Sheconomics
We’ve always known that emotions can certainly have an impact on consumer behavior and spending, but now it’s official. In a study conducted by the University of Hertfordshire – women’s buying behavior and spending limits have a direct correlation to how good or bad they feel.
“The research, which was conducted by psychology professor Karen Pine, found that 79% of women say that going on a spending spree would cheer them up. This indicates that some women use shopping as an emotion regulator to numb themselves to negative feelings or dissatisfaction with life.” (University of Hertfordshire)
When media spending increases. (Yes we said increases.)
Anyone catch last week’s interesting article in Ad Age about Wal-mart’s recent increase in media spending at a time when most retailers are cutting back on media left and right?
Discussing the Wal-mart media tab, Ad Age noted “this is a massive jump by any standard, as Wal-mart’s spending on measured media soared 55.7% to $835 million—compared with the same period the year before—according to TNS Media Intelligence.”
As we all know, the Wal-mart model is unique. The chain is known for its tight supply chain management and low overhead. And very few major retailers share the same model. Even more noteworthy, compared to two major companies (Macy’s and Sears Holdings who spend 4.5% and 4.0% of sales on marketing), Wal-mart spends only 0.5%.
As a marketer, I think it is both interesting and refreshing that marketing is now considered more than a nice-to-do. It is mandatory to compete. Brands that are investing in marketing right now are gaining market share, increased consumer presence and will be positioned better than their budget-cutting competitors.
That’s money well spent—if you ask this marketer.
Go online or go home…
According to Nielsen online, U.S. consumers will continue to shift to buying online. So much so, that 76% of consumers cite convenience over price as key motivators.
With all this online shopping, it makes one think. Trends are pointing more and more to online activities increasing with no plateau. What does the marketer need to do to keep up? Is it enough to have an email addresses? Or does the brand need more? Does it need a blog, social networking?
I think the answer is yes, yes and yes! As consumers continue to engage in the online medium, marketers are going to have the challenge of keeping up with the latest technology—as well as making sure the communications stay relevant and timely when email inboxes are jammed with coupons and sale notices.
The answer may come when you think back to basics…what can your brand do to differentiate?
Consumer Satisfaction Survey – Cyber Monday
Thought this was interesting. Just released from Shop.org.
Happy marketing!
Shop.org surveyed more than 250k people between Black Friday and Cyber Monday and here’s what we found:
- Online customer satisfaction is down year over year, but only slightly, and not quite as much as expected.
- Perhaps more interesting, satisfaction was actually higher on Cyber Monday than it was at any point in November, a reversal of the recent trend of satisfaction that is lower on Cyber Monday than in previous weeks.
How to market to a “Recessionista”
Welcome the CBD Retail Blog by Erin Creaney, resident Retail Expert. I’ll be following and blogging about the impact of our ever-changing economy on the retail sector. Check back weekly for the latest industry trends and tips on ways to market to the new consumer!
We’ve seen the headlines, heard the news (and of course timidly checked our 401K’s). We know what is happening out there. Now more than ever it is time for marketers to make lemonade out of economic lemons.
