Title: A Voice
1Media and Marketing Research Council Newsletter
A Voice In the West
NEW OTX STUDY ABOUT TEEN MEDIA HABITS
- Earlier this year, OTX (in partnership with The
Intelligence Group) conducted a nationally
representative online survey of teens about their
media habits, particularly those involving the
Internet. Some highlights from this study
include - Teens spend on average about 11.5 hours a week on
the Internet (not including sending and receiving
e-mail), and most of that time is spent just
surfing. Males (at about 12 hours a week) tend
to be online more than females (at about 11 hours
a week). - Teens are downloading more music than ever before
and are beginning to spend more time watching
online movies and television, although not as a
replacement for TV. 94 claim to watch
television in a typical week, with the average
teen spending 8.4 hours in front of the set.
Almost two-thirds claim to be watching more or
the same amount of TV vs. a year ago.
- Teens most time-consuming media activity is
listening to their own music on an iPod or a CD
player, driven by females and older teens. Among
online activities, instant messaging is the most
time-consuming, with the typical teen spending
over seven hours a week on IM. - The media activity with the greatest increase in
time spent over the past year is texting, with
almost two-thirds saying they are doing this more
vs. a year ago. Among online activities, about
half say that they are downloading music, sending
and receiving e-mail and using IM more than a
year ago, while more than a third are spending
less time creating/editing avatars, sending
online greeting cards and participating in the
virtual economy. - MySpace is still dominant among these teens when
asked on an unaided basis for their three
favorite sites, almost two-thirds say MySpace,
far outpacing runners-up YouTube (29), Facebook
(22) and Yahoo (21). Almost all the teens in
the study have been members of a social
networking site, with the average teen belonging
to over four sites in their lifetimes, and about
two currently. - Although they still prefer shopping in physical
stores, more than half of teens are making online
purchases and reporting doing so more than last
year. They spend on average about 50 a month
online, and are most likely to be buying music,
clothes and electronics. - The majority of teens are going online without
any parental regulation or Internet filtering
software. However, teens are not naïve about
safety most are aware of the possible dangers
and are concerned about issues like computer
viruses and identity theft. - The study also details how teens interact with
advertising online their attitudes about the
virtual world vs. the real world their usage of
widgets and experiences with cyberbullying and
teens responses to it, among other topics. For
more information, please contact OTX at
apaquette_at_otxresearch.com or (310) 736-3454.
MMRC Board Members Maureen Whitman, The Nielsen C
oPresident Mary Beth Garber, SCBAVice President
Sol Ortasse, Striker MediaTreasurer John Hegel
meyer, E-RewardsSecretary Samantha Marlowe, SQAD
Sally Wu, UnivisionJuan LaTorre, Experian
ResearchJana Steadman, MTV NetworksMark Pruett,
TNS MediaElizabeth Lam, SCBA If you are interest
ed in joining the board, please contact
maureen.whitman_at_nielsen.com
2Rolling Bailouts The Economic Crisis and
Shifting Consumer Values Iconoculture, October
2008
Its been amassing for a while, and now its
here the perfect and perfectly terrifying
economic storm. Whats happened and whats next?
What is next? We see the current crisis as deep
and culture-shifting, with repercussions for
years to come. Quite simply, folks will
drastically cut back on spending because they
will have no other choice. This decline in
consumer spending will steepen and lengthen the
recession, likely making it the worst global
downturn since World War II.
Following on the heels of the current storm, we
are seeing a rewiring of the worlds economic
system, including the likely near-nationalization
of large swaths of Americas financial services
industry. The financial system we have lived with
since the Depression will change drastically.
What replaces it, and for how long, is still a
huge question. And by no means are we out of the
woods yet. There remains significant risk that
things could unravel further. For more perspectiv
e on how the current economic tribulations will
reshuffle consumer values, we can look to the
past, noting how other major shifts have made
their mark on the culture Great Depression The
stock market crash on Black Tuesday in 1929
kicked off a deep global economic downturn that
most nations didnt recover from for a decade.
Consumer shift Years of hard economic times
created a nation trained for thrift and
pragmatism, and resulted in the establishment of
many of the programs that have shaped our
economic environment for the past 60 years.
1970s Energy Crisis An OPEC oil embargo in 1973
caused prices to rise and lines at the gas pumps
to lengthen. Consumer shift Concern with energy
prices led to a small-car boom and a wave of
in-home conservation, as consumer values turned
to independence, conservation and innovation to
deal with high prices and shortages.
9/11 Terrorist attacks on New York and
Washington in 2001 shocked the nation, killed
thousands and paralyzed domestic and global
economies for months and years to come. Consumer
shift Americans circled the wagons, embracing
values of safety and security in a time of great
uncertainty about their own personal safety and
emerging geopolitical strife. Hurricane Katrina
Katrina pummeled the Gulf Coast in August 2005,
causing widespread regional damage, breaking
levees in New Orleans, and causing massive
destruction and loss of life in the region.
Consumer shift Consumers seized on values of
confidence and control as our collective belief
in the governments ability to help in times of
need plunged. Looking ahead? The United States wi
ll emerge from the current crisis notably
weakened economically and that may not just be
for the short term. Right now, our debt burden
has skyrocketed, and our credibility is shaken.
The days of the dollars unquestioned global
centrality are numbered, and economies with
strong balance sheets notably China have only
gotten stronger. Beware inflation! The capital
infusions from the Feds have many experts fearful
that the inflation genie is out of the bottle.
This will rob consumers of whatever spending
power they have left and prolong the recovery.
What follows is a high-level overview of changes
already happening in various demographics.
Iconoculture is available to further discuss how
the economic downturn will impact consumer
behavior and values. Implications Values Contro
l Global consumers are clamoring for ways to
reestablish a feeling of control over their
finances, material possessions, future and
general anxieties. Security What, me worry? Yes!
Consumers around the world need partners in
confidence like never before brands and
services that deliver reliability,
trustworthiness and even an order of calm.
Savvy Consumers still want to find clever ways
to beat the system, even though that system is
already broken. Help your customers find the
timeless delight in circumventing financial
obstacles and getting the deal of a lifetime or
the week. Thrift This is not a choice but a new
normal mandate for all. Welcome to the
age of pinching pennies and selective pampering.
Self-sufficiency Whom can you trust? Barely
anyone. Consumers are finding subversive ways to
take care of themselves and their own, because
no one else will. Stability Roller coasters were
so last year. Todays shoppers, more than ever,
will value grounded practicality over the big
ups and giant downs of chaos and
uncertainty, thank you very much.
New and returning members Fox Broadcasting
Media and Marketing Research Council Newsletter
3Categories Money/Spending A new thriftiness main
streams online as consumers beehive in their
shopping for the best interest rates, premiums,
value and service. Expect more consumers to turn
to nontraditional financial-services solutions,
such as P-to-P lending, bartering and shared
ownership. In a tough economy, financial-services
industries need to amp transparency, education
and innovation. Food/Beverage Foodies will want
to be shown the value in scratch cooking and
authentic food more mainstream eaters will look
toward value without regard to quality of
ingredients (call it The Velveeta Syndrome).
Everyone will want to be led to the value in
cooking at home (whether hardcore or halfway)
and stretching meals further. Meanwhile, many of
us could use a stiff drink.
Automotive Car dealerships will close their
doors in large numbers over the next year. This
will accelerate change in an already morphing
marketplace, meaning online comparison shopping
will reign for consumers, and car companies will
need to pay extra attention to where they place
their marketing money. Travel/Leisure Flying get
s suckier as the number of flights declines and
operations go super low-budget. Both business and
leisure travelers will learn to accept a
staycation mentality for the long haul. Consumers
will respond to cheeky value-based humor and
armchair-traveling inspiration.
Retail Coupons rule, especially when they
provide a feeling of subversive, savvy reward.
Bling is out practicality in. This holiday
season, its one gift or none. Think value
customer service as the remedy.
Media/Entertainment Consumers are looking for
good CPEH (cost per entertainment hour) value.
Gaming has seen a growth spurt just over the last
month, largely for that very reason. Expect Dark
SideSM escapism to provide an outlet for our
fears ("at least my neighborhood hasnt been
invaded by flesh-eating aliens from another solar
system"). Technology The Family Cave will get am
ped for maximum escapist nesting. For holed-up
consumers, that high-def TV just might be the
smartest purchase this year. Mobile devices and
apps will take on a vital role in comparison
shopping, as long as consumers have the bucks to
keep up with them. Demographic Groups Millennial
s The youngest Gen We members grow up in the New
Austerity Age, knowing no previous Lush LifeSM
(other than stories from their parents). Teens
and college students grapple with a new proceed
with extreme caution talk track from Mom and Dad
when it comes to new purchases, while
20somethings struggle to find jobs in a layoff
culture with global competition.
Gen Xers Used to feeling the squeeze and finding
practical solutions, Xers will take a day-to-day
mentality into the recession, fluidly changing
household spending to fit the financial times and
taking as they always have small indulgences,
fun and luxury where they come.
Boomers Younger Boomers will open the door to
evicted or laid-off kids or defer their dreams of
career downshifting. Older Boomers watch their
retirement plans deflate, and scramble to rewrite
the future, which likely includes work, work and
work. Matures Retirements are getting delayed, o
ften indefinitely. Healthcare costs become
scarier, and even bankruptcy becomes more likely.
Foreclosed homes will put a strain on nursing
homes. Older seniors suddenly have true seniority
when it comes to Depression-era survival tips.
U.S. Latinos Latinos are becoming increasingly
pessimistic about their economic situation, as
work shifts from full-time to part-time. Theyre
changing their grocery shopping habits to fight
rising food prices. The hard-earned realization
The American dream is about not just buying a
home, but being able to keep it.
U.S. African Americans Even if credit is
loosened again, with better Wall Street and
banking oversight, the reversal of fortune for
African Americans, exacerbated by the loss of
homes, property and small businesses and their
inability to re-attain them anytime soon may
cripple their economic welfare for generations to
come.
Iconoculture is the leader in consumer trend
research and advisory services that enables
innovation and business growth for clients.244
First Avenue North Minneapolis, MN 55401
phone 612.642.2222insight_at_iconoculture.com
www.iconoculture.com
Upcoming MMRCLA Meetings November 20, Judit Nagy
, Fox Interactive Group The state of the interact
ive and online world
December we are dark
Media and Marketing Research Council Newsletter
4Obama Wins on Economy But Race Isn't Over
American Pulse 10/24/08 Its no question when it
comes to the struggling economy that Obama wins
with voters. According to the October American
Pulse, (n4,048, including 3,345 likely voters
surveyed 10/17-10/21/08), 34.3 of registered
voters who plan to vote say their confidence in
the economy would increase if Obama is elected in
November. 26.1 say their confidence would
increase if McCain is elected. Although Obama
leads overall among registered voters planning to
vote in the November election, the Presidential
race doesnt appear to be over just yet. In fact,
among some groups of likely voters, McCain trumps
Obama. When asked who they would vote for if the
election were held today, McCain leads Obama
among 35-54 year old likely voters (41.9 to
39.9) and those 55 (44.4 vs. 38.4). Among
registered voters who voted in 2004, and plan to
vote this year, it is a virtual deadlock at 41.5
McCain vs. 41.5 Obama. If the Presidential Ele
ction were held today, who would you vote for?
Likely Voters
All 18-34 35-54 55 John
McCain 39.1 26.6 41.9
44.4Barack Obama 43.8 58.7
39.9 38.4Undecided
14.2 13.1 15.3 13.7Other
2.8 1.6 2.9
3.4Likely Voters is defined as those who are
registered and plan to vote in the November
election. Source BIGresearch, American Pulse, Oc
t. 08. N4,048 Other key findings about voters
from the October American Pulse
47.7 of McCain voters vs. 23.6 of Obama voters
strongly agree they are concerned with voter
fraud. 38.4 of likely voters feel it is the Am
erican Way to tax high wage earners in order to
spread the wealth around to low wage earners
23.8 say this is a socialist concept.
70.6 agree that they try to learn as much as
they can about candidates backgrounds.
Undecided voter makeup 24 Democrat, 18
Republican, 48 Independent. 47.7 are over 45
years old and 54 are female.
About American Pulse The American Pulse Surve
y is collected online by BIGresearch every month
exclusively utilizing Survey Sampling
Internationals (SSI) U.S. panel covering topics
such as politics, pop culture and the economy.
Over 4,000 respondents participate, providing
greater insights into how Americans really feel
about issues they currently face.
http//www.bigresearch.com. ContactsBIGresearch
SSIDianne Kremer
Diane
Ursodianne_at_bigresearch.com
diane_urso_at_SurveySampling.com614.846.014
6
203.567.7236
Media and Marketing Research Council Newsletter