Posts Tagged ‘consumers’
Tuesday, July 21st, 2009
Tomorrow, the Consumer Protection Subcommittee of the Senate Commerce Committee will hold a hearing entitled “Advertising Trends and Consumer Protection.†The hearing will consider several issues in advertising, including the use of the word “free†and Endorsements and Testimonials. This is part of a broader reevaluation of the FTC’s powers and funding. An explanation of tomorrow’s hearing is really not complete without an explanation of last week’s hearing. Last week, from the first opening statement to adjournment, the hearing focused on testimony from consumer groups and emphasized that consumers are targeted by scams and needed additional protection from the FTC (P.S.- You can watch this hearing and kind of see me in the background on C-SPAN here). On a panel of four, a lone dissenter, Tim Muris, former FTC chairman, claimed that the FTC did not need a major expansion in order to effectively protect consumers.
In contrast, this week we have two ERA members testifying and one representative from the National Advertising Review Council (NARC), which administers the ERSP program (ERA’s independent self-regulatory program). We look forward to hearing some dynamic testimony from Guthy-Renker’s Greg Renker and Product Partners’ Jon Congdon. We worked hard to make sure our industry was represented and that this hearing would be more balanced than the last. We’re certain that Renker and Congdon will provide effective counterpoint claims that the FTC needs more authority on the testimonials issue. They can show that our industry is enthusiastic about creating an environment that protects consumers. They are our customers for Pete’s sake! They will also show how effective principled self-regulation is in promoting honest business practices.
For more information or to watch tomorrow’s hearing live or immediately upon completion, click here. (The video may not post until the conclusion of the hearing)
Follow me on Twitter for my live updates from the hearing: Tomi_ERA
Tomi Turner is ERA’s legislative manager.
Tags: Advertising, beachbody, consumers, electronic retailing association, endorsements, ERA, ftc, greg renker, guthy-renker, hearing, jon congdon, narc, national advertising review council, senate, testimonials, tim muris, tomi turner, twitter
Posted in Advertising, Branding, Direct Response, ERA, Government Affairs, Infomercials, Marketer, Retailer, Social Networks, Video, drtv | 1 Comment »
Tuesday, May 26th, 2009
Retailers know that if there was ever a time to keep their customers happy it’s now. They also know that finding new customers costs more time, resources and money than keeping existing customers. One way retailers are trying to keep economy-squeezed consumers satisfied is with discounts, and the key to effective discounting — without sacrificing ROI — is understanding your customers’ needs and motivations.
Here are five ways to make sure your discounting is on-target, customer-centric and profitable:
1.   One size does not fit all
The same discount offer will not fit the needs of all customers. Some are impulse buyers willing to pay full price; some are “coupon clippers†who won’t buy anything at full price but will buy something they don’t need if it’s on sale. Then there’s a range in between. Understand the differences between your customers and then use that insight to vary offers based on their discount-sensitivity.
2.   Test for the right mix
Start to learn customer differences by looking at the percentage of total items they purchase at a discount. Then compare how they respond to communications with a discount vs. those without. Try replacing discount offers with more relevant, full price product offers for those customers less sensitive to discounts. The right mix of discount and non-discount oriented offers will gradually emerge.
3.   Don’t over-discount
Many companies use discount offers and coupons in most of their customer communications, trying to drive loyalty. Although it’s often an effective strategy that drives traffic and purchases, discounting constantly trains customers to look for and wait for deals – lowering the chance that they will buy at full price. And then there’s the ongoing cost of the discount itself.
4.   Accept their terms
Make your offers consistent with customer shopping preferences. For example, if they like to buy in-store, your offer should emphasize store location and convenience in addition to the discount. You might prefer them to purchase online, but offering free shipping if they purchase online is not likely to work.
5.   Don’t rush to slash
Try to understand what motivates or turns off individual customers. For example, you probably have a large number of customers who have abandoned online shopping carts multiple times. They may be hesitating to complete the purchase because they just can’t stomach the shipping charges. Try testing free shipping for these people before you rush to discounting the product. You might just increase your conversion rate in the process.
Andy Cutler is chief strategy officer at Mercury, a Boston-based, insight-driven marketing agency that drives growth and profitability for clients through enhanced customer experiences.
Tags: abandonment, andy cutler, consumers, customers, discounting, discounts, economy, mercury, retailers, roi, shopping cart, tips, traffic
Posted in Advertising, Branding, Direct Response, Marketer, Online, Retailer, SEM/SEO, Web Analytics, e-commerce | No Comments »
Friday, May 8th, 2009
In tough times like these, the first thing many marketers cut back on is marketing and related marketing programs.
Advertising Age recently reported a $600 million cut to advertising and promotional budgets. Even Federal Express is feeling the pressure. FedEx, along with several other advertisers, dropped out of the Super Bowl after having participated for the last several years.
Spending cuts are affecting many different businesses. However, media planners who anticipate cutting resources in these tough times may want to reconsider acting too fast without considering all the facts.
Conservative Consumer Behavior
Yes, the news is filled with negative stories about cautious consumers in this fledgling economy. But even though consumers are spending less, experts have noticed their spending behaviors mostly affect industries including shopping, traveling, entertainment and consumption of higher-end brands. As a result, consumers are responding to these tough economic times by turning to discretionary leisure activities that don’t cost a lot.
Connecting with Consumers
But advertisers can still benefit since more time spent watching television, surfing the Internet, playing video games and engaging in other at-home activities means it could be easier to catch consumers in a more receptive state of mind.
When consumers engage in activity outside of home, there are usually too many distractions like driving, cell phone use and interacting with others that easily diverts their attention.
Advertisers know that their messages are much more effective when delivered in a less distracting environment – whether it’s through television, a magazine or the Internet. This gives them the best opportunity to establish a connection.
Do you agree?
Peter Koeppel is a Wharton MBA and president of Koeppel Direct, a full-service media buying agency based in Dallas.
Tags: Advertising, consumers, economy, koeppel direct, marketing, media, peter koeppel
Posted in Advertising, Branding, Direct Response, Marketer, Mobile, Online, Research, Retailer, drtv, e-commerce | No Comments »
Friday, March 27th, 2009
The other day I went to the grocery store and stopped in the OJ section to pick up a carton of Tropicana. When I reached for it, I quickly drew back my hand as I was faced with some cracker jack looking generic orange juice. Where’s my Tropicana with the straw punctured in an orange? Maybe Tropicana is pulling a prank and I’m secretly being filmed for a commercial like Burger King did when they pretended to eliminate the Whopper from their menu. It was then I realized this was no joke. Tropicana ripped out their straw, squirted orange juice in my eye and changed their package design.
I imagine what went on during the brainstorm session of creating their new packaging. They began to discuss how the economy crisis is affecting people’s spending habits when some genius said, “I have an idea. Instead of maintaining and building loyalty, why don’t we change our classic, trustworthy design to a generic one and deceive consumers into thinking they’re buying a store brand of orange juice?†I couldn’t help but feel betrayed and offended by their decision. I thought Tropicana was all about the orange, not the green. If they had stayed true to their core and reminded me why they were worth my money rather than trick me to squeeze some extra pennies, I wouldn’t have questioned my loyalty to them.
As if deception wasn’t enough of a shot to the heart, Tropicana created confusion among consumers. People either didn’t recognize them or if you’re like me, you wondered if their orange juice was going to make your mimosa taste bad. Was it not 100 percent juice before? A generic design put the quality at risk. It was lifeless, forgettable, and bruised the value of their brand. They destroyed their iconic soul and lost the core essence of what made them great.
Even though some loved the simple look, most wanted the classic design back. The new design didn’t resonate. Some called it, “the end of an era.†Consequently, after two months of consumer protests towards the package redesign, Tropicana has decided to return to the design we know and love. They made an expensive mistake, but they redeemed themselves by listening to their consumers. Branding is about building relationships out of love and loyalty, whereas marketing focuses on transactions. The economy crisis has become a pivotal test for companies. Tropicana taught us all a valuable lesson – don’t mess with the brand.
Jordan Sullivan is a marketing director for Chick-fil-A.
Tags: brand loyalty, Branding, chick-fil-a, consumers, economy, jordan sullivan, orange juice, tropicana
Posted in Advertising, Branding, Just for fun..., Marketer, Retailer | No Comments »
Thursday, January 22nd, 2009
Late last week, the Federal Trade Commission (FTC) granted a request for a 60-day extension filed by ERA and other prominent advertising associations. Our request focused on the significance of the changes for direct marketers and for “new media.†These changes could dramatically affect both industries, so it is essential any changes are made with caution. The period for comment will now last until March 2, 2009. The previous deadline was January 30th. The vote for the extension was unanimous. This extension is only the first step in our advocacy efforts. Moving forward we will lead a coalition of trade associations to seek a solution that is beneficial for our member companies and for consumers. If you would like to learn more about this issue, please click here. Do not hesitate to contact me if you have any further questions.
Tomi Turner is ERA’s legislative manager. She can be reached at (703) 908-1022 or via e-mail at tturner@retailing.org.
Tags: Advertising, blog, consumers, direct marketing, drtv, Electronic Retailer, electronic retailer association, endorsements, ERA, federal trade commission, ftc, Government Affairs, new media, testimonials, tomi turner
Posted in Advertising, Direct Response, ERA, Government Affairs, Infomercials, Marketer, Online, Retailer, Social Networks | No Comments »
Monday, January 19th, 2009
We’ve heard the reports, seen the numbers and heard the ba humbug! This past holiday season was one of the most dismal for retailers in years. Stores were slashing their prices to get rid of merchandise and still weren’t seeing the sales of years past. So how does a company compete and distinguish itself in such a tough economy? Obviously, red-lined prices aren’t making an impact, but great customer service leaves a lasting impression.
Take in point one of our customers, Drugstore.com, an online drugstore. This holiday season it decided to launch a chat feature for a subsidiary site Beauty.com. Not just a place to sell beauty products, Beauty.com features what’s hot this season, a video library with demonstrations and now with the new chat feature, Beauty.com is replicating the beauty experience consumers have at the makeup counter in their local department store. Trained beauty experts, all with esthetician or beauty counter experience, can now engage in chat sessions with online shoppers to share immediate advice on the best products for their needs from the convenience and privacy of their homes. For example, experts provide specific recommendations regarding budget, skin tone, color coordination or new products.
And what’s interesting is that Beauty.com is converting approximately 40 percent of chat sessions into product orders. Drugstore.com is depending on excellent, personalized customer service to keep sales up as opposed to brand or price. For me, a big online shopper, it was great. It gave me the personalized attention to help me find the perfect shade of red for the big holiday party all from the comfort of my home.
You can meet with Suzy Meriwether of RighNow Technologies at the eRetailer Summit’s Solution Zone on Sunday, March 1, from 12:00 p.m.—3:00 p.m. and hear her speak on Monday, March 2, from 9:00 a.m.—10:00 a.m. Register here!
Tags: beauty.comy, blog, consumers, drugstore.com, e-commerce, Electronic Retailer, electronic retailing association, ERA, eretailer summit, holiday shopping, live chat, retailers, rightnow technologies, solutions zone, suzy meriwether
Posted in Branding, ERA, Marketer, Online, Research, Retailer, Social Networks, Video | 1 Comment »
Thursday, January 15th, 2009
There is no question about it—the world is going through an economic downturn. Consumers are cutting back on their spending and businesses are facing tough decisions, perhaps the strongest signal for a stormy period to come. According to Forrester, a leading technology analyst, “Risks have grown that the U.S. and other major countries will experience a longer and deeper recession than we had expected. If so, the hi-tech market would see several quarters of declines in purchases, not just two or three quarters with little or no growth in late 2008 and the first half 2009.â€
With these findings in mind, what can e-commerce merchants do to keep their e-business boat afloat during times when budget cuts and financial declines are the daily routine? What should they particularly focus on to keep sales revenues at a decent level? The following are five navigation rules by a payment service provider for sailing in the e-commerce world in 2009.
Rule 1 – Increase your customers’ loyalty
This is the time when customer loyalty becomes more crucial than ever, as end-users will be acting very cautiously in regards to their spending and will most likely prefer to go back to a website with which they feel familiar and comfortable rather than to a new vendor. Knowing your customers and monitoring their purchasing behavior can turn your online business into a highly profitable operation.
VIP customer tools for merchants are able to differentiate between their “good†customers that should preferably be allowed higher purchase amounts and small, occasional or new end-users who should be limited to only certain purchase amounts. Having a VIP customer tool is a highly beneficial decision—it acts as a supporting device, allowing you to define the profitable customers VIPs and increase costumer loyalty.
Rule 2 – Expand your sales reach
Targeting new end-user markets is always significant when trying to keep revenue growing. The ideal payment processor should provide you with all major currencies; while at the same time allowing processing and settlement currencies to be kept identical, allowing you maximum processing flexibility. A payment service provider that provides all major currencies—while keeping processing and settlement currencies identical—allows you maximum processing flexibility. In addition, your PSP should have sophisticated risk management, enabling traffic from high-risk countries typically blocked by acquiring banks.
Rule 3 – Secure your online payments
As you enter 2009, you should be aware of the risks involved with acquiring a bank, no matter if your traffic is local or international. Finding the connected payment-service provider that has an array of acquiring banks in its portfolio and matching it with the specific processing needs of e-commerce operators is what makes the crucial difference. Any payment processor that offers you a solution with more than one merchant account with several acquiring banks under one roof spreads your online risks.
Rule 4 – Reduce payment processing costs
Your payment service provider can help you identify specific activities that can lower costs. They should offer direct merchant accounts with solutions that focus on accurate fraud prevention. In other words, they need to differentiate between suspicious transactions that will eventually lead to profitable sales and those that will lead to fraud and loss.
Thorough and accurate fraud prevention is a crucial factor in achieving high sales goals. Blocking fraudulent transactions and approving legitimate transactions while converting them to profit is an example of this. At the end of a processing day, the fraud prevention tools aim not only to increase sales, but also to prevent unnecessary chargeback fees and fines.
Rule 5 – Increase your traffic conversion
With an active online operation, every e-merchant seeks tactics to increase traffic. Your online payment service provider can play a crucial role in increasing online traffic conversion. Instead of employing a rough scrubbing system, which in most cases, cuts down valuable traffic due to a resolute filtering policy, a “Traffic Management†tool analyzes the traffic most accurately and improves the approval ratio of profitable transactions.
Well-established partnerships with leading acquiring banks allow your PSP to control incoming transactions by splitting them between the banks according to pre-configured ratio parameters and country attribution. This assists you, as online operators, in receiving higher approval ratio, thus in receiving higher sales conversion.
Sharon Gal Franko is SafeCharge’s director of marketing and sales.
Tags: consumers, conversion, e-commerce, Electronic Retailer, fraud, merchants, online shopping, Payment Processing, recession, safecharge, secure payments, sharon gal franko, traffic
Posted in Marketer, Online, Payment Processing, Research, Retailer, Support Services, Web Analytics | No Comments »
Monday, January 5th, 2009
As we wind down the holiday buying season and start to look ahead to next year, the question on many direct response marketers’ minds continues to be how to target the right customer with the right offer. And perhaps even more importantly, how can this be done without increasing CPA.
Marketers need the ability to capture their audience’s response through any channel. For instance, what happens when your customer sees that spot on TV and decides to purchase via a mobile phone or the web days after the airing? What about the customer who saw the ad, visited the site and did not buy? Or, what about the client who did not see the spot, but is a potential buyer because of his or her past history?
The key is to cover multiple media channels and add new channels for response. It’s much more cost and time efficient for marketers to integrate all channels, as opposed to planning for TV, online and mobile separately. It only makes sense to consider multichannel response options because you can’t tell a customer where to buy; you can only suggest mediums through which to engage. Try to cover as many POS areas as possible, so the experience for the consumer is as integrated and easy as possible. You will extend the reach and effectiveness of media buys and capture sales that might otherwise be lost.
Not all customers want to transact the same way, so behavioral targeting and dynamic scripting which changes “on the fly†adapting for each customer’s specific responses is critical. By providing them with multiple options in the most important segment of the purchasing funnel – the actual buy itself – you can convert them from a shopper to a buyer.
Let’s take a brief look at a typical customer journey. Let’s assume that the consumer sees something they like on TV and calls the 1-800 number flashing on the screen. Depending on what the consumer is asking for in the phone call, you need to provide them with the right automated response and guide them down the purchasing path. Next, look at all the buying criteria and create individual scripts for each product. If the transaction was not completed the first time, follow up with email or SMS campaigns to help close the deal.
For your next keystone-marketing event, don’t leave sales on the table. Direct your consumers’ response through a multichannel program to capture ALL the sales generated by your advertising activities. Make a New Year’s resolution not to lose the right customer to the wrong channel or wrong offer.
Michael Ferzacca is CEO of Ignite Media Solutions.
Tags: behavioral targeting, blog, consumers, cpa, customers, ecommerce, Electronic Retailer, email, ignite media solutions, mike ferzacca, multichannel marketing, sms, tv
Posted in Advertising, Direct Response, Marketer, Mobile, Online, Retailer | 2 Comments »
Monday, December 8th, 2008
The Mobile Marketing Association (MMA) has released the results of its Annual Global Mobile Attitude and Usage Study, conducted with research partner Synovate.
The study’s key findings for the United States include:
—Mobile phone usage is fully integrated into Americans’ day-to-day lives and transcends traditional voice uses.
—Three-quarters report some level of mobile phone usage and roughly half feel mobile phones are highly important to daily life.
—Use of text messaging and mobile web services (80 percent & 20 percent overall) indicates consumers’ willingness to consider their mobile devices as more than traveling telephones.
—Mobile web usage has increased for the third year in a row. One-in-five reports using mobile web services and usage is highest among 18-24 year olds (37 percent report using mobile web to some degree).
—The most common mobile web activities are browsing the Internet, mobile search and visiting weather and news sites.
—Interest in mobile marketing is similar to that noted in 2007; roughly one-quarter overall are interested in the concept and are somewhat/very likely to opt-in to mobile marketing opportunities.
—Mobile couponing presents the best opportunity for mobile marketers. Additionally, consumers express moderate interest in ringtone, wallpaper and game downloads, and receiving information about new products and services.
—African Americans and English-dominant Hispanics represent a strong base of mobile usage. Compared to Caucasians, consumers in these segments report heavier mobile usage for both voice and text messaging functions.
For more information on the study or the MMA, click here.
Tags: blackberry, cell phones, consumers, coupons, Electronic Retailer, iphone, mma, mobile marketing, mobile research, smart phones, text messaging
Posted in Marketer, Mobile, Online, Research, Retailer | 2 Comments »
Thursday, November 13th, 2008
Over 9 million Americans have their identity stolen each year. The Federal Trade Commission (FTC) reports that in 2007, the highest category of complaints was identity theft, attributing 32 percent of total complaints received to the category. Consumers reported fraud losses totaling more than $1.2 billion, almost double that of 2005.
Shopping online safely helps you prevent your own identity theft. Parents teach us to look both ways before crossing the street, but most of us didn’t grow up hearing “make sure your password contains a number†or, “look for an SSL connection when shopping.†All retailers should help inform consumers about safe practices.
Do’s and Don’ts Security Tips to Prevent E-commerce Identity Theft This Holiday Season:
1. Download Updates. Do click “Update Now†when you receive security updates from Microsoft, Apple, and Adobe. Don’t avoid these updates that arm you with the latest fixes before starting to shop. Web application exploits are very common now and can harm you if you simply go to a bad website.
2. Create Complex Passwords. Do mix letter cases and use at least seven characters when placing an order online. Don’t choose a word from a dictionary as hacker programs guess passwords very quickly.
3. Thwart Hackers. Do use your wireless router’s security features when surfing the web. Don’t let hackers join your network where they can try to listen in on your shopping experience. Hackers can use network sniffers to eavesdrop on you.
4. Use Onetime Credit Cards. Do shop online using a virtual credit card that expires after one use. Don’t use your actual credit card numbers on less familiar websites.
Some websites masquerade as shops but really just steal your credit card numbers.
5. Verify Secure Connections. Do make sure the padlock symbol in your browser’s status bar shows that you have a secure connection when conducting online financial transactions. Don’t press submit if there is no padlock at a store. Padlocks represent an SSL connection, which protects any information you send.
6. Check Your Credit. Do visit annualcreditreport.com before and after the holidays. Don’t wait until you receive a bill for a credit card that isn’t really yours. Your credit report shows all your accounts and overdue balances.
7. Lock Up Your Passwords. Do use a password manager to save all your passwords. Don’t save passwords in your web browser without a master password to protect them. Password managers encrypt all of your passwords with a master password so you only have to remember the one.
8. Enter Web Addresses Manually. Do go directly to a store’s website by typing its address into your web browser manually if you plan to buy something. Don’t click on links from an email message. These are known as phishing attacks and are very common.
9. Shop From Your Terminal. Do shop online using your own computer. Don’t shop online using a public computer at a hotel or airport. Public computers can have spyware that records your information as you type it.
10. Communicate Securely. Do call a business and read them your credit card information if you trust them and want to buy a present for someone. Don’t e-mail or instant message personal information. E-mail and instant messenger are insecure.
Todd Feinman is CEO of Identity Finder.
Tags: consumers, credit cards, ecommerce, Electronic Retailer, email, fraud, ftc, hackers, holiday, identity finder, identity theft, online shopping, passwords, secure connections, software updates, todd feinman
Posted in Government Affairs, Marketer, Online, Payment Processing, Research, Retailer, Support Services | 6 Comments »
Monday, May 19th, 2008
“Marketing takes a day to learn. Unfortunately it takes a lifetime to master.†~ Philip Kotler, U.S. marketing guru
I think the quote above succinctly sums up one of the truisms known to marketers. The business school practice of breaking down the definition of marketing into the 4 Ps is really oversimplifying a complicated art and science process that is fundamental to business success and growth. If you are developing a smart marketing mix, you must also toss in gut instinct, research, sales history, customer patterns, trends, competitive analysis and so many more factors. Even with all of this, success can explode from unexpected opportunities while sometimes the most thoroughly researched, planned and executed campaigns can fail miserably. Still, that is the beauty of marketing: it is never dull or routine. And today, marketers have far more resources to help drive sales and engagement than ever before.
As I begin a new chapter in my career by joining ERA in March, I think about the resources available to us today. In doing so, I can’t help but to reflect back on my first entree into the workforce, then too, in the marketing arena. It’s easy to dismiss as simpler times. It was the mid 1980s: typewriters outnumbered PCs, printed mailing labels predated Excel files and voice mail and fax were office novelties. By evaluating the bottom line and ROI, we believed our marketing efforts were successful back then. But who could predict that the introduction of the Internet and email to the masses was just around the corner? This would forever change the way we, as a society, communicate and access information and entertainment. It would also open the door to new strategies and tools to add to the marketing mix.
Today, it is much more than access to the Internet that allows marketers to brand product, advertise value and engage customers. Video streaming, HDTV, HD Radio, podcasting, TV on demand, mobile devices, blogging, wikis and online social networks have all played a role in expanding the marketing function and enhancing the customer experience. Some might suggest we are on the brink of the golden era of marketing. Perhaps. But what is certain is that today’s consumers have become more integrated into the marketing process. For marketers, this is a time of unleashed creativity. There are more opportunities than ever before to connect with customers, track patterns and utilize multiple formats to convey messages. Direct mail, TV/print advertising and other more traditional forms of marketing are still certainly relevant, but marketers no longer have to rely on a finite number of tactics to promote product. And few industries are leveraging these platforms as aggressively as the direct response community.
It makes for smart practice then that the association that represents this community would also leverage multi-platforms as necessary. At ERA, we too are on the brink of entering our golden era of marketing. Not because of my new role, but because it is what our community will expect and demand. I hope that you will check out the new ERA website, which debuts next month, and I encourage you to pay frequent visits to this blog. These enhancements are just the start of many advancements ERA will introduce to allow us to better brand ourselves, fine tune messaging, build member integration and promote the industry and its value and services through new and emerging technologies. These extensions and improvements in communications help us to better enforce our mission to drive, grow and shape the future of electronic retailing. Let’s master the marketing mix together.
Tom Quash is ERA’s vice president of marketing
Tags: consumers, customers, Direct Response, ERA, marketing messages, marketing mix, philip kotler, tom quash
Posted in Advertising, ERA, Marketer, Mobile, Online, Social Networks | 3 Comments »
Thursday, April 3rd, 2008
According to ERA’s most recently commissioned paper, Mapping the Path to Purchase, Forrester Research suggests that television drives online sales. Indeed, 44 percent of the study’s respondents went to retail to find a product they saw on an infomercial or home shopping channel and more than one-third of consumers visit engines (eBay, Yahoo, Google, etc.) to compare prices, with more than 50 percent of those making a purchase.
But wait, there’s more; now it’s the consumers themselves who are creating pathways and signposts. It’s interesting, looking at the apparent quick rise of the “consumer influencer.†It seems just yesterday when branding was king and PR, marketing, research and agencies pushed sales. But today, through the power of blogs, online communities, forums, boards, videos on YouTube, Facebook and more, customers are definitely in charge.
I wonder what retailers think about how this will all shake out? How do retailers leverage those consumer influencers?
Sieglinde Friedman is ERA’s vice president of strategy
Tags: consumer influencers, consumers, ERA, facebook, forrester research, Infomercials, purchase, retailers, sieglinde friedman, youtube
Posted in Direct Response, ERA, Infomercials, Marketer, Research, Retailer, Social Networks, Web Analytics | No Comments »
Wednesday, December 12th, 2007
Fellow electronic retailers, direct marketers, distributors, inventors, entrepreneurs, brick-and-mortar retailers and, last but now not least, online retailers: People of all selling platitudes lend me your ears and your wisdom. Let me share something that I have noticed happening over the past year. It has to do with the way consumers are buying the stuff that we sell. It has everything to do with the way we “tell†or “convince†them to buy something. I know what I’m saying is true, because it has been backed up with research results I have received from focus groups that have seen two variations using different selling methods of a campaign I created.
OK, enough suspense. Here’s the observation: Since the beginning of the modern day infomercial, consumers have been yelled at, told what to buy and forced to act quickly to get a great deal. Well folks, for the most part, the suspense and excitement of missing out on something extraordinary is wearing off. However, it’s not wearing off because the products aren’t great or the offer isn’t enticing. The motivation to buy is not wearing off because of a lack of trust, market saturation or boredom either. The number one reason why consumers are not buying now is because they do not like being told what to do! The intent to buy has never been stronger. Consumers are smarter than ever and are more educated. They’re not as gullible as they used to be. What I have found is that consumers are more than willing to buy your product and even replace the same categorical products they already own if you can convince them that your product is better; not tell them that it is. It’s so very subtle. Anybody else see this happening?
Jeff Meltzer, president of Meltzer Media Production
Tags: consumers, jeff meltzer
Posted in Direct Response, Infomercials, Marketer, Retailer | 1 Comment »
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