PMA Data Watch: Photographers likely to receive CD and DVD only orders
Consumers are looking to collect their orders on either CD or DVD. Photographers are receiving a large portion of their original orders as CDs and DVDs or as press products only. Respondents of the 2009 PMA U.S. Professional Photographers Survey claimed 21.2 percent of original orders were for CDs and DVDs only, up from 20.8 last year. In addition, thirteen percent of orders were for press products only.
Commercial photographers employed by a corporation (full-time or part-time) cited nearly half (47 percent) of their original orders were for CDs and DVDs only, however, only 4 percent of original orders were for just press products. For photographers employed by a studio (full-time or part-time), 28 percent of orders were for CDs and DVDs, while 17 percent were for press products only. Part-time photographers working out of their residences sold one-quarter of their original orders as CDs and DVDs only, and 15 percent as press products only. For full-time photographers working out of their residences, 22 percent of orders were for CDs and DVDs, and 12 percent were for press products. Even full-time photographers owning their own studio or store front sold 15 percent of original orders in CD and DVD only format and 10 percent in press product only format. A large number of hobbyists/advanced amateur also have CD and DVD only orders encompassing a large portion of their original orders, with 27 percent doing so. This group is also most likely to have a larger portion of their original orders be for press products only. Twenty-three percent of initial orders taken by advanced amateurs were for press products only.
Photographers are finding it most convenient to make these products themselves. In fact, 84.3 percent said they produce them on-site with their own equipment. More than half of the photographers surveyed turned to the professional lab for other products (prints, canvas wraps, greeting cards and books). Nearly a quarter of the photographers, however, go online or right to an album company for their albums.
PMA Data Watch: Two-thirds of U.S. photographers work out of residence
According to the 2009 PMA U.S. Professional Photographers Survey, approximately two-thirds of U.S. photographers work either full-time or part-time from their residences. Twenty-six percent are full-time photographers that own their own studio/store front. The remainder of U.S. photographers are employed by someone else or they are classified as hobbyists/advanced amateurs.
The majority of photographers focus on or derive most of their revenue from portrait services, such as, families, pets etc. Other portrait types photographers focus on or derive most of their revenue from include weddings, high-school seniors, pregnancies/babies and group events.
Virtually all (98 percent) of photographers surveyed offer photographic prints to their customers, 73 percent offer albums, about two-thirds offer CDs or DVDs and about two-thirds offer canvas wraps. Photo cards and photo books are typically offered by more than half of the photographers surveyed.
Nearly half of photographers feel better marketing would have the biggest impact on their profit. Seventeen percent of photographers feel that nothing would improve their profit because they are taking advantage of all opportunities under the circumstances. Other ways to positively impact profit that were cited include reducing cost, online ordering systems and increasing prices.
The full report will be available shortly in the marketing research section of the PMA website.
Online Holiday spending approaches $20 billion for the season
A leader in measuring the digital world, comscore, reported holiday season retail e-commerce spending for the first 41 days of the 2009 holiday season. To-date, $19.9 billion has been spent online this holiday season, marking a 3 percent increase versus the corresponding days last year. The most recent week saw above average online spending growth of 4 percent versus year ago, as two individual days surpassed $800 million in spending. “Green Monday” (Dec. 14) holds the best chance for a single day to reach $900 million in spending this year.
“Although this most recent week of holiday shopping did not produce the first $900 million spending day, we saw above average growth rates including a strong end to the week,” said comScore chairman Gian Fulgoni. “Monday, December 14 – otherwise known as Green Monday – is likely to produce our heaviest online spending total for the season and represents our best opportunity to finally surpass that elusive $900 million spending threshold. The early part of this upcoming week should bring us the heaviest online spending days of the season before consumers refocus their attention on brick-and-mortar retail locations to finish up their holiday shopping.”
Since comScore began tracking e-commerce spending in 2001, it has witnessed thirteen individual spending days exceed $800 million, each of which has occurred during the past three holiday seasons. The heaviest online spending day on record was Wednesday, Dec. 9, 2008 with $887 million, just barely passing Monday, Nov. 30, 2009 (Cyber Monday) due to a mere rounding error. Tuesday, Dec. 1, 2009 reached $886 million in spending. Of the top ten spending days on record, four have occurred in 2009, four in 2008, and two in 2007.
*Green Monday occurs on the Monday with at least 10 days prior to Christmas and tends to be the heaviest online spending day of the season. In 2008, it was the second heaviest day of the season.
PMA Data Watch: Number of photo enthusiasts growing
This advanced amateur or prosumer segment is hardly new, however, it is growing. The number of people classified as photo enthusiasts has about doubled in the past decade. According to PMA U.S. Consumer Photo Buying Reports, 25 percent of digital camera owners took more than 480 pictures in 2008, compared to just 13 percent who took this many pictures in 2000. The active nature of the advanced amateur compared to casual picture takers is evident. Seventy-nine percent of U.S. photo enthusiasts that responded to the survey take pictures on at least a weekly basis, with the majority doing so several times per week. Photo enthusiasts typically have a large number of pictures saved on their computers, DVDs, memory cards, etc.
Although the number of enthusiasts is growing, business emphasis on this segment is lagging. The retail environment has remained the same given that the number of camera stores is no greater that it used to be and local retailers and mass merchandisers continue to focus on generation X females. There has been no widespread change in the channel or department configurations to specifically address the advanced amateur segment. Perhaps dedicated sections in mass retailers and camera stores would be beneficial to accommodate this growing segment.
Seventy-two percent of enthusiasts purchased their first digital camera prior to 2004, the year digital cameras were becoming really popular. Eighty-eight percent of enthusiasts currently own a DSLR camera. Almost all enthusiasts (96 percent) consider themselves intermediate or greater in terms of photographic skill level. In the film/analog days, photo enthusiasts spent hundreds of dollars per year on film and on processing/printing services. Today, spending has shifted to digital cameras, equipment and peripherals. Seventy-eight percent of advanced amateurs have spent more than $500 on camera, accessories, storage equipment, and photo software in the past 12 months. This segment also look for specific features on cameras, social networks, wide screen TVs, printers and printing services.
The full report is available for sale in the marketing research section of the PMA website.