HomeTrend Forecast
Important Trends, Relevant news, Useful Tools and Interesting Facts
about the World of Housewares and Home Goods Marketing
From A.J. Riedel, Sr. Partner, Riedel Marketing Group

The Pareto Principle in Action

The Pareto principle (also known as the 80-20 rule) states that, for many events, 80% of the effects come from 20% of the causes.

A recent study by Parks Associates, a market research and consulting firm that specializes in product and service segments that are "digital" or provide connectivity within the home, proves that the Pareto principle applies to consumer electronic (CE) buying patterns. The survey found that roughly 25% of broadband households accounted for 80% of all expenditures on CE products made by broadband households. The study also found that this “Super Buyer” segment isn’t much different from the average broadband household demographically but is very different in attitude.

The Pareto principle applies to every product category. Every product category has a “Super Buyer” segment. What’s more, most product categories are much like consumer electronics: this Super Buyer who spends so much money is not much different from the rest of the population in terms of demographic characteristics. But they are very different in their attitudes.

Do you know who the Super Buyer is for your products? Do you know what distinguishes her from the rest of the people who buy your products? Do you know how to reach her and what to say to her? I can help you get the answers to these questions. Call me at (602)840-4948 or e-mail me.

What Do Consumers Think of the New “Green” Housewares Products?

The environmental or ‘green’ movement is the ‘hot’ topic in newspapers and magazines this year. It was also the ‘hot’ topic of the 2008 International Home + Housewares Show. More than half of the educational seminars presented at the show – including my panel presentation with four members of my HomeTrend Influentials Panel -- were on the topic of the green movement and sustainability.