JANUARY 29, 2010This Week in Health Care Reform Following the election of Republican Scott Brown to the Massachusetts State Senate last week and the resulting loss of Senate Democrats’ supermajority, lawmakers continue to pave the way for health care reform – with limited progress. In addition, polls indicate that the public would rather lawmakers focus more on the economy than on health care.State of the Union AddressPresident Obama Gives State of the Union Address: On Wednesday evening, President Barack Obama delivered his first State of the Union address before a joint session of Congress. Having hoped to have a health care reform bill on his desk prior to his address, the President instead used his speech to encourage Congress to push forward on health care reform. Yet, he did not give specific guidance as to how to proceed with the legislation. Instead, he made it clear that his primary focus would be on jobs and the economy.Easy To Insure ME Health Insurance Quotes… Quote all carriers in secondsBuying Individual Health InsuranceHealth Insurance NewsHealth Care Reform NegotiationsDemocrats Still Seek Way Forward: While vowing not to give up, Democratic Senate leaders indicated Tuesday that they no longer felt pressure to move quickly on health care reform; and, in the wake of the Massachusetts election and in reaction to public opinion, they shifted focus to jobs and the economy. Senate Majority Leader Harry Reid (D-NV) commented that there is “no rush” on health care and said that he and Speaker of the House Nancy Pelosi (D-CA) were working to map out a way to complete health care reform in the coming months. On Wednesday, Sen. Pelosi floated a two-pronged strategy to pass incremental changes now and pursue comprehensive reform later.Some lawmakers have considered breaking up the legislation into smaller pieces that have bipartisan support. However, this option will prove challenging given the complexities and interdependencies of the measures. For example, lawmakers would like to include a measure that requires all insurance companies to insure those with pre-existing conditions; however, premiums will most likely increase unless there is an individual mandate.Earlier this week, Democrats appeared to be coalescing around a different strategy through which Senate lawmakers would make changes to their bill to appease members of the House. The Senate would then pass the revised bill via reconciliation, which only requires 51 votes. Following that, the House would approve the revised bill, giving it to President Obama for his review. However, movement on this strategy stalled Tuesday when two centrist Senators, Sens. Evan Bayh (D-IN) and Blanche Lincoln (D-AK), indicated that they would oppose using reconciliation to bypass Republican support. Others, including Sen. Joe Lieberman (I-CT) and Sen. Dianne Feinstein (D-CA), have suggested a “time out” on health care reform until there is a clear path forward.In the GOP response to President Obama’s State of the Union address, Virginia Governor Robert McDonnell said that Republicans share the Democrats’ desire for health care reform, but do not agree with their proposed solutions. Republicans suggest that Democrats scrap the current proposals and start over with more Republican input on issues such as medical malpractice reform and selling insurance policies across state lines.Republicans Call for Transparency: On Wednesday, the House Energy and Commerce Committee marked up a resolution presented by Rep. Michael Burgess (R-TX) which requested that the administration divulge documentation regarding the health care reform deals made with trade associations and a labor union. Committee Chairman Henry Waxman (D-CA) said that while details remained to be worked out, he would support a narrowed version of the Republican request for White House records.President Obama to Speak with House Republicans: President Obama will meet with House Republicans on Friday in response to an invitation to speak at their annual retreat in Baltimore that begins Thursday and ends Saturday. The meeting comes just after the President’s State of the Union address, and members of the news media speculate that the meeting may spur more bipartisanship or potentially lead to even more tension between the two parties.Interest Groups Call for Reform: With health care reform’s fate in jeopardy, interest groups have voiced their support, encouraging Democrats to push forward with legislation. The AARP, American Cancer Society Cancer Action Network, Consumers Union, Families USA and Service employees International Union sent a joint letter last Thursday urging Congress not to abandon comprehensive health care reform. Further, the United States Conference of Catholic Bishops also sent a letter to Congress urging a push for reform.Public OpinionPolls Show Concern with Health Care Reform; More Focus on Jobs and Economy: Several polls were released this week that highlight the public’s disenchantment with health care reform and anxiety around the struggling economy.A new CNN/Opinion Research poll released Tuesday shows that only three in ten Americans say they want Congress to pass legislation similar to the bills currently being discussed in Congress. Forty-eight percent of Americans would like lawmakers to start again on a new bill, and 21 percent believe Congress should not work on bills that would change the current health care system. Further, a Wall Street Journal/NBC poll released Wednesday found that 51 percent of Americans believe President Obama has paid “too little attention” to the economy and that 44 percent feel he has paid “too much attention” to his proposed health care overall.In addition, a new USA Today/Gallup poll released late last week finds that most Americans call for a more bipartisan effort in health reform. A 55 percent majority of Americans say that President Obama and Congressional Democrats should suspend movement on health care reform and consider alternatives that would increase Republican support.A poll released last weekend by the Washington Post , Henry J. Kaiser Family Foundation and Harvard University’s School of Public Health indicated that dissatisfaction with the direction of the country, including the Democrats’ health care reform proposals, drove the outcome of the Massachusetts election. The post-election survey of Massachusetts state voters showed that overall 43 percent say they support the health care reform proposals advanced by President Obama and Congressional Democrats, while 48 percent oppose them.A new poll released Monday from the Robert Wood Johnson Foundation found that fears regarding the health care reform package increased significantly in December as members of the Senate finalized their bill. Thirty-three percent of respondents said they believed their access to care would worsen if the legislation passed, up from 25 percent in November. Forty-two percent said the country’s finances would suffer under reform, compared with 34.6 percent in November.Looking AheadNext week, the President will present his Budget to Congress (which includes health programs), after which Congressional hearings will commence. We expect health reform to be discussed in these sessions. While there remains no clear path forward for health care reform, Congressional leaders will continue to work to find a solution.
Archive for July, 2011
Fitness Infomercials – How They Create The Fast-Fitness Fantasy For Quick Profits
Tuesday, July 19th, 2011While gym memberships have slid since 2006, home gym equipment sales continue to grow. Fitness infomercials are among the most popular TV commercials used to sell home exercise equipment. Of the six most profitable infomercial products, three are related to fitness. (1, 2)
Most of us dream about enjoying amazing workout results by investing only minimal time and effort. Fitness infomercials are designed to create this fantasy, which lulls us into purchasing products that may not live up to their claims.
The Successful Infomercial Program Profile and Fitness Products
Successful infomercial programs promote products that:
*are reasonably-priced, *are revolutionary and innovative, *cannot be found anywhere else, *can make life easier and better, and *produce immediate, transformational results. (3)
In order to fit this profile, marketers of fitness products often promote the fantasy of fast fitness. While the notion of undergoing a rapid body transformation appeals to the viewer, product claims may exceed the ability of the human body to achieve such accelerated results.
Many fitness gadgets have been taken to task by consumer groups for making unsubstantiated claims. While some products have been tested and shown to be reasonable supplements to a total exercise program, others are ineffective. (4, 5)
Despite consumer complaints and negative reviews, however, sales from fitness infomercials are booming. Why? Infomercial marketing tactics intrigue and motivate us to purchase a product regardless of its quality or effectiveness.
7 Common Marketing Tactics that Sell the Fast-Fitness Fantasy
These 7 common marketing tactics used in fitness infomercials target our emotions, establish product credibility, and offer bargains we can’t seem to refuse.
1. Emotions: Ads aim at the very core of our being–our sense of self and, perhaps, our vanity. They strike the chords of our emotions and play on our universal dreams, desires, and needs.
Our imaginations begin to mold our fantasies. Next, they establish credibility and trust, while easing skepticism about the ability of the product to fulfill our dreams of scupting a gorgeous body.
2. Testimonials: We listen to the stories of peers who profess amazing results from using the product and toy with the notion that, just maybe, it will work for us, too.
3. Endorsements: We tend to trust the word of celebrities, trainers, and elite athletes. If Oprah endorses a product, that pretty much seals the deal for many of us.
4. Scientific research: If a fitness device is based on a new scientific discovery or is university tested, isn’t that real proof that it is effective? Not necessarily!
Each of these confidence-building strategies has its shortcomings. Results claimed by compensated models may well be due to their total weight control and exercise program, rather than due to the product itself.
Scientific studies conducted or sponsored by manufacturers are often disclosed only upon request. Even results from university research may not be accurately represented in fitness infomercials, particularly if all of the findings do not support the fast-fitness profile. (5)
Nonetheless, according to one survey, viewers are more likely to trust infomercials than Congress, used car salesmen, and corporate executives! (3)
Once they have gained some reasonable level of our confidence in the product, they attempt to close the sale by:
5. Overcoming objections and upping the ante: Marketers emphasize the uniqueness of the product and urge us to accept no substitutes. They create a sense of urgency with limited-time offers and great bargains for the shopper in us.
6. Guaranteeing no risk: If you don’t get results, you will get a full refund! So, what have you got to lose?
7. Being persistent: Fitness infomercials repeat the same message frequently. Repetition, particularly late at night when our subconscious minds are more vulnerable, may well tap into the power of suggestion that prompts the buy.
Sold! Viewers will generally watch for 13 to 15 minutes before calling.
Add-On Sales For More Quick Profits
The purchase decision may be just the beginning of profits from fitness infomercials. Shipping, handling, and taxes are expected. But as a new, enthusiastic buyer, beware that you are likely to encounter a barrage of add-ons before you have completed the transaction. Pay close attention, or your credit card may automatically be charged monthly for additional products. And later, if you exercise your money- back guarantee, you may get the runaround from an automated system.
All told, you may pay the original advertised price many times over and, unfortunately, never see results. At some point you may come to realize that your fast-fitness fantasy was, from the start, the manufacturer’s quick-profit, dream-come-true at the expense of consumers.
Consumer Knowledge is Power
Do not let your emotions override patience and logic. Take a step back and research the fitness infomercial product and its claims. If you can move past the impulse buy:
*Check out user reviews on the specific product of interest. *Visit consumer-related sites before buying exercise equipment. *Ask the opinion of a fitness professional, preferably one who has formal training and an advanced degree in exercise science. *If you decide that the product is worth a try, be sure to read the fine print on the website.
Educate yourself by learning fundamental exercise and weight control principles so that unsubstantiated product claims will be more transparent to you. Fitness knowledge gives you the power to prevent falling for the fast-fitness fantasy before you make the purchase.
References:
1. Consumer Reports. (2009, January 6). Tip of the day: Choose a home exercise machine to fit your budget. Retrieved January 19, 2009, from http://blogs.consumerreports.org/health/2009/01/home-workout.html?resultPageIndex=1&resultIndex=1
2. The Marqui Automation Company. (2005, May 7). The all-powerful infomercial. Retrieved January 18, 2009, from http://www.marqui.com/blog/the_allpowerful.aspx
3. Infomercial Marketing. (2006, April 7). The right kind of product for an infomercial is… Retrieved January 19, 2009, from http://infomercialmarketing.wordpress.com/2006/04/
4. Federal Trade Commission. (2003, November). Avoiding the muscle hustle: Tips for buying exercise equipment. Retrieved January 18, 2009, from http://www.ftc.gov/bcp/edu/pubs/consumer/alerts/alt113.shtm
5. Consumer Reports. (2009, January). Assessing exercise infomercials’ claims. Retrieved January 19, 2009, from http://www.consumerreports.org/health/healthy-living/fitness/staying-fit/infomercial-exercise-2-08/how-they-tested/infomercial-exercise-equipment-how-they-test.htm