of normal weight: nine years later, 58 percent are. Eight percent were underweight in '84, 11 percent in '91.
The study revealed another disturbing fact: Households with an annual income of $25,000 or less were much more likely to score poorly on the Children's Health Index. Not surprisingly, kids from poorer homes visit the doctor more often, too. One particularly sore spot surrounded guns. In the survey, 47 percent of households had both a gun and a child, and in 41 percent of those, the weapon is hidden but not locked. There were up notes to be heard. The survey found that 96 percent of survey respondents' kids had received all of the proper immunizations, 89 percent of kids 4 to 17 see a dentist once a year, and 91 percent of kids know how to make an emergency call. Still, despite the findings, half of the parents surveyed said their kids are in excellent health, and 32 percent said their kids are in very good health. Either the crusty old sayings about kids' resilience are more true than most ancient adages, or parents are frighteningly deluded.
Faxed ads deemed nuisances
Technology brings many wonderful things into our world, but faxed advertisements are not one of them. In a Penton Research Services survey, purchase-decision makers in business and government cited faxed ads as both most annoying and least informative - a devastating duo of downers for fax advertisers. Cleveland-based Penton says TV ads pulled up a close second on the annoying scale, and while direct mail wasn't far behind on the nuisance meter, it ranked higher than either for informativeness. Interestingly, radio ads are considered more useful and less irritating than TV ads. When buying the goods and services they need to get their jobs done, purchase-decision makers find ads in specialized business publications both most helpful and least bothersome.
Almost half of the survey respondents (47.1 percent) said specialized business publications were their first choice when seeking information on suppliers. (Sure it's good news for QMRR, but check with Penton, we're not making this one up.) Next most helpful are ads in business directories, followed by those in general business magazines. Penton's research also showed that in general, people do respond to advertising. A remarkable 97 percent of those surveyed said an advertisement had provoked some kind of action. The most frequent response was to contact the advertiser for more information, which 85 percent of respondents reported. The least common response was to call for a visit from a salesperson; still, though, 48 percent of respondents did exactly that. The bottom line is that 56 percent of the purchasers surveyed had specified, recommended or outright bought something because of an ad.
Lifestyles of the rich and richer
Town & Country magazine recently sponsored a study, conducted by Roper Starch Worldwide, New York, of the wealthiest Americans, and while the results confirm that these folks have a lot of money, that's about the only thing the richest 5 percent of Americans have in common. Roper Starch interviewed, by telephone, 1,003 adults in households with an income of $100,000 or more per year and 100 people with household incomes of $250,000 or more. Based on what the survey discovered, Roper Starch divides wealthy consumers into four profile groups: "stylish," who love luxury and are brand loyal (27 percent); "adventurous," who love luxury and aren't brand loyal (another 27 percent); "conservative," who care most about quality and are brand loyal (29 percent); and "utilitarian," who are least interested in luxury and are also brand loyal (16 percent). The demographic differences between these groups are not striking - median incomes range from $139,000 a year for utilitarians to $157,000 for the stylish. Rather, the groups attitudes define them.
Stylish consumers value luxury and prestige and are ready to pay for it. They're not particularly interested in experimenting, and they put a great deal of faith in brand names. The adventurous are a bit younger and more interested in flash. Conservatives don't much care about looking hip - they want stuff that works, which is also true of utilitarians, who have the least interest in having the best or most stuff; they want value above all else. The Town & Country survey also discovered that most wealthy Americans (86 percent) didn't inherit their riches, they earned them. The average moneyed individual earned 83 percent of his or her net worth. The richest of the rich - those with household incomes of $400,000 a year or more - are even more likely to have earned the bulk of their dough (95 percent). The survey didn't get personal with respondents - Roper Starch didn't ask them how they did all that earning.
When it comes to expressions of wealth, Richie Riches don't point to fabulous cars, furs or diamonds. Among the 20 signs of wealth survey respondents had to choose from, the largest percentage (62 percent) thought being a trustee of a cultural or educational institution was an exhibition of true affluence. The next three choices were similar: serving as a top executive of a large corporation (61 percent), owning a business (61 percent), and sitting on a corporate board of directors (57 percent). More ostentatious displays - owning a boat (17 percent), frequently hosting schmancy parties (22 percent), shopping at prestigious shops (24 percent), and owning a luxury car (28 percent) - seemed to be dismissed by the affluent as status symbols. It's easy for them to say, but the wealthy do say that having a good sense of self-esteem (94 percent), being a good parent(93 percent) and having a happy marriage (92 percent) are the most important aspects of a successful life. Apparently the Beatles were right about that "can't buy me love" thing.
Hot and cold in Cali
The Sacramento-based California Retail Survey recently published the 1995 edition of its publication of the same name and while some markets show growth, others seem to have sunk into a malaise. The publication reveals the markets that generated the highest increases in retail sales from 1988 to 1993 are those that swerved farthest from fast lane. According to the survey, 28 markets expanded at annual rates of greater than 10 percent, and all of the markets in the survey's top 50 had growth rates of above 7.6 percent. The rates are especially impressive in light of the relatively flat inflation rates of the period. Only three of the 88 communities in Los Angeles Country made the top 50, while nine from the San Francisco Bay area made it. The largest portion number of the big growers (11) came from the central part of the state. In further bad news for L.A., 21 of the bottom 50 markets are in L.A. County, and 38 of the bottom 50 are in Southern California. Ripon, near Modesto, clocked in with the highest growth rate (23.1 percent), while the market in El Segundo, immediately south of LAX, shrunk most, by 6.6 percent.
Time off
If you're not getting at least two weeks of vacation a year from your job, it's time to start bellyaching. If feeling particularly petulant, you may want to resort to such a childish comments as, "But everybody else does!" St. Louis-based Maritz Marketing Research's AmeriPoll service queried 401 U.S. workers and discovered that 86 percent received two weeks' paid vacation per year minimum; almost 53 percent took off three or more weeks without denting their incomes. Some 15 percent get four big weeks off, but the number drops to 4.4 percent when it comes to five weeks off. Not too telTibly surprisingly, those making the most money (more than $55,000 a year) and folks in their kid-rearing years (35 to 44) were most likely to get more than two weeks off. Also as expected, tasks that the vacationing worker would normally do are handled by co-workers (63 percent). The second choice is, of course, no one (25 percent), a strategy that always makes returning from vacation a real treat
Violence - it's everywhere
Traditional stigmas and media depictions tend to make people think violence among teens is most common in urban areas, but a new report from Roper Starch Worldwide. New York, indicates that kids violence is prevalent in towns of all sizes and locations. The telephone survey of 502 kids between 12 and 17, conducted in consultation with the Harvard School of Public Health for the syndicated talk show Rolonda. discovered that 31 percent of high school and junior high students think violence is a serious problem in their own schools, and 45 percent believe violence has made their schools more dangerous in the last five years. At the same time, almost 75 percent of the kids in schools that have made efforts to reduce violence believe that those efforts have been effective to some degree. Not surprisingly female students are less violent than males: 11 percent of the girls who responded and 34 percent of the boys said they had been in a fight in the previous year.
On the other hand, the survey did find a surprising regional discrepancy: Violence is typically most prevalent in the West and least prevalent in the Northeast, regardless of population and demographics. Some 30 percent of students in the West had been in a fight; the number was 23 percent in the South; 18percent in the Northeast; and 17 percent in Midwest. Violence is often most problematic in small cities. Seventeen percent of students in small cities carry a weapon, compared to 12 percent in suburbs and rural areas and just 9 percent in large cities.
What, businesspeople worry?
Folks in business tend to worry - it seems to come with the territory. Given that, New York-based FIND/SVP reviewed its records from the past year in an attempt to come up with a list of its clients' most frequently asked-about topics. It may not be terribly exciting, but flexible packaging was of interest to the largest group of business folks. They also were especially curious about who exactly can be described as a Generation Xer and the content of employee handbooks - another one for the not exactly-scintillating pile. In a bit of a slap in the face for technology junkies, innovations in the greeting card field attracted more queries than the Internet. Rounding out the top 10 list of frequently asked-about topics are electronic media and publishing, doing business with China, vitamins and supplements, homeopathic medicine and home construction.
FIND/SVP has also completed a study designed to determine what the job market will be like for those entering the workforce in the year 2000. The company queried, by mail, human resources executives at both Fortune 1000 companies and smaller growth firms represented by the Inc. 500, along with some executive recruiting firms. FIND/SVP found that information skills are of primary importance. Basic literacy and the ability to obtain and use information ranked highest, while among general attributes, flexibility (41 percent) and an aptitude for teamwork (24 percent) were seen as key. In terms of experience, employers are most looking for a general understanding of how business works when hiring a salaried employee. When searching for an hourly worker, employers are looking for task-specific knowledge and experience in a similar position. Employers feel that qualified employees are harder to find these days. Over half (56 percent) of companies find it harder to recruit qualified salaried entry-level employees, 72 percent are having a tough time locating folks with position-specific skills and experience.
Education continues to grow in importance: Five years ago, 67 percent of the jobs out there required a high school diploma; now 75 percent do. Five years ago, 43 percent of all jobs required college degrees; now 53 percent do. Employers expect both percentages to continue to rise. Foreign language skills are not as important now as they may be in the near future. A working knowledge of Spanish is most helpful, followed by German and Japanese. As if incoming workers need more to worry about, FIND/SVP also reports that its survey indicates downsizing will continue. Almost all of the survey respondents (98 percent) believe that workforce reductions will continue in corporate America.
Too bright in here for you?
Sensible types who've always thought most sunglasses wearers were more concerned about their looks than their retinae now have some ammunition to back up their supposition. Based on its telephone poll of 897 people over 18, Maritz Marketing Research, St. Louis, reports that 92 percent of Americans have at least one pair of shades, and half have two or more. More often than any other single consideration, respondents said style (32.7 percent) guided their choices of spectacles with dark lenses. Protection from UV rays was next most important (14 percent), followed by price (9.9 percent) and "other" (8.9 percent)- an unusually large showing for "other," with implications that are not altogether clear. Only 1.4 percent bought primarily on brand. which falls well short of even "don't know" as a purchase motivation.