Marketing Forecast from Ad-ology

If 2011 was the year of the e-reader, then 2012 may well be the year of the e-book. Consumers have the option to download books directly to their Kindles, or competing devices. They can also read the latest best-seller on their iPads or their mobile phones. This disruption in the traditional book publishing industry has many established businesses rapidly expanding their e-book offerings. And research shops see a bright future for this sector.

According to The NPD Group, the preliminary estimate for total consumer spend in 2010 on gaming content via all monetization methods, including new physical video and PC games, used games, game rentals, subscriptions, digital full-game downloads, social network games, downloadable content, and mobile game apps, is between $15.4 to $15.6 billion. Based on this estimate, spending on new physical content at retail continues to account for the majority of the total consumer spend on games content. Bright spots came from PC games new physical retail software, which was up 3% in 2010, as well as increases in the consumer spend on used games sales, full-game digital downloads and downloadable content, mobile gaming apps, and social network gaming, which offset declines in console and portable new physical game sales, rentals, and subscriptions. Industry analysts expect 2011 to be “a growth year in the games industry as the consumer demand for gaming continues to evolve.”

After experiencing declines during the recession, the catering foodservice industry is poised for growth due to aggressive expansion into the catering space by limited–service establishments, the return of business event–driven spending, higher wedding spending, and a moderately healthier consumer, according to “Catering Trends in U.S. Foodservice,” by market research publisher Packaged Facts. Sales are expected to increase 9% and 7% in 2011 and 2012, respectively. Limited–service establishments are expected to lead catering sales growth through 2012 due to the segment’s ability to leverage moderate menu pricing structures, provide portable fare, and offer in-house operations capabilities. Recovery will also spur consumers to entertain with more catered affairs. Meanwhile, consumers seeking healthier options have caused a significant change in catering, offering an advantage to companies that highlight the health benefits of their products.

As Super Bowl Sunday fast approaches, more people than ever will celebrate the big game. According to a new survey by the Retail Advertising and Marketing Association, the average consumer is expected to spend $59.33 on game-related merchandise, apparel and snacks, up from $52.63 in 2010. Total Super Bowl spending is expected to reach $10.1 billion. Grocery, apparel, electronic, sporting goods and home furnishing stores can expect to see their share of Super Bowl related spending as sports fans head out to buy food and beverages (69.5%), team apparel or accessories (7.3%), decorations (6.0%), and furniture or a new entertainment center (2.0%). Further good news for retailers is that of those who plan on watching the game, at least 4.5 million (4.5%) will take advantage of retailers’ promotions and buy a new television, compared to the 3.6 million who said they would in 2010.

Earlier this week I blogged about how younger consumers are the most likely demographic group to pay to watch TV online. But consumers of all ages have grown comfortable with purchasing content online. Purchases range from music to software to news these days. A new Pew Internet report sheds light on exactly who is buying what type of products online. This information can help marketers determine where to allocate ad budgets.

As the line between traditional TV viewing and online viewing of content originally generated for TV blurs, marketers have an opportunity to establish a new revenue stream. Younger consumers, in particular, are most likely to watch TV shows on their computers. In addition, these consumers indicate a willingness to pay for some of this content.