Ad-ology Research recently updated their Industry Marketing Insights report for TV/Electronics Stores. The following are the predicted Top 3 Opportunities/Challenges from the report for this industry for the upcoming 12 months:

• HDTVs are poised for large growth: While 65% of U.S. homes have HDTVs (compared to 13% in 2009),  more homes are now purchasing HDTVs as secondary sets.
• Advertisers should take note of consumers’ interest in online shopping for electronics: Approximately 49% of consumers shop for electronics via the Internet, an 8% increase from 2005.
• A future opportunity for these retailers is demand for 3D TVs: 25% of U.S. online adults plan to buy a 3DTV within three years.

The Industry Marketing Insights report for TV/Electronics Stores is available on Ad-ology.com (Research Store) for $195 USD with local market data for any U.S. market.

[Source: Ad-ology Research. September 1,  2010]

In 1970, Marian McQuade began a campaign to set aside a special day just for grandparents. In 1978, President Jimmy Carter signed the first presidential proclamation, designating the first Sunday after Labor Day as National Grandparents Day. The first official observance was Sept. 9, 1979 — and has been celebrated every year since.

In 1989, the U.S. Postal Service honored McQuade with a commemorative envelope bearing her likeness to acknowledge the tenth anniversary of the holiday. McQuade, sadly, passed away last year at the age of of 91. She was the mother of 15, the grandmother of 43, and the great-grandmother of 15.

On September 12, 2010, Grandparents Day will reach its 31th anniversary. Like Mother’s Day and Father’s Day, it’s a time for family celebration, and a chance to honor the important role grandparents play in children’s lives.

In the original proclamation, President Carter wrote that because grandparents “are usually free to love and guide and befriend the young without having to take daily responsibility for them, they can often reach out past pride and fear of failure and close the space between generations.”

Today, though, an increasing number of grandparents have actually assumed daily responsibility for their grandchildren. According to AARP, 4.5 million children are being raised in households headed by grandparents. For those kids and millions of others, grandparents create special relationships and impart lessons that last a lifetime. As Carter wrote, “Grandparents are our continuing tie to the near-past, to the events and beliefs and experiences that so strongly affect our lives and the world around us.”

Other important facts:

• 2.6 million – The number of grandparents responsible for most of the basic needs (i.e., food, shelter, clothing) of one or more of the grandchildren who lived with them in 2008. These grandparents represented about 41% of all grandparents whose grandchildren lived with them. Of these caregivers, 1.6 million were grandmothers, and 983,000 were grandfathers.

• 19% – Percentage of grandparents who were caring for their grandchildren and whose income was below the poverty level. This represents 493,000 grandparents.

• $46,906 – Median income for families with grandparent-caregiver householders. If a parent of the grandchildren was not present, the median dropped to $34,782.

• 977,000 – Number of grandparents responsible for caring for their grandchildren for at least the past five years.

• 1.9 million – The number of grandparent-caregivers who were married.

• 1.6 million – The number of grandparents who were in the labor force and also responsible for most of the basic needs of their grandchildren.

• 655,000 – Number of grandparents with a disability who were caring for their grandchildren.

• 72% – Among grandparents who cared for their grandchildren, the percentage who lived in an owner-occupied home.

• 7 million – The number of children living with a grandparent in 2009; these children comprised 9% of all children in the United States. Of these children, 4.5 million, lived in the grandparent’s home.

• 2.7 million – The number of children who lived with both a grandmother and a grandfather in 2009.

• 30% – Among children younger than 5 whose mothers worked outside the home, the percentage cared for on a regular basis by a grandparent during their mother’s working hours in 2005.

[Source:  "Celebrate Grandparents Day."  Grandparents.com. n.d.  Web.  26 Aug. 2010; U.S. Census Bureau Facts for Features: Grandparents Day.  U.S. Census Bureau. 12 Jul. 2010.  Web.  26 Aug. 2010.]

Who knew consumers are more open to spending money on newly launched products right after they get paid?  Professors Himanshu and Mishra (Utah) and Nayakankuppam (Iowa) call this behavior promotion-focused.  At the end of a pay cycle, when funds are tight, consumers exhibit prevention-focused behavior in the stores. A soon-to-be-published study on this topic contains important insights for marketers who want to know the best time to promote new products.

The researchers explained behavioral differences by analyzing consumer decisions when purchasing toothpaste. For example, consumers with a recent paycheck will buy whitening toothpaste in the hopes that they’ll become upwardly mobile. By the end of the pay cycle, when cash is tight, consumers purchase cavity-prevention toothpaste. By avoiding cavities, consumers can preserve money and the lifestyle they’ve already attained. Similarly, consumers  might be more apt to purchase laundry detergent that makes clothes smell nice right after they get paid. When they are out of money, consumers want to purchase detergent that extends the life of the items.

Based on these differences in consumer attitudes, the researchers say, “it would be more effective to launch new products at the beginning of the month (presumably, when people are near their paycheck and promotion-focused) rather than at the end of the month, when people are prevention-focused.” Of course, the study does include that giant presumption regarding exactly when people get paid. In many cases, payroll occurs twice a month and timing promotions to these payroll cycles could be tricky.

But the findings contrast what many had believed was a strong consumer loyalty to a specific product and indicate that a well-timed and positioned advertisement can effect sales.  The authors conclude “[t]he findings suggest to managers that the best time to promote products or messages with a promotion appeal is the near-salary condition and those with a prevention appeal is the far-from-salary condition.” Although the size of the sample,  61 consumers in the first phase and 152 consumers in the second phase was small, and the age range (21-45) limited, the findings are important to consider when promoting products during recessionary times.

[Source: How Salary Receipt Affects Consumers’ Regulatory Motivations and Product Preferences. SSRN.com 2010. Web. 1 Sept. 2010]

High profile brands have struggled to maintain market share during the recent recession. Consumers have been trading down to less expensive products. In addition to pricing pressures, brand managers must contend with a lack of brand awareness, more competition and changing demographics. As a result, brand managers are looking for more effective ways to capture consumer attention. And while many managers are using online formats, not everyone is convinced that social media can help. These are the preliminary findings of the 2010 State of the Brand Report.

Brand managers definitely believe that an online presence builds reputation and consumer awareness. According to the survey findings:

• Online strategies help improve brand awareness: 70%
• Online communications are the most valuable strategy for reaching consumers: 68%

But managers remain concerned that one online format, social media, lacks an important element. Scott Mires, Principal and Creative Director, MiresBall says, “Simply building awareness is not enough today. What consumers are told — and how they respond — are most important.” This explains why brand managers continue to rely on what they know has worked. The following formats, currently, provide the best return on investment in the brand management game: Online communications (68%), public relations (56%), and social media (40%).

Here’s how the surveyed brand managers feel about social media:

• Reaches consumers who were previously unreachable: 52%
• Building customer loyalty is NOT easier through social media: 30%
• Impact of social media is NOT sufficient to change brand strategy: 41%
• Social media present new challenge to  protect brand integrity: 41%

Despite their current hesitation, up to 80% of brand executives say they’ll be effectively using social media in 2 years. Managers should keep one detail in mind. “Brands that continue to tell authentic and relevant stories to their audiences — regardless of the touch point — connect more successfully with their audiences.” Typically, about 6% of a firm’s total marketing budget is allocated for brand management. Companies that spend their money wisely in branding campaigns will impress a clear picture of what they stand for in the mind of the consumer.

[Source: 2010 State of the Brand Report. MiresBall.com. 23 Aug. 2010. Web. 31 Aug. 2010]