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New Blog Research Shows Widespread Impact of Chinese Product Recalls
Publish Date : 11/29/2007 6:21:00 AM Source : South Asia News OnlyPunjab.com
Is the "Made in China" label prompting consumers to run the other way? How has the recent wave of Chinese-made product recalls impacted consumer confidence in American-made products? Most importantly, what strategies can U.S. companies develop to address these growing concerns?
Umbria Inc., a market intelligence company that specializes in blog research and consumer generated media (CGM) for market insight, is releasing new blogosphere research showing that the recent recalls of Chinese-manufactured products like Mattel toys, pet food, baby bibs and tires is sparking immense consumer concern that could prove detrimental for consumer packaged goods companies worldwide.
By analyzing blog posts, Umbria discovered that negative sentiment for American-made products actually increased as Chinese product defects were announced. This negative spill-over was also seen with products made from other foreign countries, pointing to a considerable mistrust of all products, regardless of origin.
"It was startling to find such a high number of bloggers shifting their distrust of Chinese-made products to also encompass those made domestically," said Carter Truong, Manager of Consumer Insight and Strategy at Umbria. "However, we also learned that brands willing to own up to their mistakes and that demonstrate concern for their customers' well being are least likely to take a hit at the cash register."
Other compelling insights culled from Umbria's product recall research include:
- Blogosphere conversations about where products are manufactured jumped from 241 a week before the pet food recall to 865 a week after the Mattel toy recall
- More males than females (63% vs. 37%) blog about the origins of products, and males tend to form quality judgments based on where products were made
- An increased distrust of American products is partly due to an awareness that even products made domestically contain foreign-based ingredients and parts
- Consumer packaged goods that related to ingestion (e.g. toy parts) caused greater concern than other types of products (e.g. tires)
- Gen Y (ages 16-28) blog most about where products originated, with a primary focus on social issues like working conditions
- Gen X (ages 29-42) tended to discuss the origin of a product supplemental to other topics, such as the economy
- Baby Boomers (ages 43-62) also focused on larger macro issues; however, unlike with Gen X, the origin of the product drove the discussion, while the macro issues played more of a supporting role
- All consumer groups hold the government most accountable for the quality of imported goods, with manufacturers ranking second on the list
- The top three industries referenced in these blogosphere conversations were toys, food & beverage and apparel
Umbria harvested even deeper insights by analyzing the psychographics of four clustered consumer segments -- un-phased consumers, passive consumers, proactive consumers and ethnocentric consumers. They discovered that un-phased consumers do not plan to change their shopping habits, passive consumers place accountability on the government and retailers, proactive consumers are checking labels before buying, and ethnocentric consumers are proud of American brands and target certain industries and brands.
"By clustering bloggers into specific groups based on their attitudes and behaviors as part of our research process, we can help companies know which segments to target with their marketing efforts and the distinct hot buttons of each," said Truong.
Umbria's product recall research is based on data collected from more than 30 million blogs from March 1 - Aug. 26, 2007. Umbria's Recalls Study can be downloaded at http://www.umbrialistens.com/industries/cpg.php
About Umbria Inc. Umbria is unique in its ability to assess both what is being said, and who is doing the speaking in the online world. Umbria's patent-pending technology enables the company to classify posts and estimate gender and age of the speaker, as well as rapidly identify and eliminate bogus spam posts. Umbria analyzes voices of the online community by using proprietary Natural Language Processing and machine learning algorithms to dissect the who, what and why of online opinion, offering in-depth insights for some of the world's leading brands. For more information on Umbria, please visit www.umbrialistens.com. |
Myanmar offers to build temple for 'tsunami idol'
Publish Date : 2/25/2005 10:12:00 AM
The Myanmar government has offered to help the people of a village in Tamil Nadu build a temple to a deity that came floating on the tsunami waves on Dec 26.
Royal coup gives 16 firms reprieve from Maoists
Publish Date : 2/25/2005 10:11:00 AM
Though widely condemned by the international community, the royal coup in Nepal has given 16 leading business houses - including some India-Nepal joint ventures ....
Manmohan, Karzai hold talks
Publish Date : 2/25/2005 10:05:00 AM
Prime Minister Manmohan Singh and Afghan President Hamid Karzai held talks here Thursday on India's continued assistance to Kabul for its reconstruction programme ....
Bangladesh government made to 'eat own words'
Publish Date : 2/25/2005 10:03:00 AM
By banning two Islamic fundamentalist, militant outfits, the government has finally "eaten its own words", a leading Bangladesh daily said Thursday.
China bans imports after Britain food dye scare
Publish Date : 2/25/2005 9:59:00 AM
China has banned imports of foodstuff containing Sudan I, a potential cancer causing dye that has contaminated hundreds of food items in Britain, and is screening....
Nepal's 'Ranvir Sena' takes on Maoists
Publish Date : 2/25/2005 9:55:00 AM
A Hindi-speaking Nepalese from the Terai plains is said to be taking on Maoist guerrillas with his private militia reminiscent of the Ranvir Sena in the Indian state of Bihar.
As Mathura celebrates, Agra is thirsty
Publish Date : 2/25/2005 9:48:00 AM
A 1,200-foot-long sari, vedic chants and offerings of milk and honey into the Yamuna marked a festival in nearby Mathura even as the Taj Mahal city of Agra was seething ....
Is EU preparing to do business with Nepal Maoists?
Publish Date : 2/25/2005 9:48:00 AM
As the first month of emergency rule in Nepal, imposed by King Gyanendra after sacking the government led by Prime Minister Sher Bahadur Deuba on Feb 1, draws to a close....
UN envoy offers mediation in Nepal again
Publish Date : 2/25/2005 9:44:00 AM
A senior UN official has once again offered mediation by the global body between the new Nepalese government and Maoist insurgents, saying both parties could listen....
4,000-year-old giant panda bone found
Publish Date : 2/25/2005 9:19:00 AM
A skeleton unearthed from a 4,000-year-old tomb in central China belongs to a giant panda, Xinhua reported.
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