A breakdown of the big trends of 2011

1. Big Trends of 2011
Forget everything you think you know
Plus, trends in
Work
Lifestyle
Play
Consume
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2. Today
I. Big shifts of 2011
i. Demographics
ii. Economic perceptions
iii. Outlook
iv. Values
(break)
II. Interesting stuff
I. Work
II. Life
III. Play
IV. Consume
III. Teen trends
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3. America is evolving…
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4. The classic nuclear family (married couple
with children) nowaccounts for only 22%
of households
White children will in the
minority by the year 2019
For the first time, rural
Americans are just as likely to be
divorced as city dwellers
College-educated Americans are now more
likely to get married and stay married than
Americans with only a high school diploma
Source: Mintel Inspire 2011 4

5. Marriage on the wane
Trend 1: Delayed marriage
- Co-habitation has become the norm at
more than 50%
- Median age at first marriage for men
rose by six years since prime Baby
Boomer years
Trend 2: Never marry
- Especially among more downscale and
less educated
- Over ¾ of Americans over 18 were
married in 1960, but only 52% today
Key Drivers
• Extended period of
adolescence
• Economic barriers
• Glamorized single lifestyle
Source: Nielsen 5

6. The minority report From 2000 to 2010
minorities were responsible
for 92% of the US
population growth
1/3 of US is non-white
60% of growth of immigrant
population was in areas where
immigrants made up less than 5% of
the population in 2000
Source: Mintel 2011 6

7. What‟s all the chatter about
Hispanics?
U.S. Hispanic buying
By 2015, 1 in 5 Americans will
power is over $1 trillion
be Hispanic
1 in 3 of new suburbanites is
Hispanic
Source: Mintel 2011 7

8. Economy and the psyche
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9. Things are looking grim…
Although the last U.S. recession officially
ended in 2009, 80% of Americans believe the
economy is currently in a recession
42% say the U.S. economy is worse
than it was last year
61% expecting economic
conditions to be similar to
now, or worse
Source: Gallup Poll | September 2011 9

10. Belief in the “American dream”
on the decline
How Alive Is the American Dream?
Not really alive Somewhat alive Very much alive
55 55
50
45
39 40
32 34
22 24
20 18 17
11 13
1986 1993 2000 2007 2010
Source: Roper Reports US November 2010 TeleCell 10

11. Perception = Reality
Compared to a Generation Ago, Dream Is…
Harder to attain About the same Easier to attain
64 65
53
45 47
32
27
23 22 22 21
19 20
13 12
1986 1993 2000 2004 2010
Source: Roper Reports US Fall Core 2010, Q68 (online); RRUS 04-1, 01-1, and 94-1 in-
person surveys; 1986 Roper custom study for The Wall Street Journal 11

12. 72% say “Rich” = $250K+
Perception = Reality
All things considered, in which of these classes would
you place yourself?
Lower Lower Middle Middle Upper Middle Upper
60 57 Down 16 pts
51 since 1977
44
Up 13 pts since
31 1977
21 23
18 5 16
4 12 2 2 9 14 1 13 10 1
1977 1987 1992 2010
Source: Roper Reports US 12

13. Growing gap between wants vs. status
symbols
1994: 28 points
2010: 33 points
Biggest gaps today:
Belonging to private club or country club
63% status symbol vs. 11% want = 52pt. gap, +6 from 1994
Living in an exclusive neighborhood
66% status symbol vs. 18% want = 48pt. gap, +13 from 1994
Fastest growing gap since 1994:
Owning an expensive car
From a 21-pt. gap between status symbol and aspiration to a 39pt. gap
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Source: Roper Reports US Fall Core 2010
© Copyright GfK Custom Research North America 2011. Proprietary and Confidential

14. Turning lemons into lemonade
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15. Despite economic woes, Americans
still happy
• Eight in 10 Americans say they are
generally happy with their life
100
80
60
Somewhat Happy
40
20 Very Happy
0
• Two-thirds of US. adults believe
that happiness is due to relationships
with friends and family
Source: The Harris Poll Annual Happiness Index 2011 15

16. Americans are still hopeful about the future
• Although only 16% of
Americans consider
themselves well off, 50%
think they will be in five
to ten years
• More than 60% think
their financial situation
will get better next year
Source: Reuters; Hart Research Associates 16

17. Technology remains a pillar of
optimism
54% of Americans feel the Internet and
technology have “significantly expanded the
meaning of „community,‟” +8 points from
2007…
61% believe the effect of technology on
society provides optimism
Heavy tech users achieve better
work-life balance (netbook/tablet
owners +9 pts)
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Source: Roper Reports US November 2010 TeleCell

18. Technology Forwards*are more optimistic
about everything
• Higher household income
• Future of country (52% vs. 42%)
• Future of economy (48% vs. 39%)
• Country on “right track” (42% vs. 35%)
• “Good time to buy” (27% vs. 24%)
* “Technology Forwards” are those optimistic about the effect of technology on society
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18 Source: Roper Reports US Spring Core 2010

19. Living in a gadget nation
Top things that Americans 1998 2010
would like to do or have Cell phone has replaced
Travel abroad frequently for pleasure #6 #1
“driving where I want/when
I want” as the last thing
Have a beautifully decorated home 3 2
Americans will let go
Own a vacation home 1 3
Have latest tech products 12 4
Fly first class 8 5
Stay in luxury hotels 2 6
Own your own business 7 7
Own an expensive car 4 8
Eat at expensive restaurants 5 9
Send your children to private schools 14 10
Live in an exclusive neighborhood 13 11
Own expensive jewelry 9 12
Source: Roper Reports US 2010-Fall (online) 19

20. Shifts in Values
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21. A Recessionary Mindset
Largest individual values changes – 2008-2011 (by rankings)
Faith -3
Tradition -3
Knowledge -3
Learning -3
Helpfulness -4
Self-reliance +10 Enjoying life -4
Having fun -7
Thrift +6
Working hard +3
Source: Roper Reports US Spring Core 2011 and prior waves 21
(online)

22. In recession, Americans place high
value in being “Self-directed”
Americans‟ Values Types • 22% Americans (vs. 13% global average)
% classified in ValueScope™ segment can be classified as “Self-
Global USA
Directeds”, independent-minded
22 consumers who go their own way and
Self-Directeds
13
prioritize the Values of Freedom, Self-
17 Reliance, and Authenticity, according to
Hedonists
14
Roper.
14
Achievers
25 • 75% of Self-Directeds say “control over
13 my life” is part of their vision of the
Nurturers
11
Good Life, +12 from total online
12
Survivors
12
Social- 11
Rationals 10
11
Traditionalists
15
Source: Roper US Spring Core 2011 22

23. Long Term Shifts –Emerging from
DIY to DIO
Fully half of Influential Americans now feel connected to an online
community, more than double the response of just two years ago,
In Just Two Years, Influentials‟ Connection to Online Community Doubles
% of Influential Americans who feel “a strong connection” or “some connection” to group*
2007 2009
96 97 93
91 87
84 79 77 75 74
66 67
51
24
Extended Neighborhood Religion or Group sharing Workplace Local Online
family or town spiritual group hobby or community community
interest groups
Source: Roper Reports US Fall Core 2010 23

24. Sense of community rooted in online
connections
54% of Influential Americans® feel the
Internet and technology have “significantly
expanded the meaning of „community,‟”
+8 points from 2007
37% of Influential Americans think that
“people are more connected with other
people than they were 10 years ago,”
+5 points from 2007
Source: Roper Reports US TeleCell 2009 24

25. Values shift towards human
connections
Personal Values Change -Rank Order
2011 Rank change from 2001
Protecting the family 1 0
Stable personal relationships 2 +3
Freedom 3 -1
Authenticity 4 0
Self-reliance 5 +1
Friendship 6 -3
Enjoying life 7 +3
Learning 8 -1
Social tolerance 9 +5
Helpfulness 10 +4
Source: Roper Reports US Spring Core 2011 (online) 25
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26. Values that transcend earnings
Top personal values of high income ($100K+) and low income (<$30K)
consumers that are valued equally between groups
Coke: Open
Happiness
iPad: We‟ll Always
Evian: Live Young
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Source: Roper Reports US Spring Core 2011 (online)

27. "While Americans recognize that it is going
to be harder and they see challenges facing
their kids, there is still a feeling of
optimism that it really does matter if you
work hard and if you have ambition…”
– Pew Economic Mobility Project
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