Marketing Media in Australia

Transcription

1 Marketing Media in Australia Volume 1 A ResponseAbility Report Sponsored by Australia Post

2 Marketing Media in Australia Marketing Media in Australia Executive Summary Glossary of Terms General Questions Consumers Direct Mail Advertising - An Overview Percentage of Consumers Who Enjoy Receiving Various Media Percentage of Consumers Who Enjoy or are Indifferent to Various Media Percentage of Consumers Purchasing Decisions Influenced by Media Percentage of Consumers Who Purchase From Various Media How Consumers Prefer to Receive Financial Information How Consumers Prefer to Receive New Product Announcements How Consumers Prefer to Receive Marketing Promotional Information How Consumers Prefer to Receive General Information at Home How Consumers Prefer to Receive General Information at Work How Consumers Prefer to Receive Automotive Information How Consumers Prefer to Receive Travel/Holiday Information How Consumers Prefer to Receive Loyalty Program Information What Prompts Consumers to Respond to Direct Mail What Percentage of Direct Mail is Opened and Read Do Consumers Pass On Information of Interest to Them to Others What Percentage of Consumers are Aware of SMS Advertising Messaging Do Consumers Enjoy SMS Advertising Messaging Business People Most Effective Media Overall Most Effective Media for Response and Conversion Rates Most Effective Media for Relationship Building Most Effective Media for Brand Building Most Effective Media for Influencing Behaviour Most Effective Media to Attract People to a Web Site

3 Marketing Media in Australia Direct Mail Advertising Direct Mail Advertising - What Consumers Think Solicited Personalised Mail Do Consumers Enjoy Receiving Solicited Personalised Mail What Consumers Like About Receiving Solicited Personalised Mail Does Receiving Solicited Personalised Mail Influence the Buying Decision What Percentage Purchase as a Result of Receiving Solicited Personalised Mail Unsolicited Personalised Mail - Prior Relationship Do Consumers Enjoy Receiving UPM - PR What Consumers Like About Receiving UPM - PR What Consumers Don t Like About Receiving UPM - PR Does Receiving UPM - PR Influence the Buying Decision What Percentage of Consumers Purchase as a Result of Receiving UPM - PR Unsolicited Personalised Mail - No Prior Relationship Do Consumers Enjoy Receiving UPM - NPR What Consumers Like About Receiving UPM - NPR What Consumers Don t Like About Receiving UPM - NPR Does Receiving UPM - NPR Influence the Buying Decision What Percentage of Consumers Purchase as a Result of UPM - NPR Direct Mail Advertising - What Business People Think Preferred Method of Business People for Receiving Information Do Business People Enjoy Receiving Direct Mail Major Strengths of Direct Mail Major Weaknesses of Direct Mail Cost Effectiveness of Direct Mail Do Business People Prefer to Receive an Advertising or Direct Mail Do Business People Prefer to Receive Catalogues via Mail or Internet How to Increase the Chances of Direct Mail Being Opened How to Increase the Chances of Direct Mail Response Of the Direct Mail Received, What Percentage is Opened and Read by Business People Why Some Direct Mail is Not Opened What Percentage of Business People Respond to Direct Mail What Motivates Business People to Respond to Direct Mail The Future of Business-to-Business Direct Mail Planned Usage of Direct Mail in the Next 12 Months What Advertisers Can Do to Ensure Mail is Passed On to the Boss What Advertisers Can Do to Ensure Mail is not Passed on to the Boss Of the Direct Mail Received, What Percentage is Passed on

4 Marketing Media in Australia Unaddressed Advertising Mail (UAM) Unaddressed Advertising Mail - An Overview Unaddressed Advertising Mail - What Consumers Think Do Consumers Enjoy Receiving Unaddressed Advertising Mail What Consumers Like About Receiving Unaddressed Advertising Mail What Consumers Don t Like About Receiving Unaddressed Advertising Mail Does Receiving Unaddressed Advertising Mail Influence the Buying Decision What Percentage of Unaddressed Advertising Mail Items are Opened and Read What Percentage of Consumers Purchase as a Result of Receiving UAM Advertising Advertising - An Overview Advertising - What Consumers Think Do Consumers Enjoy Receiving Advertising What Consumers Like About Advertising What Consumers Don t Like About Advertising Does Advertising Influence the Buying Decision What Percentage Purchase as a Result of Receiving Advertising How Many Consumers Have Access to at Work/Home Advertising - What Business People Think Do Business People Enjoy Receiving Advertising What Percentage of Advertisements Are Opened Business People s Advertising Intentions for the Next 12 Months

5 Marketing Media in Australia TV Advertising TV Advertising - An Overview TV Advertising - What Consumers Think Do Consumers Enjoy TV Advertising What Consumers Like About TV Advertising What Consumers Don t Like About TV Advertising Does TV Advertising Influence the Buying Decision What Percentage of Consumers Purchase as a Result of TV Advertising Radio Advertising Radio Advertising - An Overview Radio Advertising - What Consumers Think Do Consumers Enjoy Radio Advertising What Consumers Like About Radio Advertising What Consumers Don t Like About Radio Advertising Does Radio Advertising Influence the Buying Decision What Percentage of Consumers Purchase As a Result of Radio Advertising Newspaper and Magazine Advertising Newspaper and Magazine Advertising - An Overview Newspaper and Magazine Advertising - What Consumers Think Do Consumers Enjoy Newspaper and Magazine Advertising What Consumers Like About Newspaper and Magazine Advertising What Consumers Don t Like About Newspaper and Magazine Advertising Does Newspaper and Magazine Advertising Influence the Buying Decision What Percentage Purchase as a Result of Newspaper and Magazine Advertising Survey Details

6 Marketing Media in Australia

7 Executive Summary 1

8 2 Marketing Media in Australia

9 3 Executive Summary Introduction Welcome to Marketing Media in Australia 2001, a ResponseAbility Report, one of the most comprehensive examinations of marketing media ever conducted in Australia. The production of this report was sponsored by Australia Post. The objective of this research is to examine Consumer and Business People s attitudes towards various marketing media in Australia. The marketing media examined includes marketing communications received via Direct Mail Advertising, TV Advertising, Newspaper and Magazine Advertising, Radio Advertising, Advertising and Unaddressed Advertising Mail. Both qualitative and quantitative investigation was conducted in order to obtain a thorough understanding of how various marketing media are perceived. Specific focus was placed on understanding what attributes Consumers and Business People (both Business Consumers and Marketers) attach to each media, what is viewed as strengths and weaknesses and how receptive they are to marketing messages brought to them by each media. The executive summary that follows presents the findings firstly in terms of a comparison between each Marketing media followed by an examination of the responses to each media individually, finishing with an overview of findings from the business market. This report is the first in a tracking study that will form an important benchmark for looking at shifts and trends of the relative strengths of marketing media in Australia over time. Methodology Overview The research process began with qualitative research in the form of focus groups combined with in-depth interviews. The information gathered during this qualitative process was then used to write the quantitative telephone questionnaires. In summary, the following was undertaken: Five Business focus groups Five Consumer focus groups 50 face-to-face in-depth interviews with Senders and Receivers of Marketing Media 1,100 telephone surveys with Consumers 400 telephone surveys with Senders and Receivers of Marketing Media 100 telephone surveys with Gatekeepers and Personal Assistants

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11 5 Executive Summary Consumer Attitudes to Marketing Media A Comparative View of Various Media The enjoyment factor Influence over purchasing decision Preferences for receipt of information Perceptions of Individual Marketing Media Direct Mail Unaddressed Advertising Mail TV Radio Newspaper and Magazines Business Attitudes to Marketing Media Effectiveness Preferences and perceptions Insights for Direct Mail Predictions for the future Gatekeepers and Personal Assistants (Filterers)

12 6 Marketing Media in Australia A Comparative View of Various Media The Enjoyment Factor Solicited Personalised Mail is the media most enjoyed by Consumers (74%), followed by Newspaper and Magazine Advertising (55%), with Advertising and Radio Advertising being the least enjoyed. Solicited Personalised Mail is the media Consumers either most enjoy or are indifferent to (97%), followed by Unsolicited Personalised Mail - Prior Relationship (89%).

13 7 Executive Summary Percentage of Consumers Who Enjoy Receiving Various Media Solicited Personalised Mail 74% News & Mags 55% UPM - Prior Relationship Unaddressed Advertising Mail 33% 37% UPM - No Prior Relationship TV Radio 8% 7% 5% 4% 0% 10% 20% 30% 40% 50% 60% 70% 80% Percentage of Consumers Who Enjoy or are Indifferent to Receiving Media Solicited Personalised Mail 97% UPM - Prior Relationship 89% Unaddressed Advertising Mail Radio 74% 72% News & Mags TV 57% 55% UPM - No Prior Relationship 41% 20% 0% 20% 40% 60% 80% 100% Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

14 8 Marketing Media in Australia Influence of Various Media over Purchasing Decisions Newspaper and Magazine Advertising has greatest influence upon Consumers purchasing decisions (61%), followed by Unaddressed Mail Advertising (58%). Solicited Personalised Mail is the media that most Consumers purchase from (61%), followed by Newspaper and Magazine Advertising (55%).

15 9 Executive Summary Percentage of Consumers Purchasing Decisions Influenced by Media News & Mags Unaddressed Advertising Mail Solicited Personalised Mail 58% 56% 61% TV 41% UPM - Prior Relationship 33% Radio UPM - No Prior Relationship 13% 18% 5% 0% 10% 20% 30% 40% 50% 60% 70% Percentage of Consumers Who Purchase as a Result of Receiving Media Solicited Personalised Mail 61% News & Mags 55% Unaddressed Mail 55% TV 50% UPM - Prior Relationship 34% UPM - No Prior Relationship 24% Radio 14% 5% 0% 10% 20% 30% 40% 50% 60% 70% Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

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17 11 Executive Summary Consumers Preferences of Receipt of Information Direct Mail (60%) is clearly the preferred media for Consumers to receive Financial Information. TV (38%), closely followed by Direct Mail (34%), is the preferred media for receipt of New Product Announcements. Direct Mail is clearly the preferred media (34%) for receipt of Marketing Promotional Information. Direct Mail (36%), followed by TV and Newspapers and Magazines, is the preferred media for Consumers to receive General Information at home. Direct Mail (33%) is the favoured media for receipt of general information at work, however, 38% of Consumers either don t need or don t want general information to be sent to them at work. 37% of Consumers nominate Newspapers and Magazines as their preferred media for the receipt of Automotive Information. 73% of Consumers prefer to receive Loyalty Program Information via Direct Mail. 29% of Consumers prefer to receive Travel/Holiday Information via Newspapers and Magazines, closely followed by other media forms.

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19 13 Executive Summary Consumer Perceptions of Individual Marketing Media Direct Mail Solicited and Unsolicited (with a prior relationship) Direct Mail, rated very well in terms of Consumer enjoyment or indifference to receiving various marketing media with Solicited Direct Mail being the most enjoyed media of the eight media examined. The main reasons Consumers enjoy Solicited Direct Mail are information and relevance, the fact that it is the result of a request and that it aids the purchasing process at the Consumer s convenience. Unsolicited Direct Mail (with no prior relationship) was less popular when compared to solicited and unsolicited (with a prior relationship) due to concerns regarding privacy, environmental impact and the relevancy of some received communications. One of the strong trends to emerge from the research is the importance Consumers place on the difference between Unsolicited Direct Mail received from organisations with whom they have had a prior relationship and those that they have not. 37% of Consumers actually enjoy receiving unsolicited Direct Mail from organisations they have had a prior relationship with, as opposed to 8% who enjoy receiving unsolicited Direct Mail from those that they have no prior relationship with. This outcome indicates that marketers should strive to maximise positive brand awareness and experience, employ strongly targeted customer acquisition techniques and should not disregard re-activating lapsed customers when looking to attract new business. Consumers also nominated Solicited Direct Mail as the media that they most purchase from, which is not surprising given that Consumers have requested the information in the first place. This outcome indicates the importance of Solicited Direct Mail in the purchasing process. Direct Mail is clearly the preferred method for receipt of loyalty program information with 73% of Consumers opting for mail over all other media. Similarly, Direct Mail was the preferred media for receipt of the following information: Financial Information at 60% General Information at home 36% Marketing Promotional Information 34% General Information at work 33% Direct Mail was also second choice (34%) in regard to receiving New Product Announcements behind TV Advertising (38%).

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21 15 Executive Summary Unaddressed Advertising Mail One of the more interesting findings to come out of the research is Consumer attitude to Unaddressed Advertising Mail, a medium traditionally spurned by many as junk. But the fact is that 63% of Consumers open and read Unaddressed Advertising Mail and 74% of Consumers either enjoy or are indifferent to receiving it. The main reasons given are that the media provides useful local information and specials, cuts down on shopping time by allowing comparative analysis and is considered less intrusive than other media. Given these reasons, it s not surprising that 58% of Consumers say receiving Unaddressed Advertising Mail influences their buying decision and 55% say they purchase as a result of receiving it. The concerns that some Consumers have about Unaddressed Advertising Mail tend to be environmental in nature, such as paper wastage and mess.

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23 17 Executive Summary Advertising Although Advertising is in its relative infancy in Australia, 43% of Consumers surveyed have been subjected to it. Of this group, 54% do not enjoy receiving it, 42% are indifferent and 5% enjoy Advertising. Of the Consumers who had been subjected to Advertising, 84% could nominate an element they don t like, such as concerns about viruses, volume and privacy invasion. E-marketers need to be aware of both Consumer and Business People concerns regarding privacy and unsolicited . They need to be sensitive to the size and quantity of s they send and they need to address Receivers concerns regarding potential viruses. 31% of Consumers subjected to Advertising could nominate an element of it that they like, such as the perception that it is quick and easy to receive, informative and forms a permanent record. did not perform particularly well with respect to influencing Consumers purchasing decisions with only 11% of the 43% sample (5% of overall sample) stating that it influences the buying decision. As can be seen from the research, penetration is still relatively low in Australia, with only 43% of Consumers having access to . 23% of Consumers surveyed have access at home only, 15% both home and work and 5% have access at work only. As would be expected the age bracket has by far the greatest access and the 55+ groups have the least.

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25 19 Executive Summary TV Advertising Most Consumers are either indifferent to TV Advertising (48%) or don t enjoy it (45%), with only 7% saying that they enjoy TV Advertising. 95% of Consumers could nominate an element that they don t like about TV Advertising, such as frequency, volume (they are perceived as louder than the programs being viewed), the length of breaks, and that TV Advertising can be interruptive, intrusive and repetitious. Reasons provided when Consumers could nominate an element that they like about TV Advertising (57%) are that the ads can be funny, informative, clever, catchy jingles and that they provide a break from the programming. Most Consumers researched said that TV Advertising does not influence their buying decision (58%), while 41% said that it does. Half the Consumers surveyed say that they purchase as a result of viewing TV Advertising.

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27 21 Executive Summary Radio Advertising The majority of Consumers are indifferent to Radio Advertising (67%) and 29% don t enjoy it. Only 4% say they actually enjoy Radio Advertising. 50% of Consumers could nominate an element of Radio Advertising they like, such as the fact that it is less intrusive than TV Advertising, it is informative and humorous and that they can tune out if they wish. 81% of Consumers believe that Radio Advertising does not influence their purchasing decision, 1% are unsure and 18% say that Radio Advertising does influence their purchasing decision, which reflects the 14% who say that they purchase as a result of Radio Advertising.

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29 23 Executive Summary Newspaper and Magazine Advertising The majority of Consumers (57%) either enjoy or are indifferent to Newspaper and Magazine Advertising with 43% not enjoying it. 81% of Consumers can nominate an element of Newspaper and Magazine Advertising that they like. Key attributes cited were the fact that it is seen to provide useful information, it can be either read or ignored and it can be viewed at a time of the Consumer s choosing. It is the preferred way to receive automotive information and Travel/Holiday information. 48% of Consumers can nominate an element they don t like in Newspaper and Magazine Advertising, with the primary reason cited being that advertising takes up too much space, particularly in magazines. 55% of Consumers say they purchase as a result of Newspaper and Magazine Advertising.

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31 25 Executive Summary Business Attitudes to Marketing Media Effectiveness Most Effective Media Those researched in business who both receive and send media communications nominate TV Advertising ahead of Public Relations (PR) as the most effective media overall. They also nominate TV Advertising as the most effective media for response and conversion to sales. However, when it comes to relationship building, there is a split decision, with Receivers nominating PR ahead of Direct Mail and Senders nominating the opposite with Direct Mail ahead of PR as the most effective relationship builder. Following the initial trend however, Business Receivers and Senders nominate TV Advertising as the most effective Brand Builder, with Senders putting it just ahead of PR. When it comes to influencing behaviour, there is agreement again, with TV Advertising being nominated by both Senders and Receivers. And when it comes to attracting traffic to a web site, Business Receivers nominate TV Advertising as the most effective media. Preferences and Perceptions The Receipt of Information in the Workplace Both Business Senders and Receivers are in agreement that the preferred way to receive information in the workplace is via Direct Mail. In fact, with a 52% positive response, it seems that Business Receivers either enjoy or are indifferent to receiving Direct Mail at work while interestingly a comparative 40% of Business Senders feel the same way. From these respondents also comes the perception that the major strengths of Direct Mail are that it is a targeted, personal, in-your-face media with good reach. And when it comes to the question of cost effectiveness, 39% of those on the receiving end of communications in business believe that Direct Mail is a cost-effective media while 42% of Business Senders share the same belief. A question of interest in today s changing market is whether Business People prefer to receive Direct Mail or Advertising. The results are that 58% of Business Receivers prefer to receive Direct Mail compared to Advertising, while an even greater percentage of Business Senders (61%) agree. Another point of interest is traditional catalogue versus catalogue delivery via the internet. It is of interest to note that 74% of Business Receivers prefer to receive a catalogue via Direct Mail compared to the internet with a very similar 75% of Business Senders expressing the same preference.

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33 27 Executive Summary Insights for Direct Mail How to Increase the Chance of B2B Direct Mail Being Opened Business People say that the best way to increase the chances of them opening Direct Mail is for advertisers to make it clear on the envelope what s inside and to personalise the letter. They state that special offers and having their prior permission is the best way to increase the chance of response. It is interesting to note that Business Receivers say that they open and read 90% of the DM they receive, while Business Senders open and read 84%. Most state the reason for not opening certain mail is their belief that they can tell without opening what s inside and its apparent irrelevance for them. When it comes to response, 73% of Business Receivers say they respond to Direct Mail, while 78% of Senders claim the same thing. The key motivator when it comes to response amongst Business People is having a need for the product or service being promoted. Direct Mail Predictions for the Future Predictions as to the General Future of B2B Direct Mail The research undertaken predicts a stable immediate future for the B2B Direct Mail business, with 69% of Business Senders expressing the belief that the use of B2B DM will increase or stay the same in the future. 67% of Business Senders believe their own use of Direct Mail will increase or stay the same in the next 12 months. Gatekeepers and Personal Assistants (Filterers) Research also included the opinions of those people responsible for filtering other people s mail. Their responses mirrored much of what we learned from Business Receivers and Senders, with 77% of Filterers preferring to receive a catalogue via Direct Mail compared to . It is interesting to note that these influencers open and read 92% of the Direct Mail they receive, while only 33% of them pass on 100% of the Direct Mail they receive to their bosses. Like their fellow business colleagues, Filterers nominate TV Advertising and Radio Advertising as the most effective media overall.

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35 29 Glossary of Terms Solicited Personalised Mail (SPM) Personally addressed mail received as a consequence of requesting it. Unsolicited Personalised Mail - Prior Relationship (UPM-PR) Personally addressed mail received from an organisation that has had prior contact with the Consumer and the information has not been requested. Unsolicited Personalised Mail - No Prior Relationship (UPM-NPR) Personally addressed mail received from an organisation that has had no prior contact with the Consumer nor has the information been requested. Direct Mail (DM) A combination of Solicited Personalised Mail, Unsolicited Personalised Mail - Prior Relationship and Unsolicited Personalised Mail - No Prior Relationship. B2B Direct Mail Business-to-Business Direct Mail Advertising Unaddressed Advertising Mail (UAM) Unaddressed unsolicited advertising mail received by Consumers from organisations that they may or may not know. Advertising of an advertising nature received by both Consumers and Business People at home and/or at work. Business Receivers Receivers of Marketing Media at work and/or at home. Business Senders Owners, senior decision-makers and marketing decision-makers of small, medium and large organisations. Gatekeepers and Personal Assistants Those whose job it is to filter Marketing Media on behalf of their boss or fellow workers.

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37 General Questions 31

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39 33 General Questions Consumers Percentage of Consumers Who Enjoy Receiving Various Media Percentage of Consumers Who Enjoy or are Indifferent to Various Media Percentage of Consumers Purchasing Decisions Influenced by Media Percentage of Consumers Who Purchase as a Result of Receiving Media How Consumers Prefer to Receive Financial Information How Consumers Prefer to Receive New Product Announcements How Consumers Prefer to Receive Marketing Promotional Information How Consumers Prefer to Receive General Information at Home How Consumers Prefer to Receive General Information at Work How Consumers Prefer to Receive Automotive Information How Consumers Prefer to Receive Travel/Holiday Information How Consumers Prefer to Receive Loyalty Program Information What Prompts Consumers to Respond to Direct Mail What Percentage of Direct Mail is Opened and Read Do Consumers Pass On Information of Interest to Them to Others What Percentage of Consumers are Aware of SMS Advertising Messaging Do Consumers Enjoy SMS Advertising Messaging Business People Most Effective Media Overall Most Effective Media for Response and Conversion Rates Most Effective Media for Relationship Building Most Effective Media for Brand Building Most Effective Media for Influencing Behaviour Most Effective Media to Attract People to a Web Site

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41 35 Direct Mail Advertising - An Overview Consumers 60% of Consumers prefer to receive Financial Information via Direct Mail (DM) 34% of Consumers prefer to receive New Product Information via DM 34% of Consumers prefer to receive Marketing Promotional Information via DM 36% of Consumers prefer to receive General Information at home via DM 33% of Consumers prefer to receive General Information at work via DM 73% of Consumers prefer to receive Loyalty Program Information via DM 58% of Consumers say that the offer is the element that prompts their DM response 75% of DM received by Consumers is opened and read 81% of Consumers say they pass on Advertising Information of interest to them to others 97% of Consumers either enjoy or are indifferent to receiving Solicited Personalised Mail (SPM) 98% of Consumers can nominate an element of SPM that they like 3% of Consumers can nominate an element of SPM that they don t like 56% of Consumers say that receiving SPM influences their buying decision 61% of Consumers say that they purchase as a result of receiving SPM 89% of Consumers either enjoy or are indifferent to receiving UPM - PR 87% of Consumers can nominate an element of UPM - PR that they like 65% of Consumers can nominate an element of receiving UPM - PR that they don t like 33% of Consumers say that receiving UPM - PR influences their buying decision 34% of Consumers say that they purchase as a result of receiving UPM - PR 41% of Consumers enjoy or are indifferent to receiving UPM - NPR 34% of Consumers can nominate an element of UPM - NPR that they like 78% of Consumers can nominate an element of UPM - NPR that they don t like 13% of Consumers say that receiving UPM - NRP influences their buying decision 24% of Consumers say that they purchase as a result of receiving UPM - NPR Business Receivers DM (20%) is the preferred way for Business Receivers to receive information 52% of Business Receivers either enjoy or are indifferent to receiving DM 39% of Business Receivers believe that DM is a cost-effective media 58% of Business Receivers prefer to receive DM compared to Advertising 74% of Business Receivers prefer to receive Catalogues via DM compared to Business Receivers say that they open and read 90% of DM received 73% of Business Receivers say they respond as a consequence of receiving DM 68% of Business Receivers believe that the use of B2B DM will increase or stay static 67% of Business Receivers say that their usage of DM will increase or stay static Business Senders DM (21%) is the preferred way for Business Senders to receive information 40% of Business Senders either enjoy or are indifferent to receiving DM 42% of Business Senders believe that DM is a cost-effective media 61% of Business Senders prefer to receive DM compared to Advertising 75% of Business Senders prefer to receive Catalogues via DM compared to Business Senders say that they open and read 84% of DM received 78% of Business Senders say they respond as a consequence of receiving DM 69% of Business Senders believe that the use of B2B DM will increase or stay static 67% of Business Senders say that their usage of DM will increase or stay static Gatekeepers and Personal Assistants (Filterers) 77% of Filterers prefer to receive Catalogues via DM compared to 33% of Filterers say they pass on 100% of the DM received to their boss Filterers say that they open and read 92% of the DM that they receive Glossary DM = Direct Mail. SPM = Solicited Personalised Mail. UPM - PR = Unsolicited Personalised Mail - Prior Relationship. UPM - NPR = Unsolicited Personalised Mail - No Prior Relationship.

42 36 Marketing Media in Australia What Percentage of Consumers Who Enjoy Receiving Various Media and Percentage of Consumers Who Enjoy or are Indifferent to Receiving Various Media Solicited Personalised Mail is the media most enjoyed by Consumers (74%), followed by Newspaper and Magazine Advertising (55%). Solicited Personalised Mail is the media Consumers either most enjoy or are indifferent to (97%), followed by Unsolicited Personalised Mail - Prior Relationship (89%).

43 37 Consumers Percentage of Consumers Who Enjoy Receiving Various Media Solicited Personalised Mail 74% News & Mags 55% UPM - Prior Relationship 37% Unaddressed Advertising Mail 33% UPM - No Prior Relationship 8% TV 7% 5% Radio 4% 0% 20% 40% 60% 80% Percentage of Consumers Who Enjoy or are Indifferent to Receiving Media Solicited Personalised Mail 97% UPM - Prior Relationship 89% Unaddressed Advertising Mail 74% Radio 72% News & Mags 57% TV 55% UPM - No Prior Relationship 41% 20% 0% 20% 40% 60% 80% 100% 120% Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

44 38 Marketing Media in Australia What Percentage of Consumers Purchasing Decisions are Influenced By Various Media and What Percentage of Consumers Purchase as a Result of Receiving Various Media Newspaper & Magazine Advertising most influence Consumers purchasing decisions (61%), followed by Unaddressed Mail Advertising (58%). Solicited Personalised Mail is the media that Consumers most purchase from (61%), followed by Newspaper and Magazine Advertising (55%).

45 39 Direct Mail Percentage of Consumers Purchasing Decisions Influenced by Media News & Mags Unaddressed Advertising Mail Solicited Personalised Mail 56% 61% 58% TV UPM - Prior Relationship 33% 41% Radio UPM - No Prior Relationship 13% 18% 5% 0% 20% 40% 60% 80% Percentage of Consumers Who Purchase From Various Media Solicited Personalised Mail 61% News & Mags 55% Unaddressed Mail 55% TV 50% UPM - Prior Relationship 34% UPM - No Prior Relationship 24% Radio 14% 5% 0% 10% 20% 30% 40% 50% 60% 70% Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

46 40 Marketing Media in Australia How Consumers Prefer to Receive Financial Information and New Product Announcements Direct Mail is clearly the preferred media for Consumers to receive Financial Information (60%). TV Advertising (38%), closely followed by Direct Mail (34%), are the preferred media for Consumers to receive New Product Announcements.

47 41 Direct Mail How Consumers Prefer to Receive Financial Information Direct Mail 60% TV News & Mags Don't Need 10% 10% 8% Phone Web Radio Unaddressed Mail 4% 4% 2% 2% 1% 0% 10% 20% 30% 40% 50% 60% 70% How Consumers Prefer to Receive New Product Announcements TV 38% Direct Mail 34% News & Mags 12% Radio Don't Need Unaddressed Mail Web Phone 5% 3% 3% 2% 1% 1% 0% 10% 20% 30% 40% Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

48 42 Marketing Media in Australia How Consumers Prefer to Receive Marketing Promotional Information and General Information at Home Direct Mail is clearly the preferred media (34%) for Consumers to receive Marketing Promotional Information. Direct Mail (36%), followed by TV Advertising (30%), are the preferred media for Consumers to receive General Information at Home.

49 43 Direct Mail How Consumers Prefer to Receive Marketing Promotional Information Direct Mail 34% Don't Need TV 18% 21% News & Mags 9% Phone 6% Radio Unaddressed Mail Web 4% 3% 3% 2% 0% 10% 20% 30% 40% How Consumers Prefer to Receive General Information at Home Direct Mail 36% TV 30% News & Mags 15% Radio 10% Web Phone Don't Need Unaddressed Mail 2% 2% 2% 2% 1% 0% 10% 20% 30% 40% Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

50 44 Marketing Media in Australia How Consumers Prefer to Receive General Information at Work and Automotive Information 38% of Consumers don t need or want general information sent to them at work. Direct Mail (33%) is the favoured media of Consumers to receive General Information at Work. 37% of Consumers nominate Newspapers and Magazines as their preferred media to receive Automotive Information.

51 45 Direct Mail How Consumers Prefer to Receive General Information at Work Don't Need/Want 38% Direct Mail 33% 9% News & Mags 8% Web 4% Radio 3% Phone 3% TV 2% 0% 10% 20% 30% 40% 50% How Consumers Prefer to Receive Automotive Information News & Mags 37% TV 24% Other 15% Dealership 7% Direct Mail 5% No Need 5% Unaddressed mail Web 4% 4% 0% 10% 20% 30% 40% Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

52 46 Marketing Media in Australia How Consumers Prefer to Receive Travel/Holiday Information and Loyalty Program Information 29% of Consumers prefer to receive Travel/Holiday Information via Newspapers and Magazines, closely followed by other media forms. 73% of Consumers prefer to receive Loyalty Program Information via Direct Mail.

53 47 Direct Mail How Consumers Prefer to Receive Travel/Holiday Information News & Mags Other 29% 29% Visit Store 15% TV 11% Direct Mail Unaddressed Mail 7% 6% Web Radio 1% 1% 0% 0% 5% 10% 15% 20% 25% 30% 35% How Consumers Prefer to Receive Loyalty Program Information Direct Mail 73% TV Unaddressed Mail 8% 7% Other 7% News & Mags 1% 4% Telephone 1% Web 0% 0% 20% 40% 60% 80% Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

54 48 Marketing Media in Australia What Prompts Consumers to Respond to Direct Mail Consumers say the offer (58%) is the element that most prompts them to respond to Direct Mail.

55 49 Direct Mail What Prompts Consumers to Respond 70% 60% 58% 50% 40% 30% 20% 10% 18% 14% 10% 0% Offer Other Need/Want Like Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

56 50 Marketing Media in Australia What Percentage of Direct Mail is Opened and Read Consumers open and read 75% of the Direct Mail they receive. The age group opens and reads the highest percentage of Direct Mail received. The $100K+ income bracket opens and reads the highest percentage of Direct Mail received.

57 51 Direct Mail What Percentage is Opened and Read 80% 75% 70% 60% 50% 40% 30% 25% 20% 10% 0% Open & Read Not Opened By Age 82% 81% 80% 78% 76% 77% 76% 75% 74% 72% 72% 71% 70% 68% 66% By Household Income 85% 81% 84% 80% 77% 79% 75% 72% 72% 71% 70% 65% 60% <$20K $20-$29K $30-$39K $40-$49K $50-$74K $75-$99K $100K+ Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

58 52 Marketing Media in Australia Do Consumers Pass On Advertising Information of Interest to Them to Others 81% of Consumers say they pass Advertising Information of interest to them onto other people year olds are most likely to pass on Advertising Information of interest to them to other people. The $30-39K income bracket is most likely to pass on Advertising Information of interest to them to other people.

59 53 Advertising Material Do Consumers Pass On Advertising Information of Interest to Them to Others 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 81% Yes 19% No Yes - By Age 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 89% 89% 83% 80% 77% 71% Yes - By Household Income 88% 86% 86% 84% 82% 82% 82% 80% 78% 78% 77% 78% 76% 74% 74% 72% 70% 68% <$20K $20-$29K $30-$39K $40-$49K $50-$74K $75-$99K $100K+ Base: Graph 1 = Total Sample. Graphs 2 & 3 Sample = 891. Source: ResponseAbility Consumer Research 2001.

60 54 Marketing Media in Australia What Percentage of Consumers are Aware of SMS Advertising Messaging 49% of Consumers say they are aware of SMS Advertising Messaging. The age bracket is most aware of SMS Advertising Messaging. The $75-99K income bracket is most aware of SMS Advertising Messaging.

61 55 SMS Advertising Messaging Are Consumers Aware of It 52% 51% 51% 51% 50% 49% 49% 49% Female Male 48% 47% No Yes Yes - By Age 70% 60% 61% 55% 59% 55% 50% 40% 40% 30% 24% 20% 10% 0% Yes - By Household Income 70% 64% 66% 60% 50% 43% 50% 53% 54% 40% 30% 31% 20% 10% 0% <$20K $20-$29K $30-$39K $40-$49K $50-$74K $75-$99K $100K+ Base: Graph 1 = Total Sample. Graphs 2 & 3 Sample = 539. Source: ResponseAbility Consumer Research 2001.

62 56 Marketing Media in Australia Do Consumers Enjoy SMS Advertising Messaging Of the 49% of Consumers who are aware of SMS Advertising Messaging, 31% of females and 28% of males (14% of population) either enjoy or are indifferent to SMS Advertising Messaging. Graphs as to age and household income have not been produced due to the small sample size of those who enjoy SMS Advertising Messaging (35).

63 57 SMS Advertising Messaging Do Consumers Enjoy It 80% 70% 69% 72% 60% 50% 40% 30% 28% 25% Female Male 20% 10% 0% 3% No Indifferent Yes 3% Base: Sample = 539. Source: ResponseAbility Consumer Research 2001.

64 58 Marketing Media in Australia

65 General Questions - Business People 59

66 60 Marketing Media in Australia Most Effective Media Overall Business Receivers nominate TV Advertising just ahead of Public Relations (PR) as the most effective media. Business Senders nominate TV Advertising ahead of PR as the most effective media. Gatekeepers and Personal Assistants nominate TV Advertising and Radio Advertising as the most effective media.

67 61 Business People Most Effective Media Overall Receivers TV PR News & Mags Catalogues Direct Mail Radio Web Telephone Marketing 7% 14% 14% 13% 12% 12% 11% 11% 10% 0% 2% 4% 6% 8% 10% 12% 14% 16% Senders TV PR 13% 14% News & Mags Catalogues Direct Mail Radio Web Telephone Marketing 7% 12% 12% 12% 11% 11% 10% 0% 2% 4% 6% 8% 10% 12% 14% 16% Gatekeepers & Personal Assistants TV 15% Radio Catalogue PR News & Mags 13% 13% 13% 13% Direct Mail 11% Web 10% 8% Telephone Marketing 6% 0% 2% 4% 6% 8% 10% 12% 14% 16% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Graph 3 Sample = 100. Source: ResponseAbility Business Research 2001.

68 62 Marketing Media in Australia Most Effective Media for Response and Conversion Rates Business Receivers believe that TV Advertising produces the best response and conversion rates. Business Senders believe that TV Advertising produces the best response and conversion rates.

69 63 Business People Most Effective Media for Response and Conversion Rates Receivers TV 22% Public Relations 17% News & Mags 16% Direct Mail 13% Telemarketing 12% Catalogues 11% Web 10% 0% 5% 10% 15% 20% 25% Senders TV 20% Direct Mail 18% Public Relations 18% News & Mags 18% Telemarketing 16% Catalogues 6% Web 3% 0% 5% 10% 15% 20% 25% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

70 64 Marketing Media in Australia Most Effective Media for Relationship Building Business Receivers nominate PR ahead of Direct Mail as the most effective media to build a relationship. Business Senders nominate Direct Mail ahead of PR as the most effective media to build a relationship.

71 65 Business People Most Effective for Relationship Building Receivers PR 49% Direct Mail Telephone Marketing 12% 17% TV News & Mags Web Catalogues Radio 8% 5% 3% 3% 2% 1% 0% 10% 20% 30% 40% 50% 60% Senders Direct Mail 37% PR 26% Telephone Marketing 15% TV News & Mags Web Catalogue Radio 6% 5% 4% 4% 2% 1% 0% 10% 20% 30% 40% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

72 66 Marketing Media in Australia Most Effective Media for Brand Building Business Receivers nominate TV Advertising followed by Newspaper and Magazine Advertising as the most effective media for Brand Building. Business Senders nominate TV Advertising as the most effective media for Brand Building.

73 67 Business People Most Effective Media for Brand Building Receivers TV 39% News & Mags 20% Public Relations 13% Other 9% Direct Mail Web Sites Radio Catalogues Telephone 4% 4% 4% 3% 2% 2% 0% 10% 20% 30% 40% 50% Senders TV 43% Public Relations News & Mags Other 11% 11% 10% Direct Mail Radio Catalogues Web Sites Telephone 7% 6% 4% 4% 2% 2% 0% 10% 20% 30% 40% 50% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

74 68 Marketing Media in Australia Most Effective Media for Influencing Behaviour Business Receivers clearly nominate TV Advertising as the most effective media for influencing behaviour. Business Senders clearly nominate TV Advertising as the most effective media for influencing behaviour.

75 69 Business People Most Effective Media for Influencing Behaviour Receivers TV 65% PR 10% News & Mags Telephone Marketing Direct Mail Catalogues Radio Web 6% 5% 4% 3% 3% 2% 2% 0% 10% 20% 30% 40% 50% 60% 70% Senders TV 64% PR 11% News & Mags Direct Mail Catalogues Radio Telephone Marketing Web 6% 5% 4% 4% 4% 1% 1% 0% 20% 40% 60% 80% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

76 70 Marketing Media in Australia Most Effective Media to Attract People to a Web Site Business Receivers say TV Advertising is the most effective media to attract people to a web site. Business Senders are more likely to nominate Other media as the most effective media to attract people to a web site.

77 71 Business People Most Effective Media to Attract People to a Web Site Receivers TV Other News & Mags Other Web Sites Direct Mail Radio Public Relations Telephone Catalogues 4% 4% 4% 3% 8% 9% 12% 16% 19% 21% 0% 5% 10% 15% 20% 25% Senders Other 27% TV 18% News & Mags 11% 13% Other Web Sites PR 7% 7% Telephone Direct Mail Catalogue Radio 5% 4% 4% 3% 0% 5% 10% 15% 20% 25% 30% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

78 72 Marketing Media in Australia

79 73 Direct Mail Advertising What Consumers Think Contents Do Consumers Enjoy Receiving Solicited Personalised Mail What Consumers Like About Receiving Solicited Personalised Mail Does Receiving Solicited Personalised Mail Influence the Buying Decision What Percentage Purchase as a Result of Receiving Solicited Personalised Mail Do Consumers Enjoy Receiving UPM - PR What Consumers Like About Receiving UPM - PR What Consumers Don t Like About Receiving UPM - PR Does Receiving UPM - PR Influence the Buying Decision What Percentage of Consumers Purchase as a Result of Receiving UPM - PR Do Consumers Enjoy Receiving UPM - NPR What Consumers Like About Receiving UPM - NPR What Consumers Don t Like About Receiving UPM - NPR Does Receiving UPM - NPR Influence the Buying Decision What Percentage of Consumers Purchase as a Result of UPM - NPR

80 74 Marketing Media in Australia

81 Solicited Personalised Mail 75

82 76 Marketing Media in Australia Do Consumers Enjoy Receiving Solicited Personalised Mail 97% of Consumers either enjoy or are indifferent to receiving Solicited Personalised Mail. There appears to be little difference in the attitudes of male and female Consumers in regard to enjoying receiving Solicited Personalised Mail. The age group most enjoys receiving Solicited Personalised Mail. The <$20K household income bracket most enjoys receiving Solicited Personalised Mail.

83 77 Solicited Personalised Mail Do Consumers Enjoy Receiving It 80% 74% 70% 60% 50% 40% 30% 20% 10% 0% 23% Yes Indifferent No 3% By Sex 80% 70% 60% 73% 74% 50% 40% 30% 24% 21% Female Male 20% 10% 3% 5% 0% Yes Indifferent No Yes - By Age 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 86% 75% 73% 71% 73% 69% Yes - By Household Income 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 81% 78% 76% 78% 70% 60% 56% <$20K $20-29K $30-39K $40-49K $50-74K $75-99K $100K+ Base: Graph 1 & 2 = Total Sample. Graphs 3 & 4 Sample = 812. Source: ResponseAbility Consumer Research 2001.

84 78 Marketing Media in Australia What Consumers Like About Receiving Solicited Personalised Mail 98% of Consumers can nominate an element of receiving Solicited Personalised Mail that they like. The main reasons Consumers enjoy receiving Solicited Personalised Mail are that they find it informative and relevant, it is something that they have asked for and it is something that aids the purchasing process at a time convenient to the Consumer. The chart What Consumers Don t Like About Receiving Personalised Mail has not been produced due to the small sample (35) of Consumers who can nominate an element of receiving Solicited Personalised Mail that they don t like.

85 79 Solicited Personalised Mail What Consumers Like About It APPEAL COMMENTS % Informative & Relevant Able to stay informed about topics of interest Rural location helps us to stay informed Convenient way to find out information Specific to my information needs 42 Other Knowledge of prices and new products Access to exclusive offers and prices Allows me to stay in touch Enjoy all types of mail 25 Get What I Ask For Interested in the first place enjoy receiving it I know what I am receiving so not annoyed It is something I have asked for You get what you asked for 24 Shopping Assistance Able to make purchase decision without pressure Allows me to make smart buying decisions Percentage of Consumers Purchase as a Result of Receiving Media Info about new products/shop from home Convenient way to shop 5 Do Things in Own Time Convenient relevant info read when want Peruse products at own leisure/convenience Allows me time to think things through I am in control of the buying process 4 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

86 80 Marketing Media in Australia Does Receiving Solicited Personalised Mail Influence the Buying Decision 56% of Consumers say that receiving Solicited Personalised Mail does influence their buying decision.

87 81 Solicited Personalised Direct Mail Does It Influence the Buying Decision 60% 56% 50% 40% 42% 30% 20% 10% 2% 0% YES NO I get stuff sent to me so I can make a decision Of course it does - that s why I ask for it It certainly does It s usually just information for the kids school projects I am not in the market to buy things I don t think so - no UNSURE I suppose if I have asked for it - I don t know I am open to many influences am not sure Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

88 82 Marketing Media in Australia What Percentage of Consumers Purchase as a Result of Receiving Solicited Personalised Mail 61% of female Consumers and 60% of male Consumers say they purchase as a result of receiving Solicited Personalised Mail.

89 83 Solicited Personalised Mail What Percentage of Consumers Purchase as a Result of Receiving It 61% 61% 60% 60% 59% Female Male Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

90 84 Marketing Media in Australia

91 Unsolicited Personalised Mail - Prior Relationship 85

92 86 Marketing Media in Australia Do Consumers Enjoy Receiving Unsolicited Personalised Mail - Prior Relationship 89% of Consumers either enjoy or are indifferent to receiving Unsolicited Personalised Mail - Prior Relationship. There appears to be little difference in the attitudes of male and female Consumers in regard to enjoying receiving Unsolicited Personalised Mail - Prior Relationship. The age group most enjoys receiving Unsolicited Personalised Mail - Prior Relationship. The $75-$99K household income bracket most enjoys receiving Unsolicited Personalised Mail - Prior Relationship.

93 87 Unsolicited Personalised Mail - Prior Relationship Do Consumers Enjoy Receiving It 60% 50% 40% 52% 37% 30% 20% 10% 0% 11% Indifferent Yes No By Sex 60% 52% 51% 50% 40% 36% 39% 30% 20% 10% 12% 10% Female Male 0% Indifferent Yes No Yes - By Age 70% 60% 62% 50% 40% 30% 36% 24% 34% 30% 20% 14% 10% 0% Yes - By Household Income 60% 50% 40% 30% 28% 40% 44% 45% 35% 50% 39% 20% 10% 0% <$20K $20-29K $30-39K $40-49K $50-74K $75-99K $100K+ Base: Graph 1 & 2 = Total Sample. Graphs 3 & 4 Sample = 411. Source: ResponseAbility Consumer Research 2001.

94 88 Marketing Media in Australia What Consumers Like About Receiving Unsolicited Personalised Mail - Prior Relationship 87% of Consumers can nominate an element of receiving Unsolicited Personalised Mail - Prior Relationship that they like. The main reasons Consumers like receiving Unsolicited Personalised Mail - Prior Relationship are that it keeps them informed with useful, informative and necessary information, that communication is being sent for a reason and that some Consumers feel better about themselves and the company as a consequence of receiving the mail.

95 89 Unsolicited Personalised Mail - Prior Relationship What Consumers Like About It APPEAL Keeps Me Informed COMMENTS I like being kept up-to-date with important info Being kept informed creates incentive/inertia Awareness of new products/services Always good to keep up-to-date % 49 Useful & Relevant Info is informative, useful and necessary to me Gives me the opportunity to shop around Gives me vital information Comes at the right time 15 Other Targeted information specific to my needs They need to and should keep in touch It s part of life in the big smoke Some of it is very colourful 15 Nothing I would prefer they wouldn t send it to me They should ask my permission first Percentage of Consumers Purchase as a Result of Receiving Media 13 I d rather not receive it Nothing much Necessary Information It s often a necessary communication It s sent to me for a reason I find most of it necessary I use the information often 4 Makes Me Feel Good It makes me feel like they still care about me It makes me trust the company more I like the personal touch It s just good to receive 4 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

96 90 Marketing Media in Australia What Consumers Don t Like About Unsolicited Personalised Mail - Prior Relationship 65% of Consumers can nominate an element of receiving Unsolicited Personalised Mail - Prior Relationship that they don t like. The main reasons that those Consumers do not like receiving Unsolicited Personalised Mail - Prior Relationship are that there is too much of it, that some of it is junk, that it can contain bad news and the fact that the Consumers did not ask for it to be sent.

97 91 Unsolicited Personalised Mail - Prior Relationship What Consumers Don t Like About It DISLIKE COMMENTS % Nothing Even if it s not good news I need to know I like receiving Direct Mail I like being kept informed I need to know 35 Other Misuse of my personal details Forces me to make a decision Bad for the environment Waste of paper and time 32 Too Much Too much repetitive and irrelevant information Do business with them once and it never stops There s just too much of it Too much rubbish 10 Truck loads of irrelevant information Too much of it is advertising junk Percentage Junkof Consumers Purchase as a Result of Receiving Media 9 Too much junk in the envelope Most of it s junk Can Be Bad News Don t like getting negative information Don t like receiving info with bills It can be the bearer of bad news Sometimes it s not good news 9 No Permission Just because I bought once doesn t mean I want it Some of it can have nothing to do with my wants They should ask my permission to send it I did not ask for it 5 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

98 92 Marketing Media in Australia Does Receiving Unsolicited Personalised Mail - Prior Relationship Influence the Buying Decision 33% of Consumers say that receiving Unsolicited Personalised Mail - Prior Relationship does influence their buying decision.

99 93 Unsolicited Personalised Mail - Prior Relationship Does It Influence the Buying Decision 70% 60% 63% 50% 40% 30% 33% 20% 10% 0% No Yes Unsure 4% YES NO If I have a need and the offer is good This sort of stuff tends to get me If it s something I need Not if I didn t ask for the information to be sent to me I don t let myself be influenced by those things No, I tend to be more impulsive UNSURE That depends on a lot of things I really don t know It may, it may not Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

100 94 Marketing Media in Australia What Percentage of Consumers Purchase as a Result of Unsolicited Personalised Mail - Prior Relationship 38% of female Consumers and 30% of male Consumers say they purchase as a result of receiving Unsolicited Personalised Mail - Prior Relationship.

101 95 Unsolicited Personalised Mail - Prior Relationship What Percentage of Consumers Purchase as a Result of Receiving It 40% 38% 35% 30% 30% 25% 20% 15% 10% 5% 0% Female Male Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

102 96 Marketing Media in Australia

103 Unsolicited Personalised Mail - No Prior Relationship 97

104 98 Marketing Media in Australia Do Consumers Enjoy Receiving Unsolicited Personalised Mail - No Prior Relationship 41% of Consumers either enjoy or are indifferent to receiving Unsolicited Personalised Mail - No Prior Relationship. There appears to be little difference in the attitudes of male and female Consumers in regard to enjoying receiving Unsolicited Personalised Mail - No Prior Relationship. The age group most enjoys receiving Unsolicited Personalised Mail - No Prior Relationship. The $20-39K household income bracket most enjoys receiving Unsolicited Personalised Mail - No Prior Relationship.

105 99 Unsolicited Personalised Mail - No Prior Relationship Do Consumers Enjoy Receiving It 70% 60% 50% 40% 30% 59% 33% 20% 10% 0% No Indifferent Yes 8% By Sex 70% 60% 59% 60% 50% 40% 30% 33% 32% Female Male 20% 10% 8% 8% 0% No Indifferent Yes Yes - By Age 16% 14% 12% 10% 8% 6% 4% 7% 11% 8% 14% 9% 4% 2% 0% Yes - By Household Income 14% 12% 13% 13% 11% 11% 10% 8% 7% 7% 6% 4% 3% 2% 0% <$20K $20-29K $30-39K $40-49K $50-74K $75-99K $100K+ Base: Graph 1 & 2 Sample = 1,100. Graph 3 & 4 Sample = 90. Source: ResponseAbility Consumer Research 2001.

106 100 Marketing Media in Australia What Consumers Like About Receiving Unsolicited Personalised Mail - No Prior Relationship 34% of Consumers can nominate an element of receiving Unsolicited Personalised Mail - No Prior Relationship that they like. The main reasons that those Consumers like receiving Unsolicited Personalised Mail - No Prior Relationship are the actual act of receipt, the fact that it is perceived to be a personal communication and that it provides useful information. Some Consumers prefer it to be permission based.

107 101 Unsolicited Personalised Mail - No Prior Relationship What Consumers Like About It APPEAL COMMENTS % Nothing None of it is relevant to me There s too much of it I just don t like it Nothing really 66 Receiving It Knowing I am supposed to get it It might be an opportunity It has my name on it I like receiving mail 13 Information Good information with no depressing news Exposure to new and interesting products I like to know what s available Useful information 11 Nothing like a personally addressed letter It s got my name on it - that feels special Percentage Personal of Consumers Purchase as a Result of Receiving Media 4 Only if it s personally addressed It s like a personal present Permission Based I prefer to receive information I have asked for Don t send me stuff I have not asked for I enjoy receiving things I ve requested Only if I have requested it 3 Other I like receiving catalogues I can read it at my leisure Can buy from the mail Helps me shop 3 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

108 102 Marketing Media in Australia What Consumers Don t Like About Receiving Unsolicited Personalised Mail - No Prior Relationship 78% of Consumers can nominate an element of receiving Unsolicited Personalised Mail - No Prior Relationship that they don t like. The main reasons that those Consumers dislike receiving Unsolicited Personalised Mail - No Prior Relationship relate to privacy issues, concerns about wastage, a belief that there is too much Direct Mail Advertising and issues relating to the relevance of the information received.

109 103 Unsolicited Personalised Mail - No Prior Relationship What Consumers Don t Like About It APPEAL COMMENTS % Other A hollow attempt to pretend they know me It give me a false sense of high expectations Charities make you feel guilty I never win anything 39 Nothing I usually only get things I am interested in I enjoy receiving personalised mail Don t get much of it I like it 22 Privacy They should not have access to my name My name should not be on any lists Where do they get my details from Breach of my privacy 21 Waste of resources Waste of my time Percentage Wasteful of Consumers Purchase as a Result of Receiving Media 10 Waste of paper Waste of trees Too Much Creates too much paper for recycling Too much of it - I don t want it Annoying - too much of it Fills my letterbox 6 Irrelevant Irrelevant material - wastes my time Irrelevant and a waste of money Irrelevant - I don t ask for it None of it is relevant to me 3 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

110 104 Marketing Media in Australia Does Receiving Unsolicited Personalised Mail - No Prior Relationship Influence the Buying Decision 13% of Consumers say that receiving Unsolicited Personalised Mail - No Prior Relationship does influence their buying decisions.

111 105 Unsolicited Personalised Mail - No Prior Relationship Does It Influence the Buying Decision 100% 90% 86% 80% 70% 60% 50% 40% 30% 20% 10% 0% 13% No Yes Unsure 0% YES NO I wait until getting information about sales before I shop I do most of my shopping from stuff I get in the mail I only shop at places where I get discounts I am an impulse buyer I don t even open it much less keep it I have never received anything that was relevant to me UNSURE It may but I am not aware of it Who knows what motivates my purchasing decisions I think I get influenced by lots of different things Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

112 106 Marketing Media in Australia What Percentage of Consumers Purchase as a Result of Receiving Unsolicited Personalised Mail - No Prior Relationship 24% of Consumers say they purchase as a result of receiving Unsolicited Personalised Mail - No Prior Relationship.

113 107 Unsolicited Personalised Mail - No Prior Relationship What Percentage of Consumers Purchase as a Result of Receiving It 25% 24% 24% 24% 23% Female Male Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

114 108 Marketing Media in Australia

115 Direct Mail Advertising - What Business People Think 109

116 110 Marketing Media in Australia

117 111 Direct Mail Advertising - What Business People Think Contents Preferred Method of Receiving Information Do Business People Enjoy Receiving Direct Mail Major Strengths of Direct Mail Major Weaknesses of Direct Mail Cost Effectiveness of Direct Mail Do Business People Prefer to Receive an Advertising or Direct Mail Do Business People Prefer to Receive Catalogues via Mail or Internet How to Increase the Chances of Direct Mail Being Opened How to Increase the Chances of Direct Mail Response What Percentage of Direct Mail is Opened and Read by Business People Why Some Direct Mail is Not Opened What Percentage of Business People Respond to Direct Mail What Motivates Business People to Respond to Direct Mail The Future of Business-to-Business Direct Mail Planned Usage of Direct Mail in the Next 12 Months What Advertisers Can Do to Ensure Mail is Passed on to the Boss What Advertisers Can Do to Ensure Mail is not Passed on to the Boss Of the Direct Mail Received, What Percentage is Passed on

118 112 Marketing Media in Australia Preferred Method of Receiving Information Direct Mail is the preferred method of receiving information at work by Business Receivers. Direct Mail is the preferred method of receiving information at work by Business Senders.

119 113 Direct Mail Preferred Method of Receiving Information Receivers Direct Mail Catalogues News & Mags 18% 18% 20% TV 14% Other Web 11% 10% 8% Radio Public Relations 1% 1% 0% 5% 10% 15% 20% 25% Senders Direct Mail 21% Other Catalogues 17% 18% News & Mags TV 12% 12% 10% Web 5% Public Relations Radio 3% 2% 0% 5% 10% 15% 20% 25% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

120 114 Marketing Media in Australia Do Business People Enjoy Receiving Direct Mail 52% of Business Receivers say they either enjoy or are indifferent to receiving Direct Mail. 40% of Business Senders say they either enjoy or are indifferent to receiving Direct Mail.

121 115 Direct Mail Do Business People Enjoy Receiving It Receivers 60% 50% 40% 30% 48% 39% 20% 13% 10% 0% No Yes Indifferent Senders 70% 60% 60% 50% 40% 30% 20% 20% 20% 10% 0% No Yes Indifferent Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

122 116 Marketing Media in Australia Major Strengths of Direct Mail Business Receivers believe that the major strengths of Direct Mail are that it is a targeted, personal, in-your-face media with good reach. Business Senders believe that the major strengths of Direct Mail are that it is a targeted, cost-effective, in-your-face media with good reach.

123 117 Direct Mail What Business People Believe to be Its Major Strengths Receivers Other 29% In Face/Hand Targeted Nothing 16% 15% 15% Personal 9% Reach 8% Hard Copy Cost 4% 5% 0% 5% 10% 15% 20% 25% 30% 35% Senders Other 44% Targeted 15% Cost In Face/Hand Nothing Reach 10% 9% 7% 7% Personal Hard Copy 3% 4% 0% 10% 20% 30% 40% 50% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

124 118 Marketing Media in Australia Major Weaknesses of Direct Mail Business Receivers nominate a variety of issues they see as weaknesses of Direct Mail. Business Senders nominate a variety of issues they see as weaknesses of Direct Mail.

125 119 Direct Mail What Business People Believe to be Its Major Weaknesses Receivers Other 67% Too Much Can Throw Out 9% 11% Cost Irrelevant Intrusive Lacks Impact 5% 3% 3% 2% 0% 10% 20% 30% 40% 50% 60% 70% Senders Other 65% Too Much 13% Can Throw Out Cost Lacks Impact Intrusive Irrelevant 8% 6% 4% 3% 2% 0% 10% 20% 30% 40% 50% 60% 70% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

126 120 Marketing Media in Australia Cost Effectiveness of Direct Mail 39% of Business Receivers believe that Direct Mail is a cost-effective media. 42% of Business Senders believe that Direct Mail is a cost-effective media.

127 121 Direct Mail Do Business People Believe That It is Cost Effective Receivers 45% 40% 39% 35% 30% 28% 25% 20% 20% 15% 11% 10% 5% 3% 0% DM More Effective Unsure DM Less Effective Depends More Effective Senders 45% 42% 40% 35% 30% 25% 20% 23% 20% 15% 10% 5% 0% DM More Effective Unsure DM Less Effective 10% Depends 4% More Effective 1% News & Mags More Effective Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

128 122 Marketing Media in Australia Do Business People Prefer to Receive an Advertising or Direct Mail 58% of Business Receivers prefer to receive Direct Mail compared to an advertising . 61% of Business Senders prefer to receive Direct Mail compared to an advertising .

129 123 Direct Mail Do Business People Prefer to Receive an Advertising or Direct Mail Receivers 70% 60% 58% 50% 40% 39% 30% 20% 10% 0% 3% Prefer Mail Prefer Either Senders 70% 60% 61% 50% 40% 33% 30% 20% 10% 0% 5% Prefer Mail Prefer Either Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

130 124 Marketing Media in Australia Do Business People Prefer to Receive Catalogues via Mail or Internet 74% of Business Receivers prefer to receive a catalogue via Direct Mail. 75% of Business Senders prefer to receive a catalogue via Direct Mail. 77% of Gatekeepers and Personal Assistants would prefer to receive a catalogue via Direct Mail.

131 125 Direct Mail Do Business People Prefer to Receive Catalogues via Mail or Internet Receivers 80% 74% 70% 60% 50% 40% 30% 20% 10% 0% 21% 3% 2% Direct Mail Internet Either Other Senders 80% 70% 60% 50% 40% 30% 20% 10% 0% 75% 18% 4% 3% Direct Mail Internet Either Other Gatekeepers and Personal Assistants 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 77% 17% 4% 1% 1% Mail Internet Other Either Neither Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Graph 3 Sample = 100. Source: ResponseAbility Business Research 2001.

132 126 Marketing Media in Australia How to Increase the Chances of Direct Mail Being Opened Business Receivers say the best way to increase the chance of them opening Direct Mail is for advertisers to make it clear on the envelope what s inside and to personalise the letter. Business Senders say the best way to increase the chance of them opening Direct Mail is for advertisers to make it clear on the envelope what s inside and to personalise the letter. Gatekeepers and Personal Assistants say the best way to increase the chance of them opening Direct Mail is for advertisers to grab their attention, personalise the letter and to have the address details correct.

133 127 Direct Mail How to Increase the Chances of Business People Opening It Receivers Info on Envelope 33% Personalise it 26% Always Open DM 11% Other 10% Unsure 8% No Info on Envelope 6% Address it Properly 4% Have my Permission 2% 0% 5% 10% 15% 20% 25% 30% 35% Senders Info on Envelope Personalise it 30% 30% Always Open DM 16% Other 8% No Info on Envelope Address it Properly Unsure Have my Permission 5% 4% 4% 3% 0% 10% 20% 30% 40% Gatekeepers and Personal Assistants Other 28% Grab my Attention 25% Personalise it 23% Address Correctly 13% Make it Relevant 11% 0% 5% 10% 15% 20% 25% 30% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Graph 3 Sample = 100. Source: ResponseAbility Business Research 2001.

134 128 Marketing Media in Australia How to Increase the Chances of Direct Mail Response Business Receivers say special offers and having their permission to market to them is the best way to increase the chance of them responding to Direct Mail. Business Senders say special offers and having their permission to market to them is the best way to increase the chance of them responding to Direct Mail

135 129 Direct Mail How To Increase the Chances of Business People Responding Receivers Other 40% Special Offer 24% Have Permission 18% Personalise 8% Unsure 5% Info on Envelope 3% Address Properly 3% 0% 10% 20% 30% 40% 50% Senders Other 37% Special Offer 25% Have Permission 23% Personalise 6% Unsure 6% Info on Envelope 3% Address Properly 1% 0% 10% 20% 30% 40% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

136 130 Marketing Media in Australia Of the Direct Mail Received, What Percentage is Opened and Read by Business People Business Receivers say they open and read 90% of the Direct Mail they receive. Business Senders say they open and read 84% of the Direct Mail they receive. Gatekeepers and Personal Assistants say that they open and read 92% of the Direct Mail they receive.

137 131 Direct Mail What Percentage is Opened and Read by Business People Receivers 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 90% Open & Read 10% Not Opened Senders 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 84% Open & Read 16% Not Opened Gatekeepers and Personal Assistants 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 92% Open & Read 8% Not Opened Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Graph 3 Sample = 100. Source: ResponseAbility Business Research 2001.

138 132 Marketing Media in Australia Why Some Direct Mail Is Not Opened The 10% of Business Receivers who do not open 100% of the Direct Mail they receive say that irrelevance and the fact that they know what it is without opening the mail are the main reasons they don t open all mail. The 16% of Business Senders who do not open 100% of the Direct Mail they receive say that irrelevance and the fact that they know what it is without opening the mail are the main reasons they don t open all mail. The 10% of Gatekeepers and Personal Assistants who do not open 100% of the Direct Mail they receive say that irrelevance and the fact that some mail is incorrectly addressed are the main reasons they don t open all mail.

139 133 Direct Mail Why Some Business People Don t Open It Receivers 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 90% 4% 3% 2% 1% Open 100% Irrelevant Other Know What It Is No Time Senders 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 84% 8% Open 100% Irrelevant Other Know What It Is 4% 3% 1% 1% No Time Someone Else Opens Gatekeepers and Personal Assistants 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 90% 5% 3% 2% Open 100% Not Relevant Not Addressed Correctly Junk Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Graph 3 Sample = 100. Source: ResponseAbility Business Research 2001.

140 134 Marketing Media in Australia What Percentage of Business People Respond To Direct Mail 73% of Business Receivers say they respond as a consequence of receiving Direct Mail. 78% of Business Senders say they respond as a consequence of receiving Direct Mail.

141 135 Direct Mail What Percentage Respond as a Result of Receiving It Receivers 80% 73% 70% 60% 50% 40% 30% 20% 22% 10% 0% 5% Respond Donít Respond Other Senders 90% 80% 78% 70% 60% 50% 40% 30% 20% 10% 0% 18% 4% 1% Respond Donít Respond Other Depends Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

142 136 Marketing Media in Australia What Motivates Business People to Respond to Direct Mail Business Receivers say having a need for a product/service is the most significant motivator for them to respond to Direct Mail. Business Senders say having a need for a product/service is the most significant motivator for them to respond to Direct Mail.

143 137 Direct Mail What Motivates Business People to Respond to It Receivers Other 36% Meets a Need 31% Creative 14% Relevance 11% Price/Specials 6% Offer 3% 0% 10% 20% 30% 40% Senders Other 32% Meets a Need 32% Creative 18% Relevance 9% Price/Specials 8% Offer 1% 0% 10% 20% 30% 40% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

144 138 Marketing Media in Australia The Future of Business-to-Business Direct Mail 68% of Business Receivers believe the use of Business-to-Business (B2B) Direct Mail will increase or stay the same in the future. 69% of Business Senders believe the use of B2B Direct Mail will increase or stay the same in the future.

145 139 Direct Mail The Future of Business-to-Business Direct Mail as Viewed by Business People Receivers 60% 50% 49% 40% 30% 33% 20% 19% 10% 0% Increase Decrease Stay the Same Senders 60% 54% 50% 40% 30% 30% 20% 15% 10% 0% Increase Decrease Stay the Same Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

146 140 Marketing Media in Australia Planned Usage of Direct Mail in the Next 12 Months 67% of Business Receivers say their usage of Direct Mail will increase or stay the same in the next 12 months. 67% of Business Senders say their usage of Direct Mail will increase or stay the same in the next 12 months.

147 141 Direct Mail Planned Usage in the Next 12 Months Receivers 40% 35% 34% 33% 30% 25% 20% 21% 15% 10% 10% 5% 2% 0% Stay the Same Increase Don't Use Direct Mail Decrease Other Senders 45% 40% 39% 35% 30% 28% 25% 20% 21% 15% 10% 10% 5% 2% 0% Increase Stay the Same Don't Use Direct Mail Decrease Other Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

148 142 Marketing Media in Australia What Advertisers Can Do to Ensure Direct Mail is Passed On to the Boss and of the Direct Mail Received, What Percentage is Passed on Gatekeepers and Personal Assistants believe the best way to ensure Direct Mail material is passed to their boss is to grab their attention, to correctly and personally address the material and to make it relevant. Gatekeepers and Personal Assistants believe the best way to ensure advertising material is not passed to their bosses is to make it irrelevant, to send too much of it, to address it incorrectly and to send it by fax. 33% of Gatekeepers and Personal Assistants say they pass on 100% of the Direct Mail they receive to their boss.

149 143 Direct Mail Gatekeepers and Personal Assistants What Advertisers can do to Ensure Direct Mail is Passed On to the Boss 30% 25% 27% 25% 22% 20% 15% 14% 12% 10% 5% 0% Other Grab Attention Personally Address Correctly Address Make it Relevant What Advertisers can do to Ensure Direct Mail is not Passed On 45% 40% 40% 35% 30% 25% 20% 22% 18% 18% 15% 10% 5% 3% 0% Other Make it Relevant Less Mail Address Incorrectly Fax it Of Direct Mail Received, What Percentage is Passed On 35% 33% 30% 25% 20% 15% 16% 20% 23% 10% 8% 5% 0% 100% 51%-99% 25%-50% <25% 0% Base: Sample = 100. Source: ResponseAbility Business Research 2001.

150 144 Marketing Media in Australia

151 Unaddressed Advertising Mail 145

152 146 Marketing Media in Australia

153 147 Unaddressed Advertising Mail (UAM) An Overview Consumers 74% of Consumers enjoy or are indifferent to receiving UAM 77% of Consumers can nominate an element of UAM that they like 67% of Consumers can nominate an element of UAM that they don t like 58% of Consumers say that receiving UAM influences their buying decisions 63% of UAM received are opened and read by Consumers 55% of Consumers say they purchase as a result of receiving UAM

154 148 Marketing Media in Australia

155 149 Unaddressed Advertising Mail What Consumers Think Contents Do Consumers Enjoy Receiving Unaddressed Advertising Mail What Consumers Like About Receiving Unaddressed Advertising Mail What Consumers Don t Like About Receiving Unaddressed Advertising Mail Does Receiving Unaddressed Advertising Mail Influence the Buying Decision What Percentage of Unaddressed Advertising Mail Items are Opened and Read What Percentage of Consumers Purchase as a Result of Receiving UAM

156 150 Marketing Media in Australia Do Consumers Enjoy Receiving Unaddressed Advertising Mail 74% of Consumers either enjoy or are indifferent to receiving Unaddressed Advertising Mail. There appears to be little difference in the attitudes of male and female Consumers in regard to enjoying receiving Unaddressed Advertising Mail. The age bracket most enjoys receiving Unaddressed Advertising Mail. The $30-39K household income bracket most enjoys receiving Unaddressed Advertising Mail.

157 151 Unaddressed Advertising Mail Do Consumers Enjoy Receiving It 50% 41% 40% 30% 33% 27% 20% 10% 0% Indifferent Yes No By Sex 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 43% 39% 34% 30% 26% 27% Indifferent Yes No Female Male Yes - By Age 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 40% 35% 33% 31% 26% 22% Yes - By Household Income 40% 35% 31% 30% 36% 34% 31% 30% 30% 25% 22% 20% 15% 10% 5% 0% <$20K $20-$29K $30-$39K $40-$49K $50-$74K $75-$99K $100K+ Base: Graph 1&2 Sample = 1,100. Graph 3&4 Sample = 365. Source: ResponseAbility Consumer Research 2001.

158 152 Marketing Media in Australia What Consumers Like About Receiving Unaddressed Advertising Mail 77% of Consumers can nominate an element of receiving Unaddressed Advertising Mail that they like. The main reasons those Consumers like receiving Unaddressed Advertising Mail are that it provides useful local information, provides information about specials and sales, introduces variety into the shopping experience and is considered less intrusive than other media.

159 153 Unaddressed Advertising Mail What Consumers Like About Receiving It APPEAL COMMENTS % Other Sometimes there is something I might like Lets me know what s going on locally Cuts down on my shopping time It s very relevant 27 Nothing Makes the street look very unclean Clogs up the letterbox Clogs up the drains Waste of paper 23 Information See what s available without leaving home Interesting information about products Something to compare prices with Tells you what s going on locally 22 Helpful to review prices and make savings Percentage Specials of Consumers Like Purchase bonus coupons as a and Result weekly of specials Receiving Media 17 See where the bargains are Local offers Variety I like little offers and local fliers Informs me of local activities Adds variety to shopping Variety for weekly shopping 7 Non Intrusive Prefer to personal mail from those I don t know Get information without pressure It s there when you need it Least intrusive media 4 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

160 154 Marketing Media in Australia What Consumers Don t Like About Receiving Unaddressed Advertising Mail 67% of Consumers can nominate an element of receiving Unaddressed Advertising Mail that they do not like. The main reasons that those Consumers dislike receiving Unaddressed Advertising Mail relate to wastage of paper, letterbox clutter, the perception that there is too much and that the information is irrelevant. There are some concerns about the mess Unaddressed Advertising Mail is seen to create.

161 155 Unaddressed Advertising Mail What Consumers Don t Like About It DISLIKE COMMENTS % Nothing Nothing unless we go away Nothing - find them all useful I like getting them No dislikes 33 Other People can tell from letterbox that we are away Invasion of privacy in a minor way Supermarket catalogues Repetitious 25 Waste Waste of paper and clogs up letterbox Waste of time and resources Waste and did not ask for it Bad for our forests 17 Too much of it and it fills up letterbox Too much and rubbishes street Percentage Too Much of Consumers Purchase as a Result of Receiving Media 13 Too many at Christmas time Too much and repetitive Messy Too messy and builds up during holidays Spews out of letterbox and into drains Makes the streets look dirty Messes up our letterbox 7 Irrelevant Too much of it is irrelevant to me They send me stuff of no relevance It s usually irrelevant to me It s all irrelevant 5 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

162 156 Marketing Media in Australia Does Receiving Unaddressed Advertising Mail Influence the Buying Decision 58% of Consumers say receiving Unaddressed Advertising Mail influences their buying decision. This figure is similar to the 55% of Consumers who say they purchase as a result of receiving Unaddressed Advertising Mail as detailed later in this report.

163 157 Unaddressed Advertising Mail Does Receiving It Influence the Buying Decision 70% 60% 58% 50% 40% 41% 30% 20% 10% 0% 1% Yes No Unsure YES I get most of my shopping information from it I only shop where I know the bargains are I use it to do my shopping locally NO Not when I don t even look at it I bin it without reading it It s just rubbish UNSURE I look at it but am not sure if it influences me Good question - don t know It might - I m not too sure Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

164 158 Marketing Media in Australia What Percentage of Unaddressed Advertising Mail Items Are Opened and Read Consumers open and read 63% of the Unaddressed Advertising Mail items they receive. The age group opens and reads the highest percentage of Unaddressed Advertising Mail items received. The $40-49K household income bracket opens and reads the highest percentage of Unaddressed Advertising Mail items received.

165 159 Unaddressed Advertising Mail What Percentage of Items Received are Opened and Read 66% 65% 64% 63% 63% 63% 62% 61% 60% Female Male By Age 80% 70% 60% 50% 40% 30% 20% 10% 0% 75% 65% 60% 58% 60% 54% By Household Income $100K+ $75-99K 53% 53% $50-74K $40-49K $30-39K 64% 68% 66% $20-29K 59% <$20K 64% 0% 10% 20% 30% 40% 50% 60% 70% 80% Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

166 160 Marketing Media in Australia What Percentage of Consumers Purchase as a Result of Receiving Unaddressed Advertising Mail 54% of female and 57% of male Consumers say they purchase as a result of receiving Unaddressed Advertising Mail items.

167 161 Unaddressed Advertising Mail What Percentage of Consumers Purchase as a Result of Receiving It 58% 57% 57% 56% 55% 54% 54% 53% Female Male Base: Sample = 608. Source: ResponseAbility Consumer Research 2001.

168 162 Marketing Media in Australia

169 Advertising 163

170 164 Marketing Media in Australia

171 165 Advertising An Overview Consumers 43% of Consumers say they have been subject to Advertising 47% of Consumers who have been subject to Advertising enjoy or are indifferent to it 31% of Consumers who have been subject to it can nominate an element of it that they like 84% of Consumers subject to it can nominate an element of it that they don t like 5% of Consumers say Advertising influences their purchasing decision 5% of Consumers say they purchase as a result of receiving Advertising 23% of Consumers say they have access to at home only 15% of Consumers say they have access to both at work and at home 5% of Consumers say they have access to at work only Business Receivers 40% of Business Receivers enjoy or are indifferent to receiving Advertising 37% of Business Receivers say they open 100% of Advertisements received 67% of Business Receivers say their use of Advertising will increase in the next 12 months Business Senders 39% of Business Senders enjoy or are indifferent to receiving Advertising 44% of Business Senders say they open 100% of Advertisements received 73% say their use of Advertising will increase or stay the same in the next 12 months Gatekeepers and Personal Assistants (Filterers) 39% of Filterers enjoy or are indifferent to receiving Advertising 40% of Filterers say that they open 100% of Advertisements received

172 166 Marketing Media in Australia

173 167 Advertising What Consumers Think Contents Do Consumers Enjoy Receiving Advertising What Consumers Like About Advertising What Consumers Don t Like About Advertising Does Advertising Influence the Buying Decision What Percentage Purchase as a Result of Receiving Advertising What Percentage of Consumers Have Access to at Work/Home

174 168 Marketing Media in Australia Do Consumers Enjoy Receiving Advertising Only 43% of Consumers say they have been subject to Advertising. 47% of these Consumers either enjoy or are indifferent to receiving Advertising (20% of population). There appears to be little difference in the attitudes of males and females in regard to receiving Advertising. Graphs as to age and household income have not been produced due to the small sample of 22 Consumers who say they enjoy Advertising.

175 169 Advertising Do Consumers Enjoy Receiving It 60% 54% 50% 42% 40% 30% 20% 10% 5% 0% No Indifferent Yes By Sex 60% 55% 53% 50% 40% 40% 43% 30% Female Male 20% 10% 5% 4% 0% No Indifferent Yes Base: Sample = 472. Source: ResponseAbility Consumer Research 2001.

176 170 Marketing Media in Australia What Consumers Like About Advertising 31% of Consumers who have a comment on Advertising can nominate an element of receiving Advertising that they like. The main reasons that those Consumers like Advertising are that it is perceived to be quick and easy to receive, informative and forms a permanent record.

177 171 Advertising What Consumers Like About It DISLIKE COMMENTS % Nothing I don t even open them Delete them immediately Very annoying I hate them 69 Easy Can read it and delete it easily Can read it at my leisure An easy process I am in control 13 Quick Quick and easy to open and delete Doesn t take long Quick and efficient Very quick 8 Good for information on special products Good for a variety of information Percentage Information of Consumers Purchase as a Result of Receiving Media 6 I get the information I request Staying informed Other It s a permanent record Less paper wastage Can t loose it It s cool 4 Base: Sample = 472. Source: ResponseAbility Consumer Research 2001.

178 172 Marketing Media in Australia What Consumers Don t Like About Advertising 84% of Consumers who have a comment on Advertising can nominate an element of Advertising that they don t like. The main reasons that those Consumers dislike Advertising are concerns about electronic viruses, the fact that they perceive that there is too much Advertising and that it is seen to be wasteful, intrusive and an invasion of privacy.

179 173 Advertising What Consumers Don t Like About It ISSUE COMMENTS % Other Viruses that can destroy my computer Very careful about opening Have no idea who they are from Concerned about viruses 52 Nothing They can be informative I don t dislike them I don t mind them Indifferent 16 Too Much Takes up too much space on my computer Too much unsolicited junk Too much irrelevant stuff Way too many 13 Time consuming to download Time wasting and intrusive Percentage Wasteful of Consumers Purchase as a Result of Receiving Media 10 Process takes too long Waste of my time Privacy Invasion of my privacy and takes too long Where do they get my details from I need a password - they don t Lack of censorship 5 Intrusive How dare they assume I want this stuff I am busy enough without this rubbish Imposition on my work time Don t send them to me 4 Base: Sample = 472. Source: ResponseAbility Consumer Research 2001.

180 174 Marketing Media in Australia Does Advertising Influence the Buying Decision 11% of the 43% of the sample who say they have been subject to Advertising (5% of overall sample) say Advertising influences their buying decisions. This figure is similar to the 9% of Consumers that have been subject to Advertising (5% of overall sample) who say that they purchase as a result of Advertising.

181 175 Advertising Does Receiving It Influence the Buying Decision 100% 90% 86% 80% 70% 60% 50% 40% 30% 20% 10% 0% 11% 3% No Yes Unsure YES It s good because I get them at work and have time to digest them Because I tend to receive stuff that s of interest to me I only open what I am interested in NO How can they get my address and send me stuff without my permission I am so concerned about viruses that I don t even open them I hate the things UNSURE I tend not to like them but they may influence me I don t mind them at work but not at home I don t know - I open them Base: Sample = 472. Source: ResponseAbility Consumer Research 2001.

182 176 Marketing Media in Australia What Percentage of Consumers Purchase as a Result of Receiving Advertising 5% of Consumers say they purchase as a result of receiving Advertising.

183 177 Advertising What Percentage of Consumers Purchase as a Result of Receiving It 6% 5% 5% 4% 4% 3% 2% 1% 0% Female Male Base: Sample = 51. Source: ResponseAbility Consumer Research 2001.

184 178 Marketing Media in Australia How Many Consumers Have Access to at Work/Home 23% of Consumers have access to at home only, 15% have access both at home and at work, and 5% of Consumers have access to at work only. The age group has by far the greatest access to in the home. The $75-99K income bracket has the greatest access to at home.

185 179 Advertising How Many Consumers Have Access to at Work/Home 30% 25% 23% 24% 20% 15% 14% 16% Female Male 10% 5% 6% 3% 0% Home Both Work Only By Age 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 47% 25% 26% 22% 22% 23% 14% 14% 13% 10% 11% 6% 6% 7% 4% 3% 1% 0% Home Both Work Only By Household Income $100K+ $75-$99K $50-$74K $40-$49K $30-$39K $20-$29K <$20K 11% 4% 7% 8% 13% 7% 11% 2% 6% 3% 4% 19% 28% 30% 25% 24% 26% 22% 21% 18% 41% Work Only Both Home 0% 10% 20% 30% 40% 50% Base: Sample = 472. Source: ResponseAbility Consumer Research 2001.

186 180 Marketing Media in Australia

187 181 Advertising - What Business People Think Contents Do Business People Enjoy Receiving Advertising What Percentage of Advertisements Are Opened Business Senders Advertising Intentions for the Next 12 Months

188 182 Marketing Media in Australia Do Business People Enjoy Receiving Advertising 40% of Business Receivers say they enjoy or are indifferent to receiving Advertising. 39% of Business Senders say they enjoy or are indifferent to receiving Advertising. 39% of Gatekeepers and Personal Assistants say they enjoy or are indifferent to receiving Advertising.

189 183 Advertising Do Business People Enjoy Receiving It Receivers 70% 60% 60% 50% 40% 30% 30% 20% 10% 0% 10% No Yes Indifferent Senders 70% 60% 61% 50% 40% 30% 26% 20% 10% 0% 13% No Yes Indifferent Gatekeepers and Personal Assistants 70% 60% 61% 50% 40% 30% 20% 20% 19% 10% 0% No Yes Indifferent Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Graph 3 Sample = 100. Source: ResponseAbility Business Research 2001.

190 184 Marketing Media in Australia What Percentage of Advertisements Are Opened 37% of Business Receivers say they open 100% of the Advertisements that they receive. 44% of Business Senders say they open 100% of the Advertisements that they receive. 40% of Gatekeepers and Personal Assistants say they open 100% of the Advertisements they receive.

191 185 Advertising How Many Advertisements are Opened by Business People Receivers 40% 37% 35% 30% 25% 20% 19% 15% 10% 5% 9% 13% 11% 4% 8% 0% 00 % <20% 20-39% 40-59% 60-79% 80-99% 100% Senders 50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 44% 21% 13% 11% 5% 5% 2% 00 % <20% 20-39% 40-59% 60-79% 80-99% 100% Gatekeepers & Personal Assistants 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% 40% 32% 10% 10% 6% 2% 0% 00 % <20% 20-39% 40-59% 60-79% 80-99% 100% Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Graph 3 Sample = 100. Source: ResponseAbility Business Research 2001.

192 186 Marketing Media in Australia Business People s Advertising Intentions for the Next 12 Months 67% of Business Receivers say their usage of Advertising will increase or stay the same over the next year (usually off a low base). 73% of Business Senders say their usage of Advertising will increase or stay the same over the next year (usually off a low base).

193 187 Advertising Business People s Advertising Intentions for the Next 12 Months 60% 50% 52% 40% 30% 32% 20% 15% 10% 0% 1% Increase Don't Use Stay the Same Decrease Senders 70% 60% 58% 50% 40% 30% 26% 20% 10% 0% 15% 2% Increase Don't Use Stay the Same Decrease Base: Graph 1 Sample = 213. Graph 2 Sample = 187. Source: ResponseAbility Business Research 2001.

194 188 Marketing Media in Australia

195 TV Advertising 189

196 190 Marketing Media in Australia

197 191 TV Advertising - An Overview Consumers 55% of Consumers enjoy or are indifferent to watching TV Advertising 57% of Consumers can nominate an element of TV Advertising that they like 95% of Consumers can nominate an element of TV Advertising that they don t like 41% of Consumers say that TV Advertising influences their purchasing decisions 50% of Consumers say that they purchase as a result of watching TV Commercials

198 192 Marketing Media in Australia

199 193 TV Advertising - What Consumers Think Contents Do Consumers Enjoy TV Advertising What Consumers Like About TV Advertising What Consumers Don t Like About TV Advertising Does TV Advertising Influence the Buying Decision How Many Consumers Purchase as a Result of TV Advertising

200 194 Marketing Media in Australia Do Consumers Enjoy TV Advertising 55% of Consumers either enjoy or are indifferent to TV Advertising. There appears to be little difference in the attitude of males and females in regard to enjoying TV Advertising. The age group most enjoys watching TV Advertising. Households with an income of <$20K enjoy watching TV Advertising the most.

201 195 TV Advertising Do Consumers Enjoy It 60% 50% 40% 30% 48% 45% 20% 10% 0% Indifferent No Yes 7% By Sex 60% 50% 48% 47% 44% 46% 40% 30% Female Male 20% 10% 7% 7% 0% Indifferent No Yes Yes - By Age 12% 10% 10% 8% 6% 6% 8% 5% 7% 5% 4% 2% 0% Yes - By Income 8% 7% 6% 5% 7% 5% 6% 5% 7% 5% 4% 3% 3% 2% 1% 0% <$20K $20-29K $30-39K $40-49K $50-74K $75-99K $100K+ Base: Graphs 1 & 2 = Sample = 1,100. Graphs 3 & 4 Sample = 77. Source: ResponseAbility Consumer Research 2001.

202 196 Marketing Media in Australia What Consumers Like About TV Advertising 57% of Consumers can nominate an element of TV Advertising that they like. The main reasons those Consumers like TV Advertising are that TV ads can be funny, informative, clever and catchy, they may include good jingles and they provide a break in the programming.

203 197 TV Advertising What Consumers Like About It APPEAL COMMENTS % Nothing They re the reason I watch the ABC and SBS Switch station when ad comes on Nothing much None of them 43 Other Ads are good if made properly Breaks up TV programs Entertainment for kids Pays for free TV 20 Humour Like funny and strange ads Good entertainment value Funny and informative Only like funny ads 16 Opportunity to purchase if appropriate Keeps me informed of new products Percentage Informative of Consumers Purchase as a Result of Receiving Media 12 New products and specials Keeps me informed Clever Clever ads capture my attention Colourful and funny Clever and catchy Clever and funny 4 Break Provides break in program Chance to get to fridge Time to make a cuppa Time to go to toilet 3 Jingles Ads without music don t work The music can be great Jingle must be good Like clever jingles 2 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

204 198 Marketing Media in Australia What Consumers Don t Like About TV Advertising 95% of consumers can nominate an element of TV Advertising they don t like. The main reasons those Consumers dislike TV Advertising are that they believe there are too many ads, the ads are louder than the program and are too loud, and the breaks are too long. Some believe the ads to be interruptive, intrusive and repetitious.

205 199 TV Advertising What Consumers Don t Like About It ISSUE Too Many COMMENTS Too many after the movie Too many and repetitive Too many annoying ads Just far too many % 20 Too Loud Louder than the program Too loud and too long Loud and intrusive Noisy and tasteless 20 Too Long Too long and too frequent Should be a time limit Too lengthy and boring Too long and intrusive 18 Always at the wrong time in show Time wasting and intrusive Percentage Intrusive of Consumers Purchase as a Result of Receiving Media 17 Hate ads during footy Gets on my nerves Other Should not use sex to sell Bad influence on children Treat you like an idiot Brain washing 14 Repetitious Too much repetition during break Repetitive and boring Stupid and repetitive Same ads all the time 6 Nothing Sometimes better than the program Don t mind the ads Gives me a break Fills in the night 5 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

206 200 Marketing Media in Australia Does TV Advertising Influence the Buying Decision 41% of Consumers say watching TV Advertising does influence their buying decisions. This figure is similar to the 50% of Consumers who say they purchase as a result of watching TV Advertising as detailed later in this document.

207 201 TV Advertising Does TV Advertising Influence the Buying Decision 70% 60% 58% 50% 40% 41% 30% 20% 10% 0% 1% No Yes Unsure YES It s hard not be influenced by TV commercials I saw the car and knew I had to check it out I must see hundreds of ads a month NO I switch off the remote when the ads come on I never watch the ads I ignore the ads UNSURE It may influence me, I m not sure You think they would but I don t know I am open to many influences Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

208 202 Marketing Media in Australia What Percentage Consumers Purchase as a Result of TV Advertising 52% of female and 48% of male Consumers say they purchase as a result of TV Advertising.

209 203 TV Advertising What Percentage of Consumers Purchase as a Result of It 52% 52% 51% 50% 49% 48% 48% 47% 46% Female Male Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

210 204 Marketing Media in Australia

211 Radio Advertising 205

212 206 Marketing Media in Australia

213 207 Radio Advertising An Overview Consumers 72% of Consumers either enjoy or are indifferent to Radio Advertising 50% of Consumers can nominate an element of Radio Advertising that they like 74% of Consumers can nominate an element of Radio Advertising that they don t like 18% of Consumers say that Radio Advertising does influence their purchasing decision 14% of Consumers say that they purchase as a result of Radio Advertising

214 208 Marketing Media in Australia

215 209 Radio Advertising - What Consumers Think Contents Do Consumers Enjoy Radio Advertising What Consumers Like About Radio Advertising What Consumers Don t Like About Radio Advertising Does Radio Advertising Influence the Buying Decision How Many Consumers Purchase As a Result of Radio Advertising

216 210 Marketing Media in Australia Do Consumers Enjoy Radio Advertising 72% of Consumers either enjoy or are indifferent to Radio Advertising. There appears to be little difference in the attitude of males and females in regard to enjoying Radio Advertising. Graphs showing breakdowns by age and household income have not been produced due to the small sample of 47 Consumers who enjoy Radio Advertising.

217 211 Radio Advertising Do Consumers Enjoy It 80% 70% 68% 60% 50% 40% 30% 28% 20% 10% 0% Indifferent No Yes 4% By Sex 80% 70% 67% 66% 60% 50% 40% 30% 29% 29% Female Male 20% 10% 4% 4% 0% Indifferent No Yes Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

218 212 Marketing Media in Australia What Consumers Like About Radio Advertising 50% of Consumers can nominate an element of Radio Advertising that they like. The main reasons that those Consumers like Radio Advertising are the fact that Radio Advertising is seen to be less intrusive than TV Advertising, Radio Advertising is seen to be informative and humorous and Consumers can tune out if they wish.

219 213 Radio Advertising What Consumers Like About Receiving It APPEAL Nothing COMMENTS Can t think of anything They re all the same Nothing at all What s to like % 50 Other Good to listen in the car Quick and to the point Like the jingles Variety 39 Less Intrusive Than TV Advertising Not as invasive as TV Advertising Not as in your face Not as noticeable Less interfering 4 Percentage of Consumers Purchase as a Result of Receiving Media 3 Informative Find out about the sales New product information Exposure to information Specials and sales Can Tune Out Don t have to pay attention Can ignore it - block it out Easier to ignore Can flick it off 2 Humour Like humorous radio ads Humorous information Humorous and catchy Like Wendy Harmer 2 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

220 214 Marketing Media in Australia What Consumers Don t Like About Radio Advertising 74% of Consumers can nominate an element of Radio Advertising that they don t like. The main reasons that those Consumers dislike Radio Advertising are that they are perceived to interrupt the program (especially music programs), there are too many ads, the ads are repetitious and the fact that products being advertised on Radio cannot be seen.

221 215 Radio Advertising What Consumers Don t Like About It DISLIKE Other COMMENTS I turn off when the ads come on Try not to listen to them Hard to switch off Boring ads % 40 Nothing It s just part of listening to the radio Radio ads are sometimes funny Again it pays for free radio I don t mind radio ads 26 Interruptive I only want to listen to the music Interrupts the program Stops the music Intrusive 17 Excessive number of radio ads Takes up too much time Percentage Too Many of Consumers Purchase as a Result of Receiving Media 9 Too many and too intrusive Far too many ads Repetitive Same old ads all the time Repetitive and boring Number of repeat ads Sick of repetition 5 Indifferent Don t listen to radio ads Try not to listen to ads No opinion Don t care 2 Can t See Product Can t see what s being offered Can t see products advertised Can hear but not see No touch no feel 1 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

222 216 Marketing Media in Australia Does Radio Advertising Influence the Buying Decision 18% of Consumers say that Radio Advertising influences their purchasing decisions. This figure is similar to the 14% of Consumers who say they purchase as a result of Radio Advertising as detailed later in this document.

223 217 Radio Advertising Does It Influence the Buying Decision 90% 80% 81% 70% 60% 50% 40% 30% 20% 10% 0% 18% 1% No Yes Unsure YES I listen to radio all day at work They ve got me captured driving around all day I enjoy radio ads and I am definitely influenced by them NO I tune out to radio ads I only listen to non-commercial radio I try not to be influenced by ads UNSURE I don t think so but I could be I don t know Who knows Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

224 218 Marketing Media in Australia What Percentage Consumers Purchase as a Result of Radio Advertising 15% of female and 12% of male Consumers say they purchase as a result of Radio Advertising.

225 219 Radio Advertising What Percentage of Consumers Purchase as a Result of It 100% 90% 80% 87% 82% 70% 60% 50% 40% Female Male 30% 20% 10% 0% 15% 12% 3% 1% No Yes Unsure Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

226 220 Marketing Media in Australia

227 Newspaper and Magazine Advertising 221

228 222 Marketing Media in Australia

229 223 Newspaper and Magazine Advertising - An Overview Consumers 57% of Consumers enjoy or are indifferent to Newspaper and Magazine Advertising 81% of Consumers can nominate an element of Newspaper and Magazine Advertising that they like 48% of Consumers can nominate an element of Newspaper and Magazine Advertising that they don t like 61% of Consumers say that Newspaper and Magazine Advertising influence their purchasing decisions 55% of Consumers say that they purchase as a result of Newspaper and Magazine Advertising

230 224 Marketing Media in Australia

231 225 Newspaper and Magazine Advertising - What Consumers Think Contents Do Consumers Enjoy Newspaper and Magazine Advertising What Consumers Like About Newspaper and Magazine Advertising What Consumers Don t Like About Newspaper and Magazine Advertising Does Newspaper and Magazine Advertising Influence the Buying Decision What Percentage Purchase as a Result of Newspaper and Magazine Advertising

232 226 Marketing Media in Australia Do Consumers Enjoy Newspaper and Magazine Advertising 57% of Consumers enjoy or are indifferent to Newspaper and Magazine Advertising. Once again, there is little difference in the attitudes of male and female Consumers in regard to enjoying Newspaper and Magazine Advertising. The age group most enjoys Newspaper and Magazine Advertising. The $75-99K income bracket most enjoys Newspaper and Magazine Advertising.

233 227 Newspaper and Magazine Advertising Do Consumers Enjoy It 60% 55% 50% 42% 40% 30% 20% 10% 0% Yes No Indifferent 2% By Sex 60% 55% 56% 50% 42% 43% 40% 30% 20% Female Male 10% 3% 2% 0% Yes No Indifferent Yes - By Age 70% 60% 50% 57% 64% 57% 54% 57% 44% 40% 30% 20% 10% 0% Yes - By Household Income 80% 70% 60% 50% 47% 52% 60% 54% 62% 72% 65% 40% 30% 20% 10% 0% <$20K $20-29K $30-39K $40-49K $50-74K $75-99K $100K+ Base: Graphs 1 & 2 = Sample = 1,100. Graphs 3 & 4 Sample = 604. Source: ResponseAbility Consumer Research 2001.

234 228 Marketing Media in Australia What Consumers Like About Newspaper and Magazine Advertising 81% of Consumers can nominate an element of Newspaper and Magazine Advertising that they like. The main reasons that those Consumers like Newspaper and Magazine Advertising are that it is seen to provide useful information, it can be either read or ignored and the fact that it can be viewed at a time of the Consumer s choosing.

235 229 Newspaper and Magazine Advertising What Consumers Like About It APPEAL Other COMMENTS Well presented Less intrusive Indifferent Variety % 37 Nothing Try to ignore them Absolutely nothing Don t read ads Hate them 19 Information Exposure to new products and services A lot of information about products Awareness of new products Gives all the information 18 Choice Choose to read it or not Can skip over or read Don t have to read it Easy to ignore 11 Timing Can read it later and not in your face Can cut it out and read it Can read it at my leisure Can take it with you 10 Visuals Good usage of colour Colourful pictures Colourful ads Colourful 3 Convenience Compares prices and quality Can shop from home Can read in detail Can skim easily 2 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

236 230 Marketing Media in Australia What Consumers Don t Like About Newspaper and Magazine Advertising 48% of Consumers can nominate an element of Newspaper and Magazine Advertising that they don t like. The main reasons that those Consumers dislike Newspaper and Magazine advertising are that they believe there are too many ads and they take up too much space, especially in Magazines. Some believe the ads are repetitive and/or misleading.

237 231 Newspaper and Magazine Advertising What Consumers Don t Like About It APPEAL Nothing COMMENTS There s nothing I don t like about them I don t have to read them They re easy to ignore Can t say % 52 Other Too many boring ads Ads without pictures Don t like large ads Sexist media 20 Too Many Magazines are ads with a bit of news thrown in More ads than there is news Just too many of them They re on every page 18 Takes up all the good reading space More and more space going to ads Percentage Spaceof Consumers Purchase as a Result of Receiving Media 6 Dominates magazine space Takes up most of magazine Repetitive It s always cars at the front and perfume at back It s always the same advertisers They re the same each week Repetitive and misleading 2 Misleading They don t tell the full story Misleading and ambiguous Beware the fine print Unrealistic promises 2 Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

238 232 Marketing Media in Australia Does Newspaper and Magazine Advertising Influence the Buying Decision 61% of Consumers say Newspaper and Magazine Advertising does influence their buying decisions. This figure is similar to the 55% of Consumers who say they purchase as a result of Newspaper and Magazine Advertising as detailed later in this document.

239 233 Newspaper and Magazine Advertising Does It Influence the Buying Decision 70% 60% 61% 50% 40% 38% 30% 20% 10% 0% 1% Yes No Unsure YES I bought a coffee maker recently that I saw in a magazine The ads are the best bits of newspapers and magazines I buy them mainly to study the different ads for cars NO The Sunday magazines are all the same I buy the papers to read the news Don t look at the ads UNSURE I read the papers every day so I may be influenced by the ads I don t think I take that much attention to the ads Maybe they do maybe they don t Base: Sample = 1,100. Source: ResponseAbility Consumer Research 2001.

240 234 Marketing Media in Australia What Percentage of Consumers Purchase as a Result of Newspaper and Magazine Advertising 55% of Consumers say they purchase as a result of Newspaper and Magazine Advertising.

241 235 Newspaper and Magazine Advertising What Percentage of Consumers Purchase as a Result of It 60% 56% 55% 55% 50% Female Male Base: Sample = 594. Source: ResponseAbility Consumer Research 2001.

242 236 Marketing Media in Australia

243 237 Survey Details The results and findings of this report are the outcome of research conducted using a combination of focus groups, face-to-face interviews and quantitative telephone interviews. The details of this research are provided below. Focus Group Research The focus groups included five consumer groups made up of males and females, aged 18-70, with a mix of both white and blue collar and full time and part time workers. The five business focus groups involved small to medium sized business owners/managers, large business managers and personal assistants. There were eight people in each group. Face-to-Face Interviews A total of 50 in-depth face-to-face interviews were conducted in two Australian capital cities and two regional areas. The outcomes of both the focus group research (see above) and the face-to-face interviews were used to determine the questionnaires for the quantitative telephone research. Quantitative Telephone Interviews The telephone research examined the attitudes of Consumers, Business Senders, Business Receivers, and Gatekeepers and Personal Assistants to various media. The 1,100 Consumer surveys completed were conducted in the following areas and in the following numbers around Australia: New South Wales 200 Victoria 200 Queensland 200 South Australia 100 Western Australia 100 Tasmania 100 Northern Territory 100 ACT 100 Total 1,100 The Business surveys were conducted with the following people and in the following numbers: Title Sydney Melbourne Geelong Total Managing Director General Manager Operations Manager IT Managers Purchasing Managers Owner/Manager Marketing Managers Other Title Personal Assistants Receptionists Total

244 Marketing Media in Australia Volume 1 A ResponseAbility Report Sponsored by Australia Post resp@c031.aone.net.au reponseability.com.au 1906