Survey research is not getting easier

Observation:  Today’s Research Brief provided a summary of findings from the Pew Research Center about the challenges involved with building truly unbiased public opinion research.  On the list of challenges:  Greater difficulty contacting prospective survey participants, and lower participation rates, overall.  Click here to see the Research Brief, or to see the Pew Research Center report, click here.

Implications:   Granted, this story focuses on public opinion research, but the findings here serve as a canary in the coal mine of consumer research.  One of the reasons survey respondent rates are going down, in my opinion:  Everyone seems to be doing a survey, and many consumers are suffering from research fatigue.  It seems that every time I buy anything or dine anywhere, the cashier circles a website on the receipt where I can take a survey for the chance to win a gift card or the like.

This is important, because it is critical for companies to acquire the input and feedback of the customers they serve.  But as the Research Brief story indicates, it might be more important than ever to have a back-up source (or several) for information, beyond the simple survey.  Shopper intercepts (both in-store and online)?  Simple observation?  Focus groups?  Interviews?  More refined analysis of your sales data?  Secondary (subscription) research?

In what ways might you gain—or retain—the accurate input of your customers, with regard to their preferences, priorities and purchasing motives?  Certainly, this much is true:  When the right chance to conduct research is available to you, do not ask one gratuitous, unimportant question.  Every response matters, so make every question count!

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

UPDATE: The implications of higher debt without completing higher education

Observation:  Two weeks ago, I posted a story about the higher debt load required of people who pursue higher education (click here to see “An Educated Risk.”)   Today’s Washington Post considers that issue from another perspective:  People who pursue but do not complete their higher education; ultimately, the problem of having huge debt is compounded by the fact that they do not have the degree that could lead to a higher-paying job.  Click here to see the Post story.

Implications:   One must wonder whether we are approaching a tipping point, of sorts; one that imposes adjustments to the way college educations are sought, delivered, and paid for. 

This may not seem like a consumer-trend issue, at first glance, but I think it definitely is one.  For decades (perhaps centuries), there has been a close correlation between education and future earning power.  If an economy is such that less educated people are likely to earn less money, a fundamental shift in consumption is likely to occur if large numbers of people decide college is either financially out-of-reach, or not worth the risk.   

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

Vacations, re-defined (or just re-labeled)

Observation:  Two stories from today’s Marketing Daily suggest that family vacations look different than tradition might suggest.   The first article focuses on the now-cliché stay-cation, caused by higher gas prices and airfares.  The second story gives us a new term to consider, the near-cay. 

Implications:   Whether you call them stay-cations, day-cations, or near-cays, the point is essentially the same; consumers would rather spend money on experiences than on getting to those experiences.  They’d rather find attractions that are close-to-home, and then put their money into activities and entertainment instead of gas pumps and airlines.

No new terminology needed, as the old word works well:  Value.  And this is a great example of where the word “Value” doesn’t necessarily mean “lower cost,” it just means more enjoyment received.

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

In select cities, real estate turns a corner

Observation:  According to a story from today’s Dallas Morning News, housing prices have shown a year-over-year increase in seven cities, including Charlotte, Dallas, Denver, Detroit, Miami, Minneapolis and Phoenix.  Click here to see the full story.

Implications:   The number of cities listed is not long… but the importance of this segment is huge.  Confidence in home prices is a strong anchor for consumer sentiment.  It’s good to see that, even if only in several major markets, prices are starting to find their way back up.  Here’s to more cities following soon.

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

Role reversal: Men pursuing jobs once thought of as belonging to women

Observation:  This morning, the New York Times published an interesting article on gender role-reversals in the workplace.  But also important, the story suggested a shift toward a more modest “American dream” since the 2007-2009 recession; one that is focused on simply staying ahead of financial commitments, and having enough left over to go out for some dinner and entertainment once-in-a-while, take a modest vacation once a year, or otherwise enjoy occasional “small indulgences.”    (Not necessarily a big house and fancy cars.)  Click here to see the story.

Implications:   “Inverted expectations” is how this Times story refers to what we’ve called, “Reconciliation.”  Worth noting, as we’re seeing more and more evidence of this shift that we called out several years ago.

If men are opting into more roles that were traditionally held by women, what does that mean to the family dynamic?  Are women more likely to bring home the “breadwinner” paycheck, and men more likely to provide the “additional income?”  If she carries a greater income burden, is he assuming a greater role in such household responsibilities as childcare, housekeeping, and laundry?  If these kinds of changes are happening in the workplace or household… what do they look like by the time those changes walk into your store, dealership, or lobby?

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

Record numbers of people working after age 65

Observation:  The great recession of 2007-2009 left many casualties in its wake, not least of which were battered investment accounts and many peoples’ retirement aspirations.  With that in mind—and with so much uncertainty about the future of Social Security and other programs—it was not so surprising to see an article in the New York Times this weekend that explained how many older folks remain in the workforce.  Click here to see the story.

Implications:   Baby boomers have re-defined every life stage as they moved through it.  Why should retirement (or, re-hirement) be any different?

As you think of targeting “career workers,” does the image that comes to mind include people who have gray hare or hassles with arthritis?  As older Americans earn a share of available income that is larger than earlier generations, their needs and preferences could become more and more important to more and more companies.

Does opportunity knock for your business in serving an older workforce?

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

Millennials as the “unbanked” generation. (Could your category face the same fate?)

Observation:  A story from USA Today this morning builds on the body of opinion that banks are losing significant market share to check-cashing services, payday loan operations and other alternatives to traditional banking.  Click here to see the story.

Implications:   As one reviews the stories we’ve posted about banking at this site, this issue has become a frequent topic and an important focal point as the banking industry evolves.

What kinds of tools or services could banks offer to become more relevant to young adults?  While direct payroll deposit and online bill-pay services have become an important service to young adults… they’ve also reduced the face-time bankers used to get with these customers and prospects.  How could banks begin to re-build a personal relationship with their young customers?

By the way, the impact of this issue is not limited to banking.  More and more life tasks are either automated or performed online as time goes by (consider the way people research, shop and buy things like cars, plane tickets, music, personal electronics, etc.)  Is the product or service you sell subject to this same frustration within the next few years?  How will you respond?

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

Abandoning the in-store shopping cart: Smartphones intercepting retail purchases

Observation:  Fifty-three percent of mobile commerce users say they have halted an in-store purchase because of an offer or information they found online, while in the store.  That’s according to research from the Internet Advertising Bureau as published today at MobileCommerceDaily.com.   Among mobile device owners, 73% have used their smartphone in-store.  Click here to see the full story.

Implications:   We’ve written about “Showrooming” in this space before (see the series by clicking here), but it seems new data is constantly arriving to illustrate just how pervasive the practice might be.

If you have a physical location—and I’ve suggested this before—wouldn’t it be smart to have a strategy where small business-card-sized brochures could be placed near the price on each shelf, containing the URL to your store’s website (and perhaps an offer that would incentivize the use of your site)?  If consumers are going to take the shopping experience online, at least they stand a better chance of continuing to do that shopping with you.  

[Note:  Thanks to friend and colleague Matt Sunshine for passing along the MobileCommerceDaily.com story along!]

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

Whites represent less than half of births in U.S.

Observation:  It’s official… non-Hispanic white births accounted for less than fifty percent of babies born during the twelve months that ended last July, according to the Census bureau.  The headline was published by the New York Times this morning, and you can click here to see the full story.

Implications:   Multiculturalism is here to stay, a demographic tipping point that has been long-expected in the melting pot known as US.   50.4% of babies born in the most recent recorded year were of Hispanic, Black, Asian, or mixed-race heritage.  Whites still represent a majority of the population as a whole (at 63.4%, according to the story), but an aging Caucasian population means it is only a matter of time until that is no longer the case.

Much coverage will focus on this moment in the coming years.   

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

Can’t decide? Furniture store lets you sleep on it.

Observation:  The Springwise.com newsletter that was published this morning features a story about a New York City furniture store that lets you try the bedroom before you buy.  Click here to see the full story.

Implications:   This week, I’ll be in New Orleans speaking to a conference of home furnishings and interior design professionals (known as ART), so this idea was particularly timely.  It might inspire us to ask, “In what ways might I demonstrate my unique value proposition, instead of just making claims about it?” 

Not everyone can invite customers in for a sleepover, but there are other ways to help the customer take a test drive, such as testimonials from past clients, written success stories, and photographs and/or videos of your product or service in action.  

Consumer confidence is not just about the economic outlook.  You can influence the customer’s confidence by the way you help them discover the benefits of your product or service.  Don’t just say, “Believe me.”  Satisfy the customer’s preference of, “Show me.”

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

Home improvement spending increases

Observation:  Today’s Marketing Daily cites a report from NPD indicating the home improvement category enjoyed an 11% increase in spending over the past 12 months.  The story also mentions that online spending in the category is up dramatically.  Click here to see the story.

Implications:   The increase in spending in the category makes a lot of sense.  With so many folks upside-down (in terms of home equity) and unable to move into their next dream home… they’re doing what it takes to make their current house the home of their dreams.

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.

An educated risk: Higher ed requires higher debt

Observation:  Last weekend, the New York Times published an in-depth story about the rising costs—and tremendous loans—many students are having to consider when pursuing a college degree.  Click here to see it.

Implications:   Deep in the story, these writers compare the current student loan crisis to the mortgage bubble… not because it holds the same potential to harm our greater economy, but because of the “education at any price” mentality that has prevailed in recent years, and because many students fail to realize the long-term consequences of tuition debt.

As I finished this story, I was left with several questions.  Is the U.S. at risk of a downgrade, in terms of its leadership position in education?  What kinds of jobs (indeed, what kind of an economy) await the less educated working population?  Will the academic world correct itself, creating more schools that focus on a specialty and fewer that offer deep programs in all subject categories?

This is a category that seems to be poised for a shake-up.

Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.