Building Loyalty With Affluent Buyers

Upper end shoppers are a highly sought after commodity.  They have the resources to not only make large purchases, they are often more easily financed and value quality service. Mobile is a great way to engage affluent shoppers and create awareness of everything you have to offer.  New information is available that tells us not only how prevalent mobile devices are with high end shoppers but what they are looking for in mobile apps.

• Over half of adults with incomes of $75,000 – $100,000 own smart phones and over 20% own a tablet.  Smart phone ownership is nearly 10% higher than the general population and tablet ownership is 19% higher

• Six in 10 adults with incomes of $100,000+ are smart phone owners and 27% have tablets. These extremely affluent shoppers are 25% more likely to own a smart phone and over 40% more likely to be tablet owners

• 46% of adults with household incomes of $150,000 or higher are looking for loyalty program features from the mobile apps they download.  45% want early access to sales.

• Nearly 40% want exclusive product updates or offers for those who downloaded the app

• 36% are interested in product sneak peaks, high quality video and VIP privileges

• Over 30% want to be able to make mobile purchases and easy access to customer service

• Other things that affluent shoppers are looking for are customization based on personal preferences, peer recommendations and exclusive information

 What Does This Mean To You?

The keys to connecting with the high dollar consumer start with making them feel privileged.  They want to be able see, buy and know about products and sales before anyone else.  They also want services regular customers can’t get.  These are the same things that consumers who are more likely to be in the average income range would also appreciate.  They are also things that an overall loyalty program can achieve.  Loyalty programs also give you the ability to communicate directly with customers – and because they signed up for the program, it’s valued content to them.  You can also segment your offers with loyalty programs.  This plays into the customization that consumers are looking for. Offers that are more targeted towards the needs of consumers deliver better results.  For more information on how you can develop customer loyalty and then influence additional sales, please contact your Orlando Sentinel Media Group representative or:
Al Fiala
Advertising Research Manager
407.420.5702
afiala@orlandosentinel.com
www.orlandosentinel.com/mediakit

Source: emarketer; Luxury Institute and Plastic Mobile; comScore

How Companies Use Social Media

We’ve done several posts on consumer’s social media activities and why they like or follow brands. A new study is out that looks at what businesses are doing with social media, looking in particular at their social media use in tracking customer feedback.

• One in four companies that are B2C in nature just track consumer feedback via social media

• Just over one in five B2B
based organizations only track feedback
with social media

• Only 27% of B2B companies track and follow up with customers over social networks, while over half of
B2C companies track and follow up

• Nearly half of B2B companies do not even track social media comments about them

• Over 28% of all companies do not monitor consumer feedback across social networks

What Does This Mean To You

How is your organization using social media?
Do you track what people say about you?
Do you follow up on their comments?
Monitoring what is said about you can help you build loyalty and create engagement. It’s not just about fixing problems; it’s also about thanking them for positive comments. This shows consumers you are responsive to their needs and appreciate their opinions. The companies that do nothing with social feedback about them are at best missing a golden opportunity to generate a customer connection. The ones that are ignoring problems are delivering gift wrapped customers to their competitors. For more information on Social media maintenance and reputation management, please contact your Orlando Sentinel Media Group representative or:
Al Fiala
Advertising Research Manager
407.420.5702
afiala@orlandosentinel.com
www.orlandosentinel.com/mediakit

Source: eMarketer; Satmetrix

Purchase Decisions and “Likes”

One question many companies are asking is what the link is between social media “likes” and follows and purchase intent.  There has been a few research reports on social media’s effect on consumer buying patterns and if a consumer who “likes” a product is apt to make addition purchases. But a new report has come out that looks at how social brand evangelism brand “likes” effect the purchasing behavior of friends.

• Currently, 18% of online adults said they would buy a brand if a friend “liked” it on Facebook

• The percentage was virtually identical between men (17%) and women (18%)

• Nearly one in four adults under 35 said that if a friend “liked” a brand, they would buy it

• One in five adults age 25 to 49 would be more likely to purchase because of a friends “like”

• Less than 10% of 50 to 64 year olds would be affected by a friends “liking” of a brand

What Does This Mean To You

One recent report showed that the reason most consumers “liked” a product is because they were already loyal customers of the brand.  The ripple effect of friends “liking” a brand could prove beneficial to your business and create new customers virally.  There are two things you can do to cultivate “likes” and stir social affinity.  First is rewarding those who “like” with valuable offers that are exclusive to them.  By doing this, you will also help boost long-term loyalty that will last long after them have “liked” your company.  The other things you can do is monitor and protect your social reputation.  If a consumer is moved by the social activity of a friend, they are likely to socially investigate.  If they see lots of negative comments, it could deter them from buying your brand or patronizing your location.  For more information on creating more sales through social media, please contact, please contact your Orlando Sentinel Media Group representative or:
Al Fiala
Advertising Research Manager
407.420.5702
afiala@orlandosentinel.com
www.orlandosentinel.com/mediakit

Source: eMarketer; Ipsos OTX

Why Consumers “Like” Brands

The impact of social media on brands is undeniable.  As a part of a well thought out marketing campaign, social media can certainly help create results.  Social media can also be very detrimental to your business if you are not paying attention to what people are saying about you.  As social media continues to evolve and users become savvier, it’s good to look at information on why consumers “like” brands.  A study has been released that not only details why consumers click the “like” button, it also looks at what marketers think the “like” means.  The difference between why consumers “like” and what marketers think it means is surprising.

• Worldwide, the top reason consumers “like” a brand was because they are currently a loyal customer of the brand.  Nearly half of consumers said that was the reason they clicked “like”

• 46% wanted to receive incentives or rewards for engaging with the brand, another 46% wanted to keep track of news on the brand

• 43% were looking for special savings or brand related events

• 30% said they found the page’s content agreeable and “liked” for that reason

• Roughly one in four wanted to have their voice heard or to help other customers

• Approximately one in five clicked “like” because they either wanted to recommend the brand to friends or wanted to engage other customers

• Marketers, mistakenly thought that the page’s content was the top reason why people “liked” a page.  That view was held by nearly 60% of marketers surveyed

• Marketing professionals also put more stock in the customers need to be heard as a reason for the “like” – 41% of marketers thought people liked for that reason

• Marketers also vastly underestimated the customer loyalty factor.  Just 24% of marketers thought that was a reason for the “like”

• They also did not put as much weight in consumers desire for savings as a reason for “liking” a brand

What Does This Mean To You

Maybe the reason some brands are more successful than others on social media is could come down to a misconception of what consumers are looking for.  While the majority of “likes” worldwide may come from loyal customers, utilizing some of the other information can help you create loyal customers – and then get those loyal customers to be recruiters for your brand.  Since every business is unique, ask your current fans or followers why they engage your company on social media.  If the reason they “like” you is because they are looking for coupons and other savings vehicles, then make sure it is the focus of your social media efforts.  But as we saw in a study last week – incentivize them to let others know how great your company is.  Maybe give better offers for those fans or followers who refer other customers.  These brand evangelists can be a big part of your social success.  For more information on how social media can help your business move the needle, please contact your Orlando Sentinel Media Group representative or:
Al Fiala
Advertising Research Manager
407.420.5702
afiala@orlandosentinel.com
www.orlandosentinel.com/mediakit

Source: eMarketer; CMO Council

Building Loyalty, Getting Results

One of the most coveted assets any business can have is a loyal customer.  Loyal customers not only tend to spend more at businesses they patronize, they tend to forgive mistakes that other consumers may not and they are a powerful word-of-mouth extension of your brand.  A recommendation from a loyal customer to a friend about your business can be very influential.  A new study has been released that details what things consumers think are important in creating loyalty – these are things your business can employ to inspire loyalty among customers and increase your bottom line.

• The average American consumer belongs to 18 different loyalty programs of one kind or another

• Over one-third of online adults said that providing excellent 24/7 customer service was the best way to create a loyal customer

• 20% said that rewarding customers for purchases, positive feedback and referrals was a great way to develop loyalty

• 13% indicated that sending them exclusive or relevant offers and specials would inspire loyalty

• 12% said loyalty could be developed through providing personalized products & services and 10% said simply knowing me when I call or visit would build loyalty

What Does This Mean To You

Most every business needs as many loyal customers as they can get.  Not just to keep the registers ringing, but also to spread the word about everything they can offer.  Social media has given shoppers a platform to either crow or complain about companies or the service they receive.  Loyal customers can be your social brand evangelist. There are digital tools that can help you achieive many of the suggestions that came out of the study.
Customer Service – Is your website easily navigate-able? Is the information up to date? Do you have a
live chat area where customers can interact with staff? Does your mobile site offer mapping, directions and a click-to-call feature? Are you incentivizing staff to perform top-notch customer service
Shopper Rewards – Does your company offer a points-for-purchase program? Do you monitor social media and thank customers for feedback – positive or negative? Are you looking at geo-location social networks like FourSquare and rewarding customers for checking in?
Targeted Offers – Are you collecting email addresses and text information? Are you adequately informing customers up front how and how often you will contact them? Do you legally know what your
responsibilities are?  Are your offers truly targeted and giving the receiver value?  Are you asking them
any questions that may help you develop targeted offers?
Every business is different.  There is no one cookie cutter approach to develop loyal customers. By asking questions about your current efforts and leveraging technology, your business can create a loyalty strategy that is unique to your needs.  For more information on digital tools that can help you
win loyal customers, please contact your Orlando Sentinel Media Group representative or:
Al Fiala
Advertising Research Manager
407.420.5702
afiala@orlandosentinel.com
www.orlandosentinel.com/mediakit

Source: COLLOGUY; ClickFox; eMarketer

Why Online Shoppers Don’t Complete The Sale

Last week, we had a post on what things online shoppers want to retailers to improve upon.  One of the biggest problems many online retailers are dealing with is shopping cart abandonment.  New research has been developed that shows why digital shoppers don’t complete the sale.

• 70% of consumers add items to their online shopping carts but do not complete the purchase – the total cost to US online retailers is estimated to be over $18 billion

• Nearly 60% of those who abandoned their carts were not ready to purchase, but wanted to get an idea of how much shopping costs were

• 56% were not ready to purchase but wanted to save the cart for later

• 55% did not complete the sale because they thought shipping costs were
too high

• Just over half didn’t complete the purchase because their order was not large enough to qualify for free shipping

• Four in 10 said shipping and handling costs were listed to late

What Does This Mean To You

You’ve taken the time to develop an ecommerce solution and committed resources to driving traffic to your site.  Now you’ve put all this effort in and customers are not completing the sale – evidence is pointing to shipping being the main reason.  There are several strategies you can use to help sway customers into completing the sale.

• Offering free shipping may not be financially feasible for all businesses, but how valuable is a database of shoppers to your company.  You can offer free shipping to customers if they join a loyalty club or at least sign up for alerts for your business.  This not only gives them the free shipping they want,
it helps your business keep customers engaged and forms a relationship
with them.

• Develop a shopping cart alert system.  If you’ve got the email address of  customers who have not completed a sale, contact them and offer a discount for them to finalize the purchase

• Investigate lower cost shipping alternatives or local pick-up options to help consumers save money

• Create a referral or social media program where shoppers can earn discounted shipping for directing friends  & family to your business

Your online business can be an important revenue stream – if customers complete the sale.  Take some time to go through the checkout process and make sure it runs smoothly.  Also do this with friends and employees.  You may find that there are hiccups in the process or those removed from the site may find it clunky or not user friendly.  For more information on developing online revenue, please contact your Orlando Sentinel Media Group representative or:
Al Fiala
Advertising Research Manager
407.420.5702
afiala@orlandosentinel.com
www.orlandosentinel.com/mediakit

Source: eMarketer; comScore; Listrack

Smart Phone Shoppers And Grocery Stores

We’ve had many posts showing how important smart phones are as shopping companions.  A new study has been released that focuses on smart phone shoppers and their behaviors at grocery & drug stores. The study brings up several interesting points about these “smart” shoppers, particularly with regard to mobile promotions.

• Three-quarters of consumers would switch brands if they were offered real-time promotions delivered to their smart phones while they were shopping

• Over 80% of 25 to 34 year old smart phone shoppers would be willing to switch brands if they received an offer from a competitive brand while they were in the store

• Over eight in 10 of “smart” shoppers have a prepared list when they go to a grocery or drug store, less than 10% list specific brands to purchase

• 76% of “smart” shoppers make decisions based on price & value

• Promotions and getting the most for their money was a determining factor for nearly 60% of consumers

• Over half said the ability to use coupons impacted their buying decisions

• Less than four in 10 indicated said that brand loyalty played a part in what they bought

• Just over one in four noted that the availability of generic or store brands impacted their purchase decisions and 22% bought new products from existing or emerging brands

What Does This Mean To You

This study might have focused on the activities of “smart” grocery & drug store shoppers, but the conclusions are transferable to many types of businesses.

• Consumers may not be a as brand dependant as once thought – With economic conditions as they are, discounts or promotions may sway shoppers into competitive brands

• Geo-location makes a difference – Smart phones give you the ability to create interactions where ever shoppers are.  Delivering messages to them when they are in store can bring your brand attention

• Coupons are still an influence – Over half of shoppers said that coupons impact their purchase decisions

There are several real-world applications that can be used by all kinds of businesses.  If you own a restaurant, you could deliver a geo-located offer for an up-sell.  If you own a retail store, talk to your vendors and see if there is any co-op programs that will help you brand you store paired with a coupon that saves shoppers money.  If you are in a shopping plaza with competitive stores, a geo-located offer could attract shoppers to your store vs. a competitors. For more information on how geo-location of your message can help you see bigger results, please contact your Orlando Sentinel Media Group representative or:
Al Fiala
Advertising Research Manager
407.420.5702
afiala@orlandosentinel.com
www.orlandosentinel.com/mediakit

Source: AisleBuyer

Why Do People “Like”?

Social media is constantly evolving.  If you plan on marketing yourself through social media, you need to stay up on the latest trends. Yesterday’s post talked about the reasons why consumers signed up to receive emails from a business or nonprofit.  The same study detailed information on why consumers “like” a business on nonprofit on Facebook.

• Over 40% “like” to get discounts and special offers

• Nearly 30% are looking to take advantage of a specific promotional opportunity

• 27% are current customers or supporters

• One in four want to support the business or nonprofit

• 23% are looking for exclusive content

• Over 20% want to show everyone that they support certain businesses or nonprofits

What Does This Mean To You?

Social networking doesn’t just offer your business the ability to connect with and engage potential customers, it gives you the ability to take a satisfied customer and turn them into a huge promotional voice.  The fact that over one in five “likers” took action just to tell the world how much of a happy customer they are, is amazing.  These aren’t just consumers, they are brand evangelists.  They are an extension of your social media marketing campaign.  Cultivate and reward “likers” and watch how their numbers will grow.  One thing to remember is that “likers” can be fickle as well.  Make sure you are serving them valuable offers and content they want.  Last year, there was research that 60% of “likers” disengaged with brands because of they did not find the communication from the brands valuable.  Getting the “likes” is just the first step – do it organically.  Make sure your social media plan goes beyond just collecting “likers”, have a strategy for kepping them as well.  For more information on winning social media strategies, please contact your Orlando Sentinel Media Group representative or:
Al Fiala
Advertising Research Supervisor
407-420-5702
afiala@orlandosentinel.com

Source: Emarketer; Chadwick Martin Bailey

Why People Subscribe To Emails?

Email has always been a great tool to create one to one communication with consumers.  To make sure your email campaign is successful; it’s a good idea to know why people subscribe to receive things through their inbox.  A new study has been released that tells us just what drives people to sign up for email communication with businesses or nonprofits.

• Nearly 60% sign up
to receive discounts & special offers

• Almost 40% register to take advantage of a specific promotion

• Over 35% sign up because they are a customer or supporter of the business or nonprofit organization

• More than one in four sign up to gain access to exclusive content or to stay informed on the latest happenings

• 25% join because they like that type of business or nonprofit and want to support it

What Does This Mean To You?

Email marketing offers your business a wide array of targeting tools to make sure you put the right message in front of the right consumer.  The main reason people sign up us to receive discounts.  When you are recruiting for your email database either through your web site or brick & mortar location, make sure you promote the fact that email recipients will get discounts.  Also include how often they will receive them and what other kind of special offers they might receive.  Because such a large percentage of people sign up to receive a specific promotion, it’s a good idea to ask your customers what kind of offer they want to receive.  Better yet, if you have a CRM tool, track who responds to what offers and only feed them those types of promotions.  This will make sure that your messages stay valuable to consumers and your message won’t be automatically sent to the trash.  As beneficial as email marketing can be, there are also legal caveats to it.  Never spam, it just hurts your reputation and can cost you financially.  Violations of the Can-Spam act can cost you up to $16,000 per violation.  Navigating the law can be confusing; I would suggested that you speak to an email marketing professional before starting any email campaign.  For more information on how you can get results through email marketing, please contact your Orlando Sentinel Media Group representative or:
Al Fiala
Advertising Research Supervisor
407-420-5702
afiala@orlandosentinel.com

Source: Emarketer; Chadwick Martin Bailey

In-Store Mobile Shopping Activities

One of the things that mobile has had the biggest affect on is the in-store shopping experience.   There is a recent study that looks at not just what mobile activities consumers engage in while shopping but the differences between female and male shoppers.

•  Took Picture of a Product:
24% of female smart phone owners
20% of male smart phone owners

•  Texted or Called Friends/Family About
a Product:
22% of females
19% of males

•  Scanned a Product Barcode:
16% of females
20% of males

•  Sent Picture to Friends/Family:
20% of females
15% of males

•  Found Store Location:
12% of females
13% of males

•  Compared Product Prices:
10% of females
14% of males

•  Found Coupons or Deals:
11% of females
8% of males

•  Researched Product Features:
7% of females
11% of males

What Does This Mean To You?

The functionality of smart phones has made them nearly invaluable in our everyday lives.  One of the things this research points out is that shoppers are doing their homework while shopping in stores.
What has your company done to influence these mobile in-store shoppers?  While just one in five males and one in seven females have scanned a bar code, QR or 2D codes are a great way for you to keep them engaged with you instead
of possibly visiting your competitions site.  You can not only have coupons
and deals, but price comparisons and product information linked to a QR
code as well.  Just make sure your employees can assist customers who maybe having trouble accessing codes.  Also have call to action signage explaining
what they will get for scanning a code.  Another way to connect with mobile shoppers are permission based SMS campaigns.  Promote it in-store and offer
an instant discount for signing up.  For more information on mobile strategies that can lead to big results, please contact your Orlando Sentinel Media Group representative or:
Al Fiala
Advertising Research Supervisor
407-420-5702
afiala@orlandosentinel.com

Source: comScore