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ChannelEdge In-store Survey Reveals Major Consumer Decision-Making And Spending Behaviors Impacting Manufacturers - EWORLDWIRE

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ChannelEdge In-store Survey Reveals Major Consumer Decision-Making And Spending Behaviors Impacting Manufacturers

Key findings validate the influence of a positive in-store experience.

For Immediate Release

PORTLAND, Ore./EWORLDWIRE/May 4, 2005 --- ChannelEdge today announced the results of a recent in-store survey of consumers evaluating TVs and related accessories at the point-of-sale. The survey, conducted during March and April of 2005, entailed interviews with more than 300 individuals including those in the process of shopping and those who had just made a purchase.

Sales associates were also surveyed regarding their knowledge of the product category and consumer buying behavior during the purchase process. Survey markets encompassed Dallas, Boston, Nashville, Detroit and San Francisco, and it covered more than 20 different retail locations across the consumer electronic chains - Best Buy, CompUSA, Circuit City and Cambridge SoundWorks.

"There were dramatic changes in consumer behavior from the time people entered the store until they made a final decision," said Dr. Pamela Henderson, CEO, NewEdge. "In this particular category, consumer priorities at the start were focused on price and size. But, with the opportunity to evaluate picture quality and various brands, and then to speak with in-store associates, priorities changed and customers purchased as a result of the floor demo quality, the brand name and the salesperson's advice. The good news for manufacturers is that consumers were also willing to spend more for quality than they had originally planned."

The in-store experience led to consumers spending 25 percent more than they had originally stated at the start of the purchasing cycle. Across the population surveyed, consumers focus on sheer size was switched to a focus on picture quality and trusted brand, which averaged the highest rating for influencing choice, with price, size and warranty following.

"The ability to compare products side-by-side, access to knowledgeable salespeople, and quality demo units were the most important aspects of the in-store buying experience. Unfortunately, during the survey we found that over 30 percent of the TVs were improperly calibrated or not optimized to show the true quality of the product," said Kurt Higgins, president, ChannelForce.

ChannelEdge also surveyed and analyzed buyer behavior relating to accessories in this category - those purchased immediately with the major product and those purchased later. Again, in-store presence of store personnel, proximity to the major product category and promotional offers greatly impacted the manufacturers' success rate.

"This study draws strong implications for us - to build our in-store presence so customers have a positive interaction with salespeople, our products and our promotions - at the point when they are making the buying decision," said Mark Donnelly, managing director - North America, Atdec Pty. Ltd.

For a two-page summary of the survey methods, results and analysis, contact ChannelEdge at 503-906-3564 or khiggins@channelforce.com.

About ChannelEdge

ChannelEdge is a partnership formed by ChannelForce and NewEdge to create a resource in the industry with the ability to gain strategic insight from customers at the point-of-purchase in over 5,000 consumer electronics retail stores in over 80 markets, and for every consumer electronics product. For details on each company, visit www.channelforce.com and www.new-edgeinc.com.

ChannelEdge is the registered trademark of ChannelForce and NewEdge. All other trademarks and registered trademarks are the property of their respective owners.

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Judith Grillo
Cricket Communications, Inc.
Delray Beach, FL 33483
PHONE. 561-276-6075
EMAIL: cricket@bellsouth.net

Kurt Higgins
ChannelForce, Inc.
Portland, OR
PHONE. 503-906-3564
EMAIL: khiggins@channelforce.com

KEYWORDS: consumer electronics, retail, survey, research, buyer behavior, point-of-purchase, in-store experience, consumer behavior, brand quality, consumer spending, retail channel, consumer electronics manufacturers

SOURCE: ChannelEdge


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