I will attempt to refrain from commenting on the socio-economic state of the world and just give the facts, and nothing but the facts, according to a report by the IAB and Ipsos Mendelsohn anyway. One of their latest research reports states that some 41% of affluent people who saw video ads then took an action after seeing said ad. That's a pretty robust number.
The study, Affluent Consumers in the Digital World, peeked into the habits of the wealthiest American consumers, those in homes with at least $100,000 annual incomes.
Methodology of Affluents
- Conducted online February 22-28, 2011
- National sample of online adults 18+
- Weighted / balanced to U.S. Census data
- 2,088 respondents interviewed in total
- 1,063 with HHI <$100K
- 1,025 with HHI $100K+
Content of the Survey
- Frequency of seeing digital ads (by type)
- Actions taken based on digital ad exposure
- Perceived relevance and trustworthiness of message from digital advertising
- Focus vs. multi-tasking during media activities
- Attitudes toward advertising, privacy, etc.
The IAB commissioned research, done by Ipsos Mendelsohn, which has been surveying the affluent market since 1977, found that 98 percent of affluent consumers use the Internet, as compared with 79 percent of the general population. They spend 26.2 hours online weekly, 17.6 hours watching TV and 7.5 hours listening to the radio. The general population, on the other hand, spends about twice as much time weekly with TV and radio—34 hours and 16 hours, respectively—and just 21.7 hours on the Internet.
21% of US Households are affluent and have 70% of the consumer wealth while spending 3.2x more than other Americans (that would be a 79% that are not affluent). They are 2x more likely to buy, again not surprising, they've got the disposable income to do it currently while many others, don't.
Basically, affluents are more hip to what's new and exciting. Not surprising really, since they can afford all of that. The only real exclusions to those rules are probably people like myself who are techno-geeks and write on the topic. I know about all sorts of awesomely cool gear that I am nowhere near affluent enough to have, but would love.
A big 59 percent of affluent consumers reported taking action based on a digital ad during the preceding six months.That's pretty close to non-affluent consumers actually
A Glimpse into Affluence
The Affluent topped all the charts including Internet usage (98% over 79% General Populace), avg hrs/week online (26.2 vs 21.7), wireless phone owners (92% vs. 81%), smartphone (33% vs. 17%) and were far below average on TV hrs/week (17.6 vs 34) and radio (7.5 vs. 16).
In regards to digital ad viewing, Affluent consumers were 3% higher than sub $100K/year households and the total population. So apparently, the online video ad industry is hitting them more?
They also report seeing more video ads per week (2.8 vs. 2.6) than non-affluent and total population averages.
Video Ads Are The Most Effective Type With Affluents
Those video ads affected them 41% of the time which was only matched by search ads and sponsored listing. Web/banner ads and email ads came in at 37%, social media at 28% and mobile ads were the bottom at 17%.
Another interesting thing that came out of the research is that they prefer ad-supported free content over premium, subscription-based content. 57% of Affluents topped the 53% of the general populace and 51% of non-affluents who answered yes to:
I would prefer to see ad-supported online content that is free, rather than paying for content that is ad-free.
Those are some tasty little tidbits of information right there. Affluents are more interested in ad-supported free content over subscription models. Everyone seems to be trying to tighten their belts and get more out of the ad-supported format, even those who have more to spend it seems.
Perhaps that tells you something?
There's all sorts of other useful insights in the Affluent Consumers in the Digital World report as well.