What Influences Gift Giving Behavior?

8 Dec

Marketing Professor Anne Hamby of the Zarb School of Business at Hofstra University is an expert on consumer behavior. Recently, she participated in a video interview about the holiday shopping season.
 
 

 

Bravo, Patagonia!

7 Dec

Patagonia is a remarkable company that is true to its original mission: “Build the best product, cause no unnecessary harm, use business to inspire, and implement solutions to the environmental crisis.” Today, it “is a designer of outdoor clothing and gear for the silent sports: climbing, surfing, skiing and snowboarding, fly fishing, and trail running.” It operates online and through 30 stores.

What makes Patagonia distinctive from a social responsibility perspective is its giving back to the community, especially with regard to the environment. For Black Friday 2016, Patagonia pledged to donate all of its SALES revenue to environmental issues. Other companies sometimes pledge to donate from their PROFITS. But it is very, very rare for a firm to donate all of its sales.

As reported on the Patagonia blog by Rose Marcario:

“When we announced we’d give 100 percent of our global retail and online Black Friday sales directly to grassroots nonprofits working on the front-lines to protect our air, water, and soil for future generations, we heard from many of our customers calling it a ‘fundraiser for the earth.'”

“We’re humbled to report the response was beyond expectations. With your help, Patagonia reached a record-breaking $10 million in sales. We expected to reach $2 million in sales — we beat that expectation five times over. The enormous love our customers showed to the planet on Black Friday enables us to give every penny to hundreds of grassroots environmental organizations working around the world.”

“Many of these environmental groups are underfunded and under the radar, and they are overwhelmed with your commitment. On behalf of these activists and every Patagonia employee, we extend a heartfelt thank you to our customers, friends, and community worldwide who showed up to #loveourplanet.”

“You can learn more about the past recipients of Patagonia environmental grants in your community here. This additional infusion of resources will go a long way toward addressing climate change and other serious environmental issues.

 

Click the image to read more about Patagonia’s Black Friday 2016 environmental efforts.


 

What Is the State of Global Fashion?

6 Dec

Around the world, the fashion industry — at all levels and for all segments — is a key driver of the global economy. It generates trillions (that’s trillions 🙂 ) of dollars of revenue and employs millions of workers.

Recently, McKinsey & Company released a detailed report on the global fashion industry. Here are some of its findings:

“Fashion is one of the past decade’s rare economic success stories. Over that period, the industry has grown at 5.5 percent annually, according to the McKinsey Global Fashion Index, to now be worth an estimated $2.4 trillion. In fact, not only does it touch everyone, but it would be the world’s seventh-largest economy if ranked alongside individual countries’ GDP.”

“Yet, 2016 was one of the industry’s toughest years. Terrorist attacks in France, the Brexit vote in the United Kingdom, and the volatility of the Chinese stock market have created shocks to the global economy. At the same time, consumers have become more demanding, more discerning, and less predictable in their purchasing behavior, which is being radically reshaped by new technologies. It’s against this backdrop that McKinsey has teamed with the Business of Fashion to shine a light on the fragmented, complex ecosystem that underpins this giant global industry.”

“So what will change in 2017? No one would put money on volatility and uncertainty lessening. Nonetheless, our report finds that fashion companies are hopeful they can improve their performance through a combination of organic growth and leveraging new technologies. Successful companies will invest more to nurture local clientele: 2017 will be the year of organic growth by deepening relationships with existing clients, rather than through geographic, channel, and store-network expansion. And digital innovation will go behind the scenes: digitization will be the key to supply-chain efficiency, lowering procurement costs, and the enhancement of sourcing opportunities.”

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To access the full report, click on the image below.

 

Ethically, Should There Be a “Pink Tax”?

5 Dec

Did you know that there are several instances when women pay more than men for the same goods and services? For example, nationwide, many dry cleaners charge a higher fee for a woman’s “blouse” than a man’s “shirt” — even if the items are exactly the same. This practice has become known as the pink tax. We’re at the end of 2016, and this practice is still in effect.

Consider the following excerpts from a report by Glenn Taylor for Retail TouchPoints

When Boxed.com lowered the costs of feminine products sold on its site, it brought awareness to the issue of the ‘pink tax’ — the higher prices charged for female-marketed products such as razors, deodorants, and body wash compared to similar marketed-to-male products. But Boxed.com hasn’t been the only brand seeking to raise awareness about the pricing gap.”

A recent RetailWire article spotlighted the actions of New York City pharmacy Thompson Chemists, which charged a one-day 7% ‘man tax’ in response to the pink tax. Although the drugstore didn’t actually add on a tax for male shoppers, it did give females a 7% discount on all items throughout the store. The 7% discount reflected a study from the New York City Department of Consumer Affairs indicating that women’s products across a wide range of hygiene categories cost 7% more than men’s products sold in the city. As if this added tax wasn’t enough, feminine hygiene products also fall under the ‘luxury’ tax designation in 39 states, which means a 9% sales tax is charged for items such as pads and tampons.”

“Like many politically sensitive or gender-charged actions, the pharmacy’s tax was met with sharply divided opinions from consumers. While the move was reportedly received well in the store, it resulted in a flood of largely negative comments online as the story went viral.”

 

Click the image to read more on this topic from Retail TouchPoints.
 

 

Rogue One: May the Force Still Be with You

1 Dec

Last December, we wrote about the smash holiday sales of Star Wars toys, tied in to Star Wars Episode III: Revenge of the Sith.

This year, on December 16, 2016, the latest Star Wars (Rogue One) installment will hit theaters. So, this post takes a look at some of the milestones the series has achieved — and at the new movie.

Here are some pre-Rogue One cumulative data for Star Wars, compiled by Statistics Brain:

  • More than $30 billion of revenue has been generated.
  • The global movie box office has reached $6.25 billion.
  • VHS/DVD/Digital revenues have hit $5.5 billion.
  • TWELVE billion Star Wars toys have been sold.
  • Book sales have exceeded $1.8 billion.
  • $3.5 billion worth of videogames have been sold.

Here are some interesting tidbits about the tie-in blitz (yes, these items are ready for you to buy!) for the upcoming Rogue One, reported by Erik Kain for Forbes [Note: This list is NOT a commercial; that’s why there are no product links. The list is only intended to show the mania surrounding any new Star Wars release.]:

  • LEGO Sets — “LEGO has been at the forefront of all things Star Wars for ages. This year is no different. LEGO has released some truly awesome sets to celebrate the new film.”
  • Rebel U-Wing Fighter — “If you’re looking for something a bit more heroic, look no further than the Rebel U-Wing Fighter. This is a nice twist for Star Wars fans, since we’re all pretty used to X-Wings by now. The set is a bit less complicated than the previous one, with an 8-14 age rating and just 659 pieces.The U-Wing may be the main attraction, but the characters it comes with are awesome.”
  • Video Games — “Star Wars: Battlefront is an online multiplayer shooter that pits the Rebels vs the Empire in maps on planets from across a galaxy far, far away. There’s content from Episode VII like Jakku, and there’s content from the original trilogy, including the moon of Endor. On December 6th, the final DLC pack drops, and it includes content from Rogue One. The Rogue One: Scarif pack will let gamers experience battles on the film’s planet Scarif a full ten days before they can on the big screen.”
  • Books — “Most of the books coming out about Rogue One won’t release until after the movie (because of obvious things like spoilers). Still, here are some options for die-hard Star Wars fans looking for some art and literature tie-ins to Rogue One.
  • Action Figures — “The larger ‘Black’ series figurines are especially great both for kids and collectors. You can get the 6″ Jyn Erso figurine for $12.50, Rogue One pilot Cassian Andor for $15.49; and the sleek Imperial Death Trooper for $15.99.”
  • Figurines — “An alternative to action figures, Funko’s POP figurines are as cute as they are addictive. Be careful when you start buying POP characters, because there always seems to be another one that’s even cuter. In any case, there’s tons of characters from Rogue One to choose from, ranging from a little over $5 to a little over $8.”
  • Razors — “A little off the beaten path of toys, books, and video games, we come to very sharp blades. Razors, to be precise.Gillette has some pretty cool razors available with some Rogue One branding. The boxes are cool because they have some great artwork, but the insides are also pretty neat.”

 

 

Not Trying to Keep Scaring You About Online Security, But …

30 Nov

Yes, we at Evans on Marketing have made a number of posts about about online security, privacy, identity theft, and related issues. We’re not really trying to scare you, but we are trying to get you to be more alert and to protect yourself better online. That’s why we we’ve posted several tips, such as: 1, 2, 3 (a short video quiz),  and 4 (video tips).

So, here’s another alert for YOU!! 🙂 

Recently, AV-Test, a nonprofit organization that monitors online security, published its latest report. To grasp the highlights of this report more easily, TechRepublic has summarized what it considers to the top four points made by AV-Test:

  1. “Android is becoming more vulnerable to cybersecurity threats — While the majority of malware deployed in 2015 and 2016 targeted Windows, the most widely-used operating system in the world, Android is increasingly under fire as well. Malware attacks on Android platforms jumped from about 3% in 2015 to nearly 7.5% in 2016. Though it seems like a fairly small percentage jump, it represents an increase of millions of attacks, and marks ‘a significant trend away from Windows and towards Android,’ the report stated.”
  2. “Mac’s security fortress is just an illusion — Many Apple Mac users believe that the devices cannot be infected with a virus—even those using Macs in the enterprise, the report stated. And compared to Windows, the number of malware programs attacking Apple’s Mac platform is tiny: Just 819 malware threats targeted Macs in 2015. [Due to the small percentage of Macs in the marketplace — which remain at a 7.5 percent market share as of the date of this post.] However, that does not mean that these attacks were not serious. Plus, attackers would not need to program a large number of malware applications to obtain data from Mac users, as they rarely have antivirus solutions installed, the report said.” [Is this YOU?]
  3. “The rise of potentially unwanted applications (PUA) — A new cyber risk comes in the form of potentially unwanted applications (PUA), which are deployed by the advertising industry to track personal information on user and movement patterns, and to then display personalized advertising without the consent of the user. PUA represented nearly one-third of the online risks in 2015, the report stated, and are steadily increasing.”
  4. “The top 10 Windows malware of Q1/Q2 2016 — More than 85% of malware attacks occurred on Windows machines in 2015, with that number dropping to 67% in 2016. Some 12 million new Windows malware programs enter the market each month, the report found. Here are the top 10 malware for Windows to keep an eye out for.”


 
Click here to access the full AV-Test report. Click here to access the TechRepublic synopsis.
 

What’s on Your Shopping List? Part 2

29 Nov

Yesterday, we posted about the most popular gifts this year. Today’s post focuses on gift cards. These cards are easy to purchase and enable the recipients to buy what what most interests them — while also being somewhat impersonal.

Based on the recent survey by the National Retail Federation and Prosper Insights & Analytics, these gift card findings are clear:

“Holiday shoppers are planning to purchase an average of three gift cards with an approximate value of $46 per card, the second most-popular gift after clothing. Spending on gift cards is expected to reach $27.5 billion, up from last year’s planned $26 billion. The most popular types of gift cards include those from restaurants (35 percent of buyers), department stores (33 percent), Visa/MasterCard/American Express (22 percent), coffee shops (21 percent) and entertainment (17 percent).”

 
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