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2007 Europe - Telecoms, Mobile and Broadband in United Kingdom and Ireland
Market Report, November 2007, 636  €


Description

BuddeComm’s latest UK and Ireland Annual Publication, ‘2007 Telecoms, Mobile and Broadband in the UK and Ireland’, profiles two countries with close links between regulators and telcos.
Ireland’s small telecom market contrasts with that of the UK, which is among Europe’s largest and most vibrant.
Ireland has been slow to develop broadband and digital TV, while the UK has a highly competitive broadband sector and the largest digital TV market in the EU.
In the UK the markets for triple play continued to mature during 2007, while digital TV take-up reached 85% by mid-year.
The country began switching off analogue transmissions in October 2007 in a phased program to 2012.
The consolidation of the cable market, with Virgin Media the dominant player, has helped rationalise network upgrades while the operator has extended its footprint through wholesale DSL access.
For the country overview, see chapter 1, page 1.Ireland’s incumbent, eircom, in October 2007 set in train its structural separation, aiming to separate its network infrastructure from its retail business.
The model differs from that of BT’s Openreach but if successful it may dramatically boost market competition and provide the stimulus for widespread broadband take-up, encourage investment in network upgrades and promote high-bandwidth triple play services in coming years.
For the country overview, see chapter 2, page 95.This report presents an overview of telecoms liberalisation and privatisation in the UK and Ireland, together with product offerings for both the mobile and broadband sectors.
It provides the latest key statistics for operators in all sectors, highlighting market and technological developments and detailing the emergence of media convergence and triple and quad-play in these two important markets.
The report also covers the latest regulatory developments, together with an analysis of NGNs and the strategies of the main players in coming years.Key Highlights2007 saw further development in quad-play offers, led by Virgin Media and BSkyB through its Sky Broadband, Sky Talk and Sky Plus brands.
In October 2007 BSkyB launched a pared down version of its pay TV, broadband and telephone services under a new brand, Picnic.
The company’s equipment has been installed in BT exchanges covering 70% of UK homes.
To address the UK’s relatively low broadband download speeds the regulator in October 2007 promoted the concept of a national fibre network costing up to Ł15 billion, with the potential for regulatory intervention to safeguard operator investment sin the sector.
eircom sought government approval to split company’s wholesale and retail divisions into two separate operations, with different owners.
The structural separation would go some way to address the country’s poor broadband infrastructure and take-up, though the company may expect its fibre network to be closed to competitors for up to five years as a part of any deal.
The UK’s digital and pay TV markets is among the most developed in Europe, with a range of services reached by about 85% of the population.
The Mobile TV market was strengthened in 2007 with deals between operators and content providers - H3 with BSkyB, Orange and Vodafone with the BBC.
H3 in April 2007 launched free advertising-funded mobile TV, while an advertising-funded MVNO, Blyk, may prove to be one of the more successful business models in the market.
Broadband subscribers and penetration in the UK and Ireland - 2004 - 2007 UK Ireland Year Subscribers Penetration Subscribers Penetration 2004 6,129,300 10% 135,000 3% 2005 9,840,500 17% 270,700 6% 2006 13,111,600 24% 517,300 12% 2007 (e) 17,250,000 28% 685,000 17% (Source: BuddeComm based on industry sources)For those needing high level strategic information and objective analysis on this region, this 170+ page report is essential reading and gives further information on:eircom’s structural separation, its impact on broadband take-up, and the regulatory measures needed to guarantee equality of access for competitors; Ireland’s mobile market following eircom’s award of a 3G licence; The growing demand for IPTV, VoD and other triple play services and its effect in stimulating both DSL and cable network upgrades; The changing face of converged media with widespread triple play services becoming a standard feature in homes.


Sommaire


1. UNITED KINGDOM
1.1 Key statistics
1.2 Telecommunications market
1.2.1 Overview of the UK’s telecom market
1.3 Regulatory environment
1.3.1 History
1.3.2 EU Regulatory Framework
1.3.3 Regulatory authority
1.3.4 BT’s structural separation
1.3.5 Next Generation Networks (NGN)
1.3.6 Telecom sector liberalisation in the UK
1.4 Major fixed network operators in the UK
1.4.1 New regulations
1.4.2 British Telecom
1.4.3 KCOM
1.4.4 Cable & Wireless
1.4.5 Virgin Media
1.4.6 COLT Telecom
1.4.7 THUS
1.4.8 Carphone Warehouse
1.4.9 Post Office re-entry
1.4.10 Orange
1.5 Telecommunications infrastructure
1.5.1 National telecom network
1.5.2 International
1.6 Broadband market
1.6.1 Overview
1.6.2 Cable modems
1.6.3 Asymmetrical Digital Subscriber Line (ADSL)
1.6.4 Fibre-to-the-Home (FttH) networks
1.6.5 Broadband Powerline (BPL)
1.6.6 Wireless broadband
1.6.7 Broadband forecasts to 2017
1.7 Convergence
1.7.1 Overview of media convergence
1.7.2 Key general trends
1.7.3 Triple play models
1.7.4 Regulator issues
1.7.5 Digital TV (DTV)
1.8 Mobile communications
1.8.1 Overview of the UK’s mobile market
1.8.2 Regulatory issues
1.8.3 Mobile technologies
1.8.4 Major mobile operators
1.8.5 Mobile voice services
1.8.6 Mobile data services
2. IRELAND
2.1 Key statistics
2.2 Telecommunications market
2.2.1 Overview of Ireland’s telecom market
2.3 Regulatory environment
2.3.1 History
2.3.2 Regulatory authority
2.3.3 Telecom sector liberalisation in Ireland
2.3.4 Number Portability (NP)
2.3.5 Carrier PreSelection (CPS)
2.4 Fixed network operators in Ireland
2.4.1 Operator market shares
2.4.2 eircom
2.4.3 BT Ireland
2.4.4 Smart Telecom
2.4.5 Tele2
2.4.6 Other operators
2.5 Telecommunications infrastructure
2.5.1 National telecom network
2.5.2 Structural separation issues
2.5.3 International
2.6 Broadband market
2.6.1 Overview
2.6.2 Broadband statistics
2.6.3 Cable modems
2.6.4 Asymmetrical Digital Subscriber Line (ADSL)
2.6.5 Broadband forecasts to 2017
2.7 Convergence
2.7.1 Overview of media convergence
2.7.2 Key general trends
2.7.3 Triple play models
2.7.4 Regulatory issues
2.7.5 Digital TV
2.8 Mobile communications
2.8.1 Overview of Ireland’s mobile market
2.8.2 Regulatory issues
2.8.3 Mobile technologies
2.8.4 Major mobile operators
2.8.5 Mobile voice services
2.8.6 Mobile data services
2.8.7 Mobile applications
3. GLOSSARY OF ABBREVIATIONS


Exhibit 1 – Principal submarine cables from the UK – 2007
Exhibit 2 – BT’s wholesale DSL products – 2007
Exhibit 3 – Wireless opportunities
Exhibit 4 – WLAN operator business models - 2007
Exhibit 5 – Operators’ service bundling offers – August 2007
Exhibit 6 – Technology developments in bundled services – 2007 - 2008
Exhibit 7 – Digital broadcasting switchover timetable – 2008 - 2012
Exhibit 8 – Snapshot of digital TV services – July 2007
Exhibit 9 – Popular VoIP providers – 2007
Exhibit 10 – 3G infrastructure suppliers
Exhibit 11 – 3G licence results – June 2002
Exhibit 12 – WDMDS licences: operators, spectrum and fees – 2005




Table 1 – Country statistics United Kingdom – 2007
Table 2 – Telecom revenue and investment statistics – 2007
Table 3 – Telephone network statistics – 2007
Table 4 – Internet user statistics – June 2007
Table 5 – Broadband statistics – March 2007
Table 6 – Mobile statistics – June 2007
Table 7 – National telecommunications authority
Table 8 – Cost of average telecoms services – 2002 - 2006
Table 9 – Communications retail sector revenue – 2001 - 2006
Table 10 – Share of communications wholesale and retail revenue – 2001 - 2006
Table 11 – Communications wholesale and retail revenue – 2001 - 2006
Table 12 – Telecom connections: fixed, mobile, broadband and Internet – 2002 - 2007
Table 13 – BT Openreach LLU volumes – 2004 - 2007
Table 14 – LLU, shared access price - connection, monthly rental – 2004 - 2006
Table 15 – Proportion of unbundled exchanges and connections – 2005 - 2007
Table 16 – Unbundled loops and access lines – 2004 - 2007
Table 17 – ISP share of LLU lines – 2006
Table 18 – Share of non-BT lines by sector – 2002 - 2006
Table 19 – Numbers ported – 2004 – 2005 *
Table 20 – Lines with CPS – 2004 - 2007
Table 21 – Use of alternative fixed-line providers – 2006
Table 22 – WLR lines – 2004 - 2007
Table 23 – Market share of fixed voice calls – 2002 - 2006
Table 24 – BT market share of residential call types by traffic volumes – 2002 - 2006
Table 25 – BT revenue, EBITDA, CAPEX, profit, debt and annual change – 2006 - 2007
Table 26 – KCOM turnover – 1999 - 2007
Table 27 – Cable & Wireless financial statistics – 2006 - 2007
Table 28 – Virgin Media revenue – 2006 - 2007
Table 29 – COLT data and voice revenue, EBITDA and annual change – 2006 - 2007
Table 30 – THUS mobile and broadband subscribers – 2006 - 2007
Table 31 – THUS revenue, EBITDA and operating loss – 2006 - 2007
Table 32 – Carphone Warehouse revenue, profit and annual change – 2007
Table 33 – Fixed lines in service and teledensity – 1995 - 2007
Table 34 – Broadband retail revenue – 2000 - 2007
Table 35 – ISP market share of broadband subscribers – 2006 - 2007
Table 36 – Broadband connections by type – 2002 - 2007
Table 37 – Market share of broadband subscribers – 2002 - 2007
Table 38 – Broadband availability by households – 2000 - 2007
Table 39 – Internet / Broadband service revenue – 2001 - 2006
Table 40 – UK broadband market overview – 2003 - 2006
Table 41 – Broadband penetration by technology – 2004 - 2006
Table 42 – Total broadband subscribers and penetration by type – 2004 - 2007
Table 43 – Percentage Internet access by dial-up and broadband – 2000 - 2006
Table 44 – Residential Internet and broadband connections – 2002 - 2007
Table 45 – PC, broadband and Internet household penetration – 2000 - 2007
Table 46 – Broadband and narrowband share of connections – 2004 - 2006
Table 47 – Broadband lines by type: DSL, LLU, cable; wholesale – 2006
Table 48 – Virgin Media subscriber statistics – 2006 - 2007
Table 49 – Virgin Media cable revenue statistics – 2006 - 2007
Table 50 – xDSL subscribers – 2000 - 2007
Table 51 – Average UK residential broadband subscription prices – 2001 - 2006
Table 52 – BT retail and wholesale broadband subscribers – 2004 - 2007
Table 53 – Pipex revenue and pre-tax loss – 2006 – 2007
Table 54 – Forecast broadband subscriber growth – stronger market growth scenario – 2007 - 2011; 2017
Table 55 – Forecast broadband subscriber growth – weaker market growth scenario – 2007 - 2011; 2017
Table 56 – Availability and penetration of digital services – mid-2007
Table 57 – Proportion of bundled services by type – 2006
Table 58 – Statistical overview of the digital TV market – 2005 - 2007
Table 59 – Market share of TV homes by platform (primary sets) – 2005 - 2007
Table 60 – Digital TV take up, share of main TV sets – 2004 - 2007
Table 61 – Share of multi-channel TV – 2004 - 2007
Table 62 – Digital TV share of net additions – 2004 - 2007
Table 63 – Homes equipped for DTTV – 2006 - 2007
Table 64 – DTTV equipment sales – 2006 - 2007
Table 65 – Cumulative DTTV STB sales – 2006 - 2007
Table 66 – BT VoIP subscribers – 2006 - 2007
Table 67 – Cable TV subscribers and penetration – 2003 - 2007
Table 68 – Virgin Media subscribers, connected homes, ARPU and DVRs – 2006 - 2007
Table 69 – Virgin Media revenue, operating cash flow and operating income – 2005 - 2006
Table 70 – Free-to-view satellite households - 2005 - 2007
Table 71 – BSkyB subscriber statistics - 2005 - 2007
Table 72 – BSkyB ARPU - 2005 - 2007
Table 73 – BSkyB revenue, operating profit and annual change - 2007
Table 74 – Mobile voice traffic and total traffic – 2005 - 2006
Table 75 – Mobile operators, technology, subscribers and annual change – June 2007
Table 76 – Market share by operator – Q2 2007
Table 77 – Mobile subscribers and penetration – 1995 - 2007
Table 78 – Active mobile subscribers: contract and prepaid – 2001 - 2006
Table 79 – Mobile and fixed phones in homes – 2000 - 2007
Table 80 – Consumer methods of making/receiving calls – 2004 - 2005
Table 81 – Mobile subscribers by operator – 2000 - 2007
Table 82 – Mobile retail revenue by operator – 2000 - 2007
Table 83 – Total mobile retail revenue by sector – 2002 - 2006
Table 84 – ARPU by operator – 2006 - 2007
Table 85 – Data and voice ARPU per subscriber – 2002 - 2006
Table 86 – ARPU by subscription type – 2002 - 2006
Table 87 – 3G licence results – April 2000
Table 88 – Portion of spectrum use by sector – 2006
Table 89 – Mobile numbers ported – 2003 – 2005 *
Table 90 – Average mobile termination charges – 2000 - 2005
Table 91 – Average mobile retail call and messaging revenue – 2002 - 2006
Table 92 – Mobile market share by operator – 2004 - 2007
Table 93 – Share of net adds by network operator – 2005 - 2007
Table 94 – O2 net service and total revenue, OIBDA and annual change – Q2 2007
Table 95 – O2 SMSs sent – 2005 - 2007
Table 96 – O2 quarterly ARPU – blended, contract, prepaid and data – 2006 - 2007
Table 97 – O2 subscribers, prepaid and contract – 2005 - 2007
Table 98 – Vodafone ARPU – blended, contract and prepaid – 2005 - 2007
Table 99 – Vodafone mobile non voice as % service revenue – 2005 - 2007
Table 100 – Vodafone 3G and live! subscribers – 2005 - 2007
Table 101 – Vodafone subscribers and proportion prepaid – 2001 - 2007
Table 102 – Vodafone Group revenue by sector and annual change – 2006 - 2007
Table 103 – T-Mobile revenue, ARPU, EBITDA and annual change – 2006 - 2007
Table 104 – T-Mobile subscriber statistics – 2005 - 2007
Table 105 – Orange subscribers, contract and prepaid – 2006 - 2007
Table 106 – Orange service revenue: data as % of total – 2006 - 2007
Table 107 – Orange revenue – 2005 - 2007
Table 108 – Orange annual ARPU: contract, prepaid, blended, voice and data – 2006 - 2007
Table 109 – Virgin Mobile subscribers – 2005 - 2007
Table 110 – Carphone Warehouse subscribers – 2002 - 2007
Table 111 – Carphone Warehouse mobile revenue – 2006 - 2007
Table 112 – Percentage of prepaid customers per operator – 2003 - 2006
Table 113 – Average cost per mobile minute (pence) – 2002 - 2006
Table 114 – Total and average text messages sent – 1999 - 2007
Table 115 – Average SMS revenues – 2001 - 2005
Table 116 – SMS and MMS revenue by operator – 2006 - 2007
Table 117 – SMS and MMS volumes by operator – 2006 - 2007
Table 118 – Average monthly MMS use – 2003 - 2005
Table 119 – Vodafone live! customers – 2005 - 2007
Table 120 – Country statistics Ireland – 2007
Table 121 – Telecom revenue and investment statistics – 2007
Table 122 – Telephone network statistics – 2007
Table 123 – Internet user statistics – June 2007
Table 124 – Broadband statistics – March 2007
Table 125 – Mobile statistics – June 2007
Table 126 – National telecommunications authority
Table 127 – Market revenue shares by fixed, mobile and broadcasting sector - 2002 - 2007
Table 128 – Fixed-line, mobile and broadcasting revenue - 2005 - 2007
Table 129 – Fixed-line revenue by service - 2005 - 2007
Table 130 – Proportion of fixed-line revenue by service - 2004 - 2007
Table 131 – Unbundled loops and access lines – 2004 - 2007
Table 132 – LLU, shared access price - connection, monthly rental – 2004 - 2006
Table 133 – eircom access channels: PSTN, ISDN, ADSL and annual change – 2006 - 2007
Table 134 – Access paths – 2005 - 2007
Table 135 – eircom leased lines by type and annual change – 2005 - 2007
Table 136 – Numbers ported – 2003 - 2006
Table 137 – Indirect access lines: CPS and WLR – 2005 - 2007
Table 138 – Total narrowband fixed-line revenue by operator - 2006 - 2007
Table 139 – Total narrowband fixed-line revenue - 2005 - 2007
Table 140 – Fixed-line call volumes (thousand minutes): incumbent and OAOs - 2005 - 2007
Table 141 – Operator market share of fixed-line connections - June 2007
Table 142 – eircom turnover, EBITDA and CAPEX - 2001 - 2007
Table 143 – eircom revenue, EBITDA, profit and annual change - 2006 - 2007
Table 144 – eircom voice traffic revenue by type and annual change - 2006 - 2007
Table 145 – eircom data traffic revenue by type and annual change - 2006 - 2007
Table 146 – eircom access channels, subscribers and annual change – 2006 - 2007
Table 147 – eircom voice traffic minutes by type and annual change – 2006 - 2007
Table 148 – BT Ireland Internet subscribers - 2006 - 2007
Table 149 – BT Ireland revenue (All Ireland) - 2006 - 2007
Table 150 – Smart Telecom turnover, EBITDA, gross profit/loss - 2003 - 2005
Table 151 – Smart Telecom subscriber statistics by sector - 2005
Table 152 – Fixed lines in service and teledensity – 1995 - 2007
Table 153 – Direct / indirect access paths – 2005 - 2007
Table 154 – Broadband penetration by technology – 2006
Table 155 – Share of home Internet connections by technology – June 2007
Table 156 – Share of corporate Internet connections by technology – 2005 - 2006
Table 157 – Share of home Internet connections by ISP – June 2007
Table 158 – Total broadband subscribers by access type – 2002 - 2007
Table 159 – Narrowband subscribers; metered and flat rate - 2005 - 2007
Table 160 – Internet share by platform - 2004 - 2007
Table 161 – Broadband and Internet growth by platform - 2006 - 2007
Table 162 – Share of total broadband market by operator - 2004 - 2007
Table 163 – Proportion of DSL access by type - 2004 - 2006
Table 164 – UPC Broadband subscribers – 2006 - 2007
Table 165 – DSL access provision by type and operator – 2002 - 2007
Table 166 – eircom’s ADSL and bitstream lines – 2004 - 2007
Table 167 – Wireless hotspots and access points - March 2007
Table 168 – Forecast broadband subscriber growth – stronger market growth scenario – 2007 - 2011; 2017
Table 169 – Forecast broadband subscriber growth – weaker market growth scenario – 2007 - 2011; 2017
Table 170 – Statistical overview of Ireland’s broadcasting market - 2006 - 2007
Table 171 – Take-up of broadcasting services, % of total - 2002 - 2007
Table 172 – Digital TV: cable and satellite market share - 2004 - 2007
Table 173 – Corporate and SME use of VoIP – 2005 - 2006
Table 174 – Pay TV market access type: analogue and digital - 2002 - 2006
Table 175 – Digital Pay TV subscribers as % of pay TV – 2005 - 2006
Table 176 – Broadcasting subscribers by platform and annual growth - 2006 - 2007
Table 177 – Pay TV market: percentage analogue and digital (of pay TV) - 2004 - 2007
Table 178 – Broadcasting market breakdown by technology - 2004 - 2007
Table 179 – Subscribers to pay TV services - 2005 - 2007
Table 180 – Cable TV subscribers and penetration – 2000 - 2007
Table 181 – UPC Ireland operating data and subscribers – 2006 - 2007
Table 182 – Satellite TV antennae and home penetration – 1992 - 2007
Table 183 – BSkyB satellite TV subscribers – 2003 - 2007
Table 184 – Operator blended ARPU – 2005 - 2007
Table 185 – Mobile operators, technology, subscribers and annual growth – June 2007
Table 186 – Mobile subscribers and penetration – 1995 - 2007
Table 187 – Mobile-only subscribers and fixed-line connections – 2003 - 2006
Table 188 – Mobile market revenue - 2005 - 2007
Table 189 – Mobile traffic volume - 2005 - 2007
Table 190 – Mobile market share by operator- 2004 - 2007
Table 191 – Market share of net adds by operator – 2005 - 2007
Table 192 – Market share of revenue by operator – 2003 - 2007
Table 193 – Roaming tariffs by call type and by operator – 2007
Table 194 – Cumulative mobile numbers ported – 2003 - 2007
Table 195 – Vodafone subscribers – 2006 - 2007
Table 196 – Vodafone ARPU – 2006 - 2007
Table 197 – O2 annualised ARPU, blended, prepaid and contract – 2006 - 2007
Table 198 – O2 revenue, subscribers, SMS, monthly minutes and annual change – Q2 2007
Table 199 – Meteor Mobile subscribers – 2003 - 2007
Table 200 – eircom mobile services revenue, EBITDA and annual change - 2006 - 2007
Table 201 – 3 Ireland revenue and loss – 2005 - 2006
Table 202 – Share of mobile retail voice traffic by type – 2003 - 2005
Table 203 – Mobile voice minutes – 2005 - 2007
Table 204 – Prepaid versus postpaid share of subscribers – 2000 - 2007
Table 205 – Proportion of prepaid and contract subscribers by operator – 2006 - 2007
Table 206 – Meteor Mobile prepaid and contract subscribers – 2006 - 2007
Table 207 – SMS messages sent – 2000 - 2007
Table 208 – MMS messages sent – 2005 - 2007

Chapter 1 Executive Summary


  • Background

    • Introduction
    • Overview of the Report


  • Scope and Methodology

    • Scope of the Market
    • Methodology


  • Overview of the Market

    • Men’s Population Totals 110 Million
    • Men Continue to Generate Bulk of Consumer Income
    • Married Men Generate Most Income
    • Aggregate Income of Men Will Grow 19% by 2012


  • Profile of the Men’s Population

    • Men Form Majority in Younger Population Segments
    • Older Men Most Content
    • Conservative Views Intensify with Age
    • Men under 35 Driven by Their Careers


  • The Changing Role of Men in American Society

    • Educational Achievement of Younger Men Continues to Lag
    • Men Will Earn Minority of Professional Degrees by 2015
    • Men Now less Likely to Marry Their Educational Inferiors
    • Most Husbands Still Out-earn Wives
    • Education Gap Affects Marriage Prospects of Young Men and Women in Large Metro Areas
    • Men Still More Likely to Be in Workforce
    • Earnings Difference Narrows as Education Gap Widens
    • Divorce Rate Growing
    • Men More Dependent on Their Parents


  • How Men Spend Leisure Time

    • Play Gives Way to Work at Age 25
    • Listening to Music and Going Out to Eat Rank as Most Popular Leisure Activities
    • Movie Attendance Declines with Age
    • Fitness Walking Most Popular Sports Activity
    • Older Men More Tuned In to Traditional Media
    • Magazine Choices of Men Change with Age
    • Popularity of TV Sports Transcends Age Groups


  • How Men Spend Money

    • Younger Men Like to Shop
    • Shopping in Home Improvement and Home Furnishings Stores Peaks in Middle Years
    • Sense of Financial Security Increases with Age
    • Use of Internet Varies across Age Groups
    • Cars Part of Self-Image of Younger Men
    • Men in 60+ Age Group Best Customers for New Car Dealers
    • Diet and Exercise Become More Important as Men Age
    • Younger Men Like to Try Out New Foods


  • Consumer Profile: Young Shoppers

    • “Young Shoppers Defined”
    • Young Shoppers Are Influencers and Trendsetters
    • Young Shoppers on the Lookout for Sales and Bargains
    • Brand Awareness High
    • Young Shoppers Enamored of Their Looks
    • Young Shoppers Are Fashion-Driven
    • Experimenting with New Foods Part of Young Shoppers’ Lifestyle
    • Home Decorating Important to Young Shoppers
    • Young Shoppers Are Traditional Media Mavens


  • Consumer Profile: Blue-Collar vs. College-Educated Young Men

    • Declining Educational Achievement among Younger Men Has Implications for Marketers
    • “Blue-Collar” and “College-Educated” Segments Defined
    • Many Blue-Collar Young Men Have Substantial Income 13
    • Blue-Collar Shoppers less Sensitive to Price
    • Blue-Collar Shopping Habits Unaffected by Internet
    • Cars More Important to Blue-Collar Segment
    • Computers Present in Most Blue-Collar Homes
    • College-Educated Men Focus More on Personal Fitness and Healthy Eating
    • Young Men with College Background Have Wider Tastes in Food


  • Consumer Profile: Never-Married vs. Married Men

    • “Never-Marrieds” Fast-Growing Market Segment
    • Never-Married Population Heavily Urban
    • Most Never-Married Men Live with Others
    • Married Men More Content
    • Never-Married Men Far More Concerned about Looking Good
    • Home Important to Never-Married Men
    • Cooking Provides Centerpiece of Home Life for Never-
    • Married Men
    • Never-Married Men Work Out More
    • Never-Married Men Like to Shop
    • Attitudes toward Food Differ Significantly
    • Never-Married Men More Interested in Managing Health
    • Never-Married Men More Attracted to Online Shopping


  • Consumer Profile: Modern vs. Traditional Men

    • The “Metrosexual” Man Falls Out of Favor
    • Defining “Modern” and “Traditional” Men
    • Modern Men Want to Look Good
    • Modern Men Focus on Their Homes
    • Traditional Men Better at Fixing Things
    • Traditional Men Go Out Less Often
    • Traditional Men More Likely to Go Hunting and Golfing
    • Wide Differences Seen in Shopping Behavior
    • Traditional Men Have Conservative Dress Style
    • Healthy Eating Key Goal of Modern Men
    • Kitchens Important to Modern Men
    • Modern Men See Cars as Way to Express Identity, Traditional Men View Autos as Mode of Transportation


  • Trends and Opportunities

    • Social Trends Changing Structure of Men’s Market
    • Marketers and Media Executives Continue Quest to Engage Men
    • Young Shoppers and Modern Men Offer Many Similar Opportunities for Marketers
    • Blue-Collar Segment Merits Respect
    • Older Men Deserve More Attention from Marketers
    • Never-Married and Other Single Men in Older Age Groups Are Major Spenders













                          Chapter 2 Trends and Opportunities


                          • Social Trends Changing Structure of Men’s Market
                          • Marketers and Media Executives Continue Quest to Engage Men
                          • Marketers of Men’s Grooming Products Turn to Branded Entertainment
                          • MTV Creates a New Division to Integrate Advertising to Men across Multiple Platforms
                          • Men’s Magazines Adopt the Service Approach of Women’s Titles
                          • PepsiCo Redesigns Diet Pepsi Packaging to Attract More Men
                          • Men’s Grooming Companies Try Radically Different Marketing Approaches
                          • Young Shoppers and Modern Men Offer Many Similar Opportunities for Marketers
                          • Blue-Collar Segment Merits Respect
                          • Table 2-1Aggregate Income of 18- to 34-Year-Old Men without a College Education, 2006
                          • Older Men Deserve More Attention from Marketers
                          • Never-Married and Other Single Men in Older Age Groups Are Major Spenders
                          • Table 2-2 Aggregate Income of Never-Married Men Age 25 and Over, by Age Group, 2006
                          • Table 2-3 Aggregate Consumer Expenditures of Single Men Age 35 and Over, by Age Group and Expenditure Category, 2005 (in million $)














                                                    Chapter 3 Overview of the Market


                                                    • Size and Growth of the Men’s Market
                                                    • Men’s Population Totals 110 Million
                                                    • Men Continue to Generate Bulk of Consumer Income
                                                    • Figure 3-1 Aggregate Income of Men and Women, 2006 (in billion $)
                                                    • Source: U.S. Census Bureau; Packaged Facts
                                                    • Married Men Generate Most Income
                                                    • Table 3-1 Aggregate Income of Men, Rank Ordered by Age Group and Marital Status, 2006
                                                    • Table 3-2 Aggregate Income of Men, by Race and Hispanic Origin, 2006
                                                    • Table 3-3 Aggregate Income of Men, by Age Group, 2006
                                                    • Aggregate Income of Men Will Grow 19% by 2012
                                                    • Table 3-4 Projected Growth in Aggregate Income of Men, 2007-2012 (in billion $)


                                                  • Profile of the Men’s Population

                                                    • Men Form Majority in Younger Population Segments
                                                    • Table 3-5 Distribution of Adult Population, by Gender, 2006
                                                    • (in thousands)
                                                    • Table 3-6 Distribution of Adult Population, by Age Group and Gender, 2006 (in thousands)
                                                    • Multicultural Men More Significant in Younger Age Groups of Men’s Population
                                                    • Table 3-7 Male Population, by Race and Hispanic Origin, 2006 (in thousands)
                                                    • Table 3-8 Men’s Population, by Age Group, Non-Hispanic Whites vs. Others, 2006 (in thousands)


                                                  • Core Values

                                                    • Older Men Most Content
                                                    • Table 3-9 Attitudes toward Life of Men, by Age Group
                                                    • Conservative Views Intensify with Age
                                                    • Table 3-10 Social Values of Men, by Age Group
                                                    • Men Under 35 Driven by Their Careers
                                                    • Table 3-11 Attitudes toward Work and Money of Men by Age Group














                                                                              Chapter 4 The Changing Role of Men in American Society


                                                                              • Social Trends Affecting the Men’s Market

                                                                                • Educational Achievement of Younger Men Continues to Lag
                                                                                • Figure 4-1 Full-Time College Students by Gender, 2005 (in thousands)
                                                                                • Table 4-1 Percentage of Men and Women with College Degree or More, 2006
                                                                                • Men Will Earn Minority of Professional Degrees by 2015
                                                                                • Table 4-2 Actual and Projected Numbers of College Degrees by Gender, 2003-2004 vs. 2015-2016
                                                                                • Men Now Less Likely to Marry Their Educational Inferiors
                                                                                • Table 4-3 Educational Attainment of Married Men and Women, 1985 vs. 2006
                                                                                • Most Husbands Still Out-earn Wives
                                                                                • Table 4-4 Earnings of Husbands and Wives, 1999 vs. 2005
                                                                                • (in thousands)
                                                                                • Education Gap Affects Marriage Prospects of Young Men and Women in Large Metro Areas
                                                                                • Table 4-5 Percentage of 18- to 34-Year-old Men and Women with College Degree or More in 20 Largest Metropolitan Areas, 2005


                                                                              • Economic Changes Affecting the Status of Men

                                                                                • Men Still More Likely to Be in Workforce
                                                                                • Table 4-6 Labor Force Participation by Age Group, Men vs.
                                                                                • Women, 2006
                                                                                • Table 4-7 Full-Time and Part-Time Employment of the Population Age 20 Years and Over, Men vs. Women, 2006 (in thousands)
                                                                                • Men Continue to Earn More than Women
                                                                                • Table 4-8 Mean Income by Age Group, Men vs. Women, 2006
                                                                                • Table 4-9 Occupations of Men and Women, 2006 (in thousands)
                                                                                • Many Men under Age 40 Are High Earners
                                                                                • Table 4-10 High-Income Men by Age Group, 2006 (in thousands)
                                                                                • Younger Women Begin to Dominate Jobs Needing College Education
                                                                                • Table 4-11 Percentage of 18- to 34-Year-Old Men and Women Working Full-Time, Year-Round, by Educational Attainment and by Age Group, 2006 (in thousands)
                                                                                • Figure 4-2 Men as Percentage of College Graduates with Earnings, 1975 vs. 2005
                                                                                • Earnings Difference Narrows as Education Gap Widens
                                                                                • Table 4-12 Mean Earnings of Men and Women Working Full-Time, Year-Round, by Age Group, 2006
                                                                                • Table 4-13 Mean Earnings of Men and Women with College Degree or More, 1970 vs. 2005


                                                                              • Social Trends

                                                                                • Men’s Population Getting Older Faster
                                                                                • Table 4-14 Projected Growth in Population Age 65 and Older, Men vs. Women, 2000 vs. 2020 (in thousands)
                                                                                • Most Men Live in Family Settings
                                                                                • Table 4-15 Living Arrangements of Men, 2006 (in thousands)
                                                                                • Table 4-16 Living Arrangements of Men by Age Group, 2006 (in thousands)
                                                                                • Divorce Rate Growing
                                                                                • Table 4-17 Marital Status of Men and Women over 18 Years of Age, 2006 (in thousands)
                                                                                • Figure 4-3 Percentage of Men Divorced and Separated, 1970-2006
                                                                                • Figure 4-4 Number of Divorced and Separated Men, 1970-2006 (in thousands)
                                                                                • Men More Dependent on Their Parents
                                                                                • Table 4-18 Number of Men and Women without Own Children Living in Parents’ Household, by Age Group, 2006 (in thousands)













                                                                                                      Chapter 5 How Men Spend Leisure Time


                                                                                                      • Leisure Activities

                                                                                                        • Play Gives Way to Work at Age 25
                                                                                                        • Figure 5-1 Number of Hours per Day Spent on Leisure and Work Activities by Men by Age Group, 2006
                                                                                                        • Listening to Music and Going Out to Eat Rank as Most Popular Leisure Activities
                                                                                                        • Table 5-1 Participation in Leisure Activity/Hobby in Last 12 Months by Men by Age Group
                                                                                                        • Concerts Primary Live Entertainment Venue for Men under 60
                                                                                                        • Table 5-2 Live Performances Attended in Last 12 Months by Men by Age Group
                                                                                                        • Movie Attendance Declines with Age
                                                                                                        • Table 5-3 Profile of Movie Attendance of Men by Age Group
                                                                                                        • Table 5-3 Profile of Movie Attendance of Men by Age Group [Cont.]
                                                                                                        • Most Younger Men Exercise Regularly
                                                                                                        • Table 5-4 Regular Participation in Physical Fitness Programs by Men by Age Group
                                                                                                        • Fitness Walking Most Popular Sports Activity
                                                                                                        • Table 5-5 Participation in Sports Activity in Last 12 Months by Men by Age Group


                                                                                                      • Media Usage

                                                                                                        • Media Habits of Younger Men Affected by Internet
                                                                                                        • Table 5-6 Impact of the Internet on Media Usage of Men by Age Group
                                                                                                        • Older Men More Tuned In to Traditional Media
                                                                                                        • Table 5-7 Attitudes toward Television of Men by Age Group
                                                                                                        • Table 5-8 Attitudes toward Radio of Men by Age Group
                                                                                                        • Table 5-9 Attitudes toward Newspapers of Men by Age Group
                                                                                                        • Magazine Choices of Men Change with Age
                                                                                                        • Table 5-10 Magazines Popular with Men by Age Group
                                                                                                        • Cable TV Preferences Listed
                                                                                                        • Table 5-11 Cable TV Services Viewed in Last 7 Days by Men by Age Group
                                                                                                        • Popularity of TV Sports Transcends Age Groups
                                                                                                        • Table 5-12 TV Sports Watched Frequently by Men by Age Group
                                                                                                        • Table 5-12 TV Sports Watched Frequently by Men by Age Group [Cont.]













                                                                                                                              Chapter 6 How Men Spend Money


                                                                                                                              • Shopping Behavior
                                                                                                                              • Younger Men Like to Shop
                                                                                                                              • Table 6-1 Shopping Behavior of Men by Age Group
                                                                                                                              • Interest in Clothes Shopping Highest among 18- to 24-Year-Old
                                                                                                                              • Men
                                                                                                                              • Figure 6-1 Percentage of Men Who Really Enjoy Clothes Shopping by Age Group
                                                                                                                              • Shopping in Home Improvement and Home Furnishings Stores Peaks in Middle Years
                                                                                                                              • Table 6-2 Shopping Profile of Men by Age Group
                                                                                                                              • Older Men More Likely to Look for Sales and Bargains
                                                                                                                              • Table 6-3 Attitudes toward Sales and Bargains of Men by Age Group
                                                                                                                              • Brand Loyalty Highest among Older Men
                                                                                                                              • Table 6-4 Attitudes toward Brands of Men by Age Group
                                                                                                                              • Younger Men See Shopping as Social Event
                                                                                                                              • Table 6-5 Shopping as a Social Event by Men by Age Group
                                                                                                                              • Figure 6-2 Percentage of Men Saying They Prefer to Shop with Their Friends, 18- to 24-Year-Olds vs. Other Age Groups
                                                                                                                              • Internet Has Biggest Impact on Shopping Habits of 18- to 34-Year-Old Men
                                                                                                                              • Table 6-6 Impact of Internet on Shopping by Men by Age Group
                                                                                                                              • Older Men More Interested in “Made in America” Label
                                                                                                                              • Figure 6-3 Percentage of Men Saying They Prefer to Buy U.S.-Made Products


                                                                                                                            • Personal Finance

                                                                                                                              • Sense of Financial Security Increases with Age
                                                                                                                              • Figure 6-4 Percentage of Men Who Feel Secure Financially by
                                                                                                                              • Age Group
                                                                                                                              • Younger Men Less Confident about Money Management
                                                                                                                              • Table 6-7 Attitudes toward Personal Finances of Men by Age Group
                                                                                                                              • Interest in Life Insurance Peaks among Men between 35 and 60
                                                                                                                              • Table 6-8 Attitudes toward Insurance of Men by Age Group
                                                                                                                              • Men in 60+ Age Group Most Likely to Have Credit Cards
                                                                                                                              • Table 6-9 Financial Services Profile of Men by Age Group


                                                                                                                            • Technology and Consumer Electronics

                                                                                                                              • Men of All Ages under 60 Show Interest in Computers and Technology
                                                                                                                              • Table 6-10 Attitudes toward Computers, Consumer Electronics and Technology of Men by Age Group
                                                                                                                              • Ownership of Consumer Electronics Shows Differences in Life Stages
                                                                                                                              • Table 6-11 Ownership of Home Electronics by Men by Age Group
                                                                                                                              • Men under 35 Most Likely to Have Cellphones with
                                                                                                                              • Internet Access
                                                                                                                              • Table 6-12 Use of Cellphones by Men by Age Group
                                                                                                                              • Use of Internet Varies across Age Groups
                                                                                                                              • Table 6-13 Frequency of Internet Access at Home in Last 7 Days by Men by Age Group
                                                                                                                              • Table 6-14 Online Activities of Men by Age Group


                                                                                                                            • Attitudes toward Fashion

                                                                                                                              • Younger Men More Driven by Fashion
                                                                                                                              • Table 6-15 Attitudes toward Fashion of Men by Age Group
                                                                                                                              • Men Most Likely to Be in Charge of Clothes-Buying Decisions
                                                                                                                              • Table 6-16 Sole Purchasing Decisions by Men by Age Group


                                                                                                                            • Automotive

                                                                                                                              • Cars Part of Self-Image of Younger Men
                                                                                                                              • Table 6-17 Cars and Self-Image of Men by Age Group
                                                                                                                              • Older Men Like American Cars
                                                                                                                              • Table 6-18 Attitudes toward Foreign vs. U.S. Cars of Men by Age Group
                                                                                                                              • Men in 60+ Age Group Best Customers for New Car Dealers
                                                                                                                              • Table 6-19 Reasons for Buying Cars of Men by Age Group


                                                                                                                            • Food

                                                                                                                              • Diet and Exercise Become More Important as Men Age
                                                                                                                              • Table 6-20 Attitudes toward Healthy Eating of Men by Age Group
                                                                                                                              • Younger Men Like to Try Out New Foods
                                                                                                                              • Table 6-21 Favorite Foods of Men by Age Group
                                                                                                                              • Older Men Like Sweets
                                                                                                                              • Table 6-22 Attitudes toward Snacking of Men by Age Group
                                                                                                                              • Fast Food and Frozen Dinners Fit Lifestyle of Younger Men
                                                                                                                              • Table 6-23 Cooking at Home by Men by Age Group
                                                                                                                              • Table 6-24 Attitudes toward Fast Food of Men by Age Group














                                                                                                                                                        Chapter 7 Young Shoppers


                                                                                                                                                        • Introduction

                                                                                                                                                          • Shoppers in 18- to 34-Year-Old Age Segment Seen as Highly Desirable Demographic in Men’s Market
                                                                                                                                                          • “Young Shoppers” Segment Defined


                                                                                                                                                        • Overview

                                                                                                                                                          • Young Shoppers More Likely to Be Multicultural
                                                                                                                                                          • Table 7-1 Demographic Profile, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Have Lower Incomes
                                                                                                                                                          • Table 7-2 Employment and Income Profile, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Have Materialistic Streak
                                                                                                                                                          • Table 7-3 Attitudes toward Work and Money, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers More Socially Conservative
                                                                                                                                                          • Table 7-4 Social and Political Values, Young Shoppers vs. Other 18- to 34-Year-Old Men


                                                                                                                                                        • Shopping Behavior

                                                                                                                                                          • Young Shoppers Are Influencers and Trendsetters
                                                                                                                                                          • Table 7-5 Impact on Consumer Decisions of Friends, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Like Shopping of All Kinds
                                                                                                                                                          • Table 7-6 Shopping Online, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-7 Shopping Profile of 18- to 34-Year-Old Men, Young Shoppers vs. Other Men
                                                                                                                                                          • Young Shoppers Look for New Shopping Experiences
                                                                                                                                                          • Table 7-8 Choosing Stores, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Shopping Seen as a Pleasurable Experience Rather than a Disagreeable Chore
                                                                                                                                                          • Table 7-9 General Attitudes toward Shopping, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-10 Shopping as a Social Event, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-11 Shopping Behavior, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers on the Lookout for Sales and Bargains
                                                                                                                                                          • Table 7-12 Attitudes toward Sales and Bargains, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Less Likely to Pay with Plastic
                                                                                                                                                          • Table 7-13 Use of Debit and Credit Cards by 18- to 34-Year-Old Men, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Brand Awareness High
                                                                                                                                                          • Table 7-14 Brand Awareness, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Specialty Stores Get the Nod from Young Shoppers
                                                                                                                                                          • Table 7-15 Attitudes toward Specialty Stores, Young Shoppers vs. Other 18- to 34-Year-Old Men


                                                                                                                                                        • Following Fashion

                                                                                                                                                          • Young Shoppers Enamored of Their Looks
                                                                                                                                                          • Table 7-16 Self-image, Young Shoppers vs. Other 18- to 34-Year-
                                                                                                                                                          • Old Men
                                                                                                                                                          • Young Shoppers Spend More on Toiletries
                                                                                                                                                          • Figure 7-1 Percent Agreeing “I Spend a Lot of Money on Toiletries/Cosmetics,” Young Shoppers vs. Other 18- to 34-Year-
                                                                                                                                                          • Old Men
                                                                                                                                                          • Table 7-17 Use of Toiletries, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Value Staying Fit and Lean
                                                                                                                                                          • Table 7-18 Attitudes toward Diet and Exercise, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Are Fashion-Driven
                                                                                                                                                          • Table 7-19 Attitudes toward Fashion, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Love to Buy Clothes
                                                                                                                                                          • Table 7-20 Shopping for and Buying Clothes, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-21 Apparel/Accessories Purchased in the last 12 Months, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-22 Sports Shoes Purchased in the last 12 Months, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Like to Buy Watches
                                                                                                                                                          • Figure 7-2 Percent Buying Watches in Last 12 Months, Young Shoppers vs. Other 18- to 34-Year-Old Men


                                                                                                                                                        • Other Highlights of Consumer Behavior

                                                                                                                                                          • Young Shoppers Attracted to Healthy Foods
                                                                                                                                                          • Table 7-23
                                                                                                                                                          • Attitudes toward Healthy Foods, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Like to Cook
                                                                                                                                                          • Table 7-24
                                                                                                                                                          • Attitudes toward Eating at Home, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Experimenting with New Foods Part of Young Shoppers’
                                                                                                                                                          • Lifestyle
                                                                                                                                                          • Table 7-25 Attitudes toward Trying Out New Foods, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Fast Food Important to Young Shoppers
                                                                                                                                                          • Table 7-26 Attitudes toward Fast Food, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Home Decorating Important to Young Shoppers
                                                                                                                                                          • Table 7-27
                                                                                                                                                          • Attitudes toward Home Décor, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Early Adopters of New Electronics
                                                                                                                                                          • Table 7-28 Attitudes toward Consumer Electronics, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-29 Ownership of Consumer Electronics, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-30 Attitudes toward Computers and Technology, Young Shoppers vs. Other 18- to 34-Year-Old Men


                                                                                                                                                        • Media Usage

                                                                                                                                                          • Young Shoppers Are Traditional Media Mavens
                                                                                                                                                          • Table 7-31 Attitudes toward Print Media, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-32 Attitudes toward Radio, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-33 Attitudes toward Television, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Young Shoppers Generally Positive toward Ads
                                                                                                                                                          • Table 7-34 Attitudes toward Advertising, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-35 Attitudes toward Out-of-Home Ads, Young Shoppers vs. Other 18- to 34-Year-Old Men
                                                                                                                                                          • Table 7-36 Attitudes toward Ads in Movies, Young Shoppers vs. Other 18- to 34-Year-Old Men













                                                                                                                                                                                Chapter 8 Consumer Profile: Blue-Collar vs. College-Educated Young Men


                                                                                                                                                                                • Introduction and Overview

                                                                                                                                                                                  • Declining Educational Achievement among Younger Men Has Implications for Marketers
                                                                                                                                                                                  • “Blue-Collar” and “College-Educated” Segments Defined
                                                                                                                                                                                  • Demographic Profiles Vary
                                                                                                                                                                                  • Table 8-1 Demographic Profile of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Many Blue-Collar Young Men Have Substantial Income
                                                                                                                                                                                  • Table 8-2 Occupation and Income of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Table 8-3
                                                                                                                                                                                  • Homeownership of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar


                                                                                                                                                                                • Core Values

                                                                                                                                                                                  • Blue-Collar Men Focus on Home
                                                                                                                                                                                  • Table 8-4 Attitudes toward Work, Money and Family of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Data Provide Support for Stereotypes
                                                                                                                                                                                  • Table 8-5 General Interests of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • College-Educated Men More Socially Conservative
                                                                                                                                                                                  • Table 8-6 Spiritual Values of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Table 8-7 Attitudes toward the Environment of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar


                                                                                                                                                                                • Use of Leisure Time

                                                                                                                                                                                  • College-Educated Men More Active
                                                                                                                                                                                  • Table 8-8 Participation in Leisure Activity/Hobby in Last 12 Months by 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Table 8-9 Live Performances Attended in Last 12 Months by 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Table 8-10 Profile of Movie Attendance of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Sports Choices Differ
                                                                                                                                                                                  • Table 8-11 Participation in Sports Activity in Last 12 Months by 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar


                                                                                                                                                                                • Highlights of Consumer Behavior

                                                                                                                                                                                  • Blue-Collar Shoppers Less Sensitive to Price
                                                                                                                                                                                  • Table 8-12 Price Sensitivity of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Blue-Collar Shopping Habits Unaffected by Internet
                                                                                                                                                                                  • Table 8-13 Impact of the Internet on Shopping Behavior of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Figure 8-1 Percentage of 18- to 34-Year-Old Men Making Online Purchase in Last 30 days, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Blue-Collar Segment Shops less Often
                                                                                                                                                                                  • Table 8-14 Frequency of Visits to Malls by 18- to 34-Year-Old Men in Last 4 Weeks, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Table 8-15 Department/Discount Stores Shopped by 18- to 34-Year-Old Men in Last 3 Months, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Table 8-16 Home Electronics Stores Shopped by 18- to 34-Year-Old Men in Last 3 Months, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Cars More Important to Blue-Collar Segment
                                                                                                                                                                                  • Table 8-17 Attitudes toward Cars of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • More Pickups Found in Garages of Blue-Collar Young Men
                                                                                                                                                                                  • Table 8-18 Automotive Profile of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Computers Present in Most Blue-Collar Homes
                                                                                                                                                                                  • Figure 8-2 Percentage of Households of 18- to 34-Year-Old Men with Computer, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Both Segments Like New Gadgets
                                                                                                                                                                                  • Table 8-19 Attitudes toward Consumer Electronics of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Multiple TV Sets More Common in Blue-Collar Households
                                                                                                                                                                                  • Table 8-20 Ownership of Home Electronics by 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Cellphones Bigger Part of Lifestyle of College-Educated
                                                                                                                                                                                  • Table 8-21 Ownership of Cellphones by 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • College-Educated Men Focus More on Personal Fitness and Healthy Eating
                                                                                                                                                                                  • Table 8-22 Attitudes toward Exercise of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Table 8-23 Attitudes toward Healthy Eating of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Young Men with College Background Have Wider Tastes in Food
                                                                                                                                                                                  • Table 8-24 Attitudes toward Food of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Domestic Travel Favored by Blue-Collar Young Men
                                                                                                                                                                                  • Table 8-25 Attitudes toward Travel of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar


                                                                                                                                                                                • Attitudes toward the Media and Advertising

                                                                                                                                                                                  • Internet Changes Media Habits of College-Educated Young Men
                                                                                                                                                                                  • Table 8-26 Impact of the Internet on Media Usage by 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • TV More Important to Young Blue-Collar Men
                                                                                                                                                                                  • Table 8-27 Attitudes toward TV of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Most TV Choices Similar
                                                                                                                                                                                  • Table 8-28 Cable TV Services Viewed in Last 7 Days by 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Table 8-28 Cable TV Services Viewed in Last 7 Days by 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar [Cont.]
                                                                                                                                                                                  • Football and Baseball Top Sports TV Choices for Both
                                                                                                                                                                                  • Segments
                                                                                                                                                                                  • Table 8-29 TV Sports Watched Frequently by 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Radio Equally Popular with Both Segments
                                                                                                                                                                                  • Table 8-30 Attitudes toward Radio of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Car Magazines More Popular with Blue-Collar Readers
                                                                                                                                                                                  • Table 8-31 Magazines Popular with 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar
                                                                                                                                                                                  • Blue-Collar Male Consumers More Positive about Advertising
                                                                                                                                                                                  • Table 8-32 Attitudes toward Advertising of 18- to 34-Year-Old Men, College-Educated vs. Blue-Collar













                                                                                                                                                                                                      • Chapter 1 Executive Summary


                                                                                                                                                                                                        • Market Size and Growth
                                                                                                                                                                                                        • Figure 1-1 U.S. Retail Sales for the Laundry Care Products Market, 2002-2006 (in billion $)
                                                                                                                                                                                                        • Table 1-1 IRI-tracked Sales for Laundry Care Products by Category, 2002-2006 (in million $)
                                                                                                                                                                                                        • Figure 1-2 Market Share of IRI-tracked Laundry Care Product Sales by Category, 2006 (%)
                                                                                                                                                                                                        • Table 1-2 Top 10 Laundry Care Product Marketers by IRI-tracked Sales, 2002-2006 (in million $)
                                                                                                                                                                                                        • Figure 1-3 Market Share of Top 10 Laundry Care Product Marketers by IRI-tracked Sales, 2002-2006 (%)
                                                                                                                                                                                                        • Powder Detergent Brands Decline
                                                                                                                                                                                                        • Liquid Fabric Softener Brands Lead
                                                                                                                                                                                                        • Table 1-3 IRI-tracked Sales of Top Laundry Care Brands, 2002-2006 (in millions $)
                                                                                                                                                                                                        • Bleach Category Owned by Clorox
                                                                                                                                                                                                        • Pre-wash/Additives Lead Specialty Products
                                                                                                                                                                                                        • Figure 1-4 Projected U.S. Retail Sales for the Laundry Care Products Market, 2006-2011 (in billion $)
                                                                                                                                                                                                        • Market Trends
                                                                                                                                                                                                        • Table 1-4 Average Annual Consumer Expenditures: Total, Housekeeping Supplies and Laundry & Household Cleaning Supplies, 2001-2005 ($)
                                                                                                                                                                                                        • Table 1-5 Projection of U.S. Asian, Black and Hispanic Populations, 2000, 2006, 2010 and 2020 (In thousands)
                                                                                                                                                                                                        • Marketing Activity
                                                                                                                                                                                                        • Laundry: An Emotional Activity for Gen-X Moms
                                                                                                                                                                                                        • Small & Mighty Approach Hot with New Yorkers
                                                                                                                                                                                                        • No Static Radio Approach
                                                                                                                                                                                                        • Snuggling Up to the Hispanic Consumer
                                                                                                                                                                                                        • Retail Trends
                                                                                                                                                                                                        • New Product Innovation
                                                                                                                                                                                                        • The Consumer
                                                                                                                                                                                                        • Figure 1-5 Laundry Care Product Household Penetration by Category, 2006
                                                                                                                                                                                                        • Liquid Detergent vs. Powder
                                                                                                                                                                                                        • Chlorine Bleach vs. All Fabric
                                                                                                                                                                                                        • Liquid Fabric Softener vs. Sheets
                                                                                                                                                                                                        • Laundry Booster, Pre-Soak & Pre-Cleaner Type Comparisons

































                                                                                                                                                                                                                                                                        Chapter 2 Laundry Care Products Market


                                                                                                                                                                                                                                                                        • Market Size and Growth

                                                                                                                                                                                                                                                                          • Figure 2-1 U.S. Retail Sales for the Laundry Care Products Market, 2002-2006 (in billion $)
                                                                                                                                                                                                                                                                          • Table 2-1 U.S. Retail Sales for the Laundry Care Products Market and % Change, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                          • Figure 2-2 IRI-tracked Sales for the Laundry Care Products Market, 2002-2006 (in billion $)
                                                                                                                                                                                                                                                                          • Table 2-2 IRI-tracked Sales for Laundry Care Products by Category, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                          • Figure 2-3 Market Share of IRI-tracked Laundry Care Product Sales by Category, 2006 (%)
                                                                                                                                                                                                                                                                          • Top Laundry Care Product Marketers
                                                                                                                                                                                                                                                                          • Table 2-3 Top 10 Laundry Care Product Marketers by IRI-tracked Sales, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                          • Figure 2-4 Market Share of Top 10 Laundry Care Product Marketers by
                                                                                                                                                                                                                                                                          • IRI-tracked Sales, 2002-2006 (%)
                                                                                                                                                                                                                                                                          • Table 2-4 Market Share of Top 10 Laundry Care Product Marketers by
                                                                                                                                                                                                                                                                          • IRI-tracked Sales, 2002 vs. 2006 (%)
                                                                                                                                                                                                                                                                          • Top Laundry Care Product Brands
                                                                                                                                                                                                                                                                          • Table 2-5 IRI-tracked Sales of Top Laundry Care Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                          • Forecast
                                                                                                                                                                                                                                                                          • Concentrated Liquid Detergents Key Factor to Growth
                                                                                                                                                                                                                                                                          • Figure 2-5 Projected U.S. Retail Sales for the Laundry Care Products Market, 2006-2011 (in billion $)
































                                                                                                                                                                                                                                                                                                                                      Chapter 3 Laundry Detergent Category


                                                                                                                                                                                                                                                                                                                                      • Table 3-1 IRI-tracked Laundry Detergent Sales by Segment, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                      • Figure 3-1 Market Share of IRI-tracked Laundry Detergent Sales by Segment, 2006 (%)
                                                                                                                                                                                                                                                                                                                                      • Table 3-2 IRI-tracked Laundry Detergent Sales and Price by Volume and Unit, 2006 and 2007
                                                                                                                                                                                                                                                                                                                                      • Table 3-3 IRI-tracked Sales of Top 10 Laundry Detergent Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                      • Figure 3-2 Market Share of Top 10 Laundry Detergent Marketers by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                      • Table 3-4 IRI-tracked Sales of Top 10 Laundry Detergent Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                      • Figure 3-3 Market Share of Top 10 Laundry Detergent Brands by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                      • Liquid Detergent Segment Focus
                                                                                                                                                                                                                                                                                                                                      • Table 3-5 IRI-tracked Sales of Top 10 Liquid Detergent Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                      • Figure 3-4 Market Share of Top 10 Liquid Detergent Marketers by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                      • Table 3-6 IRI-tracked Sales of Top 10 Liquid Detergent Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                      • Figure 3-5 Market Share of Top 10 Liquid Detergent Brands by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                      • Powder Detergent Segment Focus
                                                                                                                                                                                                                                                                                                                                      • Table 3-7 IRI-tracked Sales of Top 10 Powder Detergent Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                      • Figure 3-6 Market Share of Top 10 Powder Detergent Marketers by
                                                                                                                                                                                                                                                                                                                                      • IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                      • Table 3-8 IRI-tracked Sales of Top 10 Powder Detergent Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                      • Figure 3-7 Market Share of Top 10 Powder Detergent Brands by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                      • Tablet & Packet/Bar Detergent Segment Focus
                                                                                                                                                                                                                                                                                                                                      • Table 3-9 IRI-tracked Sales of Top 8 Tablet & Packet/Bar Detergent Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                      • Figure 3-8 Market Share of Top 5 Tablet & Packet/Bar Detergent Marketers, 2006 (%)
                                                                                                                                                                                                                                                                                                                                      • Table 3-10 IRI-tracked Sales of Top 10 Tablet & Packet/Bar Detergent Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                      • Figure 3-9 Market Share of Top 6 Tablet & Packet/Bar Detergent Brands, 2006 (%)

































                                                                                                                                                                                                                                                                                                                                                                                                      Chapter 4 Fabric Softener Category


                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-1 IRI-tracked Fabric Softener Sales by Segment, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 4-1 Market Share of IRI-tracked Fabric Softener Sales by Segment, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-2 IRI-tracked Liquid Fabric Softener Sales and Price by Volume and Unit, 2006 and 2007
                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-3 IRI-tracked Fabric Softener Sheet Sales and Price by Volume and Unit, 2006 and 2007
                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-4 IRI-tracked Sales of Top 10 Fabric Softener Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 4-2 Market Share of Top 10 Fabric Softener Marketers by IRI-tracked Sales, 2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-5 IRI-tracked Sales of Top 10 Fabric Softener Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 4-3 Market Share of Top 10 Fabric Softener Brands by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                      • Liquid Fabric Softener Segment Focus
                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-6 IRI-tracked Sales of Top 10 Liquid Fabric Softener Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 4-4 Market Share of Top 10 Liquid Fabric Softener Marketers by
                                                                                                                                                                                                                                                                                                                                                                                                      • IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-7 IRI-tracked Sales of Top 10 Liquid Fabric Softener Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 4-5 Market Share of Top 10 Liquid Fabric Softener Brands by
                                                                                                                                                                                                                                                                                                                                                                                                      • IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                      • Fabric Softener Sheet Segment Focus
                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-8 IRI-tracked Sales of Top 10 Fabric Softener Sheet Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 4-6 Market Share of Top 10 Fabric Softener Sheet Marketers by
                                                                                                                                                                                                                                                                                                                                                                                                      • IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-9 IRI-tracked Sales of Top 10 Sheet Fabric Softener Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 4-7 Market Share of Top 10 Sheet Fabric Softener Brands by
                                                                                                                                                                                                                                                                                                                                                                                                      • IRI-tracked Sales, 2006 (%)

































                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Chapter 5 Bleach Category


                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-1 IRI-tracked Bleach Sales by Segment, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-1 Market Share of IRI-tracked Bleach Sales by Segment, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-2 IRI-tracked Bleach Sales and Price by Volume and Unit, 2006 and 2007
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-3 IRI-tracked Sales of Top 10 Bleach Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-2 Market Share of Top 10 Bleach Marketers by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-4 IRI-tracked Sales of Top 10 Bleach Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-3 Market Share of Top 10 Bleach Brands by IRI-tracked Sales, 2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • SHC Bleach Segment Focus
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-5 IRI-tracked Sales of Top 10 SHC Bleach Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-4 Market Share of Top 10 SHC Bleach Marketers by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-6 IRI-tracked Sales of Top 10 SHC Bleach Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-5 Market Share of Top 10 SHC Bleach Brands by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Color-Safe Bleach Segment Focus
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-7 IRI-tracked Sales of Top 10 Color-Safe Bleach Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-6 Market Share of Top 10 Color-Safe Bleach Marketers by
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-8 IRI-tracked Sales of Top 10 Color-Safe Bleach Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-7 Market Share of Top 10 Color-Safe Bleach Brands by IRI-tracked Sales, 2006 (%)

































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Chapter 6 Specialty Products Category


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-1 IRI-tracked Specialty Product Sales, by Segment, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-1 Market Share of IRI-tracked Specialty Product Sales by Segment, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-2 IRI-tracked Laundry Pre-wash/Additive Sales and Price by Volume and Unit, 2006 and 2007
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-3 IRI-tracked Fine Washable Laundry Detergent Sales and Price by Volume and Unit, 2006 and 2007
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-4 IRI-tracked Laundry Starch Sales and Price by Volume and Unit, 2006 and 2007
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-5 IRI-tracked Static Control/Fabric Protector Liquid Sales and Price by Volume and Unit, 2006 and 2007
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-6 IRI-tracked Sales of Top 10 Specialty Product Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-2 Market Share of Top 10 Specialty Product Marketers by
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-7 IRI-tracked Sales of Top 10 Specialty Product Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-3 Market Share of Top 10 Specialty Product Brands by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Pre-wash/Additives Segment Focus
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-8 IRI-tracked Sales of Top 10 Pre-wash/Additive Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-4 Market Share of Top 10 Pre-wash/Additive Marketers by
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-9 IRI-tracked Sales of Top 10 Pre-wash/Additive Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-5 Market Share of Top 10 Pre-wash/Additive Brands by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Fine Washable Detergent Segment Focus
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-10 IRI-tracked Sales of Top 6 Fine Washable Detergent Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-6 Market Share of Top 10 Fine Washable Detergent Marketers by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-11 IRI-tracked Sales of Top 6 Fine Washable Detergent Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-7 Market Share of Top 6 Fine Washable Detergent Brands by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Starch Segment Focus
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-12 IRI-tracked Sales of Top 10 Starch Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-8 Market Share of Top 10 Starch Marketers by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-13 IRI-tracked Sales of Top 10 Starch Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-9 Market Share of Top 10 Starch Brands by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Static Control/Fabric Protector Segment Focus
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-14 IRI-tracked Sales of Top 10 Static Control/Fabric Protector Marketers, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-10 Market Share of Top 10 Static Control/Fabric Protector Marketers by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-15 IRI-tracked Sales of Top 10 Static Control/Fabric Protector Brands, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-11 Market Share of Top 10 Static Control/Fabric Protector
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Brands by IRI-tracked Sales, 2006 (%)

































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Chapter 7 Corporate Profiles


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • The Procter & Gamble Company
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-1 IRI-Tracked Sales of Procter & Gamble Laundry Care Products, 2002-2006 (in billion $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-2 Procter & Gamble Laundry Care Product Mix by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 7-1 P&G Brand and Product Portfolio
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • P&G Continues Efforts In Branded Entertainment
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • An Efficient Conversion
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Gain Goes Billion
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Unilever Group
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Overview
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-3 IRI-Tracked Sales of Unilever Laundry Care Products, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-4 Unilever Laundry Care Product Mix by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 7-2 Unilever Brand and Product Portfolio
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Unilever Laundry Care for Sale?
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • The Clorox Company
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Overview
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-5 IRI-Tracked Sales of Clorox Laundry Care Products, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-6 Clorox Laundry Care Product Mix by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 7-3 Clorox Brand and Product Portfolio
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • A Growth Spurt for 100 Birthday Planned
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Clorox Eco-Friendly Green Works
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Clorox…The Telenova?
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Church & Dwight Company, Inc.
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Church & Dwight Company, Inc.
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-7 IRI-Tracked Sales of Church & Dwight Laundry Care Products, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-8 Church & Dwight Laundry Care Product Mix by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Church & Dwight Laundry Care Product Portfolio
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 7-4 Church & Dwight Brand and Product Portfolio
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Arm & Hammer Essentials Line Grows
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • OGI Acquistion Numbers
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Reckitt Benckiser, Inc.
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-9 IRI-Tracked Sales of Reckitt Benckiser Laundry Care Products, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-10 Reckitt Benckiser Laundry Care Product Mix by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Reckitt Benckiser Product Portfolio
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 7-5 Reckitt Benckiser Brand and Product Portfolio
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Significant Events
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Co-op Promotion for Woolite, Bosch
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Green Profile: Method Products, Inc.
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-11 IRI-Tracked Sales of Method Laundry Care Products, 2002-2006 (in million $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-12 Method Products Laundry Care Product Mix by IRI-tracked Sales, 2006 (%)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 7-6 Method Products Brand and Product Portfolio
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Method Listed as Seventh Fastest Growing Private Company
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Method’s Impact
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Method a Take-over Target?
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • High-end Profile: The Caldrea Company
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 7-13 IRI-Tracked Sales of The Caldrea Company Laundry Care Products, 2002-2006 (in thousand $)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 7-7 Caldrea Brand and Product Portfolio





                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        TECHNOLOGY AREA: EMR Technolgies in Healthcare


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        chapter 1: Executive Summary


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.1 Healthcare Industry
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.2 Information Technology (IT) in Healthcare
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.3 Definition and Scope of Study
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.4 EMR in Healthcare
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.5 Key EMR Technologies
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.6 Emerging Technologies and Application Areas
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.7 Market Overview
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.8 Competitive Landscape
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.9 End-user Analysis
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.10 Regulatory Environment
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 1.11 Conclusions and Future Outlook












                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              chapter 2: Introduction


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • 2.1 Healthcare Industry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • 2.1.1 Overview
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • 2.1.2 Structure of the Healthcare Industry
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • 2.1.3 Trends
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • 2.1.4 Challenges
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • 2.1.5 Market Size


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • 2.2 Information Technology (IT) in Healthcare

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • 2.2.1 Overview
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • 2.2.2 Market Size
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • 2.2.3 Conclusions - The US vs. Europe


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • 2.3 Definition and Scope of Study












                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    Chapter 3: Medical Records (EMR)


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.1 Medical Records

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.1.1 Introduction
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.1.2 Current Practices
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.1.3 Transition to Computerization


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2 Introduction to EMR


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.2.1 Definition
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.2.2 Terminologies Used in the Industry


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.3 Functional Requirements of EMR

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.3.1 Basic Functionalities
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.3.2 Additional Functionalities


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.4 Advantages of EMR
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.5 Limitations of EMR
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.6 Key EMR Technologies

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.6.1 Software Requirements
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.6.2 Hardware Requirements


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.7 Components of an EMR

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.7.1 Overview
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.7.2 Major Components of EMRs


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.8 Emerging Trends

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.8.1 Emerging Technologies
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • 3.8.2 Emerging EMR Application Areas











                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Chapter 4: MARKET Overview


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.1 Market Definition
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.2 Market Size
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.3 Market Adoption

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.3.1 The EMR Adoption Model
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.3.2 Adoption Scenario
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.3.3 Projected Benefits of EMR Adoption


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.4 Drivers and Inhibitors

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.4.1 EMR Adoption - Drivers
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.4.2 EMR Adoption - Inhibitors


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.5 Implementation Costs and Return on Investments (ROI)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.5.1 Implementation Costs and ROI for Office-based Physicians
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.5.2 Implementation Costs and ROI for Hospitals
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.5.3 Summary


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.6 Competitive Landscape

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.6.1 Market Segmentation
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.6.2 Market Shares of EMR Vendors
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.6.3 Mergers and Acquisitions (M&As)
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.6.4 Pricing of EMR Solutions
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.6.5 Purchasing, Marketing, and Distributing EMR Products











                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            Chapter 5: DEMAND Side Analysis


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.1 Introduction
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.2 Office-based Physicians

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • 5.2.1 Overview
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • 5.2.2 Case Study


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.3 Hospitals

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • 5.3.1 Overview
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • 5.3.2 Case Study


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.4 Pharmacies
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.4.1 Overview
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.4.2 Pharmaceutical Industry Initiatives
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.4.3 Case Study


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 5.5 Health Insurance Providers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.5.1 Overview
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.5.2 Initiatives of the Department of Health and Human Services


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 5.6 Consumer Preferences and Future Plans

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.6.1 IT Preferences
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.6.2 IT Application Preferences
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.6.3 Technology Adoption Preferences
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • 5.6.4 IT Operating Budget of Healthcare Facilities












                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  Chapter 6: Key Regulations and Certifications


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • 6.1 Introduction
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • 6.2 Need For Regulation
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • 6.3 History and Background for Regulations
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • 6.4 Introduction to HIPAA

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 6.4.1 Privacy Rule
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 6.4.2 Security Rule
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 6.4.3 Limitations
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 6.4.4 HIPAA Penalties


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • 6.5 Code of Federal Regulations (CFR) - Part 11
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • 6.6 Key Certifications

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 6.6.1 The Certification Commission for Healthcare Information Technology


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • 6.7 Conclusions












                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Chapter 7: Conclusions


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 7.1 First Conclusion: EMR a Necessity
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 7.2 Second Conclusion: US is Market Leader
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 7.3 Third Conclusion: Office-Based Physicians are the Growth Area
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 7.4 Fourth Conclusion: EMR Costs Will Be Reduced
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 7.5 Fifth Conclusion: EMR Software is Defined By Applications
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 7.6 Sixth Conclusion: There is a Large Market For Vendors
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 7.7 Seventh Conclusion: EMR is a Budget Priority For Healthcare Companies
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 7.8 Eighth Conclusion: HIPPA to Drive EMR Growth



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • TABLE OF CONTENTS

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER ONE: EXECUTIVE SUMMARY



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Out of Pocket Expenditures : Current Market

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The U.S. Healthcare Market

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The Need for Alternatives

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • High Cost of Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Inconsistent Quality of Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Inaccessible Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Vulnerable Populations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Consumers Who Pay Out of Pocket

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Medicaid Recipients

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Disabled Persons

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Senior Citizens

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The Mentally Ill

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Obese Persons

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Persons with Chronic Medical Conditions

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Care Reform

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Types Of Out Of Pocket Payments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Insurance Co-Payments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Direct Payments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Premiums and Plan Fees

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Payment Methods

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Cash or Check

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Credit Cards

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Flexible Spending Accounts

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Loans and Lines of Credit

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Savings Accounts

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Care Financing

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Non-Elective Procedures and Prescription Drugs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Types of Expenses Financed

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Elective Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Non-Elective Procedures and Prescription Drugs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Trends In Out Of Pocket Spending

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Care Inflation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Managed Care Cost Shifting

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Retail Clinics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Disease Management Programs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Medicare Prescription Drug Benefit

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Generic Drugs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Rx-to-OTC Switches

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Medical Tourism

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Care Advisers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Medical Procedure Financing

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Types of Procedures Financed

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Elective Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Non-Elective Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Financing Products

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Scope and Methodology




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER TWO: HEALTH CARE PAYMENTS AND COVERAGE



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Public Health Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Private Health Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • State-Licensed Health Insuring Organizations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Commercial Health Insurers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Blue Cross and Blue Shield Plans

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Maintenance Organizations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Self-Funded Employee Health Benefit Plans

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Participation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Cost Issues

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The Uninsured And Underinsured

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The Uninsured

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The Underinsured

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Regulation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Care Reform

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Universal Federal Health Care Coverage

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • State Health Care Coverage

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Current State Health Care Initiatives

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Federal Support of State Health Care Reform




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER THREE: OUT-OF-POCKET EXPENDITURES: THE CURRENT MARKET

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Overall Out-Of-Pocket Spending

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Payments Types

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Insurance Co-Payments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Direct Payments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Premiums and Plan Fees

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Payment Methods

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Cash or Check

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Credit Cards

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Flexible Spending Accounts

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Loans and Lines of Credit

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Savings Accounts

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Care Financing

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Amount Financed

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Elective Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Non-Elective Procedures and Prescription Drugs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Consumers Who Pay Out Of Pocket

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Medicaid Recipients

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The Disabled

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Senior Citizens

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The Mentally Ill

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Obese Persons

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Persons with Chronic Conditions


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER FOUR: OUT-OF-POCKET EXPENDITURES: THE MARKET IN 2007-2011



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Trends

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Out-of-Pocket Expenditure Growth Drivers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Care Inflation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Managed Care Cost-Shifting

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Retail Clinics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Services

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Pricing

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Consumer Response

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Expansion

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Out-of-Pocket Expenditure Growth Constraints

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Disease Management Programs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Medicare Prescription Drug Benefit

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Generic Drugs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Private-Label OTC Medications

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Rx-to-OTC Switches

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Medical Tourism

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Care Advisers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Forecasts

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Payment Type

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Payment Methods

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Amount Financed

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Elective Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Non-Elective Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Consumers Who Pay Out of Pocket


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER FIVE: SOURCES OF MEDICAL PROCEDURE FINANCING, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Types Of Procedures Financed

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Elective Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Chiropractic Services

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Cosmetic Surgery

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Cosmetic Dentistry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Elective Eye Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • PRK Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • LASIK Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • LASEK

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Forecast

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Hair Restoration

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Fertility Treatments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Weight Loss Surgery

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Non-Elective Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Financing Programs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Costs to Consumers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Costs to Providers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Usage and Acceptance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Key Players

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Elective Procedures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Non-Elective Procedures


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER SIX: SOURCES OF MEDICAL PROCEDURE FINANCING, 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Trends

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Consumers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Consumer Debt

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Payday Loans

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Weak Housing Market

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Widening Wage Gap

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Financial Awareness

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Security Concerns

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Financial Institutions

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Increasing Share of Wallet

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • New Credit Card Products

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • New Credit Card Customer Segments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Forecasts


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER SEVEN: COMPANY PROFILES

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • APFUSA

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Aurora Quick Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Capital One Healthcare Finance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Care Credit

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Checkups

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Credit Medical

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • CSI Financial Services

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Health Ready

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Medchoice Financial

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Meddirect

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Medprova

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Minuteclinic

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • PFS

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Rediclinic

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Reliance Medical Finance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Solantic

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Springstone Patient Financing

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Take Care Health Systems

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Target Clinical Medical Associates


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          TABLE OF EXHIBITS



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER ONE: EXECUTIVE SUMMARY

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 1-1:The U.S. Out of Pocket Healthcare Market, 2006-2011, Elective and Non-Elective Spending (in billions)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 1-2: U.S. Consumer Out-of-Pocket Health Care Expenditures by Service Required, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 1-3: U.S. Healthcare Consumers Highly Likely to Pay Out of Pocket, 2006-2011 (millions)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 1-4: U.S. Healthcare Consumers Likely to Pay Out of Pocket, by Contributing Factor 2006 (Persons with Chronic Conditions, Medicaid, Disabled, Senior Citizens, Mentally Ill, Obese)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 1-5 : Average Share Paid Out of Pocket by U.S. Consumers, by Percentile of Total Health Care Spending and Type of Service, 2003




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER TWO: HEALTH CARE PAYMENTS AND COVERAGE



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-1: National Health Expenditures (NHE) and NHE as a Percentage of GDP, 1980-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-2: Premium Increases vs. Increases in Workers’ Earnings and Inflation, 1989-2005

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-1:Selected U.S. Federal and State Health Care Oversight Bodies,2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-2:U.S. Health Care Coverage by State,2007


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER THREE: OUT-OF-POCKET EXPENDITURES: THE CURRENT MARKET

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-4: Average Share Paid Out-of-Pocket by U.S. Consumers, by Percentile of Total Health Care Expenses, 2003

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-5: Average Amount Paid Out-of-Pocket by U.S. Consumers, by Percentile of Total Health Care Expenses, 2003

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-1: U.S. Consumer Out-of-Pocket Health Care Expenditures: Direct Payments, Co-Pays and Premiums, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-2: U.S. Consumer Out-of-Pocket Health Care Expenditures by Payment Type, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 3-1: Credit Card Debt of Consumers with Medical Debt by Health Insurance Status,2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 3-2: Credit Card Debt of Consumers with Medical Debt by Demographic Group, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-3: Methods of Payment for Elective Procedures, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-4: U.S. Consumer Out-of-Pocket Spending for Elective Procedures, Amount Financed vs. Paid with Cash or Check, 2003

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-7:Average Share of U.S. Health Care Expenses Paid Out of Pocket, by Type of Service, 2003

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-8: Average Share Paid Out of Pocket by U.S. Consumers, by Percentile of Total Health Care Spending and Type of Service, 2003

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-9: Distribution of Out-of-Pocket Spending on Non-Elective Procedures for the Average Person, 2003 71

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-10: Distribution of Out-of-Pocket Spending for the Average Person, by Spending Level and Type of Service, 2003

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-11: Drug Cost Coverage by Payor Type (Public, Private, Cash), 1965, 1986, 2000, 2004

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-12: Change in Out-of-Pocket Health Care Expenses for Medicaid Recipients, 1997 to 2002

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-13: Out-of-Pocket Health Care Expenses for Disabled and Non-Disabled Medicaid Recipients, 1997 vs. 2002

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 3-3: Obesity in the U.S., 1980-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-14: Adults Under Age 65 with Chronic Conditions by Type of Insurance, 2003


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER FOUR: OUT-OF-POCKET EXPENDITURES: FORECASTED MARKET TO 2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 4-1: Extent to Which Consumers Believe Cost-Shifting Will Result in Beneficial Outcomes, 2003

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 4-2: Growth of U.S. Retail Clinics, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 4-1: Selected Rx-to-OTC Switches in the United States, 1982-2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 4-2: Rx-to-OTC Switch Candidates in the U.S., 2007-2012

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 4-3: Cost Savings From Medical Tourism for Various Procedures, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 4-4:U.S. Consumer Out-of-Pocket Expenditures per Worker, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 4-5: U.S. Consumer Out-of-Pocket Expenditures by Payment Type, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 4-3: Distribution of U.S. Consumer Out-of-Pocket Spending by Payment Type, 2001, 2006, 2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 4-6:U.S. Consumer Out-of-Pocket Expenditures by Payment Method, 2001-2011 Figure 4-4: Distribution of U.S. Consumer Out-of-Pocket Spending by Payment Method, 2001, 2006, 2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 4-7: Amount of U.S. Consumer Out-of-Pocket Expenditures for Elective Procedures , 2001-2011 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 4-5: Share of U.S. Consumer Out-of-Pocket Spending for Elective Procedures Paid for Through Financing, 2006-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 4-8: Amount of U.S. Consumer Out-of-Pocket Expenditures for Non-Elective Procedures , 2001-2011 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 4-6: Distribution of Out-of-Pocket Spending on Non-Elective Procedures for the Average Person, 2006 vs. 2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 4-7: Share of U.S. Consumer Out-of-Pocket Spending for Non-Elective Procedures Paid for Through Financing, 2006-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 4-9: Size of High-Risk Groups for High Out-of-Pocket Health Care Expenditures, 2001-2011 (in millions)


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER FIVE: SOURCES OF MEDICAL PROCEDURE FINANCING, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 5-1:Distribution of Medical Procedure Financing Market, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 5-1:Cosmetic Surgical Procedures Offered in the U.S., 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 5-2: Firtility Treatments in the U.S., 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 5-3:Leading Weight Reduction Surgeries Offered in the U.S., 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 5-4:Comparison of Selected Medical Financing Program Costs to Consumers, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 5-5:Selected Elective Procedures Covered by Leading Medical Financing Companies, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 5-2:Leading Players’ Share of U.S. Elective Procedure Financing Market, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 5-6:Selected Non-Elective Procedures Covered by Leading Medical Financing Companies, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 5-3:Leading Players’ Share of U.S. Elective Procedure Financing Market, 2006


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER SIX: SOURCES OF MEDICAL PROCEDURE FINANCING, 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 6-1: Consumer Out-of-Pocket Expenditures for Elective Procedures Paid Through Patient Financing Programs, 2001-2011 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 6-2: Consumer Out-of-Pocket Expenditures for Non-Elective Procedures Paid Through Patient Financing Programs, 2001-2011 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 6-1: Consumer Out-of-Pocket Expenditures for Elective and Non-Elective Procedures Paid Through Patient Financing Programs, 2001-2011 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 6-2: Proportion of Consumer Out-of-Pocket Spending for Elective Procedures Paid Through Patient Financing Programs, 2006-2011


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          CHAPTER ONE: Executive Summary




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Healthcare Reform

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The Emergence of Retail Clinics



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Establishing a Retail Clinic



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Service Providers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Suppliers



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Clinical Chemistry and Immunoassays

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Vaccines

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Indirect Revenues

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Types of Retail Outlets Offering Clinics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Drug Stores

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Supermarkets and Food Stores

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Mass Merchandisers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Other Outlets



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Issues And Trends



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Competition with Primary Care Providers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Regulation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Development of Standards

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Expansion of Services

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Labor Shortages



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Scope and Methodology






































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              CHAPTER TWO: Introduction




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • The U.S. Healthcare System Today



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Public Health Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Private Health Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • The Need For Alternatives



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • High Cost of Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Inconsistent Quality of Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Delays to Treatment

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Advertising and Promotion

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Insurance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Consumer Response

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Growth Drivers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Economic Pressures on Consumers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Consumer Responsibility for Health Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Benefits of Prevention

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Challenges

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Standards of Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Patient Flow

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Medical Community Response

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Reaction from Managed Care Organizations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Ability to Meet Financial Expectations



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Establishing A Retail Clinic



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Alliances


































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              CHAPtER THREE: Service Providers




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • The Industry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Convenience Clinic Sales Forecasts

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • The Market

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Competitive Positions of Key Players






































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  CHAPTER FOUR:  OPPORTUNITIES FOR DIAGNOSTIC AND PHARMACEUTICAL COMPNIES       




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Point of Care Tests



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • The Industry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Competitive Positions of Key Players

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Convenience Clinic Sales Forecasts


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Clinical Chemistry and Immunoassays



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • The Industry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Competitive Positions of Key Players

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Convenience Clinic Sales Forecasts


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Vaccines



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • The Industry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Competitive Positions of Key Players

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Convenience Clinic Sales Forecasts
































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                CHAPTER FIVE: Retail Outlets




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Drug Stores



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • The Industry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Competitive Positions of Key Players

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Convenience Clinic Sales Forecasts


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Food Stores



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • The Industry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Competitive Positions of Key Players

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Convenience Clinic Sales Forecasts


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Mass Merchandisers



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • The Industry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Competitive Positions of Key Players

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Convenience Clinic Sales Forecasts


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Other Outlets



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • The Industry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Competitive Positions of Key Players

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Convenience Clinic Sales Forecasts






























                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            CHAPTER SIX: Total Market




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Growth of Retail Clinics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Opportunities for Suppliers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Increased Revenue for Retailers






































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                CHAPTER SEVEN: Issues and Trends




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Competition With Primary Care Providers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Regulation



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Regulation of Convenience Clinics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Pending Legislation


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Development of Standards

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Expansion of Services

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Labor Shortages




































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  CHAPTER  EIGHT: Company Profiles




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Atlanticare

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Aurora Quick Care

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Checkups

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Early Solutions Clinic

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • MedBasics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Minute Clinic

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • My Healthy Access

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Quick Health

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Now Medical Centers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Rediclinic

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • SmartCare  Family Medical Centers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Solantic

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Take Care Health Systems

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Target Clinic Medical Associates

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • The Little Clinic

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Appendix






































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      TABLE OF EXHIBITS
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER ONE: EXECUTIVE SUMMARY




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 1-1: Estimated Number of U.S.  Convenience Clinics, 2007 - 2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure-1-2: Locations of Retail Clinics, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 1-3: Indirect Revenue to Drug Stores, Supermarkets, Mass Merchandising Outlets and Others with Retail Clinics


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER TWO: INTRODUCTION           




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 2-1: National Health Expenditures (NHE) and NHE as a  Percent of GDP, 1980 - 2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 2-2: Premium Increases vs. Increases in Workers Earnings and Prices, 1989 - 2005

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 2-3: Unnecessary Deaths Resulting From Variations in Health Care Quality

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 2-4: HEDIS Scores by Quality of Health Care Plan, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 2-5: Change in Out of Pocket Health Care Expenses for  Medicaid Recipients, 1997 - 2002

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 2-6: Out of Pocket Health Care Expenses for Disabled and Non-Disabled Medicaid Recipients, 1997 vs. 2002

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 2-7: Proportion of Adults Under Age 65 With Chronic Conditions, 2003

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 2-2: U.S. Health Care Coverage by State, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 2-3: Cost Savings From Medical Tourism, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 2-4: Estimated Number of U.S. Convenience Clinics, Expansion of U.S. Convenience Clinics by Major Chain (Aurora, QuickCare, Healthy Access,  Minute Clinic, Quick Health, Solantis, Target Clinical, CheckUps, MedBasics, Now Medical Centers, RediClinic Others, Take Care Clinics, the Little Clinic)   2007 to 2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 2-8: Expansion of U.S. Convenience Clinics by Major Chain (Aurora QuickCare, Healthy Access, Minute Clinic, Quick Health, Solantis, Target Clinical, CheckUps, MedBasics, Now Medical Centers, RediClinic Others, Take Care Clinics, the Little Clinic)  2007 to 2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 2-5: Characteristics of Retail Outlets, 2007 (Drug Stores, Food Stores, Mass Merchandizing Outlets)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 2-6: Benefits and Drawbacks of Convenience Clinic Funding Approaches, 2007 92

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 3-1: The U.S. Market for Retail Clinic Services, 2001-2011


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER THREE: SERVICE PROVIDERS




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 3-1: Growth of U.S. Retail Clinic Services, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 3-2, Leading Service Providers’ Revenues and Market Share

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 3-2: Market Shares of Leading Retail Clinic Service Provider, 2006


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER FOUR: OPPORTUNITIES FOR DIAGNOSTIC AND PHARMACEUTICAL COMPNIES




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-1: Sales to Retail Clinics by Supplier Segment, 2001-2011 (POC Tests, Clinical Chemistry & Immuno-assays, Vaccines)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 4-1: Growth of Retail Clinic Supplier Sales by Type of Supplies, 2001-2011 (POC Tests, Clinical Chemistry & Immuno-assays, Vaccines)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-2: U.S. Professional POC Test Sales, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-3: Leading POC Test Makers’ U.S. Revenues and Markert Share, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-4: U.S. Professional POC Test Sales to Retail Clinics, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-5: U.S. Clinical Chemistry and Immunoassay Sales, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-6: Leading Clinical Chemistry and Immunoassay Suppliers’ Revenues  and Market Share, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-8: Diseases for which Vaccines are Available in the U.S., 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-9: U.S. Market for Preventative Vaccines, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-10: Leading Vaccine Manufacturers’ U.S. Revenues and Market  Share, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 4-11: U.S. Vaccine Sales to Convenience Clinics, 2001-2011


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER FIVE: RETAIL OUTLETS




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-1: Number of Retail Clinics by Type of Retail Outlet (Drug Stores, Supermarkets, Mass Merchandising Outlets, Other), 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-2: Proportion of Rents Collected From Retail Clinics by Type of Retail Outlet, 2001-2011 (Drug Stores, Supermarkets, Mass Merchandising Outlets, Others)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-3: Indirect Income Generated by Retail Clinics by Type of Retail Outlet, 2001-2011, (Drug Stores, Supermarkets, Mass Merchandising Outlets, Others)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-3: Proportion of Indirect Income Generated by Retail Clinics by Type of Retail Outlet, 2001-2011 (Drug Stores, Supermarkets, Mass Merchandising Outlets, Others)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-4: Selected Retail Outlet Relationships with Convenience Clinics, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-5: U.S. Drug Store Sales, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-6 Leading U.S. Drug Stores’ Revenues and Market Share, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-7: U.S. Drug Store Direct Retail Clinic Revenues, 2001-2011 (No. of Stores, Sq. Ft Per Store, Cost Per Sq. Ft.)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-8: U.S. Drug Store Indirect Retail Clinic Revenues, 2001-2011 (Number of Clinics, Patients/Clinic/Day, Incremental Sales per Patient, Total Indirect  Revenue)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-4: Direct vs. Indirect Revenues to Drug Stores From Retail  Clinics, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-9: U.S. Food Store Sales, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-10: Leading Food Stores Revenues and Market Share, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-11: U.S. Food Stores Direct Retail Clinic Revenues, 2001-2011 (No. of Stores,  Sq. Ft Per Store, Cost Per Sq. Ft.)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-12: U.S. Food Store Indirect Retail Clinic Revenues, 2001-2011 (Number  of Clinics, Patients/Clinic/Day, Incremental Sales per Patient, Total Indirect Revenue)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 5-5: Direct vs. Indirect Revenues to Food Stores from Retail Clinics, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-13: U.S. Mass Merchandiser Sales, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-14: Leading Mass Merchandisers Revenues and Market Share, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-15: U.S. Mass Merchandiser Retail Clinic Revenues (No. of Stores, Sq. Ft Per Store, Cost Per Sq. Ft.)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-16: U.S. Mass Merchandiser Indirect Retail Clinic Revenues, 2001-2011  (Number of Clinics, Patients/Clinic/Day, Incremental Sales per Patient, Total Indirect Revenue)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-17: U.S. Other Retail Sales, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-18: Leading Other Outlets Revenues and Market Share, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-19: US Other Outlets Direct Retail Clinics Revenues (No. of Stores, Sq. Ft Per Store, Cost Per Sq. Ft.)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 5-20: U.S. Other Outlets Indirect Retail Clinic Revenues (Number of Clinics, Patients/Clinic/Day, Incremental Sales per Patient, Total Indirect Revenue)


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER SIX: MARKET SUMMARY




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-1: Retail Clinic Service Revenues, 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-2: Sales to Retail Clinics by Suppliers 2001-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-1: Revenues from Retail Clinics (Direct Rents/Indirect Revenues)


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER SEVEN: ISSUES AND TRENDS




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 7-1: Selected U.S. Federal and State Health Care Oversight Bodies, 2007




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      TABLE OF CONTENTS








                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.1 Re-Examining Market Opportunities

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.2 Looking Outside Foods for Profits

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.2.1 Beyond Functional Foods

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.3 Substantial Opportunities in Healthcare-Related Markets

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.4 Key Opportunities

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.4.1 Glycomacropeptide

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.4.2 Lactoferrin

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.4.3 Peanut Skins

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.4.4 Pectin

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.5 Market Potential Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 1.6 Methodology



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.1 Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.2 Whey Protein

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.2.1 Purified Fractions Are Key

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.2.2 Glycomacropeptide

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.2.3 Lactoferrin

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.2.4 Dairy Protein Bioactives

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.2.5 Serum Protein Concentrate

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.3 Eggshells

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.3.1 Source of Calcium

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.4 Peanut Skins

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.4.1 Source of Antioxidants

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.5 Pectin

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.5.1 Tissue Engineering Opportunities

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.6 Xanthan Gum

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.6.1 High Quality Xanthan Gum

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.7 Soybean Oil

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.7.1 Novel Hydrogels

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 2.8 Hurdles and Challenges

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER THREE: MARKET AND PARTNER OPPORTUNITIES







                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.1 Glycomacropeptide

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.1.1 Enriching Infant Formula

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.1.2 Potential Market Size

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.1.3 Potential Partners

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.1.3.1 University of Wisconsin

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.1.3.2 Food Science Australia

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.1.3.3 Davisco Foods International Inc.

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.1.3.4 Erie Foods International

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.1.3.5 Farbest Brands



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2 Lactoferrin



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2.1 Beneficial Bioactivity

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2.2 Chemopreventive Compound

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2.3 Bioactive Peptides

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2.4 Potential Market Size

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2.5 Potential Partners

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2.5.1 Applexion SAS

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2.5.2 DSM

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2.5.3 NutriScience Innovations LLC

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.2.5.4 Tatua Nutritionals





                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.3 Serum Protein Concentrate

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.3.1 Membrane Filtration

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.3.2 Potential Market Calculations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.3.3 Potential Partners

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.3.3.1 Cornell University



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.4 Egg Shells



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.4.1 Source of Calcium

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.4.2 Separation Technology

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.4.3 Potential Market Size

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.4.4 Potential Partners

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.4.4.1 Pennsylvania State University

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.4.4.2 Membrell



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.5 Peanut Skins



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.5.1 Antioxidant Source

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.5.2 Potential Market Size

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.5.3 Potential Partners

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.5.3.1 Virginia Tech



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.6 Pectin



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.6.1 Tissue Engineering Scaffolds and Grafts

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.6.2 Potential Market Size

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.6.3.2 Cargill Texturizing Solutions



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.7 Xanthan Gum



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.7.1 Viscosity Property

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.7.2 Biomedical Implants from Xanthan Gum

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.7.3 Potential Market Size

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.7.4 Potential Partners

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.7.4.1 Ohio State University

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.7.4.2 CP Kelco

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.7.4.3 Shanghai Honghao Chemicals Co. Ltd.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.8 Thermosensitive Hydrogels



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.8.1 Soybean-Based Gels

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.8.2 Skin Grafts and Tissue Regeneration

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.8.3 Potential Market Size

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.8.4 Potential Partners

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.8.4.1 USDA

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • 3.8.4.2 Hydromer Inc.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      TABLE OF EXHIBITS




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER ONE: EXECUTIVE SUMMARY



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 1-1 Healthcare Opportunities for Food Ingredient Manufacturers,

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 1-2: Potential World Tissue Engineering Market for Pectin 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 1-3: Potential US Antioxidant Market for Peanut Skins 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit-1-4: Revenue Opportunities for Food Ingredient Manufacturers, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER TWO: INGREDIENTS WITH HEALTHCARE APPLICATIONS

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 2-1: Selected Bioactive Components on the Market

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 2-2: Common Hydrogel Applications

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      CHAPTER THREE: MARKET AND PARTNER OPPORTUNITIES

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-1: US Purified GMP Market Potential 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-2: US Commodity Whey Powder Market Potential for GMP 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-3: US Purified GMP Market Potential 3% Market Share 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-4: World Lactoferrin Market 2007-

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-5: Lactoferrin Market Potential 3% Market Share 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-6: US Market for Egg Shells for Calcium 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-7: US Market Potential for Egg Shells for Calcium 2% Market Share 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-8: Potential US for Peanut Skin-Based Antioxidants 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-9: US Peanut Skin-Based Antioxidant Market Potential 1% Market Share 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-10: World Market for Pectin for Tissue Engineering 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-11: World Market For Food-Grade Pectin 007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-12: World Market for Pectin for Tissue Engineering 2% Market Share 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-13: World Biomedical Device Market for Xanthan Gum 1,000 kilograms 2007-2011

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Exhibit 3-14: World Skin Graft Market for Soybean-Based Hydrogels 10,000 Skin Grafts per Year 2007-2011 Revenues (in millions)




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Executive Summary



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Drug Pricing and Reimbursement: Strategic Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Factors affecting Pharmaceutical Expenditur

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Key Issues and Challenges

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Pricing Strategies

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Regional Pricing Differences

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Scope and Methodology

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Reasons for Conducting the Study
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Drug Pricing and Reimbursement: Strategic Perspectives



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 2.1. Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 2.2. Global healthcare costs and their Impact on GDP

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 2.3. Drug Costs and Affordability

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 2.3.1. Price Variability across countries

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 2.4. Factors contributing to Drug Expenditures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • a) Volume Growth

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • b) Rising Prices

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 2.5. Pharmaceutical Pricing and Ethics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 2.5.1. Differential Pricing

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 2.5.2. HIV/AIDS Pricing & Ethics
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Pricing Strategies

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          3.1. Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.2. Pricing Strategies: Goals

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.2.1. Market Share

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.2.2. Defending Market share

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.2.3. New Customers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.2.4. Enhancing Brand Loyalty

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.2.5. Improving Margins

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.2.6. Capacity Utilization

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.3. Pricing Decisions: Types

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.3.1. Traditional Pricing

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.4. Role of Pricing Function in Price setting

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.5. Pricing and Pharmacoeconomics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.6. Price Optimization

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.7. Pricing in the Product Development Process

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.7.1. Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.7.2. The First Price Estimate

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 3.7.3. Improving Pricing in the Product Development Process
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Current Pricing and Reimbursement Trends in the USA

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          4.1.U.S. Healthcare Expenditures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.1.1. National Prescription Drug Expenditures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.1.2 Pharmaceutical Costs



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.1.2.3. Factors for rise in pharmaceutical costs


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.1.3. Future trends in Pharmaceutical Costs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            4.1.3.2. Increased Generic Penetration

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.1.3.2. Rising Consumerism

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.1.3.4. Shifting Payor Mix

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.1.3.5. Cost Containment and the Formulary

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 4.1.3.6. Basis of price determination
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          4.2. Pricing mechanism in USA

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.3. Price Movement

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.3.1 Impact of Supply Chain on Price

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.3.2. Supply chain and price differentials

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Retail Sector

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Non retail sector

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.4. Key Pricing measures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.4.1. Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • a) Average Manufacturer’s Price (AMP)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • b) Average Sales Price (ASP)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • c) Average Wholesale Price (AWP)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • d) Estimated Acquisition Cost (EAC)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • e) Federal Supply Schedule.

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • f) Federal Upper Limit (FUL)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • g) Maximum Allowable Cost (MAC)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • h) Wholesale Acquisition Cost (WAC)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.5. Drug Pricing Litigations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.6. Pricing Dynamics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Single-Source Drugs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Multiple-Source Drugs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7. Pricing and customer segments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.1 Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.2 Pharmacy Benefit Managers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • PBM role

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Cost containment Strategies

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Pharmacies

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • PBMs’ Negotiated Payments to Pharmacies

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • PBMs’ Payments to Pharmacies
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          4.7.3. Mail-Order Pharmacies

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.4. Cash Customers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.5. Government Markets

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.5.1. Federal Supply Schedule

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.5.2. 340B Drug Discount Program

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.5.3. Medicare

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • a) PART A

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • b) PART B

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Medicare Reimbursements

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • c) Part C (Medicare Advantage)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • d) PART D

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Future Challenges

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 2008 Changes in Medicare Part D Payments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Calculation of the Low-Income Benchmark Premium Amounts

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Annual Updates to Medicare Part D Benefit Parameters

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.5.4. Medicaid

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.6. Third party payors

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Managed care business structure

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Healthcare maintenance organizations (HMO)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Point of service (PoS)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Preferred provider organizations (PPO)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • MCOs and Pharmacy Benefit Managers (PBMs) relationships

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Co-payments and cost-reduction initiatives

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Managed Care Contracting: Pharmaceutical Manufacturers’ Perspective

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Managed Care Business Goals

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Managed Care Strategy

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 6. Monitoring Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.7. Emerging Issues

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.7.1.Drug Price Transparency in United States

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.7.2. Wal-Mart and $4 Generics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 4.7.7.3. Average Wholesale Price and First Data Bank
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Current Pricing and Reimbursement Trends in Europe

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          5.1. Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.1.1 EU Pricing Environment

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.1.2. Reimbursement Mechanisms

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.1.3. Pricing and Reimbursement impact on new product launch sequence

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.1.4. Drug Budgets

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.1.5. Pricing and Reimbursement Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • U.K. and Germany

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • France, Italy and Spain

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.1.6. Parallel Trade

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Germany

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.2.1. Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.2.2. Statutory Health Insurance Funds

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.2.2.1.Reference Prices

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.2.3. Statutory Health Insurance Market

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • FRANCE

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.3.1. Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.3.2. Regulatory Affairs in France

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.3.3. Regulations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • UK

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.4.1.Pricing System

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.4.2. Pricing of New Products

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.4.3. Pricing Methods for Generic Products

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.4.4. Reimbursement

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • ITALY

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.5.1. Pricing Systems

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.5.2. Reimbursement

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • SPAIN

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.6.1. Pricing Systems

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.6.2. Reference Pricing System

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 5.7.Tackling Parallel Trade
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Current Pricing and reimbursement Trends in Japan

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          6.1. Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 6.2. Japanese Healthcare System

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Employee’s Health Insurance Plan

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • National Public Health Insurance Plan

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 6.2. Bungyo

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 6.3. Reimbursement system

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • 6.3. The R-Zone and regular price decreases


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Chapter 1 Executive Summary




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Scope

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Small Arms and Ammunition Defined

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Product Categories and Segments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Methodology

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Market Size and Growth



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Firearms & Ammunition Reach $4.9 Billion

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Table 1-1 U.S. Small Firearms & Ammunition Market and Year-over-Year Growth, 1998-2007 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Civilian/Commercial Market Reaches $2.8 billion

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Shipment Growth Slows, While Trade Activity Accelerates

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Table 1-2 U.S. Small Firearm & Ammunition Shipments, Imports and Exports, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Imports by Product Type

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Exports by Product Type

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Unit Growth at 15% to Top 7 Million

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Table 1-3 U.S. Small Firearm Units Manufactured, Imported and Exported, 1998-2007 (in millions of units)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Handguns Surge, Long Guns Drop



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Market Forecast



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • U.S. Market for Small Arms & Ammunition to Reach $6.5 Billion by 2012

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Figure 1-1 U.S. Small Firearms & Ammunition Market Forecast, 2007-2012 (in billion $)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Market Trends



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • GDP Forecasted Growth: Modest 1.3% in 2008

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Commodity Price Increases

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Producer Price Increases for Arms and Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Not All Gun Markets Are Equal

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Production Moving Overseas

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • FBI Crime Statistics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • ATF Gets Tough on Gun Store Owners

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Urbanization and Gun Violence

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Ammo Shortage Pinches Homeland Security

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Ammunition Prices Going Up

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Possible Drop in Ammo Demand

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Flawed by Politics and Flamed by Emotions

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Waiting Periods, Background Checks and Assault Weapons Bans

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Politicians and Lobbyists Draw Lines in the Sand

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Taxes on Guns for Non-Related Services

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • The Hunt Is On

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Table 1-4 Number of Participants Engaged in Hunting by Prey, 1991-2006 (in thousands)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Spurring New Ownership Through Innovation



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Corporate Landscape



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Seeped in American History, But Hip to the 21st Century

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Competition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Competitive Landscape for Firearms

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Competitive Landscape for Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Selected Manufacturers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Table 1-5 Selected Manufacturers of Small Firearms and Ammunition



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Distribution and Retail



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Disjointed Regulatory Landscape

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Retailers and Dealers in Decline

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Survey Highlights Retail Best Practices

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Long Hunting Season Boon for Retailers and Distributors

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Attracting Customers



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • The Consumer



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • U.S. Gun Ownership Strong, But Dropping

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Top States for Small Arms & Ammunition Ownership

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • How Gun Violence Affects Individuals’ Perceptions

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Individuals Generally Support Regulation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Sporting Arms & Ammo Consumer Penetration

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Table 1-6 Consumer Penetration Rates for Sporting Arms & Ammunition, 2004-2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Demographic Characteristics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Party Affiliation No Surprise




































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Chapter 2 The Market




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Scope

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Small Arms and Ammunition Defined

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Product Categories and Segments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Methodology

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Market Size and Growth



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Firearms and Ammunition Reach $4.9 Billion

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-1 U.S. Small Firearms & Ammunition Market, 1998-2007 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-1 U.S. Small Firearms & Ammunition Market and Year-over-Year Growth, 1998-2007 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Civilian/Commercial Market Reaches $2.8 billion

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-2 Estimated U.S. Civilian/Commercial Small Firearms & Ammunition Market, 1998-2007 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-2 Estimated U.S. Civilian/Commercial Small Firearms & Ammunition Market and Year-over-Year Growth, 1998-2007 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Excise Taxes Approach $300 Million in 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-3 U.S. Small Firearms & Ammunition Excise Tax Collections,

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 1998-2007 (in million $)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Value of Shipments, Imports and Exports



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Shipment Growth Slows, While Trade Activity Accelerates

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-3 U.S. Small Firearm & Ammunition Shipments, Imports and

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Exports, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Ammunition Leads Shipments in 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-4 U.S. Small Firearm & Ammunition Shipments, 1998-2007 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-5 U.S. Small Firearm & Ammunition Shipments as a Share of Total Shipments, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Imports Increasingly Important

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-6 Domestic vs. Foreign Production as a Share of U.S. Market Supply for Small Firearms & Ammunition, 1998-2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • U.S. Manufacturers Export 14% of Shipments in 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-7 U.S. Small Firearm & Ammunition Exports as a Share of Shipments, 1998-2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Imports by Product Type

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Firearms

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-4 U.S. Imports of Small Firearms, Parts & Accessories by Product Type, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-8 Estimated Share of U.S. Small Firearms, Parts & Accessories Imports by Product Type, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-5 U.S. Imports of Small Firearm Ammunition & Parts by Product Type, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-9 Estimated Share of U.S. Small Fire Ammunition & Parts Imports by Product Type, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Exports by Product Type

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Firearms

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-6 U.S. Small Firearms, Parts & Accessories Exports by Product Type, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-6 [cont.] U.S. Small Firearms, Parts & Accessories Exports by Product Type, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-10 Estimated Share of U.S. Small Firearms, Parts & Accessories Exports by Product Type, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-7 U.S. Exports of Small Ammunition & Parts by Product Type, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-11 Estimated Share of U.S. Small Firearm Ammunition & Parts Exports by Product Type, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Imports by Country of Origin

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Firearms

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-8 U.S. Small Firearms, Parts & Accessories Imports by Country of Origin, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-8 [cont.] U.S. Small Firearms, Parts & Accessories Imports by Country of Origin, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-12 Estimated Share of U.S. Small Firearms, Parts & Accessories Imports by Country of Origin, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-9 U.S. Small Firearm Ammunition & Parts Imports by Country of Origin, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-13 Estimated Share of U.S. Small Firearm Ammunition & Parts Imports by Country of Origin, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Exports by Country of Destination

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Firearms

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-10 U.S. Small Firearms, Parts & Accessories Exports by Country of Destination, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-10 [cont.] U.S. Small Firearms, Parts & Accessories Exports by Country of Destination, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-14 Estimated Share of U.S. Small Firearms, Parts & Accessories Exports by Country of Destination, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-11 U.S. Small Firearm Ammunition & Parts Exports by Country of Destination, 1998 and 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-15 Estimated Share of U.S. Small Firearm Ammunition & Parts Exports by Country of Destination, 2007 (%)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Small Firearm Unit Size and Growth



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Unit Growth at 15% to Top 7 Million

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-16 U.S. Market for Small Firearms, 1998-2007 (in millions of units)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-12 U.S. Small Firearm Units Manufactured, Imported and Exported, 1998-2007 (in millions of units)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Exports as a Share of Domestic Production

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-13 U.S. Small Firearm Units Manufactured and Exported,

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 1998-2007 (in millions of units)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Imports as a Share of U.S. Market Supply

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-17 Domestic vs. Foreign-Made Small Firearm Units as a Share of U.S. Market Supply, 1998-2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • U.S. Unit Manufacturing by Type and Caliber

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-18 Estimated Share of U.S. Small Firearm Unit Manufacturing by Type, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-19 U.S. Small Firearm Unit Manufacturing by Type, 1998-2007 (in thousands of units)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Handguns Surge

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-20 U.S. Handgun Manufacturing: No. of Units and Share of Total Small Firearms, 1998-2007 (in millions of units)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-21 U.S. Pistol Manufacturing: No. of Units and Share of Total Handguns, 1998-2007 (in millions of units)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-22 U.S. Revolver Manufacturing: No. of Units and Share of Total Handguns, 1998-2007 (in millions of units)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 2-14 U.S. Handgun Unit Manufacturing by Type and Caliber, 1998-2005 (in thousands of units)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Long Guns Decline in Share

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-23 U.S. Long Gun Manufacturing: No. of Units and Share of Total Small Firearms, 1998-2007 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-24 U.S. Rifle Manufacturing: No. of Units and Share of Total Long Guns, 1998-2007 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-25 U.S. Shotgun Manufacturing: No. of Units and Share of Total Long Guns, 1998-2007 (in billion $)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Market Forecast



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • U.S. Market for Small Arms & Ammunition to Reach $6.5 Billion by 2012

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 2-26 U.S. Small Firearms & Ammunition Market Forecast,

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 2007-2012 (in billion $)


















































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Chapter 3 Market Trends




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Economic Factors



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • GDP Forecasted Growth: Modest 2.2% in 2007, 1.3% in 2008

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-1 U.S. Current-Dollar GDP vs. Real GDP, 2002-2008 (in trillion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-2 Percentage Changes in U.S. Current-Dollar GDP, Real GDP

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • and the GDP Price Index, 2002-2008 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Economic Impact on Firearm Industry

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Rising Manufacturing Costs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Commodity Price Increases

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-3 U.S. Producer Price Indexes for Selected Commodities,

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • 1997-2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Producer Price Increases for Arms and Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-4 U.S. Producer Price Indexes for Small Firearms and Ammunition, 1997-September 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Not All Gun Markets Are Equal

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Condensed Seasonality

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Production Moving Overseas



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Security Factors



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • FBI Crime Statistics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 3-1 Safer Now Than Before 9/11?, 2004, 2006, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Property Crime Continues to Decline

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Violent Crime Ticks Upward

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • ATF Gets Tough on Gun Store Owners

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Urbanization and Gun Violence

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Segregation Fuels Violence

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Exurbia: Blending the Line Between Urban and Suburban

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 3-2 Leading Homicide Rates in Small, Medium and Large

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • U.S. Cities

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Ammo Shortage Pinches Homeland Security

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Ammunition Prices Going Up

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Possible Drop in Ammo Demand



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Regulatory Factors



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Flawed by Politics and Flamed by Emotions

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Waiting Periods, Background Checks and Assault Weapons Bans

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Politicians and Lobbyists Draw Lines in the Sand

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • An Alternative to NRA?

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Tiahrt Amendment

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Taxes on Guns for Non-Related Services

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Supreme Court May Take Up Second Amendment Case



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Hunting Trends



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The Hunt Is On

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Hunting Falling Out of Favor

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-5 Total Number of Participants Engaged in Hunting, 1991-2006 (in thousands)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 3-3 Number of Participants Engaged in Hunting by Prey, 1991-2006 (in thousands)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-6 Total Hunting Expenditures for Firearms, 1991-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 3-4 Hunting Expenditures by Type of Expenditure, 1991-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-7 Share of Hunting Equipment Expenditures by Type of Expenditure, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-8 Hunting Expenditures on Firearms by Firearm Type, 1991-2006 (in millions)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-9 Share of Hunting Expenditures by Firearm Type, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 3-10 U.S. Consumer Purchases of Hunting and Firearms Equipment, 1990-2005 (in billion $)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • The New Frontier



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Spurring New Ownership Through Innovation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 3-5 Selected Small Firearms and Ammunition Product Introductions, 2006-2007 Chapter 4 Corporate Profiles




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Seeped in American History, But Hip to the 21st Century

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Competition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Competitive Landscape for Firearms

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Competitive Landscape for Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Selected Manufacturers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-1 Selected Manufacturers of Small Firearms and Ammunition



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Smith & Wesson Holding Corp.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-1 Total Net Sales for Smith & Wesson, 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-2 Smith & Wesson Customers, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Firearm Sales

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-3 U.S. Net Firearm Sales for Smith & Wesson, 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-2 Smith & Wesson Firearm Product Portfolio, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-4 Smith & Wesson Product Mix, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Significant Events



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Herstal Group



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Overview



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • FN Herstal



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Product Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Table 4-3 FN Herstal Firearm Product Portfolio, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Browning/U.S. Repeating Arms Co.

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Product Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Table 4-4 Browning Firearm Product Portfolio, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Table 4-5 Winchester Brand Portfolio, 2007



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • GLOCK G.m.b.H.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Product Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Table 4-6 Glock Firearm Product Portfolio, 2007



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Sturm, Ruger & Co., Inc.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-5 Total Net Sales for Strum, Ruger & Co., 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-6 Total Net Firearm Sales for Strum, Ruger & Co., 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Product Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Table 4-7 Sturm, Ruger & Co. Firearm Product Portfolio, 2007



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • O.F. Mossberg & Sons, Inc.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Product Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Table 4-8 O.F. Mossberg & Sons Firearm Product Portfolio, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Significant Events



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Remington Arms Co., Inc.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-7 Total Net Sales for Remington Arms, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Firearms

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-8 Total Net Firearm Sales for Remington Arms, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-9 Total Net Ammunition Sales for Remington Arms, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Product Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Table 4-9 Remington Arms Product Portfolio, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-10 Remington Arms Product Mix, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Alliant Techsystems, Inc.

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • ATK’s Ammunition Systems Group

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-11 Total Net Sales for Alliant Techsystems, 2003-2007 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-12 Total Net Ammunition Sales for Alliant Techsystems,

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Small-Caliber Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-13 U.S. Small-Caliber Ammunition Net Sales for Alliant Techsystems, 2003-2007 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-14 Small-Caliber Ammunition Customer Mix for Alliant

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Techsystems, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Product Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Significant Events



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Olin Corp.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-15 Net Sales for Olin Corp., 2002-2006 (in billion $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Winchester Ammunition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 4-16 Net Sales for Winchester Ammunition, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Product Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Table 4-10 Winchester Ammunition Product Portfolio, 2006




























































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  Chapter 5 Distribution and Retail




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Overview

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Selected Firearm Distributors

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Disjointed Regulatory Landscape

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Loopholes: Gun Shows and the Mentally Ill

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 5-1 Selected Legislation Highlights in States with High Gun

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Ownership, 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Retailers and Dealers in Decline

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 5-2 Number and % Decrease of Type 1 Federal Firearms Licenses (FFLs) by State, 1994 to 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 5-3 Number of Gun Dealerships vs. Gas Stations, by State, 2005

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Survey Highlights Retail Best Practices

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Know the Laws

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Ensuring Insurance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Protecting Against Theft

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Educate, Educate, Educate

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Carry a Wide Selection … and Don’t Forget the Accessories!

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Long Hunting Season Boon for Retailers and Distributors

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Inventory Management Imperative

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Attracting Customers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Retailer Profile: Cabela’s

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Direct Business via Catalog and Internet Platforms

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Retail Business Surpasses 20 Stores Nationwide

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Revenue Neared $2 Billion in 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Selected Firearm Retailers


































































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  Chapter 6 The Consumer




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • U.S. Gun Ownership Strong, But Dropping

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • High Per Capita Ownership

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Gun Ownership Plunges

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Top States for Small Arms & Ammunition Ownership

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 6-1 Percentage of Adults Reporting Household Firearm Ownership by State, 2002 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • How Gun Violence Affects Individuals’ Perceptions

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 6-2 Broader Problems Reflected by Incidents Such as Virginia Tech Shooting?, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 6-3 How Views on Gun Control Have Changed, 2000-2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Individuals Generally Support Regulation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 6-4 U.S. Public Support for Measures to Regulate Firearms, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • A Look at Sporting Arms & Ammo Owners



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • The Simmons Survey System

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Consumer Penetration

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Table 6-5 Consumer Penetration Rates for Sporting Arms & Ammunition, 2004-2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Demographic Characteristics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Table 6-6 Sporting Arms & Ammunition Ownership by Demographic Characteristic, 2007 (index)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Participation in Hunting



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Consumers Participation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Table 6-7 Hunting Participation Rates, 2004-2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Demographic Characteristics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Table 6-8 Demographic Indicators for Hunting Participation, 2007 (index)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Table 6-9 Demographic Indicators for Hunting “Every Chance I Get,” 2007 (index)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Table 6-10 Demographic Indicators for Hunting Occasionally, 2007 (index)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Table 6-11 Demographic Indicators for Hunting Seldom, 2007 (index)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • The Politics of Gun Ownership



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Party Affiliation No Surprise

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Table 6-12 Sporting Arms & Ammunition Ownership by Voter Registration Status and Political Party Affiliation, 2007 (index)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Beyond Red vs. Blue

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Table 6-13 Gun Ownership by Political Affiliation, 2005 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    • Table 6-14 Views of the National Rifle Association by Political Affiliation, 2005 (%)


































































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 


                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                Chapter 1 Executive Summary




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Scope of the Report

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Methodology

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Product Definitions and Classifications

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Sizes

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 1-1 Mattress Sizes

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Construction and Materials

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Foundations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Price Levels

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Market Size



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Global Wholesale Sales

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • U.S. Wholesale and Retail Sales

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • U.S. Market Size

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 1-2 U.S. Shipments, Imports and Exports of Mattresses, 2002-2006(E) (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • U.S. Mattress Shipments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 1-3 U.S. Mattress Shipments by Category, 2002-2006(E) (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • U.S. Mattress Imports and Exports

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Figure 1-1 U.S. Imports and Exports of Mattresses, 2002-2006 (in million $)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Market Forecast



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 1-4 Forecast of U.S. Shipments, Imports and Exports of Mattresses, 2007-2011 (in million $)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Trends and Dynamics



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • New Focus on High-End and Specialty Bedding

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Specialty Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Figure 1-2 Market Share of Specialty Bedding Wholesale Sales, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Health Benefits

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Regulations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Fire Safety Regulations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Labeling Rules for Used Bedding

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Medical Reimbursement Guidelines

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Environmental Factors

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • The Economy

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • The Replacement Market

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Price and Availability of Raw Materials

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Competitive Forces

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Demographics



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Manufacturers



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Figure 1-3 Market Share of Top Mattress Companies by Wholesale Sales, 2005 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 1-5 Ranking of U.S. Bedding Producers Based on Wholesale Sales, 2006



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Promotion and Distribution



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Marketing and Promotion

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • It’s All About the Customer’s Well-Being

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • It’s All About the Competition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • It’s All About the Marketing

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Marketing Outside the (Idiot) Box: Alternatives to TV and Print Advertising

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Promotions

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Mattresses on Vacation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Celebrity Endorsements

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Warranties and Guarantees

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Distinction Among Retailers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Distribution

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Channel Growth

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Figure 1-4 U.S. Distribution of Mattresses by Channel, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Figure 1-5 U.S. Distribution of Specialty Mattresses by Channel, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Seasonality



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • The End User



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Consumer Purchasers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Consumer Attitudes

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Figure 1-6 Age of Consumer Mattresses, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Simmons Market Research Bureau (SMRB) Survey Findings

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Mattress Purchases

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  • Table 1-6 U.S. Adults Who Purchased a Mattress/Box Spring in the Past 12 Months, 2005-2007 (% of adults)
































































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              Chapter 2 The Market




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Scope of the Report

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Methodology

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Product Definitions and Classifications



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Sizes

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-1 Mattress Sizes

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Construction and Materials

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Innerspring

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Foam, Latex, Gel

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Air

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Water

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Futons

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Adjustable

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Foundations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Price Levels



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Market Size



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Global Wholesale Sales

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • U.S. Wholesale and Retail Sales

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • U.S. Market Size

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-2 U.S. Shipments, Imports and Exports of Mattresses, 2002-2006(E) (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-1 U.S. Market Size for Mattress Manufacturing, 2002-2006(E) (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • U.S. Mattress Shipments

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-3 U.S. Mattress Shipments by Category, 2002-2006(E) (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-4 Mattress Manufacturing Shipment Categories by NAICS Code

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • U.S. Mattress Imports and Exports

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-2 U.S. Imports and Exports of Mattresses, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-5 U.S. Imports of Mattresses by Type, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-6 U.S. Exports of Mattresses by Type, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Total Imports and Exports by Country

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-3 U.S. Imports of Mattresses by Top 3 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-7 U.S. Imports of Mattresses by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-4 U.S. Exports of Mattresses by Top 3 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-8 U.S. Exports of Mattresses by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Imports by Type

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Pneumatic Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-5 U.S. Imports of Pneumatic Mattresses and Other Inflatable Articles (nesoi), 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-9 U.S. Imports of Pneumatic Mattresses & Other Inflatable Articles (nesoi) by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Waterbeds

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-6 U.S. Imports of Waterbed Mattresses, Liners and Parts by Top 3 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-10 U.S. Imports of Waterbed Mattresses, Liners and Parts by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Supports

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-7 U.S. Imports of Mattress Supports by Top 3 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-11 U.S. Imports of Mattress Supports by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Cellular Rubber or Plastic Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-8 U.S. Imports of Cellular Rubber or Plastic Mattresses by Top 3 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-12 U.S. Imports of Cellular Rubber or Plastic Mattresses by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Cotton Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-9 U.S. Imports of Cotton Mattresses by Top 3 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-13 U.S. Imports of Cotton Mattresses by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Uncovered Innerspring Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-10 U.S. Imports of Uncovered Innerspring Mattresses by Top 3 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-14 U.S. Imports of Uncovered Innerspring Mattresses by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattresses of Other Material

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-11 U.S. Imports of Other Material Mattresses (nesoi) by Top 4 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-15 U.S. Imports of Mattresses of Other Material (nesoi) by Top 10 Countries, 2002-2006 (in million $)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Mattress Exports by Type



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Pneumatic Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-12 U.S. Exports of Pneumatic Mattresses and Other Inflatable Articles (nesoi) by Top 5 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-16 U.S. Exports of Pneumatic Mattresses and Other Inflatable Articles (nesoi) by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattress Supports

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-13 U.S. Exports of Mattress Supports by Top 5 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-17 U.S. Exports of Mattress Supports by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Cellular Rubber or Plastic Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-14 U.S. Exports of Cellular Rubber or Plastic Mattresses by Top 3 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-18 U.S. Exports of Cellular Rubber or Plastic Mattresses by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Mattresses Other Than Cellular Rubber or Plastic

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-15 U.S. Exports of Mattresses Other Than Cellular Rubber or Plastic by Top 3 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-19 U.S. Exports of Mattresses Other Than Cellular Rubber or Plastic by Top 10 Countries, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Cotton Mattresses Supports

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Figure 2-16 U.S. Exports of Cotton Mattress Supports* by Top 3 Countries, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-20 U.S. Exports of Cotton Mattress Supports by Top 10 Countries, 2002-2006 (in million $)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Market Forecast



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Factors Contributing to Growth

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Near-term Outlook

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Five-Year Outlook

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                • Table 2-21 Forecast of U.S. Shipments, Imports and Exports of Mattresses, 2007-2011 (in million $)
































































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            Chapter 3 Trends and Dynamics




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • New Focus on High-End and Specialty Bedding

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Premium Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Luxury Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Super Duper Premium

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Specialty Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 3-1 Market Share of Specialty Bedding Wholesale Sales, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Health Benefits

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Regulations



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Fire Safety Regulations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Labeling Rules for Used Bedding

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Medical Reimbursement Guidelines

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Environmental Factors

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Natural and Organic Materials

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Mattress Disposal and Recycling

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Sustainable Furniture Council

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • The Economy

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • The Housing Market

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-2 New and Existing Home Sales, 2002-2007(E) (in millions)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Population Growth

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-3 Estimated U.S. Population, 2002-2007 (in millions)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-4 Forecast of the U.S. Population, 2010-2030 (in millions)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Mortgage and Interest Rates

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-5 Average Annual Mortgage Rates for 30-Year Fixed-Rate Mortgages, 2002-2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Consumer Confidence

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-6 Consumer Sentiment Index, January 2002-June 2007

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Disposable Income

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Table 3-1 U.S. Disposable Personal Income: Total and Per Capita, 2002-2006 (in chained 2000 dollars*)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Unemployment Levels

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Table 3-2 U.S. Unemployment Rate, January 2002-August 2007 (seasonally adjusted)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-7 Number of Unemployed in the U.S., 2002-2006 (in thousands)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Gross Domestic Product

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-8 U.S. GDP Growth by Quarter, 2002 Q1-2007 Q2 (seasonally adjusted annual rates)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Durable Goods Orders

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-9 U.S. Durable Goods Sales and Inventories, 2002-2005

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-10 U.S. Furniture/Home Furnishings Durable Goods Sales and Inventories, 2002-2005 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Energy Prices

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-11 U.S. Average Monthly Prices for Gasoline and Residential Heating Oil (in $ per gallon) and Residential Natural Gas (in $ per thousand cubic feet), 2002-2007*

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • The Replacement Market

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Price and Availability of Raw Materials

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Foam

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Steel

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Figure 3-12 U.S. Monthly Steel Prices, January 2006-July 2007 ($ per metric ton) Fabric

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Competitive Forces

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • China Threat

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • The Effect of the Internet

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Demographics

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              • Outlook for 2007
































































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          Chapter 4 Competitive Profiles




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Market Share

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 4-1 Market Share of Top Mattress Companies by Wholesale Sales, 2005 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 4-1 Ranking of U.S. Bedding Producers Based on Wholesale Sales, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Other Important Competitors

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Comfort Solutions (formerly King Koil Licensing Company, Inc.)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-2 Comfort Solutions by King Koil’s U.S. Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-2 Annual Wholesale Bedding Revenues of Comfort Solutions, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • New Licensee

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Operations in India



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Englander Sleep Products, LLC



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-3 Englander’s U.S. Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-3 Annual Wholesale Bedding Revenues of Englander, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • New Logo

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • New President

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • New Licensee



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • International Bedding Corp.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-4 International Bedding’s U.S. Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-4 Annual Wholesale Bedding Revenues of IBC, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • New Licenses



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Kingsdown, Inc.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-5 Kingsdown’s U.S. Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-5 Annual Wholesale Bedding Revenues of Kingsdown, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • New Logo

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Reprioritizing Sales Channels



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Restonic Mattress Corp.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-6 Restonic’s U.S. Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-6 Annual Wholesale Bedding Revenues of Restonic, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Management Changes



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Sealy



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-7 Sealy’s U.S. Product and Brand Portfolio by Budget Level

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-8 Sealy’s U.S. Product and Brand Portfolio by Material

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-7 Annual Revenues of Sealy, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-8 Sealy’s Geographic Distribution of Sales, 2004-2006 (% of Total)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-9 Annual Wholesale Bedding Revenues of Sealy, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • New Product Lines



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Select Comfort Corp.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-10 Select Comfort Net Sales by Channel, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-11 Annual Revenues of Select Comfort, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-12 Annual Wholesale Bedding Revenues of Select Comfort, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Personnel Changes

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Advertising and Promotion



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Serta International



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-9 Serta’s U.S. Products and Brands

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-13 Annual Wholesale Bedding Revenues of Serta, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Acquisitions and Partnerships

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Expanded Product Line



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Simmons Co.



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-10 Simmons U.S. Products and Brands

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-14 Annual Revenues of Simmons, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-15 Annual Wholesale Bedding Revenues of Simmons, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Personnel News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Licensing Activities

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Divestitures

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Overseas Activities



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Consolidated Bedding, Inc. (Spring Air)



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-11 Spring Air’s Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-16 Annual Wholesale Bedding Revenues of Spring Air, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Management Changes

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Awards

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Updated Website

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Hospitality Market



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Tempur-Pedic



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-12 Tempur-Pedic’s U.S. Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-17 Annual Revenues of Tempur-Pedic, 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-18 Annual Mattress Sales of Tempur-Pedic: Total vs. U.S., 2002-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-19 Annual Wholesale Bedding Revenues of Tempur-Pedic, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Channels of Distribution

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Antitrust/Price Fixing Allegations

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • New Medical Product



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Therapedic Sleep Products



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Corporate Background

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Table 4-13 U.S. Product and Brand Portfolio

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Performance

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Figure 4-20 Annual Wholesale Bedding Revenues of Therapedic, 2003-2006 (in million $)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            • Company News
































































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        Chapter 5 Promotion and Distribution




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Marketing and Promotion

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • It’s All About the Customer’s Well-Being

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • It’s All About the Competition

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • It’s All About the Marketing

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Marketing Outside the (Idiot) Box: Alternatives to TV and Print Advertising

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Promotions

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Loyalty Programs

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Mattresses on Vacation

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Table 5-1 U.S. Mattress Company-Hotel Partnerships

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Celebrity Endorsements

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Warranties and Guarantees

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Distinction Among Retailers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Trade Shows

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        • Distribution



                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Channels of Distribution

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Channel Growth

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 5-1 U.S. Distribution of Mattresses by Channel, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Figure 5-2 U.S. Distribution of Specialty Mattresses by Channel, 2006 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • The Largest Mattress Retailing Companies

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Table 5-2 Largest U.S. Mattress Retailers and Their Channels, 2006

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          • Seasonality
































































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      Chapter 6 The End User




                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Consumer Purchasers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Consumer Attitudes

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-1 Age of Consumer Mattresses, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-2 Factors Considered Most Important in Deciding Where to Buy a Mattress, 2005 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Commercial Purchasers

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Simmons Market Research Bureau (SMRB) Survey Findings

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Mattress Purchases

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-1 U.S. Adults Who Purchased a Mattress/Box Spring in the Past 12 Months, 2005-2007 (% of adults)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • The Age Factor

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-3 Mattress Purchases by Age Group, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-2 Mattress Purchases by Age and Price Range, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Sex and Mattresses

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-4 U.S. Adult Men vs. Women Who Purchased a Mattress in the Past Year, 2007 (%)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-3 Mattress Purchases by Gender and Price Range, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Mattress Purchases by Race

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-5 Mattress Purchases by Race/Ethnicity, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-4 Mattress Purchases by Race/Ethnicity and Price Range, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Regional Differences

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-6 Mattress Purchasers by Region, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-5 Mattress Purchasers by Region and Price Range, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Educational Attainment

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-7 Mattress Purchasers by Educational Attainment, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-6 Mattress Purchasers by Educational Attainment and Price Range, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Mattress Purchases by Employment Status

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-8 Mattress Purchasers by Employment Status, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-7 Mattress Purchasers by Employment Status and Price Range, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Household Income

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-9 Mattress Purchasers by Household Income, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-8 Mattress Purchasers by Household Income and Price Range, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Marital Status

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-10 Mattress Purchasers by Marital Status, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-9 Mattress Purchasers by Marital Status and Price Range, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Number of Children in the Household

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Figure 6-11 Mattress Purchasers by Number of Children in the Household, 2007 (base index = 100)

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      • Table 6-10 Mattress Purchasers by Number of Children in the Household and Price Range, 2007 (base index = 100)




































































                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      [ Home ] [ Contact ] [ Site Map ]
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