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Senate Sniffs Out Shady Direct Marketing

A recently released Senate Commerce Committee staff report is taking aim at the dark side of 'aggressive' online direct marketing, and has singled out shady and controversial practices by three companies - Affinion, Vertru and Webloyalty, in addition to the hundreds of retailers that have used their services. The report details purchase procedures in which consumers rarely realize they are signing up for a monthly cl  [...]

FDA Declares War on Fruity Cigarettes

The US Food and Drug Administration (FDA) is exercising its recently acquired regulatory authority over the tobacco industry by targeting online ads for cigarette products that are aimed at youth. In this case, the government agency has sent warning letters to several companies selling flavored cigarettes through their websites, directing them to either cease their marketing or sales or bring the products in  [...]

Luxury Consumption Index in Freefall

Luxury consumer confidence, as measured by Unity Marketing's Luxury Consumption Index (LCI), continued its downward trajectory in the third quarter 2008, dropping 10.7 points to reach a historic low of 40.3 points, reports Retaile  [...]

Online Consumers Spend Less, Clip Coupons This Holiday

Nearly half of US online adults (45%) plan to spend less money on gifts this holiday season than last because of the state of the economy, and one in five plan to spend significantly less, according to a Harris Interactive survey commissioned by RetailMeNot.com,   [...]

Top Travel Irks: Cost of Gas, Airline/Cruise/Train Tickets

Americans' travel frustrations are both widespread and acute, and, in some cases, growing, according to an Ipsos Public Affairs poll conducted on behalf of Access America. Topping the list of frustrations is "the cost of gas," cited by 86 percent of those surveyed,   [...]

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NRF Predicts Meager Holiday Season Sales Gains of 2.2%

Sales in the 2008 holiday season will rise just 2.2 percent, to $470.4 billion - well below the 10-year average of 4.4 percent, and the lowest growth level since 2002, when holiday sales* rose 1.3 percent from the previous year, according to the National Retail Federation (via Retailer Daily).   [...]

Weakest Retail Holiday Season Since '91 - Forecast

Holiday sales this year will be the weakest in 17 years, growing 1.5 percent year-over-year in the fourth quarter -- the lowest since 1991's 1.2 percent Q4 growth -- for combined key holiday retail segments, TNS Retail Forward forecasts (via Retailer Daily). "The holiday sales forecast repres  [...]

Retail CFOs Bearish on '08 Sales, Expect Mid-'09 Turnaround

Nearly half (47 percent) of retail chief financial officers predict that the economy will experience a meaningful turnaround by July 2009, with the highest concentration (28 percent) citing the second quarter of next year as the most promising, according to a BDO Seidman, LLP study (via Ret  [...]

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Affiliate Marketing Still Cost-Effective, but Budgets Shrinking

More retailers are seeing affiliate marketing as an effective sales channel - 46 percent of them rate it as very cost-effective for driving customer acquisition, up from 44 percent last year - but reduced budgets are affecting traffic and sales, finds new research (  [...]

Americans Deep in 'Culture of Recession'

Economists may debate when the economy officially enters a recession, but Americans have been living in a "Recession Culture" for months, with significant impact on all major lifestyle indicators, according to a survey by Faith Popcorn's BrainReserve (via Retailer Daily). "Out on the street no one is asking if we are in a recession, they're asking when  [...]

Same-Store Sales Weaken as Consumer Spend Slows

August same-store sales growth weakened to 2.0 percent over the year-earlier period for about 40 retailers reporting monthly results (pdf) on Thursday, TNS Retail Forward reports (via Retailer Daily).   [...]

Big Spenders Spend Less as Inflation Congeals, Home Values Slip

Consumers in all income segments are cutting back spending, and doing so to a greater extent recently than at the beginning of the second quarter, according to a comScore study examining changes in consumer attitudes and perceptions about the US economy (via Retailer Daily). Spending cutb  [...]

Personal Income, Consumer Spend Down in July

Personal income decreased 0.7 percent in July, after increasing 0.1 percent in June, according to the "preliminary" estimates released by the Bureau of Economic Analysis (BEA) of the US Department of Commerce, writes Retailer Daily. The difference reflects rebates provided by the Economic Stimulus  [...]

Marketers Reduce Ad Budgets in Hard Times

Marketers from a cross-section of categories and industries are feeling the pinch of budget belt-tightening - over half (53 percent) expect ad budgets to be reduced over the next six month, for example - according to a survey from the Association of National Advertisers (ANA), MarketingCharts reports. Nine in 10 (87 percent) of th  [...]

Better Business Bureau: Trust in Biz Down in 13 of 15 Industries

In a seven-month period, American consumers' trust in businesses fell in 13 of 15 industries measured, with an overall composite Index decline in consumer trust of 14 percent, according to the second BBB/Gallup Trust in Business Index survey (  [...]

Shoppers Scale Back Spending Plans, Weakening Same-Store Sales

July same-store sales growth weakened to 2.8 percent from the prior month and remained about the same as prior-year results for about 40 retailers reporting monthly results (pdf), according to TNS Retail Forward (via R  [...]

Mortgage, Home-Equity Direct Mail Halves in '08

Mortgage and home-equity lenders reduced direct mail volume by 50 percent in the first half of 2008 compared with the year-earlier period, a result of faltering home sales, new legislation, credit woes and consumer anxiety, according to Mintel Comperemedia, writes MarketingCharts. Lenders sent an estimated 750 million secured-loan mail  [...]

Spend Cut, Web Scoured for Deals

Everyday consumer spending is taking a beating, with some 56% of 3,359 online shoppers surveyed April 29 to May 23 indicating that they are cutting back because of the weak economy and growing inflation, according to PriceGrabber.com's Consumer Behavior Report,   [...]

Light-Vehicle Sales Speed Toward 15-Year-Low

New light-vehicle sales in the US will drop to 14.2 million units in 2008 -- a 12 percent decrease from 16.1 million units in 2007 and a reduction of 750,000 units from the 14.95 million projected earlier this year, according to a revised forecast by JD Power and Associates, MarketingCharts writes  [...]

Click Fraud Stabilizes but Botnets Burgeon

The industry-average click-fraud rate was 16.25 percent in Q2, down from Q1's 16.3 percent but up from 2Q07's 15.8 percent, according to pay-per-click (PPC) figures from Click Forensics and click-fraud reporting service Click Fraud Index, MarketingCharts   [...]