Long-Form DRTV. Purchaser Attitudes & Behavior Study
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1 Long-Form DRTV Purchaser Attitudes & Behavior Study
2 PANELISTS Alex Dinsmoor Kent Mora Kendra Elliott Tony Besasie Script to Screen M2 Marketing Guthy Renker Cannella Response Television
3 STUDY GOALS Identify gaps between perceptions and reality of long-form infomercial customers 1. Among the TV viewing public, are people who buy infomercial products different from people who don t buy? Are they different demographically? How do their lifestyle activities, TV and other media usage and behaviors compare? 2. What insights can we gather about the infomercial purchase? How satisfied are infomercial customers with their purchase? How effective is infomercial advertising at engaging and persuading potential buyers?
4 METHODOLGY PROCESS: Online survey TIME FRAME: December 2013 RESPONDENTS: SAMPLE: Adults (18+) who watched some TV Have seen some part of an infomercial in the past 5 years Have shopped/purchased something from home (Mail order, web, phone) National representation of TV viewing purchasers and non-purchasers of infomercial products 1,020 respondents 559 purchasers / 461 non-purchasers
5 AUDIENCE PARTICIPATION Who will win the Superbowl?
6
7 FINDINGS Purchaser / Non-purchaser Demographics % Males More Female 54% Females Same Less Female Non-Purchaser Base Purchasers 559 Non-Purchasers - 461
8
9 FINDINGS Purchaser / Non-purchaser Demographics 46% Males 42% Males 54% Females 58% Females Non-Purchaser Purchaser Base Purchasers 559 Non-Purchasers - 461
10 FINDINGS Purchaser / Non-purchaser Demographics Younger Same Older Base Purchasers 559 Non-Purchasers - 461
11
12 FINDINGS Purchaser / Non-purchaser Demographics Base Purchasers 559 Non-Purchasers - 461
13 FINDINGS Purchaser / Non-purchaser Demographics Lower Same Higher Base Purchasers 559 Non-Purchasers - 461
14
15 FINDINGS Purchaser / Non-purchaser Demographics Base Purchasers 559 Non-Purchasers - 461
16 FINDINGS Purchaser / Non-purchaser TV Usage
17 FINDINGS
18 SUPPORTING INFORMATION
19 FINDINGS Purchaser / Non-purchaser Lifestyle Less Equal More
20
21 FINDINGS Purchaser / Non-purchaser Lifestyle
22 FINDINGS Purchaser / Non-purchaser TV Usage Fewer Same More
23
24 FINDINGS Purchaser / Non-purchaser TV Usage Q: During the past 12 months, would you say that the total amount of time you spend watching TV has...
25 SUPPORTING INFORMATION TV is an essential part of American lifestyle SLIDE NEEDS TO BE CLEANED UP MORE DATA POINTS? 224 million set top boxes in the nation The percentage of American households outfitted with HDTVs has increased substantially over the past five years: 77% have at least one and 46% have multiple HDTVs, according to a report from the Leichtman Research Group (LRG). That compares to 34% and 11%, respectively, five years ago. Some 72% of TV sets used in HD households are HDTVs. The percentage of HDTVs overall is 59%, up from 34% in 2010, 18% in 2008, and 3% in 2004, according to LRG s, HDTV XI report. Based on a survey of 1,231 households across the U.S., other key findings in LRG s eleventh annual HDTV study include: 88% of households with annual incomes over $50,000 have an HDTV compared to 68% with household incomes under $50,000 Among those getting HD programming from a cable, satellite, or Telco provider, the perceived mean number of channels of HD programming is 82 up from 42 five years ago 22% of all households purchased a TV set in the past 12 months an annual level that has been fairly consistent for the past decade
26 FINDINGS Purchaser / Non-purchaser Technology Less Equal More
27
28 FINDINGS Purchaser / Non-purchaser Technology
29 FINDINGS Purchaser / Non-purchaser Technology Mobile Device Usage while Watching TV
30 SUPPORTING INFORMATION SLIDE NEEDS TO BE CLEANED UP MORE DATA POINTS?
31 FINDINGS Purchaser / Non-purchaser Shopping Behavior Q: How frequently do you shop online from retail store websites or e-commerce e-tailer websites? Less Equal More
32
33 FINDINGS Purchaser / Non-purchaser Shopping Behavior
34 FINDINGS Purchaser / Non-purchaser Shopping Behavior Q: Within in the past year would you say your home shopping has.
35 SUPPORTING INFORMATION In home shopping experience is growing and evolving SLIDE NEEDS TO BE CLEANED UP MORE DATA POINTS? (Reuters) - U.S. retail store sales fell 8 percent during the 2014 holiday season despite a late shopping surge, but overall holiday sales should show a 3.5 to 4 percent rise from a year ago because of stronger online buying, analytics company Retail Next said on Wednesday. In another sign of disappointing Christmas sales for brick-and-mortar retailers, RetailNext said foot traffic dropped 8.3 percent during November and December versus a year ago at the specialty stores and large retailers it tracks. However, customers who did visit stores spent slightly more on average than a year earlier. Specialty stores in the United States include chains such as Best Buy Co Inc (BBY.N) and large retailers include Wal-Mart StoresInc (WMT.N) and Target (TGT.N). "The online promotions that came out early in November really took a lot out of the brick-and-mortar business as they captured the shopper very early this year," said Shelley Kohan, vice president of retail consulting at RetailNext. Kohan expects overall holiday sales to have ended 3.5 to 4 percent higher in 2014, aided by higher online sales. Online holiday sales rose 13.9 percent over the same period a year ago, according to IBM Digital Analytics. Retail sales on mobile phones accounted for 22.6 percent of all online sales, an increase of 27.2 percent yearover-year. Scattered spending and early discounts led to a slow start to the season, which coupled with a weak Black Friday weekend, resulted in muted November sales for retailers with physical stores. The Saturday before Christmas, nicknamed "Super Saturday" in the retail industry, failed to make up for spotty earlier performance. But deeper discounts, plummeting gas prices and a long weekend after Christmas sparked a jump in spending in the final stretch of December, Kohan said. A Reuters/Ipsos poll found an increase in the percentage of consumers willing to spend their savings at the pump in the last week of December when the average price per gallon fell to near or below $2 a gallon in several states. The National Retail Federation (NRF), the leading industry trade body, has forecast a 4.1 percent rise in holiday sales this year, including online and store sales. The NRF is hoping to meet its expectations amid falling gasoline prices, lower U.S. unemployment and consumer spending that showed signs of a revival in late December.
36 FINDINGS
37 STUDY GOALS What insights can we gather about the infomercial purchase? How satisfied are infomercial customers with their purchase? How effective is infomercial advertising at engaging and persuading potential buyers?
38 FINDINGS Purchaser Shopping Attitudes Q: Thinking about your most recent infomercial purchase, how satisfied have you been with the product you purchased?
39 FINDINGS Social Behaviors Q: How do you normally share your experience about products you purchase? I don t share my experiences with others regarding products I buy In person through conversation Through social media Via Post a review on a website
40 FINDINGS Purchaser Shopping Attitudes Q: Have you recommend an [infomercial] product to anyone based on your experience? Q: How many people would you estimate you recommended this product?
41 FINDINGS Time of Purchase Q: Thinking about your most recent infomercial purchase, when you decided to make your purchase, how soon did you place your order for the product or service? Several days later after watching the program 13% While the program was still on air A few days after watching the program 13% 44% PURCHASE TIMING Within a few hours after watching the program 31% Base Purchasers 559
42 FINDINGS Time of Purchase Q: Thinking about your most recent infomercial purchase, when you decided to make your purchase, how many times did you see the infomercial before placing your order for the product or service? I made the purchase after seeing the program several times (4 or more) 10% 43% I made the purchase after seeing the program 2 or 3 times 90% bought the product after watching the program three or fewer times. 47% I made the purchase after the first time I saw the program Base Purchasers 559
43 FINDINGS Infomercial Influencers A detailed demonstration of the product Seeing the final results after the product was used A side-by-side comparison of the product to other similar products Hearing or reading testimonials from customers who have the product A celebrity (sports, TV, or public figure) personally endorses the product
44 STUDY SUMMARY
45 FULL STUDY Long-Form DRTV Purchaser Attitudes & Behavior Study December 2013
46 QUESTIONS
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