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Progressive Grocer — Chicken is a staple in the American consumer diet, with 53 percent of consumers eating chicken more than four times weekly, according to a recent consumer study conducted by Market Force.  The study reveals a plethora of details about purchasing habits.  Read More

Survey shows gain in diners’ enthusiasm for dining out in the next three months

BOULDER, Colo., Aug. 3, 2010 — Consumers are sweet on the The Cheesecake Factory, according to a recent survey by Market Force Information that ranked it the favorite casual and family dining chain based on number of votes per restaurant location. Survey respondents ranked The Cheesecake Factory a clear first with 13%, while Texas Roadhouse and Red Robin tied for second place at 8%. The Olive Garden and Applebee’s tied for the most number of ”favorite family restaurant” votes overall.

Market Force, a customer intelligence and customer experience management (CEM) firm, surveyed consumers to find out which casual restaurants are their favorites and why, as well as to uncover trends in the casual and family dining category. The survey was conducted in June among Market Force’s network of 300,000 independent mystery shoppers and merchandisers – consumers across the country dubbed The Force™. More than 5,000 consumers responded.

More encouraging to the restaurant industry, the research found an increased willingness to spend money to dine out than was reported in a similar survey taken in December of 2009. In June, one in four consumers indicated that they expected to eat out more in the coming months than they had in previous months. Just 8% said they expected to eat out less. Those numbers were more disheartening six months ago, when more than half said they expected to eat out less in the first months of 2010.

Olive Garden and Applebee’s crowd favorites by number of votes

When the consumers were asked to select their favorite casual and family dining establishment from a list of more than 60 of North America’s family restaurant chains, Olive Garden and Applebee’s tied with the highest response, each earning 9% of the vote, and Red Lobster came in second with 7% of the responses. Texas Roadhouse, The Cheesecake Factory, Outback Steakhouse and Chili’s all received 6% of diner mentions in what proved to be a tightly clustered category. See Graph 1.

The Cheesecake Factory moves to top spot when number of locations considered

However, not all chains are created equal because, while the Olive Garden and Applebee’s each have upward of 700 restaurants, The Cheesecake Factory has just around 150 locations. Market Force indexed its survey results by the number of restaurants each chain operates to find out which chains “earned more than their share” of votes, and The Cheesecake Factory emerged as the clear winner with 13% of the votes. There were ties for both second and third places, with Texas Roadhouse and Red Robin each landing 8% of the votes, and Olive Garden and Ruby Tuesday coming in third with 5% apiece. See Graph 2.

It was not difficult to understand why The Cheesecake Factory fared so well with consumers. When the respondents were asked to score these same restaurant chains for characteristics they appreciate most, The Cheesecake Factory scored highest in six out of 10 categories, including taste and quality of food, atmosphere and cleanliness. Red Robin won out for speed of service and for its accommodation of children.

The experience, not convenience, seems to drive consumers to casual and family dining restaurants

Casual and family dining is apparently not driven by a desire to avoid slaving over a hot stove, but rather to spend time with family and friends. The customer feedback survey showed that more than half (52%) said they visit casual dining restaurants to have time with family and/or friends and 37% go to celebrate birthdays or other special occasions, which has some great implications for marketing around factors such as atmosphere and kid-friendliness. Forty one percent said they visit casual restaurants when they are too tired to cook and 23% seek them out when they are pressed for time. See Graph 3.

It’s what’s for dinner!

Casual and family dining is nearly synonymous with dinner. Nearly three quarters of the survey respondents reported eating at casual restaurants for dinner, far more than any other meal. While, about one quarter said they stop by for a snack. See Graph 4. With only 1% saying that they visited a casual or family restaurant for lunch, there appears to be a large opportunity for a chain to carve out a niche as a go-to lunch destination.

One in five tried a new family restaurant in the last month

Seventeen percent of those surveyed said they tried a new casual restaurant in the last month. Of those, 34% were spurred by the recommendation of a friend and 27% stopped in after seeing the location on the street. A specific promotion or coupon was only mentioned as the main driver by 15% of consumers who tried a new restaurant.

The survey was conducted in May and June 2010 among the Market Force network of more than 300,000 consumers. The pool of 5,000 respondents ranged in age from 18 to 72 and reflected a broad spectrum of income levels, with 60 percent reporting incomes of more than $50,000 a year. Seventy six percent were women, the primary household consumer purchasers. Half of the participants said they have children at home.

About Market Force Information

Market Force Information Inc. is the leading global customer intelligence solutions company for business-to-consumer companies, including major retailers, restaurants, grocery and convenience stores, financial institutions, entertainment studios and consumer packaged goods. Market Force Information has pioneered the industry with a suite of customer intelligence solutions that provide clients with the business intelligence they need to delight their customers and drive bottom-line results. The company measures store-level operations and customer attitudes through mystery shopping, customer feedback, market audits and merchandising services, with the analytics to drive targeted improvements. For more information, please visit: www.marketforce.com and follow us on Twitter @MarketForce

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38 Miles from Manhattan—This popular blog picked up on new Market Force research that showed confidence rising for restaurant goers. In December of 2009, just 5% of consumers said that they expected to eat out more in the coming month. Six months later that figure rose to 25%. 38 Miles also picked up on the effect social media played. According to this study, about half of consumers surveyed read an online review or found out about a restaurant through online searching of blogs and social networks.   Read more

CRM Buyer—There’s movement toward a new customer service norm even in the hallowed halls of finance. Hey, come sit a spell, bring your dog, have a specialty coffee—or a hot dog on us—get comfy, use our computers and yes, spend, spend, spend! It’s CEM—a process wherein businesses intently study the entire customer experience from start to finish and over every channel.   Read more

Market Force sees business expand as restaurants, retailers, CPG and entertainment companies strive to earn consumer loyalty

BOULDER, Colo. – July 19, 2010 – With the dramatic impact of the Great Recession, many consumer-facing companies are working to regain consumer trust by investing in programs to increase customer satisfaction and loyalty. As evidence, Market Force Information, the world’s leading customer intelligence solutions company, today announced the addition of a wide range of new customers, as well as expanded business relationships with current customers spanning Retail, Grocery, Consumer Packaged Goods (CPG), Banking, Petro-Convenience, Telecom, Quick-Service and Family Casual Restaurant brands.

Market Force has won new business or worked in an expanded capacity with some of the best consumer companies in the world this year, including:  A&P Family of Supermarkets, Abercrombie & Fitch, B&H Foto & Electronics, Church’s Chicken, General Mills, Office Depot, Office Max, Panda Restaurant Group and Unilever.

Market Force counts more than 200 of the world’s largest consumer-facing companies as clients, and saw its business expand at more than a 20% clip in the first half of 2010 compared with the same time period last year.

The company provides a variety of customer intelligence solutions and analytics, from mystery shopping and customer feedback, to competitive price auditing and merchandising services – all designed to give its clients the intelligence they need to delight their customers and drive bottom-line results.

“We know our guests have many choices when it comes to eating out,” said Mel Deane, CEO, Church’s Chicken. “Our team is absolutely and fully committed to providing our guests an exceptional experience at Church’s Chicken restaurants. Market Force has been a great partner, and in a short amount of time working with them, we have seen a marked improvement in overall customer satisfaction.”

As companies invest in improving customer satisfaction, the need to obtain a consolidated, single view of their customers—gathered from customer feedback scores, operational store metrics, social media input and beyond—is becoming increasingly critical. That consolidated view, coupled with analytics and triggers to action, has become known in the industry as Customer Intelligence.

“Market Force is uniquely positioned to lead the Customer Intelligence solution space for consumer-serving companies,” said Market Force CEO, Karl Maier. “We enable these companies to see their stores through their customers’ eyes, so they can act quickly to assure consistently great performance in every restaurant, every branch, every store. There is a reason these are the best companies in their respective industries – they’re investing in their customer experience.”

About Market Force Information
Market Force Information, Inc. is the leading global customer intelligence solutions company for business to consumer companies including major retailers, restaurants, grocery and convenience stores, financial institutions, entertainment studios and consumer packaged goods companies. Market Force Information has pioneered the industry with a suite of customer intelligence solutions that provide clients with the business intelligence they need to delight their customers and drive bottom-line results. The company measures store-level operations and customer attitudes through mystery shopping, customer feedback, market audits and merchandising services, with the analytics to drive targeted improvements. For more information, please visit: www.marketforce.com and follow us on Twitter @MarketForce

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TradingMarkets.com—Market Force announced the addition of a range of new customers, as well as expanded business relationships with current customers spanning Retail, Grocery, Consumer Packaged Goods (CPG), Banking, Petro-Convenience, Telecom, Quick-Service and Family Casual Restaurant brands. New and expanded business relationships included A&P Family of Supermarkets, Abercrombie & Fitch, B&H Foto & Electronics, Church’s Chicken, General Mills, Office Depot, Office Max, Panda Restaurant Group and Unilever.  Read more

Marketing Daily — While Starbucks pulled the most votes when consumers were asked to name their favorite coffee house or snack chain, Krispy Creme won by a wide margin when the results were indexed to factor in chains’ comparative number of locations, according to Market Force, a customer intelligence & experience management solutions provider.  Read more

Study reveals room for more growth in coffee and snack restaurants, with lower usage and new trial rates than other restaurant types

BOULDER, Colo., July 14, 2010 — There is substantial growth potential in the coffeehouse and snack chain segments, according to a new Restaurant Outlook survey conducted by Market Force Information, a worldwide leader in customer intelligence and customer experience management solutions. The survey looked at consumer preferences and trends as they relate to patronizing coffeehouses and/or snack restaurants – businesses such as Starbucks, Dunkin’ Donuts and even McCafé, McDonald’s coffeehouse chain

According to the survey, most consumers visit a coffee shop around once a week, with 70% reporting that they go to coffeehouses or snack restaurants less than five times a month. That came as a surprise considering the popularity of coffee among all types of consumers these days. Many reported that they use time at a coffee or snack restaurant to reflect, or as an escape. That, coupled with the fact that just 4% of consumers reported trying a new coffeehouse or snack restaurant in the last 30 days, indicates big room for growth for chains that can entice consumers in the door.

Playing Favorites

When asked which coffeehouse or snack restaurants were their favorites, Starbucks was cited by 36%, decidedly more than any other restaurant or coffeehouse. Dunkin’ Donuts (28%) and Krispy Kreme (16%) ranked second and third, respectively, followed by Tim Hortons, Caribou Coffee, Seattle’s Best, McCafé, Peet’s Coffee & Tea, and The Coffee Bean and Tea Leaf. See Graph 1.

Graph 1: Favorite coffeehouse & snack restaurant by number of votes

However, when the number of locations is factored into the results, Krispy Kreme wins by a mile – earning 35% of the vote. See Graph 2. And, when just coffeehouses are considered (with snack restaurants such as Krispy Kreme removed from the equation), Peet’s Coffee & Tea and Caribou Coffee stand out as favorites. Even though Starbucks seems to be synonymous with coffee, it falls all the way to the bottom of the rankings — just above McCafé — when the results are indexed by number of stores. The chain’s sheer number of locations seemed to dilute all of the votes for Starbucks.

Graph 2: Favorite coffeehouse & snack restaurant indexed by store count

Taste Outweighs All Other Factors

So Krispy Kreme has a cult following—who doesn’t love their doughnuts? But are their doughnuts the reason why the restaurant is so adored by consumers? In a word, yes. It’s all about the quality and taste of the food—especially taste, as the survey uncovered. Krispy Kreme outscored competing coffee shops and snack chains on eight of 10 attributes (attributes included Quality of Food, Taste of Food/Coffee, Speed of Service, Friendly Service, Cleanliness, Atmosphere, Accommodating, Overall Value, Healthy Choices, Green/Sustainability) and was off the charts for taste. All other competitors clustered together with virtually no differentiation. See Graph 3.

Graph 3: Coffeehouses & snack restaurants scored by attributes.

Consumers View Coffeehouses as an Escape

Coffeehouses/snack restaurants differ from two other categories that were also examined in this survey – quick-service restaurants (QSR) and casual dining establishments. This category is strikingly different from the others on two fronts. First, it had much fewer new trials. Only 4% of consumers said they tried a new national or regional brand in the last 30 days, whereas one in three tried a new QSR during that period. Second, this category had the most consumers who said they visited the establishment because they were seeking some alone time. That has some great implications for marketing around factors such as stress relief, time out and indulgence.

The desire to be with friends was not a hugely popular reason for consumers frequenting coffeehouses, with only 18% citing it. Instead, 42% say they go there when they are pressed for time. Visiting a coffeehouse/snack restaurant appears to be more “all about me.” When consumers need some time alone, are in a hurry, too tired to cook, etc., the coffeehouse/snack restaurant is the immediate answer. See Graph 4.

Graph 4: Reasons for visiting coffeehouse or snack restaurant.

Coffee Drinkers Stimulated to Try Starbucks

Only 4% of consumers said they tried a new national or regional coffeehouse/snack restaurant in the last 30 days. Of those, 38% are experimenters who said they tried more than one.

So which brands fared the best among that group? Here is where Starbucks rose to the top, with more consumers (16%) saying they tried a Starbucks for the first time more than any other coffee or snack shop. It is intriguing that an established brand like Starbucks would still be experiencing so many new trials.

Unlike with QSRs and casual dining establishments, recommendations from friends is less important in driving new trials than driving by the location—perhaps because this category represents that need for alone time for consumers. Traditional advertising drives few trials, and promotions drove about 11%, which is on the order of what was found with QSR and casual dining trials.

The study also found that seven in 10 new trials delivered on their promise. About two-thirds of consumers reported having a “GREAT” experience at a new coffeehouse or snack restaurant. The remaining one third of new trial experiences either were rated either just “OK” or “BAD.” So, the opportunity to delight new customers exists in this category and can make the difference between true growth for a brand and just maintaining the status quo.

The survey was conducted in May and June 2010 among the Market Force network of more than 300,000 independent mystery shoppers and merchandisers – consumers across the country dubbed The Force™. The pool of 4,600 respondents ranged in age from 18 – 72 and reflected a broad spectrum of income levels, with 60% reporting incomes of more than $50,000 a year. Eighty percent work full or part time. Seventy-six percent were women – the primary household consumer purchasers. Half of the participants said they have children at home.

About Market Force Information

Market Force Information, Inc. is the leading global customer intelligence solutions company for business to consumer companies including major retailers, restaurants, grocery and convenience stores, financial institutions, entertainment studios and consumer packaged goods companies. Market Force Information has pioneered the industry with a suite of customer intelligence solutions that provide clients with the business intelligence they need to delight their customers and drive bottom-line results. The company measures store-level operations and customer attitudes through mystery shopping, customer feedback, market audits and merchandising services, with the analytics to drive targeted improvements. For more information, please visit: www.marketforce.com and follow us on Twitter @MarketForce

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Progressive Grocer — What’s really important to consumers today when selecting the store they will visit as many as 15 or 20 times a month? And how do people rank grocery stores in their communities against this all-important wish list? Read more