Americans’ Purchasing Behaviors Based On Level Of Anxiety—Not Attitudes Toward War.

Are Americans as anxious as the media portrays them to be? According to a new study commissioned by J. Walter Thompson, and unveiled by JWT North American President Bob Jeffrey, the answer is a resounding “YES.”

So much so, that American companies may need to employ radical new strategies — both in marketing current products and in inventing new ones — to win the hearts, minds, and wallets of a fearful consumer.

The proprietary study, called AnxietyIndex from JWT, probes consumers on various topics that may influence purchasing behaviors “during times of national crisis.” The Study will continue every eight weeks for the next six months to help corporate marketers assess the impact of heightened states of anxiety on marketing messages.

Mr. Jeffrey said, “The AnxietyIndex Study offers irrefutable evidence that marketers today face an increasingly fearful audience whose purchasing behaviors are influenced, not by consumer attitudes toward war or political affiliations, but by their levels of anxiety during a time of crisis.”

Data Yield Metrics to Gauge Consumer Sentiments Toward Ad Messages

The current AnxietyIndex is 233. In terms similar to those of the Department of Homeland Security, an index of 233 represent a Code Red state of alert in terms of consumer behavior. Portraying consumers in a state of anxiety unprecedented in recent memory, the AnxietyIndex, a benchmark of consumer sentiment, is calculated by asking, on a scale of one to ten, about levels of anxiety. If an equal number of anxious and not-anxious consumers exist, the index reading is 100. If the index measures below 100, consumers are in a state of low anxiety. If the index is above 100, consumers are in a
state of high anxiety.

As Anxiety Mounts, Consumers Expect Long-term Impact on Purchasing

Most consumers (52%) are not anticipating a “Desert Storm” style war that is over quickly (e.g., 1 month or less). 42% believe it will be more than 3 months before their lives return to normal, a significant source of anxiety and strong indication that their purchasing behavior will change. Categories most likely to be negatively affected by America’s heightened sense of anxiety are the ones with larger ticket items such as, New Cars (-28%), Jewelry (-27%) and Appliances (-23%), as well as Travel (international, -43%).

Familiar, American brands with established history have a distinct advantage over newer or imported ones. The majority of consumers (63%) feel they would prefer to hear advertising messages about American products versus 15% who are open to hearing about or purchasing imported products and brands.

Ads Aid Recovery: Consumers Want Facts Over Messages of Heritage

During a national crisis, the majority of consumers surveyed look to advertising for reassurance. Few (11%) feel that advertising is inappropriate.

Over half (51%) cite advertising as indication that life is returning to “normal.” The “anxious” consumer values humor and escapism in advertising, as long as it is done “with sensitivity to others’ feelings.”

Although consumers prefer to purchase brands with a known history, they prefer that the brands’ advertising messages focus on day-to-day needs – security, hope, family, patriotism, news, facts – rather than on history, heritage, user imagery or innovation.

Additionally, consumers note an increased value of content. The “anxious” consumer is looking for truth from advertisers, not opinion or hyperbole.

Consumers will welcome advertising that includes facts and information about products. The study reveals that for advertising messages to cut through the “anxiety filter,” they must put the wants/needs/desires of consumers first.

Connection without leaving home will be increasingly important:

socialization at bars/restaurants (-13%), movies/theatres (-12%). Therefore, advertising messages related to “staying at home with family” (46%) were considered especially appropriate versus ones related to “going out/socializing” (19%).

Of all media, the profile of print readers will see the most drastic shift (need stat about younger demo). Young people will increase their news media consumption more than any other group, creating new opportunities for advertisers to reach this audience.

ANTICIPATED CHANGES IN PURCHASING/BEHAVIOR

Information (Newspapers/Magazines/TV) / 36%
Communication (Telephone/E-Mail) / 25%
Revisiting Investments / 10%
Purchasing Staples (Groceries/HBA/Drugs) / 9%
Purchasing Gasoline / -7%
Purchasing Fast Food / -10%
Purchasing Alcohol Beverages / -11%
Purchasing Cosmetic/Beauty Items / -14%
Going Out (Movies/Theater/Bar/Restaurant) / -16%
Purchasing/Shopping for Electronics/Appliances/ -23%
Purchasing/Shopping for Jewelry / -27%
Purchasing/Shopping for a New Car / -28%
Traveling Outside the US / -43%

DURING A NATIONAL CRISIS

I appreciate a little humor in commercials / 67%
Commercials need to be sensitive to what people are feeling / 62%
Ads showing American patriotism make me feel better about sponsor/ 52%
Commercials need to acknowledge the current crisis / 31%
I get angry with the sponsors of commercials / 18%
Commercials make me feel like everything will be OK / 17%
All advertising is inappropriate / 11%

The initial wave of AnxietyIndex data was compiled the weekend of February 15th, 2003 with an on-line survey (Insight Express) of 500 consumers, age 18 and over, across the United States. The statistical reliability is +/- 3.7%. The AnxietyIndex survey will be conducted every eight weeks for the next six
months.

For more information at http://anxietyindex.jwt.com