VALS™ Lens Applying VALS™ to current events June 2014
In this issue:
- In 1962: Campbell's Soup Cans
- In Entertainment: Netflix Price Increase
- On the Grill: The Price of Beef
In 1962: Campbell's Soup Cans
As the postwar 1950s slammed into the radically changing 1960s, an unknown commercial illustrator from Pittsburgh, Pennsylvania, chronicled the mash-up in a series of images that "took the cultural pulse" quite precisely, according to the New York Times. Andy Warhol's images focus on the celebrity (Marilyn Monroe), the tragedy (Jacqueline Kennedy), and the growing violence ("13 Most Wanted Men" mural) of the decades. This pop-art icon is best known for his series of silk-screen prints of Campbell's soup—which he first exhibited in 1962. At the time, Campbell's (Camden, New Jersey) condensed soups were an everyday staple of Americana. Each of the 32 flavors available in 1960 is captured in a 20-x-16-inch "portrait." Now part of the permanent collection at the Museum of Modern Art in New York City, the varieties of images appear in chronological order; Tomato Soup, from 1897, is the first in the series. VALS™/GfK MRI tracks three of Campbell Soup Company's current 74 soup flavors: original classics Chicken Noodle, Cream of Mushroom, and Tomato. In the past six months, 20% of US adults bought Chicken Noodle; over one-quarter of Believers and Survivors did so—most likely because the soups are traditional comfort food that they remember from childhood. During the same period, 19% bought Campbell's Cream of Mushroom and 16% bought Campbell's Tomato soups. Roughly 23% of Thinkers, Makers, and Survivors bought Cream of Mushroom, and 21% of the same three groups bought Campbell's Tomato soup. Together, these four consumer groups prefer venerable, trusted, American brands. (Campbell was founded 150 years ago.)
In Entertainment: Netflix Price Increase
In April 2014, Netflix shareholders received a letter saying that the company will be raising the price of its $8 monthly streaming video plan by $1 or $2 for new subscribers; it will determine the amount of the increase by country. In the United States, existing members will continue to pay $7.99 "for a generous period of time." New-member increases will begin late in the second quarter. After Netflix's 2011 price-increase fiasco—when "subscribers fled" and "stock price sank," the company has been trying to increase margins to "enable us to acquire more content and deliver an even better streaming experience," according to the shareholder letter. Right. Increases couldn't possibly be motivated by profit or an increase of shareholder value. In the past year, 13% of US adults downloaded or streamed Netflix video. Innovators (27%) are more likely than all other VALS groups to do so. Experiencers (17%) and Achievers (16%) are also more likely than average to download or stream video from Netflix.
On the Grill: The Price of Beef
It's time to fire up the grill, but fewer people than previously may be barbequing beef this summer. CNN reports that as of April 2014, the price of beef has hit a 27-year high. California's drought—reducing the size of cattle herds—and greater demand from Japan and China are two reasons for the spike. Some consumers are buying less beef because of price increases; others are eating less beef because of health concerns. In a comparison of fall 2004 and fall 2013 VALS™/GfK MRI data, the proportions of US adults eating fresh ground beef (50%) and steaks (36%) in the past six months are unchanged. However, the mean volume in the number of pounds of beef consumed in the past 30 days has declined from 11.1 pounds in 2004 to 8.9 pounds in 2014; the decline is for all VALS groups. For example, the proportion of steak-eating Innovators has declined from 42% in 2004 to 36% in 2013; the decrease is more likely due to health concerns than because of cost. Makers are more likely than average to enjoy steaks and ground beef; the decline in volume is more likely the result of cost than of health concerns. Overall, fewer adults grill than eat red meat. Only 29% of adults have barbecued in the past year: Innovators, Thinkers, Makers, and Achievers (in rank order) are above average for doing so. Although purists prefer the authentic taste of steak, some steaks, such as London broil, are much improved by a good marinade.