Baby Durables - US - March 2008

Table of Contents

• Scope and Themes
• Definition
• Data sources
• Consumer survey data
• Abbreviations and terms
• Executive Summary
• Stagnant sales due to flat birth rates and lack of pricing power
• Many market drivers--net slightly negative
• Primary drivers of consumer choice and ways to reduce price sensitivity
• Shopping patterns of mothers creates opportunities
• Retail channel analysis
• Drivers of brand success
• Elements of successful marketing initiatives
• Additional ways that moms decide what to buy for baby
• Incidence of ownership and how baby durable products are acquired
• Market Size
• Key points
• Sales and trends
  • Figure 1: Total U.S. retail sales and forecast of baby durables, at current prices, 2001-12
  • Figure 2: Total U.S. retail sales and forecast of baby durables, at inflation-adjusted prices, 2001-12
• Competitive Context
• Bed, bath, bassinettes and beyond
• The shadow market--a most deflationary effect
• Segment Performance--Overview
• Key points
• Baby furniture
• Daytime care products
• Baby mobility
• Safety/health and wellness
  • Figure 3: Total U.S. retail sales of baby durables, by segments, 2001-07
• Segment Performances
• Baby furniture
  • Figure 4: U.S. retail sales and forecast of baby furniture, 2001-12
  • Figure 5: Baby room furniture, units and dollars, by product type, 2007
  • Figure 6: U.S. retail sales and forecast of baby furniture, at inflation-adjusted prices, 2001-12
• Daytime care products
  • Figure 7: U.S. retail sales and forecast of baby daytime care products, 2001-12
  • Figure 8: Baby Mobility baby durables, units and dollars, by product type, 2007
  • Figure 9: U.S. retail sales and forecast of baby daytime care products, at inflation-adjusted prices, 2001-12
• Baby mobility
  • Figure 10: Total U.S. retail sales and forecast of baby mobility products, 2001-12
  • Figure 11: Baby Mobility baby durables, units and dollars, by product type, 2007
  • Figure 12: Total U.S. retail sales and forecast of baby mobility products, at inflation-adjusted prices, 2001-12
• Safety/health and wellness
  • Figure 13: Total U.S. retail sales and forecast of baby safety/health and wellness products, 2001-12
  • Figure 14: Safety/health and wellness baby durables, units and dollars, by product type, 2007
  • Figure 15: Total U.S. retail sales and forecast of baby safety/health and wellness products, at inflation-adjusted prices, 2001-12
• Retail Channels
• Key points
• Mass merchandisers and specialty stores dominate the baby durables market
  • Figure 16: Retail sales of top 20 baby durables retailers, 2005-06
• Babies "R" Us drives sales with value-added shopping experiences
• The informational and lifestyle retailers: Pottery Barn Kids and Ikea
• The role of the Internet: entice them with decision-making tools, create brand equity and draw them into the store
• Babystyle.com
• Rightstart.com
• Where mothers shop for baby durables
  • Figure 17: Retail channel use by moms with kids aged under 4, by income, February-March 2008
• Where gift givers shop for baby durables
  • Figure 18: Retail channel use by those giving baby durables as gifts, by income, February-March 2008
• Market Drivers
• Key market drivers
• Birth rates
  • Figure 19: Trended incidence of 0-3-year-olds in the U.S., by age, 2004-10
  • Figure 20: Annual increases in the number of children under one year of age, 2004-10
• Demographic trends and fertility rates
  • Figure 21: Population, by race and Hispanic origin, 2002-12
• Older mothers on the rise
  • Figure 22: United States birth rates, by age of mother, 1990-2005
  • Figure 23: U.S. birth rates, by age and race of mother, 2005
• Household incomes
  • Figure 24: Median income, by race, 1980-2006
  • Figure 25: Number of children under the age of 6, by household income, 2000 and 2005
• Number of first-borns
  • Figure 26: Number of first and subsequent births, by age of mother, 1998-2004
• Innovation
• Regulation
  • Figure 27: Baby durable product recalls, by brand, 2007
• Manufacturers and Brands
• Dorel
• Graco
• Evenflo
• Advertising and Promotion
• Overview
• Marketing efforts should heavily leverage the Internet
• Leverage baby registries
• Magazines are another important tool for new and expectant mothers
  • Figure 28: Select parenting publications, by type, 2007
• Retail should be both fun and informative
  • Figure 29: Frequency of use of in-store promotiomal materials, 2006
• Usage--What is Bought, Borrowed, and Gifted
• Key points
• Baby furniture
  • Figure 30: How mothers acquire baby room durables, by product type, February-March 2008
  • Figure 31: Incidence of furniture gift-giving among women, by product type, February-March 2008
• Safety/health and wellness
  • Figure 32: How mothers acquire baby safety/health and wellness durables, by product type, February-March 2008
  • Figure 33: How mothers acquire baby safety/health and wellness durables, by product type (continued), February-March 2008
  • Figure 34: Incidence of Safety/health and wellness products, by product type, February-March 2008
• Baby mobility
  • Figure 35: How mothers acquire baby mobility durables, by product type, February-March 2008
  • Figure 36: Incidence of baby mobility gift giving among women, by product type, February-March 2008
• Daytime care
  • Figure 37: How mothers acquire daytime care durables, by product type, February-March 2008
  • Figure 38: Incidence of daytimer care product giving among women, February-March 2008
• Product and Brand Choice Drivers--How Moms Decide What to Buy for Baby
• Key points
• Mothers as bargain hunters
  • Figure 39: Price sensitivity of mothers compared to the general population, January-September 2007
• Quality and benefit factors: How mothers weigh price and value
  • Figure 40: Product choice drivers among toddler mothers, 2006
  • Figure 41: Toddler furniture choice drivers, 2006
• Role of child preferences in purchase decisions
  • Figure 42: The role of children in decisions about what to buy, January-September 2007
• Parenting style: Child-centered is the current trend
  • Figure 43: Summary of trends in breastfeeding, by year, 1995-2004
• The sustainability trend
• Shopping Patterns--How Moms Shop for Baby Durables
• Key points
• Mothers of young children shop frequently
  • Figure 44: The frequency with which mothers with young children shop, January-September 2007
• Mothers are very discerning shoppers who enjoy the process
  • Figure 45: The tendency of mothers to enjoy shopping and shop for extended periods, January-September 2007
• Consumers tend to research products before purchasing
  • Figure 46: Shopping attitudes of female purchasers, by income, February-March 2008
  • Figure 47: Shopping attitudes of female purchasers, by age, February-March 2008
• Mothers tend to shop across channels in search of bargains
  • Figure 48: The tendency of mothers to shop across channels in search of bargains, January-September 2007
• Mothers often shop with their children and others
  • Figure 49: The tendency of mothers to shop with family and friends, January-September 2007
• Race and Ethnicity
• Key points
• Minority groups tend to enjoy shopping more than whites
  • Figure 50: Affinity to shopping, by race/ethnicity, January-September 2007
• White mothers tend to focus more on sales than Hispanics and blacks
  • Figure 51: Price sensitivity, by race/ethnicity, January-September 2007
• Black and Hispanic mothers are more likely to be influenced by their children when making purchase decisions
  • Figure 52: Attitudes towards chidlren, by race/ethnicity, January-September 2007
• Hispanic, black, and white mothers share many values but there are subtle differences
  • Figure 53: Personal values of mothers, by race/ethnicity, January-September 2007
• Appendix: Other Useful Consumer Tables
  • Figure 54: How mothers acquire baby durables, by income (1 of 3), February-March 2008
  • Figure 55: How mothers acquire baby durables, by income (2 of 3), February-March 2008
  • Figure 56: How mothers acquire baby durables, by income (3 of 3), February-March 2008
  • Figure 57: Type of baby carrier owned, February-March 2008
  • Figure 58: Price paid for selected items, by income, February-March 2008
  • Figure 59: Price paid for selected items, by age, February-March 2008
  • Figure 60: How mothers acquire baby durables, by age, February-March 2008
• Appendix: Trade Associations