Research Synopsis
Gift Food Catalog Shopping Survey
November 22, 2005
In a continuing effort to better understand customer behavior as it relates to gift food catalog shopping, Ovation Marketing has undertaken a survey to assess
- Purchase behavior
- New ways people buy
- Brand awareness
- Brand importance
- Differences between BTC and BTB purchase habits
Overall Findings
The respondents of this survey of catalog purchasers were primarily female (84%) and represented a good cross section of age, falling predominantly between 35-54 years old. These consumers are educated, with nearly 75% responding that they have attended or graduated college. Of the business-buying segment, the majority works in small companies of fewer than 20 employees.
Business buyers made more purchases in the last year than consumer buyers, with 45% making 8 or more compared to only 22% of consumer purchasers buying that frequently.
Not surprisingly, business purchasers spend more per order than consumer buyers. Over 50% of business buyers spend over $100 on an average purchase, compared to only 17% of consumer buyers. Both groups report thoroughly reading product descriptions before purchasing, indicating that solid copywriting is critical.
The most compelling finding in this research was the correlation of catalog use and the Internet. Over half of our respondents report that they make their catalog purchases online. That’s right, they see it in the catalog and then go to the Internet to buy. Only 22% of consumer catalog users studied report ordering the item through the phone number or order form in the catalog. The business buyers are slightly more likely to order via phone, probably because they have corporate accounts and traditionally use the phone to obtain corporate pricing. When making purchases online, both groups are likely to have a catalog with them. Nearly 90% of business buyers report having a catalog open when purchasing online, along with 85% of consumer buyers.
What’s more, roughly 60% of the consumer buyers and 70% of the gift buyers report that their online shopping has increased over the past year. Catalog shopping is also up, and unfortunately for pure bricks & mortar retailers, those increases are at the detriment of retail shopping, which they report has stayed the same or decreased.
The top two deterrents from purchasing from a catalog or its website are both price related: high prices and shipping charges. A handful of respondents had concerns with returns, guarantees or security of credit card information.
Not surprisingly, the greatest incentive to purchasing from a catalog is a sale. 96% of business buyers tell us that a sale will greatly influence them to buy, along with 91% of the consumer group.
Our respondents indicate that the brands they purchase from a catalog are important, though the brand of the catalog itself is not as meaningful to consumer buyers. They also note that a pleasing presentation is important in a catalog as well as past experience with that catalog. Reputation of a catalog is universally important, compared to product exclusivity or uniqueness, which is important to only about 50% of consumer respondents and 60% of business respondents.
Christmas is the most typical occasion cited for purchasing food gifts from a catalog, followed by birthdays and Mother’s Day.