Tag Archives: consumer research

Stupidity Fees?

Here is the typical drill. A consumer is completely surprised and shocked by some retailer’s stated policy, so she complains on Facebook. A big firestorm develops, and maybe they do a story on the local news that goes viral on YouTube. The embarrassed company relents, apologizes to the consumer and changes the policy.

Yeah, well, that didn’t happen this time.

An Irish family of 5 was on vacation in Spain. On the return trip, they arrive at the airport and go to the kiosk to print their boarding passes. They discover that the airline charges a 60 Euro ($76) printing fee PER BOARDING PASS. Four hundred dollars and one heart attack later, the mom is complaining on Facebook, has a million-billion Likes, and is demanding justice.

How does the airline CEO respond?

“We think she should pay 60 euros for being so stupid. She wasn’t able to print her boarding card at an Internet café? At the hotel? She couldn’t get to a fax machine so some friend at home could print them and fax them to her?”  NBCNews.com

His point? The terrible bad printing fee is a stated policy. If you didn’t read the fine print, then you should pay the Stupidity Fee.  This particular airline, Ryanair, is one of those low-cost outfits. And part of the low cost magic is crazy weird fees like this one, such as bag fees, exit row seat fees, and even potty fees.

So, is this right? If it’s in the fine print, can a company do whatever it wants? How closely do you read the fine print? Should you have to? Check out the original article to read about the pros and cons, and let us know your opinion.

Organic Food – Yea or Nay?

The term organic shopper helps develop a picture of a consumer who appears to be more in the know about what’s best for their bodies and what isn’t.  But are those who purchase organic foods better off than those who don’t? Maybe not.  Consumer Affairs

Some people (or maybe it’s just me) envision the Organic Shopper as a hippie in hemp sandals and a tie-dye T-shirt. But the truth is that a LOT of people – from every stripe of life – are concerned about bacteria, pesticides and antibiotics in their meat and produce. So they have gone organic in their shopping habits and, for the most part, don’t mind paying a little extra for the peace of mind.

But are they really seeing the benefits? This study is unconvinced.

Twelve Stanford University researchers examined 240 studies on organic foods that were previously conducted between 1996 and 2011. The goal of the researchers was to determine the true differences between conventional foods and organic, in terms of nutrient levels and the amount of contaminants. Consumer Affairs

The good news is that there ARE fewer pesticides present in organic foods. 7% of organic foods had some trace of pesticide, compared to 28% of non-organic foods. BUT…all foods tested were within government safety standards.  Also, they found no big difference in the levels of vitamins A, C and E between the two.

What’s the takeaway? Well, some people just want their organic food, don’t mind paying for it, and that’s cool. But if you are somebody – like many of us – who has to keep tightening their belt month after month but you are still concerned about the safety of your food, non-organic seems to be a safe way to go.

There’s more at the original article, so check it out. And have a great weekend!

(photo: american.com)

The Return of the Return of Layaway!

Last year we blogged about how a bad economy and the credit crunch were leading to “The Return of Layaway” in your favorite stores. This year, there’s a new twist.

Same lame economy, but now it’s an election year. I heard on the radio that Wal-Mart is worried that with politicians buying up every moment of commercial time, they won’t be able to do the kind of advertising they need to make a profit at the Holidays. So, one thing they are doing is improving their layaway program to get your attention.

So, in addition to starting the program much earlier this year…

Walmart will refund the $15 fee to open a layaway account after customers make their final payment, and it will no longer charge a cancellation fee to customers who fail to finish paying for the item.  USNews.com

Other stores like Kmart, Sears and Toys R Us are joining in the fun, too. You can read all about it here.

What do you think? Were you planning to use layaway this year? Would this tempt you to? Let us know. And have a fun, SAFE Labor Day weekend!

(photo: fh.ext.wvu.edu)

Who is Really the Low Price Leader?

For me, the perception of paying less is what takes me to Wal-Mart. I feel like the noise, the crowd and the hassle are worth it if I am saving dough.

According to this article, though, those savings may be an illusion.

Target this month had lower prices than Wal-Mart for the first time since October, according to research conducted by Bloomberg Industries. The Minneapolis-based chain also led by its widest margin since the monthly study began two years ago. The study examined the gap in average price across a basket of 150 like items at stores within five miles of each other.  Bloomberg.com

Apparently, the still-crappy economy has the two giants scrambling for customers, and the competition has heated up. Of course, there are other players, including Kmart and Amazon. Customer loyalty is up for grabs, and we will go wherever the prices lead us.

At any rate, Target is crowing, and Wal-Mart is saying “Yeah, but…” And it seems this whole competition  is for bragging rights, since we are talking about a savings of 46 cents per every hundred dollars!

What do you think? Target or Wal-Mart? Do you see a difference? Let us know…and have a great weekend!

Back to $chool $pending

Are we properly capturing the misery?

Are you feeling 15% richer now than last August? I hope so, because that’s how much more we are going to spend to send our kids back to school this fall.

This year, the average family with students from kindergarten to 12th grade is expected to spend $689 on back-to-school supplies, up from $604 last year, according to the National Retail Federation. Parents estimate they will spend an average of $246 on clothes, $218 on electronics, $129 on shoes and $95 on school supplies, such as notebooks, pencils and backpacks. Chicago Tribune

So, how do you avoid getting cleaned out at the register? Here are some tips…

Do your homework: make a list, plan your trip, and stick to it. Also, look around the house. Do you need to buy a pack of ten ink pens? Don’t you have 50 lying around the house? I know I do!

Save on supplies: Dollar store, baby! Of course, it’s not only dollars. Saving on headaches can be valuable too. Like, when the moms of XYZ Middle School prepare those grocery bags with precisely all  the supplies you kid will need? Costs more, but so easy!!

Clothing: This is going to depend on the kid, but what’s wrong with Good will? My sister had 2 boys, and bought ALL their clothes there because they just didn’t care. So, get some kids like that!

Wait on the season: By the time your kid needs each season’s wardrobe, those clothes will be on clearance. So, chill!

Online shopping: Online back to school shopping has increased 400% in the past few years, and now 40% of parents are doing it.

Compare prices: Prices for the exact same items are truly all over the place. Spend some time online and figure it out.

Computers and electronics: A good time to whip out that student ID, for extra savings.

So, that’s the 411 on back to school savings. There’s much more info at the original article, so check it out!  What do you think? Did we leave anything out? Got any tips to share?

 

Redbox Gives Netflix the Blues

So, what service (or services) are you using for your media rentals? Still going to the video store? Downloading or streaming? Using the DVD kiosk outside the 7-11?

Well, your choices keep multiplying! DVD purveyor Redbox is on a roll since they made the deal to buy up all of rival Blockbuster’s kiosks. The latest development? They are breaking out of the physical DVD realm and getting into streaming, courtesy of a new partnership with Verizon.

The service called “RedBox Instant by Verizon” will offer more or less the same features as Netflix will, without the home delivery option.  Consumer Affairs

Which is MORE bad news for Netflix.

Netflix is in perhaps in that fabled location between a rock and a hard place. It is losing about 1 million DVD customers per quarter while its slow-growing online customers are consuming more and more streaming video. DVD rentals are about five times more profitable than streaming video. Consumer Affairs

I guess the question is, are your rental habits changing? Me, I finally got an HD TV. I am getting about 10 channels of local HD content, and thinking of signing up for a couple of rental services like this. And, once and for all…DITCHING CABLE! What do you think?

Credit Crunch?

…or not?

I was preparing a blog post about how Americans were getting their act together on credit cards. Specifically, that our rate of late payments was the lowest in 5 years, suggesting that we were getting our financial houses in order, paying down debt, getting on the right track, etc, But, just now, I see that…

Consumer credit climbed more than forecast in May, led by the biggest jump in credit-card debt in almost five years that may signal Americans are struggling to make ends meet.  Bloomberg.com

The continuing soft job market seems to be the culprit, putting a damper on consumer confidence. But, there are things we must have and, it appears, we are now putting them on the ol’ plastic. The sad thing is, whether this is healthy or not, business and government don’t seem to care—as long as you are spending!

As for me, I had my share of youthful credit mistakes. I cleaned it up, paid it off and I haven’t looked back. But these are tough times. How are you handling it? More credit purchases? Less? Charging but paying it off quickly? Let us know!

(photo: flickr.com)

State(s) of Happiness

Who are the happiest Americans? And how would be know? Well, you interview a BUNCH of people all across the United States – DAILY, for a WHOLE YEAR – and you draw some conclusions!

Gallup rated each state on the following: life evaluation, emotional health, physical health, work environment, healthy behaviors and basic access to services and amenities.  Drum roll please…

Happiest States:

10 Montana…09 New Hampshire…08 Nebraska…07 Kansas…

06 Colorado…05 Alaska…04 Utah…03 Minnesota…02 North Dakota…

01 Hawaii

Unhappiest States:

40 Nevada…41 Tennessee…42 Florida…43 Missouri…44 Arkansas…

45 Alabama…46 Ohio…47 Delaware…48 Mississippi…49 Kentucky…

50 West Virginia

 So that’s the rundown. What do you think? Are you in a “happy” state? An “unhappy” state? Do you agree or disagree with this assessment? Let us know! Check out the whole report, and have a great weekend!

MindField in the News!

100,000 rolls of toilet paper, anyone?

A fun article in the Charleston (WV) Gazette profiles McMillion Research/ MindField Online from its roots as a kitchen-table operation in the late 60’s, through the “standing in the Mall with a clipboard” years, to the telephone banks, and to the internet force it is today.

“We’ve done children’s drinks, soups, adult diapers, every cosmetic known to man, soft drinks, every food, cookies, crackers… you name it, we’ve asked them about it,” says Gary McMillion.

But it’s much more than dish soap and toilet paper. Over the years, McMillion/MindField has polled people about their reactions to world events like the Exxon Valdez oil spill and the OJ Simpson trial.

Basically, when interested parties need answers from a bunch of people – about darn near anything – they come to MindField! According to Gary, a big reason for MindField’s success is a great group of panelists who – of course – like the compensation, but who also really care about helping companies provide better products and services to consumers.

It’s a nice article, so check it out!

Fill the Money Pit Wisely

Um, yeah…you’ll need more than that.

They say the average US household has lost 40% of its wealth in the last 5 years, largely due to plummeting home values.  Often, when people can’t sell, they renovate. Either they are trying to make the house they are stuck in more livable, or make it more attractive to a potential buyer. And no matter what they spend, they tell themselves it’s not an expense, but an investment.

It’s the magic phrase uttered by almost anyone who’s ever considered the cost of home remodeling: “We’ll get it back when we sell.”  Unless you keep those projects practical, though, you might just be kidding yourself.   Bankrate.com

Then they list the types of remodels you might want to avoid:

  • Home Office: Will cost you up to $29,000 but you’ll only get 46% back upon sale.
  • Backup Power Generator: Hey, they had that windstorm in Ohio a couple of years ago, and my mom was without power for 2 weeks! But this once-in-a-blue-moon convenience costs about $15K, and you will get back 45.8% upon sale.
    Adding a Sunroom: Costs $75K, and you will get back about half of that.
  • Upscale Master Suite Addition: Succumbing to HGTV envy will cost you upwards of $220K and, again, you could make half of that back.
  • Adding a Bathroom: $20K to $40K, depending on your tastes, and a 53% return.
  • Garage Addition: Dad’s dream is expensive, up to $90K, and you will get a 54% return.

There’s more at the original article, so check it out!

(photo: homesnhouses.com)