A security flaw that left an order log exposed at a website operated by spam marketers of penis-enlargement pills "has provided the world with a depressing answer to the question: Who in their right mind would buy something from a spammer?" Answer: Some 6,000 people. "Do the math and you begin to understand why spammers are willing to put up with the wrath of spam recipients, Internet service providers and federal regulators," says Wired which contacted several of the customers to ask them why they responded to spam marketing and why they bought something from a website with no phone number, no mailing address and no email address.

A study profiling the at-home broadband audience finds that these users spent $15 billion online last year and are twice as likely as other Internet users to have spent more than $2,500 online.

The study by Scarborough Research, finds what might be a higher than previously predicted rate of penetration for broadband among at-home users, 23 million or 19%. Broadband includes ISDN, DSL or cable modem technology.

Broadband users are

One-fifth (20 percent) of broadband users listened to the radio online in the past 30 days, making them 72 percent more likely than all Internet users to do so.

As compared to all Internet users, broadband users are 42 percent more likely to have visited a broadcast television network website in the past 30 days and one-third (33 percent) more likely to have logged onto a local television station website.

They are also 45 percent more likely to have accessed Internet yellow pages in the past 30 days.

The demographic is well educated and affluent, with money to spend. And they're not afraid of the Web. Scarborough said broadband users are 12% more likely than all adults accessing the Internet to have a college degree and 17% more likely to have a graduate degree. They're also 32% more likely to have household incomes of $75,000 or more. A quarter are between 35 and 44; half have one or more children in the household.

"People with broadband tend to have been on the Internet longer, they tend to spend more time on the Internet, they have a tendency to participate in more activities online like online bill paying," said Gary Meo, senior vice president, Internet and print sales at Scarborough Research. "They're more comfortable with the online experience."

Meo said that comfort level - gained in total time online as well as having experience with a broadband connection at work - has brought an opportunity for marketers to use rich media. However the next generation user after the early adaptor phase behaves could manifest a whole different set of preferences and needs.

(portions of this article from MediaPost, August 5, 2003)

DMA's List Vision:
Revealing Consumer Behavior & List Marketing Trends for 2003—New York, NY

Peter Francese, demographics trends analyst at Ogilvy & Mather, and the founder of American Demographics magazine, offered up three observations about consumers to help deal with shifts in the marketplace:

Americans are getting older with half of all U.S. householders will be age 50 or older within five years. And, over 80% of all household growth will be in the 50-plus age range.

"Marketing of products to this age group will decline, people over 50 have all the things they want," Francese said. If they buy products now, it will be for their grandchildren. 

However, the 50+ group can't get enough services. They are buying second homes. Among people 55 to 64, there will be a 22% growth in the purchase of second homes between 2003 and 2008.

This trend will make locating the older buyer more difficult because they will be at their country place or beach retreat instead of at home where you want to contact them, Francese said. "I estimate that 1 in 3 households are empty every weekend."

Women represent a savvy group of consumers, having received 58 percent of the bachelor's and master's degrees this year. As a result, women's salaries will rise faster than men's, Francese said. He cautioned that more highly educated women expect more as consumers.

More educated consumers also have a high probability of being Web-enabled at work and home. They read more and want product details, Francese said. They like print and are also avid Web buyers.

Office workers are now a majority of workers and knowledge and independent workers blur the line between work and leisure. This results in more consumers who are both browsing and buying from their place of work.

"Be sure to send them relevant offers, not stuff that wastes their time," Francese said.

The main lesson for marketers, Francese stressed: Place and timing of delivery of DM messages will become even more critical to the success of a direct campaign.

Report on Global Spam Laws from the DMA

Inside Look At A Spammer's Returns

At-Home Broadband Users Are Big Spenders

CONFERENCE CLIPS

DMA's List Vision: Revealing Consumer Behavior & List Marketing Trends for 2003