The US Market for Infomercials Is Projected to Reach US$252.3 Billion by 2015, According to a New Report by Global Industry Analysts, Inc.

GIA announces the release of a comprehensive global outlook on the Infomericals Industry. Urbanization trend in developed as well as emerging countries and increasing preference for general well being are driving growth in the Infomercial industry. Growth is also driven by an expanding middle class population in developing countries with increasing disposable incomes.

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Infomercials: A Global Outlook

San Jose, California (PRWEB) January 12, 2012

Follow us on LinkedIn – The infomercial industry has grown rapidly over the years, reflecting the transformation of the late-night low cost commercials into sophisticated infomercials. Moreover, infomercial products are more functional and need-based as compared to the conventionally advertised products. Though the proportion of customers directly purchasing from Infomercials is relatively low, the medium helps in developing the generating demand that is converted into actual sales at retail stores and supermarkets. The recession transformed consumers purchasing behavior, as people opted to stay at home. This provided an opportunity to the Infomercial industry to come up with innovative products. With more people preparing their food at home, products such as juicers, food choppers, avocado slicers, and fruit pitters, registered high demand among consumers. The medium also allowed consumers to make purchases from home without the need to go to the retail outlet and listening to the salesperson. The hassle free marketing experience is also a key contributor to the industry growth. The emergence of new and smarter advertising technologies favors growth of direct response advertising.

Unlike conventional advertisements aimed at creating brand awareness among the consumers and influencing purchase decisions in an indirect way, the Infomercials are aimed at generating immediate sales in terms of number of units sold, and are not particular about building long-term relationship with the customers. The impact of a conventional advertisement can be gauzed in terms of awareness return, brand equity return and reach return; while in case of an Infomercial, the impact is solely based on dollar returns. More than three-fourths of sales orders for an average Infomercial roll up within 10 minutes of the completion of Infomercial aired on TV. Thus, the fate of the product and success of the Infomercial is known to the marketer within minutes of airing the Infomercial. Based on consumer response by means of phone calls, an SMS, or website hits or purchases, the marketer can quickly modify the program content, or stop airing the Infomercial incase the product fails to make satisfactory impact on viewers. In sharp contrast, conventional ads are aimed at increasing awareness among consumers, which can be measured by means of national brand awareness or net promoter score.

In the United States, the market for Infomercials surged despite the recent economic slowdown. Factors driving growth include lower cost of airtime and increased television viewership. Companies engaged in Infomercials grabbed airtime more than ever before, as traditional commercials increasingly pulled out of air. Further, increasing brand-awareness campaigns fuelled the growth of Infomercials. Reduced advertising budget and lower number of shopping trips among consumers also affected market growth. The Infomercial marketers launched innovative sales techniques owing to the growing talent pool in the sector.

The research report titled “Infomercials: A Global Outlook” announced by Global Industry Analysts, Inc., provides a collection of statistical anecdotes, market briefs, and concise summaries of research findings. The report offers an aerial view of the global industry, identifies major short to medium term market challenges, and growth drivers. Market discussions in the report are punctuated with fact-rich market data tables. Regional markets elaborated upon include United States, Canada, France, Germany, Italy UK, Russia, China, India, Korea, among others. Also included is an indexed, easy-to-refer, fact-finder directory listing the addresses, and contact details of companies worldwide.

For more details about this comprehensive industry report, please visit –
http://www.strategyr.com/Infomercials_Industry_Market_Report.asp

About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a leading publisher of off-the-shelf market research. Founded in 1987, the company currently employs over 800 people worldwide. Annually, GIA publishes more than 1300 full-scale research reports and analyzes 40,000+ market and technology trends while monitoring more than 126,000 Companies worldwide. Serving over 9500 clients in 27 countries, GIA is recognized today, as one of the world's largest and reputed market research firms.

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Global Industry Analysts, Inc.
Telephone: 408-528-9966
Fax: 408-528-9977
Email: press(at)StrategyR(dot)com
Web Site: http://www.StrategyR.com/

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