When Amazon.com introduced the Kindle Fire in 2011, it was a budget-friendly game-changer for the growing tablet market that certainly shook the Apple tree. Fast forward to holiday 2012 and Apple – facing declining market share for its once superbly dominant iPad – has responded directly to the value-priced threat (from Amazon, Google, et al.) with its own $329 entry, the iPad mini. Not to be outdone, Amazon has recently launched the upgraded Kindle Fire HD – at the still very wallet-friendly $199 price point.
iPad mini sales are expected to exceed 5 million units this quarter, while the world’s largest online retailer touts the Kindle Fire HD as the “#1 most gifted product on Amazon.” And all of the back-and-forth between these two giants is enough to send Santa into a tizzy. With the shopping days until Christmas now numbered, let’s take a look at how the nearly 9,000 consumers we talk to each month feel about these two new tablets, courtesy of our popular “Hot or Not?” feature.
As it turns out, if you are planning on gifting either of these devices, you’re likely to make the recipient pretty happy. The majority of Adults 18+ rated the both the Kindle Fire HD (56.9%) and iPad mini (58.2%) as “hot,” though Apple’s device boasts a slight edge.
And if your recipient is a Gen X-er, you’re in luck: those born between 1965 and 1982 were the most likely to be fanning the flames on both of these “hot” tablets. Millenials followed, but expressed sentiment more in line with the general population. The Silent generation (much like its affinity for Apple iOS) and Boomers were more likely to boost the temperature on the iPad mini, rather than the Kindle Fire HD.
The upside for Amazon? It appears that we’ve stumbled upon a new slogan: Kindle Fire HD: Not Your Grandmother’s Tablet
With the “fiscal cliff” looming and potential tax increases on the horizon, it’s interesting to see where Americans of all ages agree (and where they don’t) when it comes to their hard-earned dough being divvied up by the government.
No big surprise, most Americans (71.2%) would rather shrink the size of government than raise taxes. Members of the Boomer Generation (75.9%), Silent Generation (75.2%), Gen X (70.5%) and Gen Y (61.9%) agree. But where should the government cut back?
Members of Generation Y appear most likely among the age groups to opt for a tax increase instead of cutting public services (police, education) or social programs (welfare, Medicare). The Silent Generation seems to agree, while the middle generations are mixed:
Although all generations appear willing to support education and safety, the majority of Gen X and the Boomers would prefer the budget for social programs like welfare get a trim before their paychecks.
Perhaps Gen Y is more likely to support higher taxes because most prefer to be unemployed! Over half (55.2%) say they would rather be unemployed and happy than be employed and miserable. While happiness is great, older generations are more likely to cope with misery if it means food on the table and shelter for their family:
It seems the Boomer Generation is the most likely to opt for employment even if it means unhappiness—perhaps they are housing some unemployed and happy members of the youngest generation!
Source: American Pulse™ Survey, October 2012 #1, N = 3529
© 2012, Prosper®
With its cryptic “the playground is open” tagline, the recently planned [and cancelled, #thankyouSandy] Google Android event had many pundits speculating on what would be introduced. So, we thought we’d once again ask the real experts – consumers – for their take on the Android platform versus the Apple iOS. After all, the nearly 9,000 consumers BIGinsight talks to each month correctly gauged the room temperature reception of September’s iPhone 5 announcement from Apple.
As it turns out, a look at the latest results from our “Hot or Not” feature reveals that the Google Android OS may be becoming quite the pressure cooker for Apple’s iOS. While the majority of adults deemed both the Google Android platform and Apple iOS as pretty popular in October, Android maintained a slight lead on the pairing with 53.0% voting it “hot” to Apple’s 51.4%.
These insights become really interesting, though, when divvied up by generation. While more than three out of five of the must-have Millennial demographic concurred that both platforms were “hot,” it was Android again (with 64.0%) that held the edge over Apple (61.9%). The operating system disparity was greatest among Gen X-ers, who were 10% more likely to side with Android (58.6%) versus Apple (53.4%). Boomers were on the fence for this debate, while Apple finally found some support among the Silent generation. Nearly half (46.8%) of those born before 1946 judged Apple to be “hot,” four points higher than those who felt the same way about Android (41.4%).
Bottom Line: While both platforms are undoubtedly popular, it seems that the children of our future – Millennials and Gen X-ers – are positioning Google Android as the mobile future, at least for the time being. As I recall, playground popularity contests could be pretty competitive.
You’ve heard the phrase “new normal” on the news, during conversation, in reference to the economy, etc…but what does it mean for most Americans? What has truly become part of normal everyday living in post-recession USA?
Most Americans agree that fluctuating gas prices (71.5%), the rising cost of food (63.5%) and high national debt (60.4%) are now normal parts of living in America that we just have to deal with. The slow-growing economy (53.1%) and the hassle of frequently shopping for sales (50.4%) also top the list.
Although fluctuating gas prices top the list of “normal” conditions for all age groups, members of the Silent Generation (83.9%) are more likely than those in Generation Y (57.5%) to say frequent pain at the pump is part of the “new normal.” Youngsters in the U.S. probably don’t remember when gas cost less than a dollar per gallon while those in the Silent Generation might be reminiscing of the good ol’ days when you could buy a gallon or two with the spare change in your pocket.
The generations also differ when it comes to modesty: not surprisingly, fewer members of younger generations notice a difference in the generally accepted code of conduct, while those in older generations are more likely to see a lack of modesty as a recent development in American living.
While the disappointment of deferring purchases is lower on the list of “new normal” situations to cope with, the Boomer Generation is most likely to feel the sting here. 39.6% of Boomers consider pushing off the purchase of a flat screen, vacation home or new car as just another part of living in the U.S. of A. For comparison, only 26.8% of Gen Yers agree.
For more on the “new normal,” head over to the Prosper Now Blog at Forbes.com.
Source: American Pulse™ Survey, October 2012 #1, N= 3529
© 2012, Prosper®
Do you trust your bank? Or do you stash your cash inside the mattress? We asked Americans how they felt about their personal bank and the federal banking system. Nearly 3 in 4 (73.8%) said they can count on their local bank while fewer (39.4%) put stock in the U.S. banking system as a whole. Interestingly, trust levels vary by generation:
It seems as though older Americans have more trust in their local bank while youngsters are more trusting of the United States banking system as a whole, compared to other generations.
Gen Yers are also more optimistic that recently announced lower interest rates will help the economy. 31.1% of these young adults are more or much more confident in the housing market as a result of the Fed’s interest rate adjustment. 25.3% say the same about the economy overall along with 23.1% who show a boost of confidence in the job market. Members of Gen X, just one generation older, are less likely to be confident in all three areas:
Perhaps Gen Y is more confident because this age segment is the most likely to take advantage of lower interest rates. 61.2% of members of Gen Y plan to make some type of life change as a result of the Fed’s announcement: 22.4% say they are likely to buy a car, 20.9% are in the market for a home and 20.5% plan to go [back] to school. Most members of older generations do not plan to make any life changes at this time.
For more fresh insights on American consumers, including confidence in the economy, expectations for gas prices and even Election 2012 updates, be sure to check out the complimentary American Pulse™ InsightCenter!
Source: American Pulse™ Survey, September 2012 #2, N=3282
© 2012, Prosper®
While Back-to-School spending buoyed this year and the outlook for Holiday 2012 just *might* be cautiously optimistic, the unemployment rate still seems to be the sticking point between consumers and that “recovery” word.
Those of us “in the know” are aware that the official U.S. unemployment rate remained a discouraging 8.3% for July (not accounting for the underemployed or discouraged workers, of course). What might a spouse, sibling, or parent tell you about the state of the job market though? Your dentist? Your child’s teacher? John [or Jane] Q. Public? If you aren’t tracking this rate on a continuous basis, you would probably be more apt to respond that or the unemployment rate is “high” or the employment situation is “bad.”
In fact, when we asked the more than 3,000 consumers in our latest American Pulse™ survey what they believed to be the current U.S. unemployment rate, respondents’ answers averaged 11.6%. While most consumers (54.4%) felt that the rate was somewhere between 8% and 10%, nearly one out of five (a whopping 18.9%) estimates that the rate is higher than 15%, which is more in line with the Bureau of Statistics’ much less publicized U-6 rate of unemployment.
So we’ve established that consumers think the unemployment rate is “high,” but how “bad” do they perceive the employment situation to be? According to our latest insights for August, nearly three out of ten (27.7%) believe it will take more than 2 years for the job market to improve. Fewer place bets on 7-12 months (17.3%), 13-18 months (15.8%), or 19 months to 2 years (16.3%), while just 7.8% optimistically assert that the employment situation has already improved.
Among the generations, Gen Y is the group most likely to view the outlook for employment with rose colored glasses; in fact, more than one in ten born between 1983 and 1993 is anticipating improvement in the job market within the next three months. [Holiday hiring season anyone?] The Boomer (born 1946-1964) and Silent (born before 1946) generations maintain a more long-term stance on improving employment, with about a third in each group looking beyond two years from now. Gen X (born 1965 – 1982) is more likely to follow the opinions of the general public.
Now while these insights are interesting, why are they important? Employment remains THE key issue when it comes to discussing the slow growth and recovery of the U.S. economy. Whether on a micro (i.e. personal job security) or macro (i.e. overall economic health) level, doubt in the employment environment breeds uncertain and hesitant spending patterns among consumers. If they fear the pink slips, they’ll snap their wallets shut. If they think they’ll go another year or two or three without a raise or promotion, they’ll think twice about upgrading their homes or cars or about taking a vacation. It’s the retailers, marketers, and advertisers who are attuned to consumers’ concerns that will be better positioned to react and adapt to these realities as the economy sputters toward a long-awaited recovery.
Christmas in July?
With the Back-to-School shopping season just around the corner (or already here according to some of the ad circulars I received over the weekend), we’ll soon be looking ahead to that all-important holiday shopping season. And while spending specifics are still a little off on the horizon, we queried the 8500 consumer respondents in our July Monthly Survey about the direction they anticipated their holiday gift budgets to take for 2012: north, south, or even keel from the previous year.
While nearly three out of ten (28.1%) admitted that it was too early to tell, among those with a budget in mind, 10.2% are planning to spend more this year compared to last (up from 6.5% in Jul-11). Before you start ringing those jingle bells, though, keep in mind that the vast majority of shoppers plans to spend at (46.3%) or below (43.4%) their 2011 gifting budgets. Of course, holiday 2012 spending plans vary by generation*, which brings me to the subject of this post.
Among shoppers with spending expectations in mind, it appears that Gen Y will be the most generous this year compared to last. Nearly one in five (17.9%) of these youngsters is planning to spend more on gifts this year; this figure declines as age increase, with just 1.1% of the Grinches Silent generation boosting their budgets this year. Perhaps it’s the holiday excitement felt among Gen Y – and even Gen X – which lends itself to Santa-like spending outlooks this year.
Among shoppers in general planning to spend less, three out of five (58.9%) stated that they were simply going to cut budgets across the board. A large proportion is also planning to buy gifts only on sale (41.3%) or do more comparison shopping (33.5%) – so it looks like mobile devices may play key roles for these shoppers this year. #showrooming
Plans for spending less become all the more interesting when we look at this data divvied up by generation:
– Not on Sale? Not for Me: Boomers (45.6%) and Silents (43.7%) are the most likely to scrimp on budgets by only buying on sale. Gen Y (35.9%) is the least likely to be swayed into saving using this method.
– Pause My Purchase, Please: One out of ten of those in Gens X (9.6%) and Y (10.9%) are curbing gift budgets by utilizing layaway a bit earlier this year. This number drops with advancing age; just 3.9% of the Silent group plans to put gift purchases on hold.
– This is Pinteresting: Nearly three out of ten (29.4%) Gen Y-ers plan to pinch the pennies by making homemade gifts. Gen X indexed on average, while Boomers and Silents are less likely to do so. Perhaps this social media site is inspiring more DIY-ers among the younger generation?
Stay tuned…the holiday shopping season is shaping up to be pretty interesting this year.
For more information on this data, please contact BIGinsight™.
* Generations were defined for this analysis in the following manner:
Silent (born 1945 or earlier)
Boomers (born 1946 – 1964)
Gen X (born 1965 – 1982)
Gen Y (born 1983 – 1993)
Source: BIGinsight™ Monthly Consumer Survey – JUL-12 (N = 8509, 7/2 – 7/9/12)
© 2012, Prosper®
BIGinsight™ is a trademark of Prosper Business Development Corp.