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The Foster Letter —

Religious Market Update

The FOSTER Letter is a bi-weekly e-mail religious market intelligence report targeted to Christian market channel and ministry leaders.  Each issue reports on news, trends, events and research that will directly or indirectly impact your audiences and businesses in a convenient summary format  Better informed leaders make better choices!

Researched, Edited & Published by Gary D. Foster

Excerpts from the

February 10, 2008 edition of

The FOSTER Letter—Religious Market Update

Consumer Media Trends Research Brief recently summarized several ’07 consumer media trends. Among them: • Infotainment, with games, DVDs, tickets, samples and other non-traditional products becoming an increasingly important component of the media offering.  • Changing demographics, with more single households, older people and non-traditional families. • Growing choice, with an infinite number of options making it hard to decide what products and services to buy. • User-generated content that provides opportunities for self-expression and social interaction. • Consumer power, where the customer is taking control over brands and information flows on the Internet. • Mobile devices becoming faster, smaller and more user-friendly. • Growing importance of social networks. • Multi-channel strategies and the diminishing differences between types of news media. (Center for Media Research Brief 1/15/08) 

Americans are most concerned with 3 issues, which are perceived as “major” problems facing the U.S. by 75% of the general population. They are poverty (78%) individual Americans personal debt (78%), and HIV/AIDS (76%), according to the Barna Group. Illegal immigration (60%), global warming (57%) and TV and movie content (45%) are moderate concerns. About a third of Americans identified homosexuality as a major problem. Evangelical Christians are most worried about abortion (94%), personal indebtedness (81%), TV and movie content (79%), homosexual activists (75%), and gay and lesbian lifestyles (75%).They are also skeptical about global warming compared to the rest of the population (33% vs. 57%). (Barna Update 1/21/08) 

New Revenue Streams I can help you maximize existing revenue sources or discover brand new ones compatible with your vision and resources. Contact 419-238-4082, Gary@garydfoster.com or www.garydfoster.com. 

Who Cares? Only 39% of people who dropped out of the church perceived their church as “caring,” finds Rainer Research. Meanwhile, 51% called their church “judgmental.” Among other unfavorable views from those who quit their church, 41% said their church was “insincere.” Only 20% felt their church was “inspirational”; 30% said their church was “authentic”; and 36% said their church was “welcoming.” The survey was conducted among 18- to 22-year-olds. Polls have shown increasing hostility and negativity toward Christianity, mainly from younger non-Christians – a majority of whom have a bad impression of Christianity, according to The Barna Group. But more reports are indicating that young adults not just outside of the Christian faith, but those in the pews are turned off by believers. Sam Rainer III says, “When we are known more for what we are against than what we are for, what other outcome can we expect?” Young born-again Christians were as likely as non-Christians (22% vs. 23%) to say Christianity in today’s society no longer looks like Jesus, according to David Kinnaman of The Barna Group. Despite the bad impressions expressed by those who dropped out of church, Rainer found that the churches of young people who did not drop out were viewed very favorably. A majority of the young people who did not quit described their church as “caring,” “welcoming,” “authentic” and “inspirational.” Only 19% of those who stayed said their church was “insincere” and only 24% felt it was “judgmental.” (Christian Post 1/23/08) 

It’s About Community In these times, people are extremely anxious, unsettled and uncertain because of massive changes introduced by social and economic forces that seem beyond our control. Your business or ministry is not really about marketing, product, net sales or donor revenue—it’s about community. Businesses and ministries that can effectively build community with and among its audiences are the ones that will thrive. This should be in your organization’s DNA. Make me your ‘Community Consultant.’ Contact 419-238-4082, Gary@garydfoster.com or www.garydfoster.com.  

Media that can target, be timely, and deliver value to consumers, such as coupons/direct mail, radio, yellow pages, newspapers and newspaper inserts have all increased this past year in influence to purchase as consumers are looking to stretch budgets in a slowing economy. (Center for Media Research Briefing 1/28/08) 

American Greetings is connecting with Generation Y through its Kiwee.com. In its first 6 months Kiwee has attracted 1 million young consumers seeking unique graphics, emoticons, winks, display pictures, widgets and backgrounds to personalize their Web pages on a range of platforms. This demographic communicates with friends and family immediately on whatever platform reaches them fastest. (Online Media Daily 1/28/08) 

Nonprofits were hit with increases in expenses last year that were 2 and 3 times the rate of inflation, driven by the hike in the federal minimum wage and ever-increasing fund raising costs. The rate of inflation was more than 2.5% in ’07 and about 3.25% during ’06. (The NonProfit Times 1/14/08) 

Advertising Inserts have grown to become the most influential medium (even higher than TV) for both adult men and all adults in America. Vertis Communications finds 24% of men and 27% of total adults indicated they turn to this medium when making a purchasing decision, vs. 16% and 19% 10 years ago. (Center for Media Research Brief 1/24/08) 

Christian Bookstores were among the specialty retail segments that took a hit in the Christmas season, reports consumer researcher Britt Beemer. He notes, “Retailers must recognize that the consumer is in a changing and evolving mode. Their old shopping patterns no longer hold true. Retailers must force themselves to get inside the shopper’s mind early and often, from a scientific viewpoint, and adopt strategies that will appeal to those consumers.” (Americasresearchgroup.com 1/30/08) 

Black Affluence According to the Selig Center for Economic Growth, there are 36 million blacks in America, and their buying power has risen substantially, from $318 billion in ’90 to $723 billion in ’07. 53% regularly attend church which is 1 percentage point higher than the national average. Although only about 15% of blacks tune in to gospel stations, among those listeners, more than 70% own their own homes and 17% have a household income of $75,000 or more. (Media Post 1/17/08) 

Video Games had a monster year in ’07, according to NPD Group, with retail sales $17.94 billion. Sales grew 43%, up from $12.53 billion in ’06. In December alone, Americans spent $4.82 billion on games, up 28% from a year earlier and 83% from November. (Around the Net 1/18/08) 

Referability According to Dan Sullivan, who teaches good habits to entrepreneurs in his Strategic Coach program, the best marketing strategy in the world is to be referable.  Although the best entrepreneurs and ministry leaders are involved in diverse kinds of businesses, have very different kinds of clients and constituents, and utilize a wide variety of specialized skills and resources they are all referable for the same reasons. Referability, in all places and at all times, depends upon 4 crucial habits: (1) Show up on time. (2) Do what you say. (3) Finish what you start. (4) Say please and thank you. Although these seem like common sense, a surprising number of people do not practice them. As a result, these individuals are not referable. They may have brains, talent, charm, and experience, but they continually find their clients and customers do not refer them. In contrast, those who practice these 4 habits always get referred into bigger and better opportunities. Need a referability audit? Contact, Gary@garydfoster.com, www.garydfoster.com or 419-238-4082. (Bob Buford Active Energy 2/21/08) 

China will soon pass the U.S. as the nation with the most Internet users, according to the China Internet Network Information Center. The total number of Internet users in China soared 53% to 210 million at the end of ’07, up from 137 million at the end of ’06. They are now just 5 million behind the U.S. According to The Wall Street Journal, 16% of the Chinese population now has Internet access. The global average is 19%. Most still access the Web via Internet cafes, although home and business use is rapidly growing. (Online Media  Daily 1/18/08) 

Lists Breed Procrastinators 78% of Canadians (more than any other nation) rely on to-do lists for daily direction, but they leave some items on their lists unchecked for 26 days on average—tying them with Britons as the world’s worst procrastinators, according to Kelton Research. Harold Taylor, professional organizer and time consultant, says, “The problem with lists is that they’re intentions, so they are things that you intend to do.” He recommends scheduling blocks of time in a planner as an alternative. “We make an appointment in our planner and we tend to be at that appointment. We make those commitments.” 84% of Americans complete more than half of the tasks in an average week vs. 77% of Canadians. 40% of Canadians feel frustrated trying to find the time to get everything on their lists done. 96% say they have neglected an important task because they forgot to put it on their lists. (Reuters 1/25/08) 

Bible Values Preferred 60% of Americans say they are more likely to vote for a presidential candidate who speaks publicly about following the example of admirable leaders from the Bible and who uses the Bible for guidance in both public and personal matters, finds a Zogby Poll conducted for the American Bible Society. 78% of respondents view candidates citing Scripture when explaining political positions as positive. 84% said a candidate’s servant-leader attitude would impact their vote. (The Christian Post 2/1/08) 

Christian Publishers are rethinking their role as “content providers,” while retailers are looking at how they can continue to offer value to customers who can increasingly bypass traditional stores to get resources direct. Zondervan EVP Scott Bolinder recently told Christian Retailing, “These days, it’s about providing content for consumers the way they want it,” rather than the way we publishers think they should receive it. That includes not only producing DVDs and also allowing customers to download customizable software, audio files and eventually Bible studies. Berean Christian Stores President/COO Bill Simmons says that as publishers explore new ways to connect with consumers, so retailers must do the same. It is imperative that Christian stores invest in new technology, especially as publishers continue to produce DVD and audio products. (Christian E-tailing 1/21/08) 

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