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Study Shows Consumers Will Purchase Top Value Brands at Mass Retail

 
 

- Integer and M/A/R/C reveal electronics and department stores are hit hardest by the recession -

DENVER, Dec. 3 /PRNewswire/ -- The shopper experience study currently underway by The Integer Group®( )and M/A/R/C® Research reveals that electronics and department stores continue to see the largest loss of shoppers and have the worst conversion rate with about half of shoppers leaving without making a purchase. Mass market retailers such as Walmart and Target® are showing a five point increase in shoppers visiting them more often, from previous months, and have the best conversion rate with nine out of ten shoppers leaving the store having made a purchase.

The study also shows that consumers are beginning to define value differently than before. More often consumers are attributing value to price, where the past couple months it was defined as an equal balance between quality and price.

"Across all channels, shoppers continue to report buying cheaper items lately, compared to three months ago," said Randy Wahl, executive vice president, M/A/R/C. "We believe it's safe to predict this trend will continue through the holidays as consumers are trading down, using purchasing tools like coupons, and seeking out cheaper prices."

Study respondents say three out of five brands that best communicate value to them are retailers. Overall, they consider Walmart and Target top value brands, with Sony, Kroger® and Kellogg's® being close behind. Consumers also ranked top value brands within their respective category, with Nike being on top for clothing and shoes, Suave® for cosmetics and toiletries, Honda for cars, accessories and parts, Sony for electronics, and Kellogg's for the food and beverage category.

"The findings suggest that consumers still seem to be buying their favorite brands, but are looking elsewhere for a better price," said Craig Elston, senior vice president, The Integer Group. "For example, a consumer may not want to compromise on a trusted brand such as Nike so they will decide to buy at Walmart instead of a department store in order to save money, allowing them the comfort of still being able to purchase what they believe to be their top value brand."

Data for The Checkout comes from a national survey conducted by Integer and M/A/R/C where consumers are asked about their shopping attitudes, shopping behaviors, and economic outlook. Topics range from criteria shoppers use to select retailers, to which in-store stimulus is most likely to drive purchase, to factors that might lead shoppers to leave an aisle empty-handed. The Checkout is available for download at Integer's blog www.ShopperCulture.com or M/A/R/C's web site www.MARCresearch.com/thecheckout.

About The Integer Group

The Integer Group (www.integer.com) is one of America's largest promotional and retail marketing agencies and a key member of the TBWA Marketing Services portfolio. The Integer Group resides at the intersection of branding and selling and creates strategic marketing solutions for clients in categories that include beverage, packaged goods, telecommunications, fast food, home and shelter, and power sports.

About Omnicom

Omnicom Group Inc. (NYSE: OMC) (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom's branded networks and numerous specialty firms provide advertising, strategic media planning and buying, digital and interactive marketing, direct and promotional marketing, public relations, and other specialty communications services to over 5,000 clients in more than 100 countries.

About M/A/R/C ® Research

M/A/R/C ® Research (www.MARCresearch.com) is a brand development firm dedicated to helping clients create, evaluate, and strengthen their brands. Our teams design and execute qualitative and quantitative, traditional and online solutions while adhering to a client-service ethic built on being easy to work with and delivering what is promised. Our core competency is measuring attitudes and behaviors to accurately explain and predict market share, revenue, and bottom line impact of a client's actions. We help our clients address consumer, channel, and B2B marketing issues to launch better products and services, attract and retain valuable customers, and build stronger brands. Our proven, marketing-issue focused solutions, support clients' brand building efforts.

SOURCE The Integer Group

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RELATED LINKS
http://www.integer.com
http://www.ShopperCulture.com
http://www.MARCresearch.com/thecheckout

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