Notes and Thoughts on Grocery 2.0

According to a new study by JupiterResearch, in an uncertain economy, people may cut back on movies and cable television, but they are not likely to give up their internet access.

The study, which examines how an economic downturn could affect entertainment spending, found that almost one-third of participants would go to the movies less, while 12% would cut costs by cancelling premium cable services like HBO and Showtime.

In contrast to the likely cuts in television and movie theater viewership, only 2% of survey respondents said they would cut their broadband service. “It is noteworthy that broadband has reached this core status, joining the list of utility services along with electricity, phone and cable that consumers consider vital to the household,” says Jupiter analyst Bobby Tulsiani.

When deciding where to justify spending, just as consumers choose internet service over television as the one necessity that cannot be sacrificed, advertisers and retailers should choose internet over television as the one marketing effort than cannot be sacrificed.

Rachel