The Haves & Have
Nots
Content based on June 18, 2013 webcast
Who are the Haves & Have Nots?
HavesHave Nots
Source: Prosper Insights & Analytics & U.S. Census Bureau, Current Populatio...
The Disappearing Middle Class
Source: Pew Research Center tabulations of the Current Population Survey, Annual Social and ...
Haves & Have Nots
Have
Have
Not
Household Income < $60K Household Income > $60K
Age
Gender
Children
Ethnicity
Education
Ma...
Confidence and Gas Prices
Source: Conference Board and the Energy Information Administration
Confidence
GasPrices
Consumer Confidence
Which one of the following best describes your feelings about chances
for a strong economy? Confident/...
Consumer Happiness
Source: Prosper Insights & Analytics Monthly Consumer Survey, February 2013
Please rate how happy you a...
Tax Increase Impacted BOTH Groups
58% of consumers say they have been greatly/somewhat
impacted by the federal tax increas...
Economic Pressures
Source: Prosper Insights & Analytics Monthly Consumer Survey, April 2013
I invest in the
stock market.
...
Shopping Preferences
How do you define “Good Deal”?
Which of the following are most important to you in terms
making you feel like you got a “G...
Shopping Trip Tactics
Source 1: Kantar Retail ShopperScape, February 2013. Source 2: Prosper Insights & Analytics Monthly ...
Electronics Shopping
- At which store do you shop most often for electronics?
Source: Prosper Insights & Analytics Monthly...
Why care about the Have Nots?
- Electronics Average Household Spend
Source: Prosper Insights & Analytics Monthly Consumer ...
Eating Out
- At which fast food restaurant do you eat most often?
+3 ppts since
2009
Source: Prosper Insights & Analytics ...
Why care about the Have Nots?
- Eating Out Average Household Spend
Fast Food Have Nots
(60% of Households)
Haves
(40% of H...
Grocery Shopping
- At which store do you shop most often for groceries?
Discount once again wins
for both groups, but trul...
Why care about the Have Nots?
- Grocery Average Household Spend
Source: Prosper Insights & Analytics Monthly Consumer Surv...
Media Usage
Haves & Have Nots
Have
Have
Not
Household Income < $60K Household Income > $60K
Millennials
Less
education
Retirees
Two pa...
Media Influence: Digital vs. Traditional
- At first glance, only slightly different
Have Nots Haves
Traditional Media
Digi...
Overall Media Influence - General
Source: Prosper Insights & Analytics MBI Survey. Dec 2012, n=19,774. Media influence ave...
A closer look at the Have Nots
- Have Nots encompass two very different consumer groups
Millennials Retirees
Traditional M...
Media Influence
Millennials
Coupons
Magazines
Blogs
Direct Mail
Email
Internet
Advertising
Inserts
Newspapers
Source: Pros...
Media Influence on Millennials
Print is still most influential:
Print
Online
Source: Prosper Insights & Analytics MBI Surv...
A closer look at the Haves
- The Haves are comprised of very similar groups
Higher Education Lower Education, Married
Trad...
Haves Use MORE Media
Source: 2012 Doublebase GfK MRI
Media Usage Varies by Sub-Group
• Millennials’ media usage tends to look more like Haves.
• Haves with higher education ha...
Who’s Using More Coupons?
Have Nots
44%
Haves
55%
Source: 2012 Doublebase GfK MRI
- It’s not who you think
Overall Coupon ...
Coupon Use by Households with Children
Coupon Usage of Households with
Children Under 18
All HHs
Have
Nots
(indexed
agains...
Who is purchasing online?
Q. How often do you purchase products online? (Regularly means routinely, as a set
pattern)
- Ha...
What does it all mean?
Media vs Channel
Media Channel
Online
Mobile
Mail
Radio
Email
Newspaper
Coupons
Social
TV
Specialty Electronics
Specialty ...
Target Your Message Accordingly
Haves = Deals
It’s on Sale!
Use this Coupon!
Have Nots = Lowest Possible Price
Try our pri...
Things to Keep in Mind
• The Haves Nots might not have the money, but they do have
the numbers.
• Both groups exhibit near...
For More Information or Questions:
valassis@valassis.com
877-529-5001
Upcoming SlideShare
Loading in...5
×

Haves & have nots - Buying patterns and response to media

180

Published on

The Haves Nots might not have the money, but they do have the numbers.
Both groups exhibit near identical media influence patterns. Look at the sub-groups target them effectively.
Speak to the Have Nots about everyday low prices. Speak to the Haves about deals.

Published in: Business, Economy & Finance
0 Comments
1 Like
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
180
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
3
Comments
0
Likes
1
Embeds 0
No embeds

No notes for slide

Haves & have nots - Buying patterns and response to media

  1. 1. The Haves & Have Nots Content based on June 18, 2013 webcast
  2. 2. Who are the Haves & Have Nots? HavesHave Nots Source: Prosper Insights & Analytics & U.S. Census Bureau, Current Population Survey, 2012 Annual Social and Economic Supplement. Average HHI: $34,000 60% of the population 25% of the income  $60k = Mean HH Income - 2012 household income distribution, number of households by income bracket Average HHI: $100,000 40% of the population 75% of the income
  3. 3. The Disappearing Middle Class Source: Pew Research Center tabulations of the Current Population Survey, Annual Social and Economic Supplements, 1971-2011.
  4. 4. Haves & Have Nots Have Have Not Household Income < $60K Household Income > $60K Age Gender Children Ethnicity Education Marital Status
  5. 5. Confidence and Gas Prices Source: Conference Board and the Energy Information Administration Confidence GasPrices
  6. 6. Consumer Confidence Which one of the following best describes your feelings about chances for a strong economy? Confident/Very Confident Source: Prosper Insights & Analytics Monthly Consumer Surveys, April 2012 – April 2013 30 days after payroll tax increase 30 days after payroll tax increase
  7. 7. Consumer Happiness Source: Prosper Insights & Analytics Monthly Consumer Survey, February 2013 Please rate how happy you are with the following: (Happy/Totally Happy)
  8. 8. Tax Increase Impacted BOTH Groups 58% of consumers say they have been greatly/somewhat impacted by the federal tax increase. In which ways will your household cope financially as a result of the tax increase? Have Nots Haves Index (haves nots to haves) 1 Spending less overall 49% 44% 111 2 Watching for sales more often 39% 34% 114 3 Reducing dining out 36% 32% 113 4 Using coupons more often 35% 31% 113 5 Spending less on clothing 32% 27% 117 6 Buying more store brand items 28% 20% 140 7 Cutting back on vacation 27% 26% 105 8 Reducing entertainment plans 27% 24% 111 9 Delaying major purchase(s) 26% 24% 111 10 Shopping at discount stores more often 26% 20% 132 Source: Prosper Insights & Analytics Monthly Consumer Survey, February 2013
  9. 9. Economic Pressures Source: Prosper Insights & Analytics Monthly Consumer Survey, April 2013 I invest in the stock market. Have Nots Haves 54% 80% I’m not saving enough to meet my future needs. Have Nots Haves 45% 28% I’ve deferred eating out in the last 30 days. Have Nots Haves 53% 41% I’m spending less on groceries because of gas prices. Have Nots Haves 25% 16%
  10. 10. Shopping Preferences
  11. 11. How do you define “Good Deal”? Which of the following are most important to you in terms making you feel like you got a “GOOD DEAL”? Have Nots Haves Buying an item on clearance 46% 42% Buying an item on sale (% off regular price) 45% 54% Having confidence that I am paying the lowest possible price 35% 37% Buying something that has exactly the features and functionality I need 23% 23% Buying an item on a "BOGO" (buy one, get one) special 23% 21% Knowing that I'm paying an everyday low price for an item 21% 16% Buying an item that is high quality 19% 25% Source : Kantar Retail ShopperScape, September 2012 • Have Nots are more likely to buy at the LOWEST POSSIBLE PRICE • Haves are more likely to purchase based on GETTING A DEAL
  12. 12. Shopping Trip Tactics Source 1: Kantar Retail ShopperScape, February 2013. Source 2: Prosper Insights & Analytics Monthly Consumer Survey, February 2013 36% of Have Nots are buying MORE STORE BRANDS as a result of fluctuating gas prices. Only 27% of Haves feel so inclined. 2
  13. 13. Electronics Shopping - At which store do you shop most often for electronics? Source: Prosper Insights & Analytics Monthly Consumer Survey, 2013 Have Nots are MORE THAN TWICE AS LIKELY than Haves to purchase electronics at Walmart. Best Buy is still the king of electronics! Haves are 46% more likely to shop at Best Buy than Have Nots.
  14. 14. Why care about the Have Nots? - Electronics Average Household Spend Source: Prosper Insights & Analytics Monthly Consumer Survey, 2013, U.S. Census HHDs in 2011 114,761,359 Electronics Have Nots (60% of Households) Haves (40% of Households) Average Spend per Year $433 $789 Number of U.S. Households 68,856,815 45,904,544 Opportunity $28.8B $36.2B
  15. 15. Eating Out - At which fast food restaurant do you eat most often? +3 ppts since 2009 Source: Prosper Insights & Analytics Monthly Consumer Survey, 2009 - 2013 +4 ppts since 2009 McDonalds has increased share with Have Nots In the past 5 years. . . Subway has increased share with Haves
  16. 16. Why care about the Have Nots? - Eating Out Average Household Spend Fast Food Have Nots (60% of Households) Haves (40% of Households) Average Spend per Visit $11.00 $12.53 Number of U.S. Households 68,856,815 45,904,544 Opportunity $757MM $575MM Source: Prosper Insights & Analytics Monthly Consumer Survey, 2013, U.S. Census HHDs in 2011 114,761,359
  17. 17. Grocery Shopping - At which store do you shop most often for groceries? Discount once again wins for both groups, but truly exceeds with Have Nots Source: Prosper Insights & Analytics Monthly Consumer Survey, 2013
  18. 18. Why care about the Have Nots? - Grocery Average Household Spend Source: Prosper Insights & Analytics Monthly Consumer Survey, 2013, U.S. Census HHDs in 2011 114,761,359 Grocery Have Nots (60% of Households) Haves (40% of Households) Average Spend per Month $254 $343 Number of U.S. Households 68,856,815 45,904,544 Opportunity $17.5B $15.7B
  19. 19. Media Usage
  20. 20. Haves & Have Nots Have Have Not Household Income < $60K Household Income > $60K Millennials Less education Retirees Two parent families More education Gen X
  21. 21. Media Influence: Digital vs. Traditional - At first glance, only slightly different Have Nots Haves Traditional Media Digital Media27% 23% 73% 77% Source: Prosper Insights & Analytics MBI Survey. Dec 2012, n=19,774. Media influence averaged across all nine measured categories: Electronics, Apparel, Grocery, Home Improvement, Car/Truck, Medicine, Telecom, Dining Out, Financial Services/Insurance.
  22. 22. Overall Media Influence - General Source: Prosper Insights & Analytics MBI Survey. Dec 2012, n=19,774. Media influence averaged across all nine measured categories. Top 16 media.
  23. 23. A closer look at the Have Nots - Have Nots encompass two very different consumer groups Millennials Retirees Traditional Media Digital Media31% 20% 69% 80% Source: Prosper Insights & Analytics MBI Survey. Dec 2012, n=19,774. Media influence averaged across all nine measured categories: Electronics, Apparel, Grocery, Home Improvement, Car/Truck, Medicine, Telecom, Dining Out, Financial Services/Insurance.
  24. 24. Media Influence Millennials Coupons Magazines Blogs Direct Mail Email Internet Advertising Inserts Newspapers Source: Prosper Insights & Analytics MBI Survey. Dec 2012, n=19,774. Media influence averaged across all nine measured categories: Electronics, Apparel, Grocery, Home Improvement, Car/Truck, Medicine, Telecom, Dining Out, Financial Services/Insurance. Retirees Common Media Strengths
  25. 25. Media Influence on Millennials Print is still most influential: Print Online Source: Prosper Insights & Analytics MBI Survey. Dec 2012, n=3,903.
  26. 26. A closer look at the Haves - The Haves are comprised of very similar groups Higher Education Lower Education, Married Traditional Media Digital Media23% 21% 77% 79% Source: Prosper Insights & Analytics MBI Survey. Dec 2012, n=19,774. Media influence averaged across all nine measured categories: Electronics, Apparel, Grocery, Home Improvement, Car/Truck, Medicine, Telecom, Dining Out, Financial Services/Insurance.
  27. 27. Haves Use MORE Media Source: 2012 Doublebase GfK MRI
  28. 28. Media Usage Varies by Sub-Group • Millennials’ media usage tends to look more like Haves. • Haves with higher education have the HIGHEST media usage. Source: 2012 Doublebase GfK MRI Have Nots Haves
  29. 29. Who’s Using More Coupons? Have Nots 44% Haves 55% Source: 2012 Doublebase GfK MRI - It’s not who you think Overall Coupon Use
  30. 30. Coupon Use by Households with Children Coupon Usage of Households with Children Under 18 All HHs Have Nots (indexed against All HHs) Haves (indexed against All HHs) Use Cents Off Coupons 100 81 112 Mail Coupons 100 78 121 Coupons from Sunday Newspaper Inserts 100 70 112 Store Loyalty Card Coupons 100 67 134 Internet / Email Coupons 100 87 149 • Haves use more coupons; especially mail, internet/email and store loyalty card Source: 2012 Doublebase GfK MRI. Index 101-120 Household skews toward that variable. Index >120. Household skews heavily toward that variable
  31. 31. Who is purchasing online? Q. How often do you purchase products online? (Regularly means routinely, as a set pattern) - Haves do most of the online purchasing, but Have Nots are catching up due to Millennials % Change since 2006 +1% +17% • Millennial online purchasing has grown 29% since 2009 • Gen X grew 6% • Boomers declined 5% Prosper Insights & Analytics Media Behaviors & Influence Study, Dec 2012
  32. 32. What does it all mean?
  33. 33. Media vs Channel Media Channel Online Mobile Mail Radio Email Newspaper Coupons Social TV Specialty Electronics Specialty Pet Supermarket Online Discount Stores Dollar Stores Small Format Value Online Have Nots Haves Display Magazines Ad Inserts
  34. 34. Target Your Message Accordingly Haves = Deals It’s on Sale! Use this Coupon! Have Nots = Lowest Possible Price Try our private label! Check out our everyday low prices! Buy what you NEED for less! Buy what you WANT for less!
  35. 35. Things to Keep in Mind • The Haves Nots might not have the money, but they do have the numbers. • Both groups exhibit near identical media influence patterns. Look at the sub-groups target them effectively. • Speak to the Have Nots about everyday low prices. Speak to the Haves about deals.
  36. 36. For More Information or Questions: valassis@valassis.com 877-529-5001
  1. A particular slide catching your eye?

    Clipping is a handy way to collect important slides you want to go back to later.

×