Piper Jaffray Completes 27th Semi-Annual Taking Stock With Teens Market Research Project
Local Radio And Webcasting Show Strength With Teens
April 17, 2014 at 4:00 AM (PT)
PIPER JAFFRAY has completed its 27th semi-annual "Taking Stock With Teens" market research project, which signals a potential point of stability, with spending contracting by just 1% from Fall 2013, compared to sequential declines in the mid-single digits previously.
“Over the 13-year history of our survey, we have observed notable changes in the brands teens aspire to own and wear, the influences that direct what they buy, and how teens are consuming, interacting with and sharing the brands they love,” said Co-Dir./Investment Research and Sr. Research Analyst STEPH WISSINK. “The universal truths about teens remain the same -- they continue to seek peer affirmation, their spending is almost entirely discretionary, and they are early adopters of change. What’s different about this generation of teens versus prior is that they are non-conformists, they seek experiences over products, and they align with brands that are practical yet cool.”
Key findings from the survey in fashion, beauty and personal care, restaurants, digital media, gaming, and wireless communication include the following:
- Music/radio listenership has grown for PANDORA and local radio, largely at the cost of MP3s and CDs.
- Teen males indicated they were spending more, up 4% from FALL 2013, which has historically signaled inflection in broader spending
- For the first time in survey history, food exceeded clothing as a percentage of the teen wallet. Electronics also gained in share, while furniture and fashion ceded modest share.
- Declines in the fashion category were most severe in accessories -- down double-digits for a second cycle in a row
- Top clothing brands (continued to) include NIKE, ACTION SPORTS, FOREVER 21, AMERICAN EAGLE, POLO RALPH LAUREN and HOLLISTER
- 17% of teens expressed interest in an APPLE iWATCH, up 12% from FALL 2013, which we believe is an indication of consumer appetite
- INSTAGRAM ranked as the most important social network, exceeding TWITTER and FACEBOOK for the first time in survey history
- At home, cable subscriptions are becoming less essential for teens, while online streaming is more critical. Out of home, IMAX continues growing share among teens.
- 85% of teen gamers play mobile games