Shopper Culture

Meet the Creator: 1 of 4 Social Networking Personas Revealed by Study

On Mother’s Day, did you show your mom some love with the traditional "Happy Mother’s Day" Facebook post or did you tweet a loving haiku and customize your Facebook profile picture? If you did the latter, you might be a Creator. According to research outlined in Part 3 of the CCRRC/Integer study, Untangling The Social Web, there are four social networking personas, each driven by a different motivator to engage with individuals and brands on the social web. 

The Creator’s social networking habits are motivated by self-expression. They are creative, unique, expressive, and bold. They find the social web to be not only a tremendous source of information to keep them on trend (and ahead of the curve) but also a canvas for their creative and unique points of view–even when it comes to shopping. The social web provides them with ample ways to discover new products and services. And once they experience a new purchase, they do not shy away from publicizing their own perspectives and spreading the news.

To learn more about the Creator and the role of the social web in everyday life and during shopping trips, download Part 3 of Untangling the Social Web entitled Social Networking Personas: A Look At Consumer and Shopper Mind-Sets. And remember to check out the appendix for a more detailed profile of the Creator.  

The Checkout: Shopping List 2012

The Shopping List Checkout takes a closer look at how shoppers are making lists and differences between who and how this popular shopping tool is being used.

In focus this month:

• Who's maintaining vs. changing spending habits?
• Does the shopper always plan his or her own trip?
• What triggers impulse shopping?

For more Shopping List data, please click here to download the latest edition of The Checkout - Issue 2, 2012.

Contributed by Brian O'Connell

Brand Loyalty? Not With Big-Ticket Home Improvement Shoppers.

Nearly seven out of 10 home improvement shoppers say they are not brand loyal when it comes to buying big-ticket items, according to The Complex Shopper™ study conducted by The Integer Group® and research partner Decision Analyst. The study is designed to reveal the motivations that drive the considered purchase process – those infrequent, big-ticket items ranging in price from $100s to $1000s. 

Discover why shoppers turn to new brands when it’s time to replace or upgrade, and how you can increase their loyalty and continue a relationship with them after the purchase by downloading our newest report, “Revealing the Motivations that Drive Home Improvement Shoppers.”

This report — the second from The Complex Shopper Study — shares shopper insights around big-ticket home improvement categories in general, and in-depth findings in three categories: flooring, windows/doors and major appliances. Among the findings:

• Window/door and flooring shoppers both spend the greatest amount of time researching — often by retail site and not brand — before in-store shopping.
• The Internet is a critical channel for major appliance shoppers and can affect purchasing decisions at point of sale. It may even drive shoppers online to buy.
• Flooring shoppers researched products online an average of 6.72 times versus going to a store to shop, most shoppers averaged 3.89 in-store visits.
• Appliance shoppers are more likely to respond to a deal — but the new normal has them closely studying the real price/value equation of their purchase.

We also dove back into the four considered purchase shopper types identified by the study to look at home improvement-shopping behavior. Did you know the relatively young Social Adventurer is more apt to take action after purchase than other shopper types? And Experience Lovers and Passive Purchasers are most likely to submit warranty information?

Understanding shoppers and their behavior with home improvement products can help companies develop successful communication plans and loyalty strategies. Want ideas? Download our free report now.   

What’s coming next? The Complex Shopper study will examine shopper behaviors for single-serve coffee makers, vacuum cleaners and other “plugged in” considered purchases.

 

The Complex Shopper: Meet Dale, the Passive Purchaser

The Complex Shopper is an annual research and analysis project conducted by The Integer Group and Decision Analyst to reveal the motivations that drive the considered purchase process – those infrequent, big-ticket items ranging in price from $100s to $1000s.

One outcome from the study was identifying four distinct shopper types – Fretting Frugals, Experience Lovers, Passive Purchasers and Social Adventurers. In our last post we defined Patricia, the Experience Lover. Today, we’ll study no-nonsense Dale, the Passive Purchaser, who represents about 25 percent of all considered purchase shoppers. 

Let’s get this over with

Dale will never be accused of being an emotional buyer. In fact, across all shopper types, he is the least emotionally tied to shopping or products. He’s typically an older, higher-income-earning male who wants his purchase experience to be completed quickly and easily. As one Passive Purchaser said, “Shopping is like getting a haircut. I can only put it off for so long.”

And forget appealing to his materialistic side. Dale is not out to impress friends and family. Passive Purchasers don’t care what others think about their purchase. They make up their own minds and don’t concern themselves with the buying process. Not surprisingly, the Dales of the shopping world spend the least amount of time, and get the least enjoyment out of, researching their purchase.  

Another interesting insight into Dale: he likely buys only what he needs and doesn’t make a lot of impulse purchases. His projected share of spend in the furniture, travel and automobile categories is the least of all shopper types

Men and Unmarried Couples are Biggest Spenders for Valentine’s Day

The 2012 Super Bowl Commercial by Telaflora featured Adriana Lima saying, “Guys, Valentine’s Day is not that complicated. Give and you shall receive.” It has been classified as sexy and effective. Why? Because it features Adriana Lima, but also because it targets men, a group that spends up to $200 on Valentine’s Day gifts with the number one gift being flowers, the main offering of Telaflora.

According to Big Research’s January 2012 study, men are not just spending money on flowers. They plan to spend, on average, $200 on jewelry and $100 on clothing with a preference to shop at department stores. The amount women plan to spend is nominal by comparison. In addition to shopping at discount stores, this spending gap could be the result of women’s focus on sentimental gifts like handmade cards and romantic dinners at home.

Although targeting male shoppers is an effective marketing strategy, there are other attractive shopper segments among the 60 percent of adults that celebrate Valentine’s Day, a 17.6 billion dollar holiday. Unmarried couples are perhaps a bigger opportunity, especially with marriage rates at a low. In fact, unmarried couples that live together and single, never-married shoppers plan to spend $20 to $30 more on their significant other for Valentine’s Day than married, divorced or widowed shoppers (Big Research January 2012 study). In addition, these shoppers are resourceful. They shop multiple outlets and utilize technology, like smartphones and tablets, to do research and compare prices before making a purchase.

While it makes a lot of sense to focus on men, is it necessary to be gender specific when marketing for February 14^th? What if the Telaflora commercial targeted unmarried couples? Instead of being called sexy and effective, critics may have said it was creative and tactful. How do you plan to increase your share of this $17.6 billion dollar holiday? Will you target men or take a different approach and target unmarried couples?

Contributed by Kimberly Chatman and Kira Torgersen 

Introducing The Checkout India

We are pleased to present The Checkout International: Indian Shoppers, in support of Integer India, the newest addition to the Integer network. This study, conducted by The Integer Group India and Ipsos Marketing, India, is a shopper study designed to understand motivations and attitudes, rituals, and other factors that influence this fascinating retail economy. 

• Indian shoppers place quality of goods highest of all values, more important than price (a close second), shopping experience, and saving time. 
• Even as India advances quickly as a technology market, Western innovations like credit-card purchasing, retailer loyalty programs, and online shopping tend to lag behind more developed markets.
• Shoppers in India's largest cities (Urban A) tend to set aside a shopping budget; those living in second-tier cities (Urban B) are more likely to use a written shopping list.
• The predominant shopping style in Rural India, where refrigeration and personal transportation are less common, is to make regular trips to small, local vendors.

Please click here to download The Checkout International: Indian Shoppers.

The Complex Shopper: Meet Patricia, The Experience Lover

The Complex Shopper is an annual research and analysis project conducted by The Integer Group and Decision Analyst. It is designed to reveal the motivations that drive the considered purchase process – those infrequent, big-ticket items ranging in price from $100s to $1000s.

One outcome from the study was identifying four distinct shopper types – Fretting Frugals, Experience Lovers, Passive Purchasers and Social Adventurers. In our last post we defined Gary, the Fretting Frugal. Today, we’ll identify Patricia, the Experience Lover. 

A confident shopper who embraces the process

Patricia was born to shop! She absolutely loves the shopping process. She knows what she wants and can visualize how great that new bedroom set or couch will look in her home. Patricia describes herself as organized (58 percent of Experience Lovers identified themselves as this), imaginative (53 percent) and assertive (45 percent). As a result, she rarely passes the responsibility of the final purchase decision to anyone else because she is confident in her abilities.

When it comes to research, Patricia is in her element – shopping is her therapy, her buzz and it makes her feel good. The strength of her positive shopping emotions exceeds all other shopper types:

• Satisfied – 85 percent
• Excited – 61 percent
• Happy – 75 percent
• Smart – 63 percent 

She enthusiastically searches a variety of websites, looks at reviews and visits  the store. Of all the shopper types, Patricia visits the store the least at two and one-half times per purchase and on average will go online eight times.

Some women shop for shoes, Patricia loves to shop for furniture – in fact, she leads all shopper types in category spend for furniture at 42 percent, which is almost double the next closest shopper type. She’s not as worried about what that furniture sits on though – spending the least of all shopper types in the flooring category with only 17 percent of the total category spend.

Engaging Patricia

To motivate this shopper, increase both in-store and online interaction to give her ways to share the experience in person or via social shopping. Keeping in mind the number of times she goes online to research, the digital experience needs to be easy and engaging. Appeal to her imagination, her confident sense of self and entertain her love of the process and she’s likely to make a recommendation about your product or brand post-purchase. Approximately one in five Experience Lovers will accept and receive emails from a brand, so plan to communicate with Patricia after the sale. 

Our fourth and final shopper type – the Passive Purchaser – will be up next in our review of The Complex Shopper. 

Didn't Go To The Gym: That'll Be $5

Ever heard of putting a quarter in the jar for saying a swear word? Now apply that to failing to follow through on your New Year’s resolution. 

With the new year rolling in, many people resolve to lead a healthier life, whether it’s eating better or losing weight. And just like all other years, most Americans’ enthusiasm and commitment will begin to decline as the year moves on. According to PRWeb.com, recent University of Illinois research shows this is due to a cognitive disconnect called “self-efficacy,” a confidence needed to succeed.

But this year, one particular tool to help people commit stood out. Instead of a brand promising success, why not make the shopper commit to themselves? The mobile app, Gym-Pact, actually fines individuals for failing to exercise. When a user signs up, they have to determine two things: 1) How many days a week they will commit to visiting the gym, and 2) How much money per missed visit they’ll chalk up. Then with the use of smartphone technology, users simply check-in every time they make a trip. 

 “Behavioral economics show that if you tie cash incentives to things that are concrete and easy to achieve like getting to the gym, it’s very effective,” said co-founder Yifan Zhang in an interview with the New York Times. “People don’t like losing money and it’s one of the strongest motivators, much more than winning money.”

And if that wasn’t enough, users are rewarded with cash for following through with their commitments. Of course, paid out by those who failed. While Gym-Pact is certainly not for everybody, it’s an interesting twist on the psychology behind New Year’s resolutions is intriguing. Instead of prompting the user with a less actionable "New Year, New You,” it gives them something to lose. 

 For more information on New Year’s Resolutions around health and wellness, download a copy of The Checkout - Issue 7, 2011.

Do We Shop For Experiences and Relationships?

Over the holiday break, I found myself immersed in a discussion pertaining to the definition of shopping. "What is shopping?" a fellow friend in shopper marketing asked. Obviously, we both agreed that picking up milk at the store or buying a pair of jeans at the mall was shopping. We agreed shopping also consisted of buying goods on Amazon and other online retailers. We even agreed that choosing a mechanic or hair stylist and other such services constituted shopping.  

But we differed in opinion related to experiential choices.  Do individuals and families "shop" for vacations? Do parents and high schoolers "shop" for a college? It was a good debate. Well, this past week I came across two interesting articles that add to the question -- Do we "shop" for experiences? And do we "shop" for relationships? 

First, Good Magazine, using data from YourMorals.Org, argues that persons who buy experiences are more satisfied, less anxious, less depressed and in better mental and physical health than persons who buy material things. 

Second, I read about Andrew Hyde who only owns 15 things. That's right. 15 things total. On the topic, he stated, "This whole experience has taught me something very simple: debt kills dreams. Debt is cash, things and fear ... I don’t have much right now. 3 shirts, a pair of pants and shorts. Some odds and ends. I do some pretty interesting and amazing things everyday, and not once in the last month did I really want anything more … It has turned my life from stuff centric to relationship centric." 

Do we "shop" for experiences? Do we "shop" for relationships? For friends? Love? I don't know if there is a clear answer. Perhaps a good debate worthy of research. In that debate though, the learning from these two brief articles must be taken into account. Buying experiences versus buying material goods leads to more happiness. And, in the case of Andrew Hyde, developing better relationships versus owning materials goods leads to more happiness. So, if we do "shop" for experiences and relationships, it must be a different shopping approach, shopping mindset and shopping process because it leads to a different result. 

I present this because, as marketers, we often sell our products, services or retail stores as experiences or relationships. When we do are we applying the same shopping framework that we would for a consumable? Our consumers may not be. 

 

The Checkout: New Year's Resolution 2011

Year after year, as shoppers begin to prepare for the new year, brands and retailers flood the scene with resolution-themed marketing and promotions. But how do resolutions affect shopping behavior? This issue of The Checkout explores who will make resolutions, what type of resolutions they will make, and how they shop in pursuit of their goals. 

• A majority of shoppers will make a New Year’s resolution as they see the new year as a time to concentrate on their health and wellness goals.
• Top trends for resolutions are similar among men and women, but do they result in similar behaviors?
• With resolutions primarily focused on leading a healthier lifestyle, do shoppers develop new habits during resolution season?

Please click here to download The Checkout - 2011 New Year's Resolution issue.

The Complex Shopper: Meet Gary, The Fretting Frugal

The Complex Shopper is an annual research and analysis project conducted by The Integer Group and Decision Analyst. It is designed to reveal the motivations that drive the considered purchase process – those infrequent, big-ticket items ranging in price from $100s to $1000s.

One of the outcomes of the study was the identification of four distinct shopper types – Fretting Frugals, Experience Lovers, Passive Purchasers and Social Adventurers. In our last post we defined Allison, the Social Adventurer. Today, we’ll meet Gary, the Fretting Frugal. 

Big researcher, little confidence

For Gary, shopping is simply not fun – he compares it to going to the dentist. Representing the largest segment (31 percent) of Complex Shopper profiles, Gary spends significant time researching his purchase, but is least likely to engage with or repurchase from a brand. 

Gary’s determining factor for making the purchase decision has little to do with other’s opinion of his purchase (18 percent) and everything to do with price (92 percent) and how long he will use the item. In other words, Gary wants value.

That doesn’t mean he won’t spend money. The Fretting Frugal has the highest share of spend in several categories of the study including windows and doors (37 percent), major appliances (34 percent) and automobiles (40 percent). Interestingly, Fretting Frugals are the most excited by and get the most enjoyment from shopping for vacation travel. (Maybe because they are so stressed out from making major purchases?)

How to connect with Gary

He may not enjoy the shopping process, but Gary provides ample opportunity to connect with him. Similar to the Social Adventurer, he will visit a store or location 3.4 times per purchase and research online more than 10 times per purchase. Reassure him and help build his confidence about your brand. See our infographic below for more ideas to engage Gary.

The passionate and brand-loyal Experience Lover will be our next Complex Shopper profile. 

 

The Checkout: Holiday Shopping 2011

Not long ago, Thanksgiving-weekend department store sales were a key barometer of U.S. retail health. Does that model still work?

Probably not. According to our 2011 Holiday Shopper survey, fielded shortly before this year's holiday shopping season, holiday shoppers are overwhelmingly swapping store experience for savings, as indicated in the 2011 Holiday Value Equation shown here. This is bad news for department stores, traditionally the one-stop-shop for holiday shoppers, who in the past placed a value on elaborate window dioramas and jolly Santa visits to lure parents with children.

Today's shoppers are savvier than ever and happy to make trips to multiple retail channels, including eCommerce, if that nets them the greatest savings on the goods they want. While Department Stores are acknowledged to have the widest selection overall, 13 percent few shoppers plan to do most of their shopping in this channel. 

When Department Stores lose, who wins? Primarily Mass and Discount stores, which showed an increase from 16 percent in 2010 to 25 percent of shoppers this year planning to do most of their holiday shopping in more cost-effective channels.

Online retailers are also poised to win big this holiday season, as more shoppers plan to shop online over Thanksgiving Weekend and on Cyber Monday, balancing brick-and-mortar shopping with the saving and convenience that online retailers have to offer, including reviews, price comparisons and free shipping.

Please click here to download The Checkout - 2011 Holiday Shopping issue.

 

 

The Complex Shopper: Getting To Know The Four Shopper Types

Last week we launched The Complex Shopper, an annual research and analysis project designed to reveal the motivations that drive the considered purchase process – those infrequent, big-ticket items ranging in price from $100s to $1000s.

One of the outcomes of the study was the identification of four distinct shopper types – Fretting Frugals, Experience Lovers, Passive Purchasers and Social Adventurers. Over the next few weeks, we’ll dive a little deeper into each type revealing more about their behaviors, concerns and actions.

This week, meet Allison, the Social Adventurer – the shopper who wants your attention

Our first deep dive takes a look at Allison, representing the Social Adventurer. Overall, this is the smallest segment of the four at 15 percent, but is the most active when it comes to the amount of research, the level of engagement with the brand during and after the purchase and the level of activity in social media.

Allison is an emotional shopper. She admits to a greater fear of making a mistake and is most concerned about what others will think about her purchase. Allison describes herself as organized, imaginative and detail oriented with a need for thorough research in a variety of mediums. In fact, she will go online an average of 10.7 times per purchase when it comes to a considered purchase.

How to connect with Allison

If you want to sell to Allison, be aware that she is more than willing to have a relationship with your brand before, during and after the purchase. Compared to the other shopper types, the Social Adventurer will:

• Recommend your product to friends or family (46 percent)
• Almost one out of five will write an online review, post on a social media channel or rate your product online
• One out of four will accept and read emails and buy more products from a brand with which they are satisfied

Next, we’ll look at the Fretting Frugal, that nervous shopper who often gets so overwhelmed that they hand the purchase responsibility off to someone else. 

 

Step inside the mind of The Complex Shopper … and discover why shoppers buy. To review the initial results, click here for the download. 

 

Holiday Shopping: Online vs. Brick and Mortar.

Recent data from our Checkout survey unveiled interesting data pertaining to shopping intentions during the 2011 holiday season. In September soon-to-be holiday shoppers were asked where they planned to make most of their upcoming purchases. 30% reported they planned to make most of their purchases online. That was up from 28% in 2010. And for the first time, consumers reported they plan to shop online for most purchases (30%) rather than department stores (28%). 
With a couple significant shopping days under our belt, we asked ourselves how does online shopping compare with brick and mortar this holiday season? Where are consumers doing most of their holiday shopping?  

According to ComScore, online spending during the week ending on December 2nd set a new single-week record ($6 billion in sales). Online shopping on Thanksgiving day grew 18% to $479 million, Black Friday sales grew 26% to $816 million, and Cyber Monday sales grew 22% to $1.25 billion. According to the National Retail Federation, online sales should grow 15% this holiday season to 37.6 billion. Incidentally, total online sales in 2010 grew 15% from 2009. Online is experiencing double digit sales growth. 

How does this compare to brick and mortar sales? NRF reported that consumers spent 11.4 billion on Black Friday, of which $816 million was online. Therefore, roughly 8% of Black Friday sales were online purchases. This year, according to NRF, total brick-and-mortar sales may rise 2.8% to $465.6 billion. Therefore, brick and mortar made up 93% of sales in 2010 (versus 7% online) and 92% of sales in 2011 (versus 8% online). 

It appears that both projected online holiday shopping and actual online sales demonstrate that its getting stronger and stronger. However, holiday shopping is still dominated by the brick and mortar retailers. Question is how with 15% online sales growth versus only 2.8% for brick and mortar, how long will that domination last? 

Understanding The Complex Shopper

The Complex Shopper™ Study is an annual research and analysis project undertaken by The Integer Group to reveal the motivations that drive the considered purchase process – those infrequent, big-ticket items ranging in price from $100s to $1000s.

This week, we are launching the results of the initial study conducted in partnership with Decision Analyst. It reveals the complex motivations that drive shoppers during a considered purchase decision, such as shopping for furniture and automobiles. Not only does it uncover the reasons why shoppers buy, it also identifies how they think about – and interact with – the chosen company after the purchase. 

In addition, it unveils four profiles of shopper behaviors, from the nervous “Fretting Frugal” to the daring and sharing “Social Adventurer,” among others. During the next year, we’ll unveil new looks at the study in The Complex Shopper section of shopperculture.com and we invite you to visit frequently to take a look at what’s new.

Step inside the mind of The Complex Shopper … and discover why shoppers buy. To review the initial results, click here for the download.