The Industry And The Consumer

RESEARCHBRIEF

FROM THE CENTER FOR MEDIA RESEARCH

Thursday, July 9, 2009

 C-Suite is seizing on the current crisis as an opportunity to reassess their values and choices, says the report, as Main Street is alienated and enraged, blaming corporate executives and themselves for failures and mistakes. While C-Suite respondents look inward for control over their destinies, many on Main Street place equal responsibility in God or government.

But as polarized as the feelings and needs of these two groups are, there are also some surprising commonalities in their hopes, values, and beliefs, finds the study. Both groups crave free time and cherish loved ones. Both see themselves as "managers" or "executives"-of their own lives and households, if not of corporations.

Despite Main Street's feelings of anger at the greed, incompetence, luck, and/or connections of C-Suite, both groups share a belief that:

• Hard work makes it possible for anyone to get ahead
• In the pervasive language of 12-step programs, it's important to take life one day at a time, to change the things one can and accept the things one can't
• One should aspire to live by the "golden rule"

C-Suite and Main St. have many beliefs and values in common when it comes to optimism and sense of personal efficacy. Both groups think that:

• Each individual controls his/her our own destiny
• The quality of their lives is better than those of their parents
• Retirement at age 62 will probably not be viable
• There is an unfair income gap in America

But there are some differences in their views of society and how to get ahead. Both groups believe in the importance of hard work and dismiss looks or family status as major factors in success. But C-Suite is less likely to acknowledge the importance of social connections (who you know), and Main Street places more value in one's ability to improve their status (pursuing additional education).

Religious faith plays a markedly more dominant role in guiding the lives of Main Street respondents; among this group faith in general is the centerpiece of personal mottos and pep-talks, as is frugality.

In contrast, C-Suite respondents spoke more in terms of "simplifying." This echoes the theme that in the current climate, Main Street is quite focused on the positive struggle to acquire and maintain the basics of survival, while C-Suite is experiencing the economic crisis more as a catalyst to reign in some excess or pampering.

84% of C-Suite respondents define a family of four as being "well-off" with an income of $100K-$300K, 80% have "lost money through investments," 70% of respondents say they are cutting back on treats and indulgences, 23% have sold personal possessions in the past six months (appliances and furniture), 11% report no vacation plans.

C-Suite executives are more likely to have: 

• Vacations
• parties
• big purchases
• new homes
• home renovations

45% of Main Street respondents report having "lost money through investments," 41% of respondents said they have "nothing" in common with CEOs, 39% have sold personal possessions in the past six months (e.g., books and clothes), 35% define a family of four as being "well-off" with an income of less than 100k, 26% say they are eating less fresh food and meat, 25% report no vacation plans.

Main street consumers are more likely to have: 

• Job change or loss
• 2nd jobs 
• health problems
• late payments

From the perspective of ability to impact a commonality, the report suggests that business should recognize customers' needs, and speak to their aspirations, since it's in that domain of hope that C-Suite and Main Street have the most in common, in which authentic communication can occur.  

For more information visit www.mediapost.com