Parago’s recent Time is Money study found that $25 will motivate 3 out of 4 people to demo a product, take a smartphone survey, get a quote online, and participate in a one-hour sales presentation. For Millennials, the price is even lower: they’ll do a smartphone survey for free.
This finding helps marketers make critical decisions that drive consumer behavior. That’s why “Time is Money” has generated media buzz:
View more details from our Time is Money survey here.
View more details from our Time is Money survey here.
Today new research was released revealing how much consumers feel their time is worth. Specifically, the nationwide survey asked consumers “what is your time worth for providing feedback on products or services, listening to sales pitches and providing personal information to companies and marketers via various methods of interaction?”
Key findings from the research include:
- Personal data = $25: It would take a $25 reward to achieve the same level of consumer participation in an online survey requesting personal info versus a survey that did not request personal info
- What is 2 hours worth? 56% of women and 53% of men would participate in a two-hour focus group for $25 and 75% of women versus 70% of men would participate for $50
- $25 gets 50% participation: Half of respondents would participate in anything from a 10-minute survey to a two-hour focus group for $25 or less
- Millennials are the most willing to participate and Boomers are the least likely
- Sales pitches done in person are 35% better than by phone: More people would participate for free with an in-person sales pitch (65%) than be bothered on the phone (48%)
- Sales quotes for products or services are best done in person and out of the home: 62% don’t invite strangers in their home for anything and 44% prefer to deal with an actual person versus online interaction
A full infographic report of the research can be viewed here. We will also be sharing key graphics from the report throughout the week on this blog.
The Fiscal Times recently published an article examining a new shopper trend: why the wealthy are turning to couponing.
This interest in coupons (regardless of income) is not surprising. Research we conducted last year showed that in spite of an improving economic landscape, most shoppers grew more price sensitive in 2012.
Additionally, consumers are eager to work to find bargains; shopper price comparison research jumped up 35 percent. Consumers have grown to expect good deals and they are willing to work harder to get them, and not just via coupons.
Rebates also have staying power; 95 percent of consumers are interested in products that come with rebates and 80 percent of consumers actively seek out rebates.
Parago's Theresa Wabler contributed an article to Chain Store Age this week regarding the changing realities of the "new consumer." (AKA - the shoppers who are going to continue to develop and hone frugal consumption habits, recession or not.)
As marketers across all industries consider how to reach these constantly deal-finding consumers, they should consider a tried and true marketing tactic that has renewed value: rebates.
While price perception is king, consumers are indifferent to how that price point is achieved — whether through rebate, coupon, club or sale. However, since consumers understand that rebates offer deeper discounts than other sales, there is a strong interest in the promotions and shoppers are actively looking for rebates before and during the shopping experience. In fact, a 2012 survey of more than 1,000 consumers showed that 80% of shoppers actively look for rebates.
Read the full story here.
This month Parago's own Theresa Wabler contributed an article to Retail TouchPoints regarding ways retailers can alleviate the burden of "showrooming" with rebate promotions. (Showrooming is a growing trend: shoppers walk into a store, examine products, ask store employees questions about the products and then leave to search for the same products at lower prices online.)
The key to combating showrooming is finding creative approaches that serve the consumer and benefit the business, not hurt it. If all consumers care about is lower price, retailers must figure out how to deliver the milk without giving away the cow for free. Rebate strategies can respond to these low price demands while also generating loyalty and ongoing relationships with consumers. It is possible to give in to the value-seeking shopper that is here to stay while also growing value for the business.
Check out the full article here.
Question: Do consumers really like rebates?
Answer: Indeed they do. In fact, 95% of shoppers are interested in products with rebates and 80% are actively looking for them.
In today’s environment of increased deal-seeking behavior, rebates are a terrific way for consumers to save money. Many shoppers understand that rebates offer deeper discounts than traditional point-of-sale deals or coupons.
Additionally, today’s rebates are a far cry from those of 15 years ago that fell out of favor with some companies. Now rebating is more consumer friendly and offers a variety of payment methods including prepaid cards and PayPal, a choice of submission methods including online or point-of-sale, customer service interaction via web chat and dramatically reduced turn times.
Along with these consumer-facing improvements come new benefits for the sponsoring companies: in exchange for a positive and simple rebate experience, consumers are giving marketers data, participating in surveys and signing up for loyalty programs.
New research released this week shows most shoppers in the UK have grown more price sensitive in the last twelve months. Additionally, these consumers are eager to work to find bargains and take the time to compare prices before shopping.
Key findings of the UK shopper research:
- 77 percent of shoppers surveyed have grown more sensitive to price in the past 12 months.
- Price primarily drives purchasing decisions for 73 percent of shoppers.
- 85 percent of shoppers believe their purchasing power has decreased or remained constant over the last year.
- 97 percent of consumers shop for price over brand at least some of the time.
- 94 percent of consumers would drive 5-10 minutes out of their way for a £5 discount on a £30 product.
- 92 percent of consumers compare prices before they shop at least sometimes.
- Cash back offers are very popular; 82 percent of consumers look for cash back offers specifically.
- 70 percent of shoppers ask friends, family and colleagues for advice on deals and best prices at least sometimes.