Impulse Buying Still Prevalent Among Shoppers - In the 2.3 seconds that most people spend on in-store brand decisions, it turns out they are more easily influenced than you might think.

Just over 90 percent of shoppers make unplanned purchases, and "about 51 percent of them take place right in the aisle," Curt Johnson, SVP for the consumer industries division of Miller Zell, told Marketing Daily. The Atlanta-based retail consulting company recently tracked the buying triggers of 1,000 shoppers. "We were surprised. Because while we've been hearing so much lately about how careful shoppers are being, making lists and doing research on purchases beforehand, there's still a lot of impulse buying."

The study did find, however, that shopping list use is up substantially (65 percent say they are making shopping lists prior to the shopping trip).

And it turns out that Gen Y is especially likely to do so, and more susceptible to advertising. "People talk so much about this generation researching everything online before they buy it," he says, "but this study showed that they actually index much higher than other age groups in terms of finding all advertising -- both in-store and outside the store -- as 'very effective'."

And Gen Y shoppers are also more likely to make impulse purchases at "end caps," the display at the end of store aisles, as well as along the periphery of stores. "Gen Y is, in fact, a lot more malleable inside the store than many marketers think," he says.

Overall, shoppers believe that ads designed to reach them in stores work better -- giving them a 32 percent effective rate -- than ads outside the store, which earned a 27 percent "very effective" rating. About 70 percent say they responded to end-of-aisle signage, 62 percent to merchandising displays, 58 percent to department signage, and 55 percent to shelf strips.

The study also found key differences in the way that stores trumpet their prices. Sale prices motivated more shoppers (70 percent) than "everyday low price" positioning (47 percent).

Overall, however, some groups are less interested in price than most retailers seem to think. About 93 percent of Baby Boomers, for example, say they prefer product messages rather than price-point messages while shopping. (Source: Marketing Daily, 04/03/09)

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Highlighting Lower-Income Shoppers - Lower-income shoppers are the fastest-growing income group in the United States and will generate $84 billion in incremental spending during the next decade, according to research from Information Resources Inc. (IRI). It said that these consumers represent an enormous opportunity for retailers and manufacturers during the slow economy, if they understand that lower-income shoppers are not a homogenous group.

"Lower-income households are one of the hottest opportunities in the marketplace and will provide real growth for those who want to truly learn about the various micro-segments and their changing behaviors due to the economy," said IRI Consulting & Innovation president Thom Blischok. "At this point in history, the lower-income shopper is continuously challenged to stretch each and every one of their dollars, which will continue for at least the next four-to-eight years."

The five lower-income micro-segments, which are positioned to drive a large share of sales growth for retailers and manufacturers during the challenging economy, include:

-- Singles and married couples aged 25-34.
-- Seniors older than 65.
-- Households with children.
-- Hispanics.
-- African Americans.

During third-quarter 2008, consumer packaged goods (CPG) spending and private-label performance improved, a trend being led by lower-income shoppers; however, most retailers are still missing the mark on their private-label offerings and marketing to lower-income shoppers, who represent the single largest private-label opportunity in the next five years. Progressive retailers can drive private-label growth if they focus on building stronger relationships with lower-income shoppers by improving variety and packaging.

Compared with other income groups in today's economy, budget-constrained, lower-income shoppers are shopping more frequently, but are spending less per trip. They are also aggressively shifting spending across channels, retailers, categories and brands.

In addition, younger households and households with kids are driving growth across key food categories. African American and older household spending has increased notably in salty snacks and chocolate candy, and Hispanics have increased their spending on frozen dinners and cereals. (Source: Convenience Store/Petroleum News, 03/27/09)

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Electronic Etiquette -- Manners for Modern-Day Communication - "Voice mail is the death of customer service." Is this phrase as true as it was five years ago? Apparently not. Electronic e-mails, video conferences, speakerphones, cellular/portable phones, and yes, voice messages, all these have become common -- if not preferred -- means of communication in the modern business world. However, easier and faster does not always mean better or acceptable, no matter how many people do it. No matter how hi-tech the medium, because we are ultimately communicating with other people, common sense and courtesy are still expected.

Voice Mail and Answering Machines
If you have ever had to wait through a long-winded message, you know how annoying it can be. When setting up your voice mail or answering machine, keep it short and simple. Record the outgoing message in your own voice. Keep it businesslike but pleasant. The caller assumes you're sorry you missed his or her call without being told. Do not include comments about personal or religious beliefs that may offend a caller/client. And finally, avoid cliches such as "Have a nice day" -- a brief message in a pleasant tone will do the job.

When leaving a message, don't assume the caller will recognize your voice. State your name and when appropriate the number where you can be reached and your company name. Some systems automatically record when you called, but you may want to state the date and time if you feel it is important. Speak clearly and slowly, and keep your message brief.

Speakerphones
If you prefer conversing via speakerphone, remember to ask the caller for permission before you activate the speaker function. And keep in mind that everyone within hearing distance may hear the conversation whether or not they should. When using a speakerphone to conduct a meeting (or a conference call), always introduce all the participants or even all those present, since the person on the other end of the line cannot see who else is in the room. Not only is this good manners, it can also prevent embarrassing situations.

Video Conferencing
Listen carefully -- a half-second delay in transmission can be confusing. Keep in mind that their view of you is limited, and that excessive movement and some gestures may not be visible on their screen. At the same time, behave as though everyone is in the same room -- you are not invisible and the person(s) at the other location(s) are not deaf. If you learn about the video conference ahead of time, try not to dress in stripes, because it may cause video image distortion. Light blue is the optimal color to wear.

Mobile/Cellular Phones
People's tolerance toward the use of cellphones in public places is constantly fluctuating. Recently, New York's City Council voted to ban the use of cellphones at public performances, and it remains to be seen if this will set a precedent. When you accept an incoming call while with someone else, realize that the other person may not appreciate the interruption of his or her time with you. A client especially may feel a position of "second place" in this situation. Also, when you conduct business within hearing distance of other people someone may overhear information not meant for their ears. Last but not least, be careful of what you say -- someone with more curiosity than ethics may hone in and listen.

E-mail
One down side of e-mail is that it can make an important message seem informal and unimportant. When e-mailing about work, remember to still maintain the tone of a business correspondence -- keep it businesslike! Other key points are: Always include a subject line, don't use all-uppercase letters (making it seem you are yelling at the reader), check your grammar and spelling (this reflects on you, even in e-mail), sign off with your name, company name (if applicable) and a phone number.

If your e-mail is a reply, even though the subject line will provide a general reference, include enough information to ensure the recipient can quickly identify the reply. It is not always necessary to include the entire original message in your answer.

Do not be upset if you do not receive an answer immediately. People have other responsibilities besides reading e-mail. If you require an immediate response, it may be best to simply pick up the telephone and call the person.

And last but not the least, avoid communicating in anger whenever possible. It's understandably very tempting when speaking to a machine or dashing out a message on your computer keyboard because you are not face to face with the other person. A knee-jerk message could cause a great offense. You may wish you had not left the angry words on someone's voice mail or so quickly sent that sarcastic e-mail message. The answering machine or computer will not respond to your angry message -- but the recipient probably will. One way to ensure the appropriateness of your correspondence is to wait a few minutes after typing it out, and then reading it carefully one more time before sending it.

No matter how sophisticated communication technology becomes, the two end-users will always be human -- the sender and the recipient, the caller and the person being called, you and the other person or people. Remembering one's manners is not only polite; in business, it can mean the difference between a satisfied or dissatisfied customer/client, even failure and success. Source: http://www.appleone.com/Core/0303/etiquette.aspx