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NEW STUDY: 60% OF AFFLUENT SHOPPERS SWAYED BY DIGITAL ADS August 31, 2011 (0 comments)

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New York, NY—According to recent news from the Interactive Advertising Bureau, one fifth of U.S. households—24 million to be exact—have annual income of $100,000 or more, and despite economic uncertainty, they plan to spend significantly in a number of consumer categories in the next year. These affluent folks hold approximately 60% of total U.S. household wealth and 70% of total U.S. consumer wealth.

IAB, a trade organization, partnered with market research firm Ipsos Mendelsohn to conduct the first custom study of affluents and digital media. The study found that affluents overall embrace technology and that this traditionally hard-to-reach group actually is quite easy to reach online. Further, they’re more likely than the general population to share personal information in exchange for a personalized, relevant online experience.

In response to a battery of questions about lifestyles and attitudes, respondents shared that in the last decade, their lives have become increasingly intertwined with technology (79%). This holds strongly across age groups within the affluent population, including more that 70% of those age 65 and older.

Almost 60% of all affluent respondents reported taking some kind of action as a result of seeing digital ads in the last six months. Actions include behaviors like clicking, visiting an advertiser website, searching for info about the product or service, becoming a fan or liking on a social networking site, going to a retail location to see or purchase the product or service, and purchasing the product or service online. 60% of 18-64 year old affluents have taken some kind of action; 53% of 65+ year olds have taken action in response to a digital ad.

Affluents watch less TV and listen to less radio than the general population, says the study. But affluents are the heaviest users of digital media, spending an average of 26.2 hours a week online compared to the general population at 21.7 hours.

The key takeaway, according to IAB, is that brands seeking to reach affluents can do well by investing in digital media.

Relevance came up consistently in responses. One-third said they’re usually willing to share some information online to get a more customized online experience. Another recurrent theme was that viewers want both relevant and beautiful ads. One respondent said, "Show me something funny, uplifting, beautiful, intriguing. Invite me to linger, don't interrupt me with flashing lights and hard-sell inanity."

Meanwhile, Jeffrey Arnold of Focus Business Management, author of the exclusive Centurion Digital Marketing Primer series, emphasizes the need to use Flash sparingly for websites, and focus on text that search engines such as Google can read. By including relevant text, your site will come up much higher in search results.

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