Batteries - US - January 2007

Table of Contents

• Scopes and Themes
• What you need to know
• Definition
• Abbreviations and terms
• Abbreviations
• Terms
• Executive Summary
• Highlights
• High-tech devices drive factory sales
• Presence of children increases battery consumption
• Rechargeables gaining ground
• Brand equity and innovation thwart commoditization
• Consumers thirsty for information
• Mass merchandisers lead retail, but club stores are gaining
• Campaign strategies
• Looking forward...
• Market Drivers
• Booming sales of high-tech devices drive factory sales and rechargeables
  • Figure 1: Growth of digital camera unit volume and factory sales of primary batteries, 1997-2006
  • Figure 2: Factory volume sales of digital still cameras and MP3 players, 1999-2006
• Competition from OEM internal rechargeables negatively impacting market
  • Figure 3: Battery use with specific devices, November 2006
• Children in the household increase battery usage
  • Figure 4: Battery use with specific devices, by presence of children in the household, November 2006
• Aging population drive specialty sales with hearing aids
  • Figure 5: Growth of the U.S. population, by age, 2001-11
• Preparing for hurricane and storm season
• Market Size and Trends
• Factory sales of batteries
  • Figure 6: Total U.S. factory sales (wholesale) of batteries, at current and constant prices, 2001-06
• Product innovation and consumer confusion
• Product advances
• Consumer confusion
• Market Segmentation
• Introduction
• Value sales
  • Figure 7: Total U.S. FDM sales* of batteries, segmented by type, 2004 & 2006
• Volume sales
  • Figure 8: Total U.S. FDM sales* of batteries, segmented by type, 2004 & 2006
• Supply Structure
• Foreign trade
  • Figure 9: U.S. trade surplus of primary batteries, 2001-05 & 2006 YTD
  • Figure 10: U.S. domestic exports of primary batteries, by destination country, 2003-05 & 2006 YTD
• Figure 11: U.S. imports for consumption of primary batteries, by country of origin, 2003-05 & 2006 YTD
• Company and brand sales
  • Figure 12: Manufacturer FDM sales* of batteries in the U.S., 2004 & 2006
  • Figure 13: Manufacturer brand FDM sales* of batteries in the U.S., 2004 & 2006
  • Figure 14: Manufacturer shares of FDM sales* of batteries, 2001-06
• Major manufacturer profiles
• Procter & Gamble (Duracell)
• Energizer Holdings
• Spectrum Brands
• Panasonic (Matsushita Battery Industrial Company)
• Jasco
• Advertising and Promotion
• Introduction
• Campaign strategies
• Duracell
  • Figure 15: Duracell in the South Pole
• Energizer
  • Figure 16: Energizer--Ron Williams
  • Figure 17: Energizer--battery powers spaceship
• Rayovac
• Panasonic
  • Figure 18: Panasonic Oxyride -- animated
• Retail Distribution
• Introduction
  • Figure 19: Graph: Indexed wholesale and FDM retail sales* of primary batteries, 2001-06
  • Figure 20: U.S. Retail sales of batteries, by channel, 2005 & 2006
  • Figure 21: U.S. FDM retail sales* of batteries, by channel, 2004 & 2006
  • Figure 22: Index of U.S. FDM retail sales* of batteries, by channel, 2001-06
  • Figure 23: Product sales mix of FDM channels, by battery type, 2006*
• Drug stores
  • Figure 24: U.S. drug store sales of batteries, at current and constant prices, 2001-06
• Supermarkets
  • Figure 25: U.S. supermarket sales of batteries, at current and constant prices, 2001-06
• Mass merchandisers
  • Figure 26: U.S. mass merchandiser sales* of batteries, at current and constant prices, 2001-06
• The Consumer
• Introduction
• Summary
• Presence of children, age, and gender determine battery buying habits
• Consumers want to know more
• Brands make a difference
• Nearly half of those who try rechargeables see value in them
• CD player and digital cameras consume the most batteries
• Mass merchandisers most important distribution channel
• Battery purchase
  • Figure 27: Battery purchase, incidence, frequency and type, by gender, May 2005-June 2006
  • Figure 28: Battery purchase, incidence, frequency and type, by age, May 2005-June 2006
  • Figure 29: Battery purchase, incidence, frequency and type, by household income, May 2005-June 2006
  • Figure 30: Battery purchase, incidence, frequency and type, by presence of children in the household, May 2005-June 2006
  • Figure 31: Battery purchase, incidence, frequency and type, by cohort, May 2005-June 2006
• Longest lasting battery types
  • Figure 32: Longest lasting battery types, by gender, November 2006
  • Figure 33: Longest lasting battery types, by age, November 2006
  • Figure 34: Longest lasting battery types, by household income, November 2006
• Best value battery types
  • Figure 35: Best value battery types, by gender, November 2006
  • Figure 36: Best value battery types, by age, November 2006
  • Figure 37: Best value battery types, by household income, November 2006
• Attitudes toward batteries
  • Figure 38: Attitudes toward batteries, by age, November 2006
  • Figure 39: Attitudes toward batteries, by presence of children in the household, November 2006
• Battery use with specific devices
  • Figure 40: Ownership of standard batteries with specific devices, by gender, January 2006-October 2006
  • Figure 41: Standard replaceable battery use with specific devices, by age, November 2006
  • Figure 42: Standard replaceable battery use with specific devices, by household income, November 2006
  • Figure 43: Standard replaceable battery use with specific devices, by presence of children in the household, November 2006
• Attitudes toward battery branding
  • Figure 44: Attitudes toward battery brands, by age, November 2006
  • Figure 45: Attitudes toward battery brands, by household income, November 2006
  • Figure 46: Attitudes toward battery brands, by presence of children in the household, November 2006
• Most purchased brands
  • Figure 47: Most purchased brands, by age, May 2005-June 2006
  • Figure 48: Most purchased brands, by household income, May 2005-June 2006
• Highest quality brand
  • Figure 49: Highest quality brand, by age, November 2006
• Where batteries are bought
  • Figure 50: Where batteries are bought, by gender, November 2006
  • Figure 51: Where batteries are bought, by household income, November 2006
  • Figure 52: Where batteries are bought, by presence of children in the household, November 2006
• Attitudes toward rechargeable batteries
  • Figure 53: Attitudes toward rechargeable batteries, by age, November 2006
  • Figure 54: Attitudes toward rechargeable batteries, by household income, November 2006
• Frequency of use for rechargeable batteries
  • Figure 55: Frequency of rechargeable battery use, by gender, November 2006
  • Figure 56: Frequency of rechargeable battery use, by age, November 2006
• Reasons rechargeable batteries are not purchased
  • Figure 57: Reasons rechargeable batteries are not purchased, by age, November 2006
  • Figure 58: Reasons rechargeable batteries are not purchased, by household income, November 2006
• Race/ethnicity
  • Figure 59: Battery purchase, by race/ethnicity, May 2005-June 2006
  • Figure 60: Longest lasting battery types, by race/ethnicity, November 2006
  • Figure 61: Best value battery types, by race/ethnicity, November 2006
  • Figure 62: Standard replaceable battery use with specific devices, by race/ethnicity, November 2006
  • Figure 63: Battery use with specific devices, by race/ethnicity, November 2006
  • Figure 64: Most purchased brands, by race/ethnicity, May 2005-June 2006
  • Figure 65: Highest quality brand, by race/ethnicity, November 2006
  • Figure 66: Where batteries are bought, by race/ethnicity, November 2006
  • Figure 67: Attitudes toward rechargeable batteries, by race/ethnicity, November 2006
  • Figure 68: Frequency of rechargeable battery use, by race/ethnicity, November 2006
• Future and Forecast
• Future Trends
• Innovations lead to more powerful batteries
• CE products to favor internal, rechargeable batteries
• Primary batteries to power internal product-specific secondary batteries
• Branding to be driven by partnerships with CE hardware manufacturers
• Rechargeable sales may grow as prices stabilize
• Internal batteries help consumers become accustomed to recharging
• POS materials to help grow rechargeables and premium batteries
• Continued change in distribution patterns
• Older population to need more hearing aids
• Market forecast
• Batteries
  • Figure 69: Forecast of total U.S. factory sales of batteries, at current and constant prices, 2006-11
• Forecast factors
• Appendix: Trade Associations
• Appendix: Simmons NCS cohorts
  • Figure 70: Married couples cohorts
  • Figure 71: Single women cohorts
  • Figure 72: Single men cohorts