nca shopping and pricing research report march 2011
DESCRIPTION
A National Consumer Agency report on the influence of price on consumer behaviour.TRANSCRIPT
National Consumer Agency
Market Research Findings:Shopping and Pricing
March 2011Research Conducted by
2
Making Complaints
Key Points
Section 1: Shopping and Pricing
Section 2: Grocery Shopping
Research Background & Methodology
Profile of Sample
Table of Contents
3
Making Complaints
Key Findings - I
• 17% of consumers find it difficult to compare prices. Areas cited
most difficult:
• Building related services, Pharmacies, Supermarkets.
• 57% of consumers say price is the main influencing factor in
determining where to shop.
• “Reasonable value for money” has changed notably from
consumers’ perspective since 2004 in the following areas;
Increases: - Pubs (19%), Supermarkets (15%), Hairdressers
(13%), Shops Selling Clothing (12%)
Decreases: - Telecom Providers (18%), Local newsagents
(15%), Holidays (13%), Dentists (12%), Banks (11%), Solicitors*
(12%) and Auctioneers* (14%)
*Note: Over 50% of respondents recorded a “Don’t Know” answer in relation to these sectors
4
Making Complaints
Key Findings - II
• In relation to grocery shopping:
• 72% choose where to shop based on price
• 79% prefer long term lower prices instead of special offers and
regular promotions.
• 73% of consumers are more likely to pick up special offers while
in their usual store than to visit a particular store based on
specials offers advertised.
• Overall Avg. Grocery Basket - Branded 65%, Own Brand 35%
•Branded - Beer (89%), Tea/Coffee (84%), Baby Products
(81%)
•Own Brand - Toilet Tissue/Kitchen Rolls (74%), Household
Cleaning Products (67%) and Milk (56%).
5
Making ComplaintsSECTION 1:
Shopping and Pricing
6
Making Complaints
24 26 25 32 29
47 48 4243 46
19 1721
16 13
9 12 9 1210
Nov/Dec-
10 Jun-10
Nov/Dec-
09 Jun-09
Nov/Dec-
08
Shopping Around(Base: All aged 15-74 – 1,000)
Comparison of prices
I always compare/shop around
for better prices
I sometimes compare/shop around
for better prices
75%
I very rarely compare/shop around
for better prices
I never compare/shop around for better
prices
%%%%%
75%67%74%71%
7
Making Complaints
23
22
20
20
17
14
13
13
Pharmacies
Waste service`
Travel agents
Entertainment outside the home e.g. Cinema, concerts
Pubs
Bus & train transport
Education providers
Doctors, hospitals or other medicals
Most Likely to Shop Around In ....
Within the Last 12 Months
Supermarkets
Shops selling clothing/footwear
Petrol stations
Insurance products & services
Communication services including home phone, mobile, internet
Shops selling furniture or household appliances
Airlines
Energy suppliers
75
74
57
52
45
45
42
39
Primary
%Restaurants, take-always or hotels
Personal care e.g. Hairdressers beauticians
Convenience stores/newsagents
Car dealers
TV services providers
Entertainment at home e.g. DVDs
Building and related services
Banking products services
37
35
32
30
30
29
28
25
Secondary
%
(Base: All who compare/shop around for better prices – 707)
%
Tertiary
71%
8
Making Complaints
Building related services e.g.
tradesmen
Pharmacies
Supermarkets
Financial institutions
Doctors
Insurance companies
Utility companies
Telecommunications
Clothing
Pubs
# All others 4% or less
17%
Difficulty Comparing Prices?
%
Yes
%
12
12
12
9
9
8
6
6
5
5
(Base: All aged 15-74 – 1,000)
9
Making Complaints
Frequency of Using Price Comparison Sites
7
26
20
47
Yes, all the time
Yes, sometimes
Very rarely
No, never
(Base: All who use the internet – 724)
%
(8)
(28)
(16)
(48)
72%
Higher amongst
Rest of Leinster 43%
45-54 year olds 40%
ABC1 F50+ 38%
Higher amongst
55+ 61%
Not confident 61%
() = June 2010
33%
10
Making Complaints57
7265 70
64
19
1317
13 22
127 10 8
95 6 5 23 1 2 2 13 2 2 2
6
Key Influencing Factors in Determining
Where to Shop
%
Price
Strongest Influencing Factor
(Base: All Aged 15-74 – 1,000)
Nov/Dec ‘09 Nov/Dec ‘08
Convenience
Shopped there previously
ServiceOther
Don’t know
June ‘09
% % % %
June ‘10Nov/Dec ‘10
11
Making Complaints
Most Important Factors in Deciding where to Shop
for Goods/Services – I
(Base: All aged 15-74 – 1,000)
Supermarkets Clothing or footwear
Furniture or household appliances
2920 26 25
19 359 8
1713
17 15
11
2321
7 910
9
7 87
8
2 11
3
2 2 3 61 1 4 5
16
Price/value for money/special offers
Convenience i.e. Location, parking etc.
Range of products/services
Quality of products/services
Familiarity/past experience
Customer serviceAdvertising
RecommendationReputation/image
% % % %
Convenience stores/newsagents
12
Making Complaints
% % % %
Most Important Factors in Deciding where to
Shop for Goods/Services – II
(Base: All aged 15-74 – 1,000)
Price/value for money/special offers
Quality of products/services
Range of products/services
Familiarity/past experience
Customer service
Advertising
Reputation/image
2918 23 18
1521 12 19
1314
13 14
57 7
9
11 14 14
9
4 7 7
8
1416 14
612 7 61 1 1
11
Convenience i.e. Location, parking etc.
Recommendation from family/friends
Pubs, restaurants, takeaways /
hotelsPersonal carePharmacies
Doctors, hospitals or
other medical
13
Making Complaints
Most Important Factors in Deciding where to Shop for
Goods/Services – III
(Base: All aged 15-74 – 1,000)
% % % %
1724 22
12
1714
818
1516
16 11
6
47
127
6 8
1015
13 19
8 9
1010
5 4
5
122 3
4
2212
1
14
Quality of products/services
Familiarity/past experience
Customer service
Advertising
Reputation/image
Banking products and
services
Communications/TV services
Energy suppliers
Building and related
services
Price/value for money/special offers
Recommendation from family/friends
Range of products/services
Coverage
Convenience i.e. Location, parking etc.
14
Making Complaints
23
19
17
16
6
5
Reasonable Value for Money?
(Base: All aged 15-74 – 1,000)
Supermarkets
Clothing
Hairdressers
Local newsagents
Local shops
Holidays
Local convenience stores
Restaurants
71
62
54
51
47
43
41
40
Primary
%
Hotels
Telecom providers
Utilities
Chemists
Pubs
Trades people(31% Don’t know)
Insurance
Doctors
38
35
34
34
34
32
24
24
Secondary
%Motor vehicles(31% Don’t know)
Banks
Dentists
Financial products(28% Don’t know)
Solicitors(53% Don’t know)
Auctioneers(59% Don’t know)
%
Tertiary
(56)
(41)
(50)
(66)
(49)
(56)
(44)
(32)
(33)
(18)
(19)
(32)
(30)
(19)
(53)
(43)
(35)
(15)
(39)
(22)
(29)
(29)
( ) Figures refer to Consumer Rights National Survey Report 2004
15
Making Complaints
38
16
32 31
46
35
42 40
9
25
1515
2411 14
7
Incidence of Checking Prices
(Base: All aged 15-74 – 1,000)
All the time
ReceiptsUnit pricing of
products
%
Prices of products
Special offers are accurately recorded
on receipts
% % %
Sometimes
Very rarely
Never
84%
51% 74% 71%
16
Making ComplaintsSECTION 2:
Grocery Shopping
17
Making Complaints
1320
32 34
43
54
56 5518
12
5 5115 411
3 2 2
15
TotalNov/Dec
‘10 June ‘10
% % %
(Base: All aged 15-74 – 1,000)
Overall Awareness of the Price of Everyday Goods
All responsible for the main grocery shop – 495 (50%)
56%
aware
of
prices74%
88%
Very aware of the prices (5)
Fairly aware of the prices (4)
Don't really know the prices (3)
Not at all aware of the prices (1)
Somewhat unaware of the prices (2)
(22)
(49)
(13)
(9)
(7)
( ) = June 2010
Nov/Dec ‘09
%
89%
18
Making Complaints
Main Reasons for Choice of Supermarket for Main Grocery
Shop
(Base: All responsible for main grocery shop - 495)50%
60
47
20
15
13
6
6
Price
Convenience
Parking
Late night opening
Quality of Product
Loyalty
Support local shops
Wave 2 2008
%
58
49
17
8
11
8
6
Wave 3 2009
%
62
43
18
9
10
10
6
Wave 4 2009
%
70
55
20
12
12
10
6
Wave 5 2010
%
72
49
22
9
12
10
8
Wave 6 2010
%
19
Making Complaints
Own Brand Versus Regular Brand
65%35%Own
Brand
Regular
Brand
%
50% (Base: All main grocery shoppers – 495)
Nov/Dec 2010
64%
36%Own
BrandRegular
Brand
%
June 2010
62%
38%Own
BrandRegular
Brand
%
Nov/Dec 2009
Regular Brand Higher amongst:- Males (70%).- 55+ (69%).- Those who are not aware of the prices of everyday goods (69%).
20
Making Complaints
Own Brand Versus Regular Brand Preference – I
(Base: All responsible for grocery shop who purchase each of the products - 495)
Regular brand
Own brand
Regular brand
Own brand
89
11
50%
84
16
81
19
80
20
73
27
73
27
72
28
72
28
71
29
70
30
Beer Tea/CoffeeBreakfast
cerealChocolate/
sweetsBaby
Products
Yoghurts Bread Fresh meat Frozen meat Soft drinks
21
Making Complaints
Own Brand Versus Regular Brand Preference – II
(Base: All responsible for grocery shop who purchase each of the products - 495)
Regular brand
Own brand
50%
68
32
68
32
Deli/Processedmeat
Butter/ spreads
ToiletriesTinned/
frozen foodBiscuits
66
34
63
37
57
43
Regular brand
Own brand
55
45
Juice drinks
44
56
33
67
26
74
MilkHousehold
cleaning productsToilet tissue/ kitchen towel
22
Making Complaints45%55%
Change in Grocery Shopping Since the Start of the Year
Yes
No
Change in Grocery Shopping
(55%)
(45%)
%
Male (39%) 33%
Female (47%) 49%
50%(Base: All main grocery shoppers – 495)
Cutting back on treats for you/family
Buying cheaper versions of products (e.g. own brands rather than regular)
Taking more advantage of special offers, using coupons, etc.
Buy less
Spreading your grocery shopping over different supermarkets and stores to get the best valueSwitched your main grocery shopping from a different retailer to the one you use now
Started shopping up North (across the boarder)
Do without or cut back e.g. buy less meat
55
42
42
33
30
8
6
11
53
36
48
43
35
10
9
14
%
() = June 2010
Nov/Dec ‘10
June 2010
23
Making Complaints
Preference for Price Cuts or Special Offers
50%
(Base: All responsible for the grocery shop – 495)
79 81 77
20 1716
1 2 7
Long term lower prices
Don’t know
%
Nov/Dec 2009
%
June 2010
%
Nov/Dec 2010
Regular promotions and
special offers
24
Making Complaints
Special Offer Seekers?
50% (Base: All responsible for the grocery shop – 495)
25
73
2
Select a particular store to
visit based on special
offers advertised
Don't buy special offers
%
Visit your usual store and
pick up special offers while
you are there
Females 26%
Males 19%
15-24’s 43%
Male 78%
Females 72%
55+ 86%
25
Making Complaints
Research Background and Methodology
26
Making Complaints
The research was conducted by means of face-to-face interviewing with 1,000 people between the ages of 15-74.
To ensure that the data is nationally representative, quotas were applied on the basis of age, gender and social class.
Interviewing was conducted over a four week period in November/December 2010.
Research Background and Methodology
Nov/Dec 2007 Aug 2008 Nov/Dec 2008
May/June 2009 Nov/Dec 2009 June 2010
Benchmark
Wave 3 Wave 4
Wave 1 Wave 2
Wave 5
Current Wave
Nov/Dec 2010
Wave 6
27
Making Complaints
1728
4822
52
19
2816
1826
49
26
51
SEX AGE REGION SOCIAL CLASS
Profile of Sample – I
(Base: All aged 15-74 – 1,000)
Male
Female
% % % %
15-24
25-34
35-44
45-54
55+
Dublin
Rest of Leinster
Munster
Conn/ Ulster
ABC1 F50+
C2DEF50-
MAIN GROCERY
SHOPPER
Yes No50%50%
28
Making Complaints
7
25
50
21
50
21
30
19
18
32
22
28
78
SEX AGE REGION SOCIAL CLASS
Profile of Sample – II – Main Grocery Shoppers
(Base: All Mainly Responsible for Grocery Shopping in Home – 495)
Male(49)
Female(51)
% % % %15-24
(17)
25-34(22)
35-44(19)
45-54(16)
55+(26)
ABC1 F50+(48)
C2DE F50-(52)
50%
( ) = Total Sample
Dublin(28)
Rest of Leinster
(26)
Munster(28)
Conn/ Ulster
(18)
29
Making Complaints
48%52%70%30%
Profile of Sample – III – Internet Use(Base: All aged 15-74 – 1,000)
USE INTERNET
No Yes
EVER PURCHASED
ONLINE
No Yes
BANKING
ONLINE
No Yes
(Base: All Internet Users - 724) (Base: All Internet Users - 724)
72%
28%
() = figures from June 2010
(72%)
(28%)(44%)
(56%)(32%) (68%)
70
75
94
88
85
71
37
Male
Female
15-24
25-34
35-44
45-54
55+
% Yes
71
67
64
75
73
69
61
Male
Female
15-24
25-34
35-44
45-54
55+
% Yes
51
45
37
57
56
43
43
Male
Female
15-24
25-34
35-44
45-54
55+
% Yes