When FGI Research asked women what they thought the most effective message in advertising geared toward them was, the results were quite clear.  33.67% of respondents thought that the most effective advertising showed that the “product or service will save them time and/or money”, and 23.91% thought that “showing the usefulness of the product or service” was the most influencing.  Surprisingly, only 9.43% of respondents thought that “showing how the product or service will benefit their family” would send the most enticing message, and the two least appealing campaigns showed how a product or service would “make life easier” and portrayed the product or service as having “high quality and value”.

Advertisers would be wise to use humor to get through to women, but not at the expense of men.  43.8% of women said that ads that are funny appeals to them most, but only 2.4% of women showed interest in ads that “make fun of men”.  In addition, women were attracted to ads that “empower women” and “trigger an emotional response”; while only a minuscule number of women thought that a “sexy” ad would get their attention.

Actionable Insights
What can we learn from this study? Above all, that men and women respond to different kinds of advertising. Reaching women effectively requires a whole other body of research, preferably one that reflects targeted sampling and comprehensive survey data. Holistic research, customized to fit the requirements of a given situation, can inform our understanding as marketers and help us respond to women’s desires as consumers. The difference between an ad campaign that falls short and one that hits the mark with women can be found in the opinions of women themselves, accessed through the most robust research techniques.

Next Steps You Can Take

• Learn more about the results of this study: complimentary access to the data in this report, including cross-tabulated results, is available upon request from FGI Research.
• Contact FGI Research: click here or call us at (919) 929-7759
• Explore FGI Research’s market research solutions, including custom panels, full service research, and our online sample (SmartPanel).
• Join FGI Research’s online panel to participate in future studies.

Survey Methods
Date of Study: 11/11/2009
Total Responders: 297
Sample Source: FGI SmartPanel

This nationally-representative sample consists of adults aged 18 and up and is balanced to the US population using recent census data. One can say with 95% confidence that the maximum margin of sampling error is ±4 percentage points.

1) Go West (or South) Young Man: Jobs (and therefore, people) are quickly migrating South and West: Lower taxes and fewer unions continue to encourage economic growth in the South and West. Conversely, regulations in many northern states, such as New York, are less favorable for businesses. Compounding the problem (or the opportunity for the South and West) is the fact that entire families, not just the younger workers, are moving. MR questions: How does this shift effect the consumption of your products and services? Should you test new concepts that will play better in the South and West? Should you refine the allocation of your media spend and/or the messaging behind your marketing?

2) Multi-Cultural Nation: While white non-Hispanics still comprise two thirds of the US’s 300 million people, it is the slowest growing segment at only 2%. The Hispanic population has grown over 40% since 2000 which makes it the largest minority group in the US at 50 million people (or 16%). MR questions: Do you really understand Hispanic consumer preferences as they relate to your products and services? Really? Many people give it lip service but fail to really invest in understanding this population. Do your customer satisfaction and awareness and usage studies delve deeply into Hispanic preferences?

3) Women on the Move: In a 2009 report, the Census Bureau revealed that more women had graduated college than men for the first time in US history. While the deep recession in male-dominated industries like construction and manufacturing has contributed to this shift, the increased role of women in the economic engine is a trend that’s likely to continue (see a related blog post here about women and their increased earning and purchasing power). MR questions: Are you looking at women through an outdated lens? Does your research fully understand the unique preferences of the all-powerful female consumer?

4) Power to Pops: It is forecasted that there will be 70 million grandparents by 2010. That’s a massive increase when you consider there were just 47 million in 1990. In effect, the number of grandparents in the US grew five times faster than the overall population. More importantly, grandparents are living with their children, helping with unmarried mothers (their daughters), and making spending decisions for the household. The bottom line is this: American consumers who are 50+ years old now “control the vast majority of assets and show the most economic growth.” As a result, marketing research and advertising budgets should shift accordingly, from the current allocation of 10% on that demographic to as much as 40%. MR questions: How well do you market to the grandparent demographic? Does your marketing research properly account for the grandparent demographic? How can you improve your questionnaire design, sampling and analytics in order to better understand this critical segment of the US population?

5) Christmas Spending Cheer: The Ad Age report forecasts “a small but encouraging spike in consumer spending” for this Christmas season. Furthermore it predicts, as do many other economists, that the recession in real estate will end in the spring (and construction in the summer). States likely to see the earliest turnaround include Texas and Florida, owing mainly to their relatively young populations and healthy industries. MR questions: How can you tweak your pricing and messaging to gain the most from this modest spike, without compromising the equity of your brand? Is there pent up demand for your products and services that poised to release once the psychological savings thresholds are achieved? If so, what are those thresholds and how can you ready your offerings and messaging to take full advantage of a resurgent US consumer?

David Wilson
CEO
FGI Research

Economic Downturn Causes Uptick in DIY

Of people who do DIY projects regularly, 28% report doing more DIY projects now than they did 12 months ago. The frequency of people doing DIY projects is not only increasing because of the educational opportunities on the internet, but also because of the downturn in the economy.  In fact, 33% of DIYers said that they do more DIY projects specifically because of the down economy.  Furthermore, 58% of people who do DIY regularly said that part of their motivation is expense.

Gendered Motivations
Our analysts also looked at differences in DIY preferences by gender.  The majority of respondents who did ‘light DIY’ projects were women (69%); as opposed to those who said they do ‘medium and heavy’ levels of DIY, who were overwhelmingly male.  Furthermore, women had performed only 1-2 DIY projects in the past 12 months. Most men reported doing 3-5 or more in the same time. The reasons why people chose to do DIY projects also differed by gender.  25% of those who said that ‘completing DIY projects gives me a sense of satisfaction’ were male.  Of those who said their main motivation was expense, or that they ‘enjoy learning how to do DIY projects,’ most were women.

Actionable Insights
It is important to note the differences in appeal to both men and women when thinking about the DIY market.  The main motivation behind a woman’s purchase of DIY products may be to save money or learn a new skill; a male consumer may simply be motivated by the sense of satisfaction he gets with a job well done.  This could influence how a business markets to each demographic. Research into the differences in gender demographics, using targeted sampling and specific survey questions, can help inform marketing plans to each gender.

Next Steps You Can Take

• Learn more about the results of this study: complimentary access to the data in this report, including cross-tabulated results, is available upon request from FGI Research.
• Contact FGI Research: click here or call us at (919) 929-7759
• Explore FGI Research’s market research solutions, including custom panels, full service research, and our online sample (SmartPanel).
• Join FGI Research’s online panel to participate in future studies.

Survey Methods
Date of Study: 8/24/2009
Total Responders: 259
Sample Source: FGI SmartPanel

This nationally-representative sample consists of adults aged 18 and up and is balanced to the US population using recent census data. One can say with 95% confidence that the maximum margin of sampling error is ±4 percentage points.

To put it in perspective, the worldwide increase in women’s income will be greater than the economic expansion of China and India combined during the same period. Along with this spike in earning power, women will continue to drive spending across major categories. In the United States, women control almost three quarters (72%) of all dollars spent. So, all of this earning and purchasing power clearly begs the question “what do these women want?!?” Recent research provides some very actionable answers and advice:

• They will spend more for goods and services of higher quality (65% food, 57% clothing, 56% facial skin care)
• They demand products that deliver: time savings, fulfilling experiences, and emotional benefits
• They give examples of brands that consistently meet their needs: Coach, Crème de la Mer, Adidas, Apple and Nike

Our advice: keep your research sharply focused on the wants and needs of women as they related to your specific products and services. Otherwise, you may find yourself on the outside looking in on the very people who control the majority of every dollar that is spent.

David Wilson
CEO
FGI Research

Seniors Express Worry

To gauge the level of concern the average American feels about his or her retirement, FGI Research conducted an independent survey entitled “Consumers in Crisis.” The survey identified and measured how American consumers are reacting to changes in the economy. We asked respondents, with demographic qualities that reflect the 2000 census data, for their opinions. A clear majority of the seniors we contacted voiced concerns about their financial futures. In fact, the study revealed that 56% of seniors (aged 65+) are worried about having enough money on which to retire. As noted in the 60 Minutes report, “Many [seniors] fear they will never get to retire.”

All Demographics Feel the Pinch
Seniors today aren’t the only ones interpreting ill omens. When asked about their personal finances, half of all respondents said that their financial situation has “gotten worse than it was a year ago.” So, what is the answer for those Americans who are struggling to weather the financial storm? 63% of those surveyed are resolved to save more money in the next twelve months. Reflecting recent events, 53% believe that a government-insured savings account is the safest place for their investments, highlighting perceptions of economic instability. Indeed, the public is worried and looking for a safe investment. Companies competing for business in today’s economy would do well to address this issue in an effort to reassure consumers. Establishing, or in some cases, re-establishing, trust is a significant step along the path toward brighter futures.

Actionable Insights
The economic recession has obvious effects, on multiple levels, for anyone involved in business. Marketing must be oriented to express sensitivity to economic instability while still convincing consumers to buy. Pricing must shift to reflect tighter budgets for everyone. Internal restructuring will help companies save money, too. Where and how consumers save, invest their money, or spend money, all impact purchasing decisions and have real implications for those attempting to reach those consumers. The best way to survive the recession is with targeted research to follow the trends. Using survey data supported by the most advanced research methods, companies will have the know-how and resources to help them get through tough times along with everyone else.

Next Steps You Can Take

• Learn more about the results of this study: complimentary access to the data in this report, including cross-tabulated results, is available upon request from FGI Research.
• Contact FGI Research: click here or call us at (919) 929-7759
• Explore FGI Research’s market research solutions, including custom panels, full service research, and our online sample (SmartPanel).
• Join FGI Research’s online panel to participate in future studies.

Survey Methods
Date of Study: 5/11/2009
Total Responders: 1402
Sample Source: FGI SmartPanel

This nationally-representative sample consists of adults aged 18 and up and is balanced to the US population using recent census data. One can say with 95% confidence that the maximum margin of sampling error is ±4 percentage points.