••• travel and leisure research
Taking different paths
Young tourists are budget-conscious while Boomers seek spontaneity
Forget sandy beaches or unrivaled sightseeing: A survey by TD Bank found that 86% of Gen Z, compared to 75% of all respondents, claimed exchange rates were a main factor influencing their travel decisions.
Entertainment was another key driver among younger travelers with 27% of Gen Z and Millennials reporting entertainment events like live concerts as a primary reason for travel, compared to only 7% of Gen X and Baby Boomers. When it comes to travel destinations, it might not be a surprise that after the 2024 Olympic Games in Paris, Europe attracted the most travelers with 33% of respondents jet-setting there in the past 12 months.
The data also revealed key differences in how older versus younger generations prepare their finances ahead of going on vacation. Eighty-eight percent of respondents had to save up for their recent travel, and more than half (60%) saved for up to six months before their trip. However, Baby Boomers are much more likely to vacation on-the-fly as 25% reported either spontaneous trips or not needing to save prior to travel, compared to only 8% of Gen Z and Millennials. This approach to travel trickled down into older generations’ budgeting habits with 72% of Gen X and Baby Boomers staying within their planned travel allowances compared to 80% of Gen Z and Millennials.
Ninety-four percent of Gen Z and Millennial respondents exchanged cash for their trip, with just under 30% using local currency as their preferred payment method. In contrast, 75% of Baby Boomers took out local currency for their travel. However, only 14% preferred to spend with foreign cash, as most of this group (69%) would rather use credit as their primary payment method when traveling abroad.
More than half of all respondents (60%) showed preferences for exchanging cash after takeoff. Thirty percent opted to change currencies at a local bank abroad or via ATM, 22% used a local exchange vendor at their final destination and 21% used a local exchange vendor at the airport after landing regardless of rates. Despite generational differences in preferred payment methods, travelers of all ages are still choosing to hold local cash in their wallets rather than use it during their travel.
When it comes to deciding when to splurge, most travelers (82%) prefer to shop for luxury goods when vacationing abroad to take advantage of currency conversions for bigger savings. Clothes (60%) and food products (58%) remain high on the list followed by bags and jewelry (47%), wine and spirits (36%) and rare or antique items (22%). Despite this, travelers typically prefer to stick to the affordable side when it comes to accommodations, with 73% of all respondents opting for mid-range lodging for their vacations.
Generational differences also account for the discrepancies in luxury international travel, with 19% of Gen X respondents preferring luxe experiences and gourmet cuisines, similar to their Millennial counterparts, of whom 20% prefer luxury travel. Baby Boomers were much less likely to opt for first class with only 13% of respondents indicating they upgraded.
This report presents the findings of a CARAVAN survey conducted by Big Village for TD Bank among a sample of 1,007 U.S. adults from August 30-September 4, 2024.
••• pharma research
Safety first
Unregulated weight-loss drugs surge in popularity
Compounded medicines serve an important role in the U.S. health care system when used to meet individual patient needs but compounding pharmacies are not regulated like pharmaceutical manufacturing facilities, which heightens risk for patients. Independent research firms GQR and Public Opinion Strategies surveyed likely voters across political affiliation and found low awareness surrounding compounded drugs and strong bipartisan desire for more oversight and accountability in the interest of patient safety.
This lack of oversight has become a particular concern as the demand for, and popularity of, GLP-1 medications for weight loss (e.g., Wegovy and Zepbound) skyrockets. The FDA has issued several public warnings about poorly compounded versions of these medicines.
Ninety-three percent of respondents worry that because the FDA does not review or approve compounded drugs, including compounded weight loss drugs, consumers might not be getting the drug they expect. Ninety-three percent are concerned that online sellers ship compounded, counterfeit or research versions of the medicines (not for human consumption) from unknown or uncertain places of origin.
Support for FDA oversight and regulation and congressional action has strong bipartisan backing. Even before hearing about the known risks of unregulated compounded weight loss drugs, 94% of Democrats, 88% of Independents and 88% of Republicans indicated that the FDA should make sure these medicines are safe. Tests have shown that some compounded weight loss drugs contain bacteria, impurities and different ingredients and dosages than advertised or indicated on the label. Eighty-five percent expect that the FDA ensures all injectable drugs are safe for Americans to use but they worry more these days about medicines being tainted or contaminated.
While not familiar with either compounding pharmacies (10% familiar) or compounded medicines (8% familiar), 75% of Americans assume that compounded medicines are safe. However, upon learning about the unregulated nature of the compound versions of weight-loss drugs available, opinion shifts and an equally large number (76%) express concerns about the compounded medications from non-FDA approved sources. Overall, 92% of all respondents expressed concern about compounded weight-loss drugs and 90% say taking compounded weight-loss drugs would not be worth the health and safety risks to themselves or family members.
GQR and Public Opinion Strategies conducted this research with 1,000 likely voters across political affiliations.
••• consumer psychology
Shoppers want grocery price relief, regardless of market conditions
Willing to share data to save money
Grocery shoppers may understand the potential reasons for the recent waves of price increases but that doesn’t mean they like them. Pricing life cycle management company Zilliant found that consumers are increasingly resistant to price increases, even when driven by market forces such as rising costs or supply constraints, with 33% of consumers understanding why prices should increase when production costs rise and 32% explicitly stating that prices should stay the same despite higher costs or supply constraints.
One key trend from the study was how customers felt about changes caused by dynamic pricing, the changes in pricing caused by fluctuations in supply, demand, competitor actions and customer behavior. The survey showed that many shoppers already encounter dynamic pricing, though they may not realize it. Almost half (47%) of consumers surveyed experienced price increases when a product was in demand when grocery shopping in-store. Over two in five (42%) have experienced price cuts when a product expires. And 38% of those surveyed believed the main impact of dynamic pricing was inflated prices when demand is high and supply is low.
Since a significant number of consumers surveyed felt that dynamic pricing only leads to higher prices, it’s clear why they associate it with negative outcomes for them. This highlights how grocery stores already use dynamic pricing strategies without labeling them as such. High-demand products often carry higher prices, while low-demand items typically end up in the clearance section.
Top concerns about pricing practices include a lack of transparency around price increases (32%), price volatility (27%) and explanations for price decreases (19%). On average, a 30% price increase would make consumers consider switching brands.
Consumers show a strong interest in solutions that provide more value and transparency. Seventy-eight percent would share personal data to access dynamic pricing that could lower their costs. Of these, 30% would share their purchase history, 27% would share age information and 21% would share location data or contact information.
Forty-six percent would be more likely to shop at stores offering personalized prices through apps or loyalty programs. Twenty-three percent specifically want personalized prices through mobile apps, 29% would like more information on how prices are determined and 42% want more physical store loyalty cards offering discounts.
This research was conducted by Censuswide among 2,003 U.S. consumers between October 16-18, 2024.
••• technology research
‘Or press zero to speak to an actual human being’
Customers want a person, not a chatbot
In the age of AI, customers already expect some automation to be ingrained in most customer service interactions. Despite this, there is still a preference and a need for human empathy to be present alongside AI in CX. CX platform Five9 found that 79% of consumers prefer talking to a human in-person or over the phone for customer support.
Eighty-four percent of consumers are aware that some companies use AI to handle customer service interactions, yet nearly half (48%) say they do not trust the information provided by AI-powered customer service bots. Over half (56%) say they are often frustrated by AI customer service chatbots.
Gen Z and Millennials find more value in AI-driven interactions compared to older generations. The use of automated solutions in CX has also led younger consumers to feel that online self-service has gotten better. Fifty-three percent of consumers agree that online self-service has improved in the last three years. This is higher among younger generations, including Gen Z (61%) and Millennials (61%).
Gen Z is less likely to prefer talking to a real human in-person or over the phone for customer support (66%) compared to Gen X (76%) and Baby Boomers (86%). Sixty-three percent of Gen Z and 60% of Millennials say they trust information provided by AI-powered customer service bots and 33% of both groups are more likely to say they find AI very helpful and efficient.
Five9 conducted this research in partnership with Team Lewis, who surveyed 4,000 consumers across the U.S. and the U.K. from September 25-30, 2024. The survey respondents were independently sourced from Cint.
••• employee research
Honesty benefits all
The value of transparency in the workplace
Honesty is critical to almost all U.S. job seekers as 96% say it's at least somewhat important that they can be honest with new managers, while 36% believe open communication is essential. Express Employment Professionals found that more than two-thirds of job seekers (69%) agree that employees should feel comfortable discussing personal issues with their manager if it impacts their day-to-day work.
Eighty-nine percent of job seekers agree that fostering a work environment where employees and managers can be honest with each other is crucial for a company's success. Similarly, 87% believe that employees being honest with their managers is crucial for a productive workforce. A significant majority (82%) expressed that they would be more loyal to a company if they felt they could be candid with their manager.
American hiring managers agree that honesty plays a vital role in the workplace. More than half believe employee morale (58%), productivity (53%) and loyalty (51%) increase when employees can be honest at work. Forty-five percent feel there are fewer conflicts/disagreements, more accountability (45%) and lower employee turnover (43%) in an honest workplace.
Unsurprisingly, when employees are not able to speak openly, many believe employee morale (58%) and productivity decrease (48%) and employee burnout (48%) and turnover increase (49%).
Honesty is also a key component in manager-employee relationships, with around three in five hiring managers (61%) reporting employees' ability to be honest with them is essential to their ability to be a good manager. Nine in 10 hiring managers say employees who feel like they can be honest with their leader are more loyal to their employer (90%) and are a critical part of having a productive workforce (89%).
Ninety-one percent believe that it is at least somewhat important for companies to provide managers with resources/training on how to manage their direct reports' personal issues if brought up by the employee, with nearly a quarter (24%) feeling it is essential. In addition, most job seekers (86%) believe it is at least somewhat important that companies provide employees with resources/training on how to manage personal issues so it doesn't impact their work.
Companies feel they have created a space for honesty among their employees and report that their company has created a safe and trusting environment that encourages honest communication (86%) and has the right systems/tools in place to allow constructive criticism to be received well (80%). Ninety-five percent of hiring managers feel employees can speak honestly with anyone at the company regarding their concerns/issues including their manager/supervisor (68%) and/or peers/colleagues (57%).
The Harris Poll conducted The Job Insights survey and The Job Seeker Report on behalf of Express Employment Professionals. The Job Insights survey was conducted from May 16-June 3, 2024, with 1,003 hiring decision makers and The Job Seeker Report was conducted from May 28-June 10, 2024, among 1,002 adults.
••• employee research
Not feeling it
Gen Z disillusioned by frontline roles
Consumer-facing work isn't impressing Gen Z, and with this cohort slated to become a third of the world’s working population by 2030, not improving the employee experience could have a dramatic ripple effect on the labor market. HR and workforce management solutions company UKG found that the frontline workforce feels overworked, underappreciated and tempted to quit for a better employee experience.
Gen Z employees desire more input into when, where and how long they work. This may contribute to Gen Z frontline employees feeling more burned out (83%), compared to 75% of all frontline employees. Thirty-six percent of Gen Z say they’d quit because of their job negatively affecting their physical/mental well-being. Furthermore, 58% of Gen Z employees would rather have more vacation time over a pay increase and 29% say they’d forgo a promotion for an extra week of paid time off each year. Sixty-one percent of Gen Z isn’t satisfied with their overall employee experience, compared to 55% across the frontline. Seventy-two percent say interactions with people at work have worsened their mental health and 71% of Gen Z – and 59% of frontline employees in all generations – say they may quit because of negative interactions with their managers, coworkers or customers.
In organizations where frontline and corporate employees coexist, nearly half of all frontline employees (49%) say there are two separate cultures – one for the frontline and one for everyone else. Nineteen percent of these employees globally say they’re never recognized by their manager.
Because many frontline employees can’t work from home as often as their laptop-toting counterparts, having greater control over their work schedule is a top desire. Work-life balance/flexibility and work schedules (tied at 55%) are two of the most important factors frontline employees consider when choosing an employer, only behind pay/compensation (71%). Moreover, over a quarter of frontline employees globally (27%) say they’d resign due to a lack of workplace flexibility.
Over half of organizations with frontline employees (54%) offer flexible hours/self-scheduling. Other flexible scheduling practices are catching on, including shift trading with coworkers (41%), part-time work with no loss of benefits (28%), compressed workweeks (27%) and job sharing (18%). However, 14% say their organization doesn’t offer any of these flexible work arrangements.
Somewhat surprisingly, in an era of job hopping and attrition, 20% of frontline employees globally say they have been with the same employer for more than 10 years. Eighty-one percent feel psychologically safe at work, 66% of Gen Z and 61% of frontline employees believe their feedback is taken into consideration and 67% say they’re treated with respect at work.
Research findings are based on a survey conducted by Walr from June 19-July 24, 2024, with 12,715 global workers including 10,915 frontline employees and 1,800 frontline leaders.