CINCINNATI – Colloquy, a publishing, research and education firm for loyalty professionals, recently released a consumer study showing that nearly six in 10 American consumers (59%) say they are justified in expecting better service to accompany a federal minimum-wage increase to $15 an hour, but seven in 10 consumers (69%) doubt they’ll get it.
Consumer attitudes about how raising the minimum wage to $15 an hour will affect their overall shopping experience were uncovered in a Colloquy survey of 1,500 Americans nationwide. The current federal minimum wage is $7.25 an hour.
Gender and age skews are apparent when consumers responded to the question of whether they would receive better service and a better overall experience if their favorite retailer raised its minimum wage to $15 an hour. Seven in 10 men (71%) said they would not receive better service, vs. two-thirds of women (66%). Three-fifths of millennials in the 18-to-24 age group (59%) said they would not receive it, compared to seven in 10 millennials in the 25-to-34 age group (69%).
“The minimum-wage issue is of keen interest to marketers who believe in the power of the front-line employee to engage the customer and create an experience that sets a brand apart from competitors,” said Jeff Berry, Colloquy editor-in-chief. “Brands may see an opportunity to surprise and delight customers based on the skepticism shown by so many in the survey about actually receiving better service.”
Other key Colloquy survey results include:
- 68% of women said they are justified in expecting better service with a $15 an hour minimum wage, vs. 59% of the general population and just 50% of men.
- 38% of the general population said raising the minimum wage to $15 an hour would lead to retailers adding more automation, resulting in poorer service and a poorer overall experience.
- 44% of men said raising the minimum wage to $15 an hour would lead to retailers adding more automation, resulting in poorer service and a poorer overall experience, vs. 33% of women.
- 38% of the general population said they support raising the minimum wage to $15 an hour.
Colloquy’s consumer survey was conducted Oct. 17-21. The nationwide survey of 1,500 U.S. consumers has a margin of error, which measures sampling variability, of +/- 2.5 percentage points at the 95% confidence level.
Cincinnati-based Colloquy is a publishing, education and research practice, bringing together loyalty practitioners from around the world. It is an independently operated division of LoyaltyOne.