Study: 'Business Elite' Have Appetites for Consumption

Execs who earn $400,000-plus pay close attention to advertising, media

May 12, 2008

-By Kenneth Hein, Brandweek


NEW YORK A-list American business executives are extremely receptive to media and advertising, according to the "U.S. Business Elite Study" conducted by Ipsos MediaCT here.

Fifty-five percent of top execs are willing to buy a product based on an Internet ad. TV ads are also influential, as more than 43 percent of the 2,390 respondents said they had made a purchase based on a TV spot. Magazines (about 42 percent), newspapers (37 percent) and radio (18 percent) followed.

These findings are eye-opening considering the "huge dollar volumes" involved in these decisions, said Hugh White, vp of Ipsos MediaCT. "They are making decisions for their companies. At home they are buying what we expect: high-end cars, expensive vacations, LCD TVs."

The "Business Elite" are defined as executives with 250-plus employees. The average respondent was 52, with a salary of $400,000 and a net worth of $1.7 million. They were interviewed online and through the mail between February and July of last year.

This highly desirable audience is still into old media. Eighty-eight percent read the most recent issue of a print publication, 70 percent watched a network TV channel the previous day, and 59 percent watched cable.

They are consuming digital media in greater quantities as well. During the prior month, 70 percent received a daily e-mail alert/newsletter, 49 percent watched a broadband video, 31 percent read a blog, and 23 percent downloaded a podcast.

"Informed intelligence is what they trade in," said Milton Pedraza, president and CEO of The Luxury Institute, New York. "They need to know who is acquiring who and doing what in what part of the world. They have BlackBerrys, you name it; they are connected."

More than half visited a Web site because of an online ad, 47 percent did so because of a magazine ad, followed by 43 percent led there by TV.

"Decision makers who are targeted correctly will click through," said Pedraza. "Luxury firms should advertise online more."

The business elite aren't afraid to spend. Almost 43 percent take vacations costing more than $3,000 per person, and a quarter own vacation homes and jewelry in excess of $5,000. About 14 percent have a watch worth more than $3,000.

"They are drawn to high-quality and well-branded products and services, both for business and personal use," said White.


Study: 'Business Elite' Have Appetites for Consumption

Execs who earn $400,000-plus pay close attention to advertising, media

May 12, 2008

-By Kenneth Hein, Brandweek


NEW YORK A-list American business executives are extremely receptive to media and advertising, according to the "U.S. Business Elite Study" conducted by Ipsos MediaCT here.

Fifty-five percent of top execs are willing to buy a product based on an Internet ad. TV ads are also influential, as more than 43 percent of the 2,390 respondents said they had made a purchase based on a TV spot. Magazines (about 42 percent), newspapers (37 percent) and radio (18 percent) followed.

These findings are eye-opening considering the "huge dollar volumes" involved in these decisions, said Hugh White, vp of Ipsos MediaCT. "They are making decisions for their companies. At home they are buying what we expect: high-end cars, expensive vacations, LCD TVs."

The "Business Elite" are defined as executives with 250-plus employees. The average respondent was 52, with a salary of $400,000 and a net worth of $1.7 million. They were interviewed online and through the mail between February and July of last year.

This highly desirable audience is still into old media. Eighty-eight percent read the most recent issue of a print publication, 70 percent watched a network TV channel the previous day, and 59 percent watched cable.

They are consuming digital media in greater quantities as well. During the prior month, 70 percent received a daily e-mail alert/newsletter, 49 percent watched a broadband video, 31 percent read a blog, and 23 percent downloaded a podcast.

"Informed intelligence is what they trade in," said Milton Pedraza, president and CEO of The Luxury Institute, New York. "They need to know who is acquiring who and doing what in what part of the world. They have BlackBerrys, you name it; they are connected."

More than half visited a Web site because of an online ad, 47 percent did so because of a magazine ad, followed by 43 percent led there by TV.

"Decision makers who are targeted correctly will click through," said Pedraza. "Luxury firms should advertise online more."

The business elite aren't afraid to spend. Almost 43 percent take vacations costing more than $3,000 per person, and a quarter own vacation homes and jewelry in excess of $5,000. About 14 percent have a watch worth more than $3,000.

"They are drawn to high-quality and well-branded products and services, both for business and personal use," said White.
Post a Comment
Asterisk (*) is a required field.
* Author:
* Comment:
 

Other News From The Magazine

mm

Graf Makes Creative Changes

August 11, 2008

NEW YORK The creative leadership of two of Saatchi & Saatchi New York's key accounts -- JC Penney and General Mills -- has changed under chief creative officer Gerry Graf, who joined the Publicis Groupe shop six months ago.Read Full Article



Our ProductsOur Products

ADWEEK'S NIGHTLY NEWS

Receive a comprehensive roundup of the biggest stories of the day.

BREAKING NEWS ALERTS

Sign up to be the first to hear about the biggest breaking news stories.

SUBSCRIBE

Stay connected to what's happening in the advertising industry with delivery of the print edition and complete online access.


From print to online advertising trends, advertising professionals can read all about the latest advertising news at Adweek. Keep on top of the latest happenings in the advertising world, from online video advertising to the latest funny TV commercials. Check out our community and advertiser forums to discover and network with other advertiser and marketing professionals. Adweek provides advertisers with daily TV news and weekly ad industry editorials on a complete array of subjects. Use our advertising agency directory to find a career opportunity or to research an ad agency to fit your companies advertising and marketing needs. Explore Adweek everyday, or sign up for our Adverting Newsletter to get the latest ad industry news on demand!

Adweek Advertising Home | Advertising Industry News | Creative TV Advertising | Advertising Industry Community | Video Advertising | Advertising Data Center | Advertising Special Reports | Advertising Careers | Advertising Products | Advertising About Us | Advertising Business Statements | Advertising Contact Us | Advertising Opportunities | Ad Licensing | Advertiser FAQ | Advertising Magazine Subscriptions | Advertising News RSS | Online Ad Site Map | Mobile

© 2008 Nielsen Business Media, Inc. All rights reserved. Terms of Use  |   Privacy Policy