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Study Confirms Americans' Spending up 9 Percent Since 2009
U.S. consumers are spending again. After a prolonged lull following the 2008 recession's historic spending lows, consumers are now spending about nine percent more than they did just four years ago.
Gasoline, gift and healthcare spending have increased significantly, and the biggest spenders are men. ...
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Study: 76% of Women Prefer In-Store Shopping Over Smartphone
Research findings released recently by mobile-retail marketer Swirl found that a full 76% of women prefer shopping in stores over shopping via their smartphones.
"What Women Want When Apparel Shopping," which polled 1,000 women shoppers, also revealed that 53% of women have between one and five shopping apps on their smartphones. Yet, still, they opt for the store experience. ...
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Retail Therapy: Apparently, It Actually Works
Women Rank Clothes #1 Item to Buy for Retail Therapy vs. Men Who Rank Food #1
Ebates.com, a leader in online cash back shopping, last week announced results from its Retail Therapy survey that found more than half (51.8%) of Americans shop and spend money to improve their mood, including 63.9% of women and 39.8% of men. ...
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Auto Buyers Trading in Loyalty for Lure of New Models
Customers like Kelleigh Sheehy of Marietta, Ga., who recently traded the keys of her Volkswagen Jetta for a 2013 Buick Encore, are helping to boost the rate at which some automakers gain new customers.
It is known as conquesting -- when automakers steal buyers from other brands -- and it's rising for some brands, especially certain models. ...
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Americans Take Payroll Tax Increase in Stride
Consumers and businesses are treating higher payroll taxes and federal spending cuts as just a speed bump for a U.S. economy poised to accelerate later this year.
Americans are saving less and spending more for purchases such as new automobiles, as household net worth climbs with rising home values and stock indexes surging to record highs. Companies are ramping up hiring, adding 246,000 to private payrolls in February. They're also expanding investment and rebuilding inventories as they put profits accumulated during the recovery to work. ...
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Cocooning: It’s Back and Thanks to Tech, It’s Bigger
Cocooning is undergoing a metamorphosis: Call it super-cocooning.
Thanks to always-on wireless Internet connectivity and bigger, better TVs that reproduce pixel-perfect high-definition video, cocooning is entering a new evolutionary stage. Consumers are staying home more, watching movies delivered via cable, satellite, Internet or disc, eating in and transforming their apartments and houses into a shelter from the daily social storm. ...
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A Short Month That's Long on Deals
February may be short a few days compared with other months, but it surely doesn't fall short with the deals. Indeed, this may be one of the best shopping months of the year.
All thanks to a combination of Presidents Day, Valentine's Day, end of winter and the after effects of a January trade show. ...
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Marketers, Retailers to Feel Sting of Consumer Paycheck Pinch
As Payroll Taxes Rise, the Middle and Lower Classes Will Spend Less at Stores -- and the Corner Bar
Already moody from the uneven economic recovery, consumers are about to get a lot grumpier. The first pay period of the year ushered in higher Social Security taxes, which are expected to suck more than $1 billion from spending in 2013, presenting marketers with yet another challenge as they seek to pry precious dollars from shoppers. ...
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Consumer Review Said to be THE Most Powerful Purchase Influence
According to a just released study from Weber Shandwick with KRC Research, 65% of potential consumer electronics purchasers are inspired by a consumer review to select a brand that had not been part of their original consideration. And, the average buyer consults 11 consumer reviews on the path to purchase. ...
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Showrooming Practiced by 43 Percent of U.S. Adults
Forty-three percent of U.S. adults have participated in showrooming, according to a new survey of 2,249 consumers conducted by the Harris Poll from Nov. 27-29. Showrooming takes place when a shopper goes to a store to test out merchandise and then searches the web -- often from a mobile device while in the store -- for a better deal and ultimately buys the item online. ...
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Mid-Holiday Shopping Lull Pushing Retailers to Add Promotions
The shopping lull that typically sets in after Black Friday weekend and eases just before Christmas is becoming more pronounced this year as economic uncertainty -- including an impending fiscal cliff -- is keeping shoppers at bay.
Faced with still needing to make their holiday sales numbers, brick-and-mortar retailers are stepping up their promotions to deal with the lackluster customer demand and rising competition from their traditional rivals and heavy competition from online merchants. ...
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Consumers Defect in Growing Numbers, But Majority Say 'You Could Have Kept Me'
In 2012, one in five consumers switched companies they buy from, including wireless phone providers, Internet services, and retailers, according to new research from Accenture. This marks a five percent increase in switching over 2011 levels.
However, the eighth annual Accenture Global Consumer Survey also found that the majority (85 percent) of consumers say the companies could have done something differently to prevent them from switching. ...
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Shopping's Great Age Divide
Younger Generations Approach Holidays With Smartphone Tactics; Mom and Dad Clip Coupons
The Ultican family has always approached Christmas shopping on overdrive, piling dozens of presents under a small forest of decorated trees. But the Ulticans and their four children wrangle the annual extravaganza in different ways, underscoring the challenge facing retailers as technological changes transform Americans' buying rituals. ...
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Gap Between Luxury, Mainstream Cars Shrinks
The day could be fast-arriving when a new breed of car buyer considers a new generation of cars, and wrestles with a choice something like: "Hmmm, $30,000. Should I get that loaded Ford Focus, or this new mini-size entry BMW?"
Absurd? Not necessarily. ...
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Early Holiday Sales Pay Off, for Now
Retailers See Strong Weekend Traffic but Worry Spending Could Falter; Online Booms
Retailers reported a big jump in consumer spending over the Thanksgiving weekend as shoppers flocked to stores, snapped up online discounts and, according to some merchants, paid repeat visits to the mall.
But the overall increase wasn't as robust as last year's. And some indicators showed a decline in spending at stores on Black Friday itself, leading to questions about whether retailers' new tactics are simply shifting spending to different days and sales outlets. ...
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More Women Drivers Than Men on U.S. Roads Now
Women have passed men on the nation's roads.
More women than men now have driver's licenses, a reversal of a longtime gender gap behind the wheel that transportation researchers say is likely to have safety and economic implications. ...
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Eating Alone: A Growing Trend for Food Marketers
Heralding it as a "hidden opportunity," a new study from The Hartman Group reveals that eating alone is becoming one of those new normals.
The study found that 46 percent of adults report they typically eat meals alone, up from 44 percent in 2010. And over half of adult alone-eating occasions take place in the home. ...
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Supermarkets Facing Competition as Grocery Leader
Channel Switching Trend Means Retailers Must Know, Capitalize on Competitive Strengths
Supermarkets continue to be the primary channel where consumers purchase groceries, but they are continuing to face challenges from other retail formats, said Perception Research Services International (PRS), which this week unveiled results from its second annual shopper research survey focused on grocery sales and shopping trends. ...
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His and Hers Shopping Rules
Stores are finally recognizing what seems like a basic fact of retail: Men and women shop differently.
Faced with increasing competition from online retailers, some bricks-and-mortar retailers are embracing a practice known as gender-based selling, where stores aim to lure men and women to shop by focusing on their differences. ...
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Can Retailers Wean Shoppers Off Bargains?
Joelle Daddino is making it difficult for stores to make money.
Like many Americans who've grown accustomed to deep discounts, Daddino has become so obsessed with sales that she refuses to shop any place that isn't having one. ...
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Businesses That Cater to Doomsdayers
Between ongoing global economic uncertainty, terrorism threats, hurricanes, earthquakes, and so-called Mayan apocalypse on Dec. 21, the end of the world is on some people's minds.
That creates a business opportunity -- but the customers may not be quite who you'd imagine. ...
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Buyers Don't Owe You Their Loyalty
One of the most dangerous assumptions a salesperson can make is to act as if a customer owes you a measure of loyalty because of all you've done in the past.
True, many buyers do feel a sense of loyalty to their vendors. But it's loyalty that's freely given, not owed. And if circumstances change, it can vanish in an instant. ...
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Recession Has Many Looking Thrift Store Chic
For Patrice J. Williams, shopping at thrift stores started out as a way she could dress like other women in her office without breaking the bank.
Now, she thinks of thrift shopping as a "treasure hunt" -- one that benefits her closet and her wallet, says Williams, a 29-year-old freelance writer living in New York City. ...
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Consumers' Less Lavish Return to Luxury
Luxury is back, but with some caveats. For one thing, affluent consumers are less inclined to scarf up such big-ticket discretionary toys as sports cars and full-priced jewelry than they were before the recession.
Post-recession luxury consumers are, in fact, more pragmatic, per a new study by market research publisher IBISWorld, which finds that the wealthy are looking for practical luxury. ...
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Study Highlights the Effectiveness of Humor in Ads
JC Penney has had a hard time executing a new marketing strategy that plays up laughs with Ellen DeGeneres while trimming annual promotions to 12 from nearly 600. But maybe the retailer was on to something.
Humorous commercials consistently resonated best with viewers before, during and after the recent recession, a new study from Nielsen suggests. ...
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Fickle 'Digital Natives' Switch Platforms Every Other Minute
A new study from Time Inc., titled "A Biometric Day in the Life," shows how the proliferation of digital devices and platforms would affect the media consumption habits of consumers who grew up with mobile technology as part of their everyday lives ("Digital Natives"), versus those who first learned about mobile technology in their adult lives ("Digital Immigrants"). ...
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Most Consumers Say Price Needs to be Right Before They Shop
Price trumps sales and special deals, customer service and convenience as a factor in deciding where to shop for the majority of U.S. consumers.
That's according to The NPD Group, whose monthly Economy Tracker finds that 85 percent of U.S. consumers say price will be an "extremely important/important" factor in deciding where to shop in the near future, 10 percent more than those who feel sales and special deals are important. ...
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Memorial Day Becoming More of a Prime Shopping Occasion
According to findings in two America's Research Group surveys -- conducted in late March and in late April -- the number of Americans delaying their shopping to Memorial Day weekend is at an all-time high.
Based on the surveys, shoppers will approach Memorial Day in keeping with a growing trend towards holding off on shopping until "big" holiday weekends. ...
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Prom Spending Rises to Average of $1,078 This Spring, Survey Says
Prom is the new wedding, and spending on the springtime high school dance is climbing within reach of celebrations of holy matrimony.
Mary Stirsman says she couldn't imagine buying her 17-year-old daughter Madison the $500 dress she found at an Indianapolis boutique on one recent shopping trip, because Stirsman only spent $800 on her own wedding dress. ...
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Frugality Fatigue Spurs Americans to Trade Up
Americans are buying more expensive makeup and sandwiches again as Estee Lauder Cos. and Dunkin' Brands Group Inc. get a boost from mid- to high-income customers.
"Frugality fatigue" is driving a rise in retail sales among consumers who've "grown tired of putting off discretionary purchases," said Russell Price, a senior economist at Ameriprise Financial Inc. in Detroit. ...
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Loyalty to Hybrid Cars Elusive
Most Americans aren't sticking with hybrids.
A study released Monday by auto research firm R.L. Polk shows only 35 percent of hybrid vehicle owners chose to purchase a hybrid again when returning to the market in 2011. ...
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High Gas Prices? Some Consumers Just Say No
Most motorists are simply bearing up against soaring gasoline prices. They may swear. They may complain. But they end up filling up as always.
Others, however, are fighting back as the nation heads into the spring driving season. Some are riding the bus or train or are carpooling. Some are giving up four wheels for two -- a scooter or bicycle. Some are simply planning their trips more efficiently. ...
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When Low Prices Make Shoppers Mad
Shoppers aren't always happy about lower prices -- especially when they come after higher ones.
That's the finding of research that shows that consumers are antagonized by price drops immediately following their purchase. The researchers from Kellogg School of Management and the Massachusetts Institute of Technology (MIT) found that consumers who are frustrated by sudden price drops are much less likely to buy from the company again. ...
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Shoppers Mastering the Art of 'Showrooming'
Consumers are growing increasingly adept at crossing retail channels to find the best deal they can, and NPD Group reports that the latest skill is "showrooming." Shoppers hit physical stores first to see how a product looks and performs, then do their comparison-shopping by smartphone or tablet before making the final purchase online. ...
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Consumers Plan a Steady Budget Equal to 2011, According to Survey
More than 51 percent of consumers plan to spend the same amount of money in 2012 as in the previous year, according to a 2012 Shopping Outlook survey conducted by PriceGrabber, a part of Experian.
While more than half of the survey respondents plan to spend the same amount of money as they did last year, 21 percent indicated they plan to spend more, and 28 percent plan to spend less. Conducted from Jan. 26 to Feb. 13, 2012, the survey includes responses from 933 U.S. online shopping consumers. ...
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Is $4.50 a Gallon the New Gas Price 'Wall'?
Industry observers keep wondering what it would take to produce a wholesale shift in the American automotive marketplace. Despite near-record prices last Spring and the brief push to $4 a gallon several years earlier, U.S. motorists have largely continued buying the products they've always bought. ...
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Whether Loyalty or Retention, It's Critical
Polk's Loyalty award is about the automakers that have the highest percentage of loyalists. J.D. Power's offering, the 2012 Customer Retention Study, also focuses on customer loyalty, but the results are slightly different.
The survey-based study by Power puts Hyundai at the top among a field of 33 brands, with Ford in second (the reverse of Polk's top two), and tied with Honda. The study takes a broad view, noting that one in three new-vehicle owners who switched brands did so not because they hated their vehicle but because their previous brand just didn't make the type of vehicle they wanted next. ...
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Resolutions May Benefit Financial, Tech Segments
Financial services providers and consumer electronics manufacturers are among those that could benefit from probable New Year's Resolutions.
A study from local market consumer research firm Scarborough reveals some of the likely New Year's resolution topics for the over 235 million American adults age 18 and older.
Many marketers use New Year's resolution campaigns this time of year to motivate consumers, but it is definitely not too late for those who have not yet capitalized on the opportunity, says Deirdre McFarland, Scarborough vice president of marketing. ...
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Higher Holiday Sales Come with Caveat
Holiday retail sales appear on track to be somewhere between ho-ho-ho and ho-hum, raising the prospect that the economic expansion is still struggling to reach top form.
Some stores, including J. Crew and Bloomingdale's, were offering after-Christmas discounts of 75% or more, which were more reminiscent of the recession than a recovery. ...
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2012: Changed Americans Require Marketing Shifts
The economic downturn's effects on Americans' aspirations and behaviors have enormous implications for brand marketing in 2012 and beyond, according to a new report from Leo Burnett Chicago.
Burnett's strategic teams, led by chief strategy officer Stephen Hahn-Griffiths, used the agency's own ongoing (since the recession) BrandShelter behavioral study, learnings from client research, and recent government and third-party research to analyze the changes in Americans and society. ...
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How Marketers Get Inside Your Head to Get You to Stuff Your Stockings
With a Study of Seasonal Psychology, Brands Find the Right Mix of Price and Emotion in Ad Messages
Consumers claim they're keeping a close eye on holiday budgets, so how to explain this year's record-breaking post-Thanksgiving retail sales?
The secret is landing on the right marketing message, but it's no simple feat. For retailers, planning for the Christmas ads just now airing kicked off months ago. ...
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Increasingly Influential Dads Are in Marketers' Crosshairs
Moms have been the operative target for packaged goods and many other brands for eons. But growing research suggests that while dads are far from being the key decision-makers or caretakers at home, their role is growing.
So marketers in many categories risk overlooking a growing part of their consumer base by excluding men. And some, such as Unilever's Ragu, have gotten men's shorts in a bunch with ads deemed condescending toward dads. ...
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City Living: What 'Urban Boom' Means for Marketers
From Ikea to Zipcar to Walmart, Advertisers Follow Consumers into Metropolitan Areas
Decades ago, people left cities for the suburbs to raise families and to live the American dream. Now we're seeing "bright flight," younger, educated Americans reversing the trend seen in their parents' and grandparents' generations.
Consumers, from yuppies to artists to homeowners unable to sell homes to empty nesters, are clustering in urban areas more than ever before. And marketers stand to benefit from it. ...
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Consumers Ready to Boycott Corporate Bad Guys
When it comes to corporate responsibility, consumers aren't just paying closer attention, they're ready to kick brands that don't behave to the curb: Some 93% are willing to boycott corporations that behave poorly, and 56% have already done so.
And they are also willing to reward companies they perceive as responsible, reports the 2011 Cone/Echo Global CR Opportunity Study, with 94% saying they would buy a product that has an environmental benefit and 76% saying they have already done so in the past 12 months. ...
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Frontier of Frugality
Retailers Face Reality That Many People Can't Trade Back Up
Retailers are coming to terms with a new reality: the consumer who traded down during the recession and never came back.
Buffeted by high unemployment, heavy debt loads, falling home values and high food and gas prices, these shoppers have been whipped into a permanent state of consumer caution. They buy only what they need, avoid premium labels, clip coupons and scour sales. ...
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Accentuate the Positive, Eliminate the Negative...
New Cone research reveals 80% of consumers have changed their minds about purchasing a recommended product or service based solely on negative information they found online. This is up from just 67% of consumers who said the same in 2010. Online information, a trustworthy source for 89% of consumers, has the power to make or break a product recommendation, concludes the report. ...
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To Keep Parking Lots Full, Retailers Offer Gas Deals
With gas prices locked at well above $3 a gallon, some retailers and manufacturers are trying to get more shoppers back on the road by picking up some costs at the pump.
Publix, the grocery chain in the Southeast, is offering $50 gas cards for $40, with a minimum purchase of $25 in other products. Kellogg's asks that shoppers send in 10 bar codes from cereals like Raisin Bran or Corn Flakes for a $10 gas card. At CVS, customers receive a $10 gas card when they spend $30 on certain items.
Even shoppers at Wal-Mart, the country's largest discount retailer, are gassing up at a savings. ...
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Retailers Respond as Value Mania Hits Even the Well-to-Do
They make more than $100,000 a year. They're recently back from a vacation to Aruba -- via freebie air miles. And they go shopping together for their groceries every week --at Walmart.
The Whited family of Marietta, Ga., never expected that Walmart would become their shopping anchor. Or that value would become their shopping mantra. But they have little choice. ...
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'Made in America' Makes Money
The Made-in-America label has undergone a deluxe makeover. Everyone from Brooks Brothers to the Olsen twins is using it to hawk luxury goods, a tactic made popular by blue-collar brands such as Levi Strauss & Co. and Chrysler Corp.
Menswear maker Joseph Abboud has a "Made in USA" banner on his website with a link to footage of the Massachusetts factory that crafts his suits. Brooks Brothers has factories from New York to North Carolina, and The Row, the luxury fashion line from Mary Kate and Ashley Olsen, manufactures most of its clothes in America's biggest cities. ...
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Don't Make Assumptions Regarding Male Shopping Habits
A new study that delves into the increasingly important male shopper shows that men are becoming more conservative in their spending habits, although not to as great an extent as women shoppers.
SymphonyIRI Group recently studied the increasingly important male shopper in its latest Point of View, "Men are From Mars, Women are From Venus...Or Maybe Not?" and found that while there are several attitudinal and behavioral similarities with female shopper behavior, there are several important distinct differences. ...
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Pawnshops Go Upscale and Online
With More Middle-Class Borrowers Looking for Cash, Pawnbrokers Are Cleaning Up Their Image
When Jim De Lisa's chain of six furniture stores went belly-up mid-recession, the New Jersey father of five found himself in a fix. He was suddenly unemployed and broke, and his credit score, he says, was "in the crapper."
Pushed to the edge by looming house and car payments, he did the unthinkable: He pawned his wife's $18,000 engagement ring. But no one ever saw him visit the pawnshop. De Lisa hocked the 1.7-karat stunner over the Internet. ...
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Buyers Move Toward Better Fuel Economy
After one of the biggest two-week jumps in gasoline prices on record, fuel economy has rocketed to the top of buyers' minds. But this time -- unlike the last gasoline price spike in 2008 -- the auto industry feels better positioned to cope. ...
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As Gas Prices Climb, Marketers Gird for Tumult at the Tank
With gas prices rising at about a penny a day -- the national average shot from $3.10 a gallon on Feb. 1 to $3.51 last week -- marketers across the country are bracing for a repeat of 2008.
But the difference this time is that marketers and agencies from Ford, General Motors and Unilever to WPP saw it coming, and, armed with hindsight, are better prepared to deal with consumers potentially dialing back spending or shifting shopping habits in response to spiraling oil prices. ...
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Dealers Say Oil Spike Has Shoppers Thinking Small
Come in and buy a fuel-efficient Kia or Hyundai before the trade-in value of your gas guzzler tumbles.
David Brady, the owner of one Kia and two Hyundai dealerships in greater Huntsville, Ala., didn't use those exact words in his latest radio spots. But that was the gist of his message -- and he says it's working. ...
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Consumers Holding On to Products Longer
Throw away the cellphone after two years? Not so fast. Ditch the flat-panel TV for an even thinner model? Maybe next year. Replace the blouse with the hole? Darn it!
Consumer spending has picked up, but for some Americans the recession has left something behind: a greater interest in making stuff last. ...
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Online Research a Significant Part of Consumer Buying
According to a new study, "Inside the Buy," by the AMP Agency, to determine what's behind consumer's shopping behaviors, just 3% of consumers say they are loyal to a particular brand and never buy anything else. The study considered digital behaviors in five leading consumer categories: baby products, consumer electronics, food and beverage, health and beauty, and fashion. ...
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Retailers on Quest to Rekindle the Personal Touch of a Bygone Era
In days of yore, retailers knew their customers. Sales clerks sent invitations to store events, called when items of interest arrived and had Rolodexes crammed with notes about shoppers' favorite brands and styles. That style of shopping -- an intimate experience, not an anonymous one -- has long been thought dead, driven to extinction by the invasion of the big-box retailer. But now retailers are hoping to recapture some of the old magic. ...
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Rising Gas Prices Expected to Impact Consumer Behavior
With gas prices rising to their highest mark in two years, consumers can be expected to repeat many of the same shopping and spending patterns they employed when the average price of gas reached $4.11 per gallon during the summer of 2008, according to Todd Hale, Nielsen senior vice president, consumer and shopper insights. ...
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Consumers Spend Equal Time on the Web, TV
A new consumer survey from Forrester Research found that for the first year, the amount of time U.S. households spent watching TV and using the Internet is equal at 13 hours. This comes on the heels of research showing that younger consumers (18-30) already spent more time on the Web than watching TV. Now, people 31-44 are also spending more time online than with TV. ...
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Consumer Indulgences Making a Comeback
Few companies were clobbered harder than Starbucks in the recession. The coffee chain with outposts on every corner came to represent all that was wrong with American businesses and shoppers: unchecked expansion, self-indulgence and mindless credit-card swiping.
But now customers who swore off frivolous spending during the recession are lining up again for their $4 caffeine fix. ...
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Robust Sales for Holiday Weekend
More Americans went shopping over the Thanksgiving weekend than in recent memory, and online shopping accounted for the highest percentage of the weekend's sales yet.
The average amount spent per person from Thursday to Sunday was about $365, more than a 6 percent increase over last year, according to a survey of about 4,300 Americans by the National Retail Federation, a trade group that reported results on Sunday afternoon. ...
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Economy Still Impacting Shoppers, but Glimmers of Holiday Hope Appear
Shoppers to Spend on More Discretionary Items, Non-Gift Purchases
Though Americans are still operating with the recession in the back of their minds and many have fundamentally changed their shopping habits, some findings from NRF's first holiday survey imply consumers won't only be focusing on low prices and basic necessities this year. According to NRF's 2010 Holiday Consumer Intentions and Actions Survey, conducted by BIGresearch, U.S. consumers plan to spend an average of $688.87 on holiday-related shopping, a slight rise from last year's $681.83. ...
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Convenience, Ease Driving U.S. Eating Behaviors
Thirty years ago when The NPD Group, a leading market research company, began continuous tracking of America's eating behaviors, 72 percent of main dishes at dinner were homemade. Today 59 percent of main dishes are made- from-scratch with many households preferring ready-to-eat and frozen foods, and assembling a meal rather than preparing it, according to NPD's National Eating Trends®. ...
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Boomers Ahead On Tech Curve Where It Counts: Their Wallets
While Boomers are arguably less tech-savvy than younger consumers, they spend more money on technology, and on the Web, than any other age demographic. That's according to a new report from Forrester, which details tech adoption among American and Canadian consumers in the second quarter of the year.
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