Consumer Confidential: More hiring, guaranteed coffee beans, Verizon iPhone plan

Here's your wake-me-up-before-you-go-go Wednesday roundup of consumer news from around the Web:

-- Employers say "par-tay!" According to Reuters, U.S. private employers added more jobs than expected in January, the 12th consecutive month that companies added to their payrolls. The private sector added 187,000 jobs in January, compared with a downwardly revised 247,000 jobs in December. These latest numbers come courtesy of payrolls processor ADP Employer Services. The ADP figures come ahead of the government's more comprehensive January labor market report, which will be released Friday. If the hiring trend continues, we'll likely see a gradual chipping away at sky-high unemployment numbers.

--Starbucks is standing behind its new line of instant coffee. According to Bloomberg, customers who are not happy with the company's Via instant coffee can get a free bag of ground beans instead. Starbucks has been heavily promoting Via, and says the line has generated more than $135 million in global sales since its launch. Still, the company wants to placate worried consumers by offering replacement beans through Aug. 31 for anyone displeased with the taste of Via instant. That's a smart way of getting people to take the plunge.

--If you're jonesing for a Verizon iPhone, here's the news you've been awaiting: The pricing of the service plans. According to the Associated Press, a basic voice plan including 450 minutes per month will cost $40. A voice and text plan including unlimited text messages will start at $60 per month. And a separate data plan for getting e-mail and the Web will cost $30 per month. Customers will also be able to use the iPhone as a Wi-Fi hotspot for an extra $20 per month. Verizon will start taking orders for the iPhone on Thursday.

-- David Lazarus

Photo: Starbucks says if you don't like instant, you can have beans. Credit: Peter Wintersteller/For the Times

 

Consumer Confidential: Verizon iPhone, higher airfares, paper-towel slugfest

Here's your tally-ho Tuesday roundup of consumer news from around the Web:

--The worst-kept secret in tech is now a reality. Verizon says it will begin offering the Apple iPhone on Feb. 10, ending AT&T's lock on the super-popular gadget. The phone will start at $199.99 with a two-year wireless-service contract. Analysts say the move could double Apple’s smart-phone market share and put a crimp in plans by phones running Google’s Android software to take over the world. A couple of caveats: Because the Verizon iPhone will run on so-called CDMA networks, they apparently won't work if you travel to Europe -- most networks there aren't CDMA-compatible. Also, you can't make a voice call and access data at the same time. I'm not sure why you'd want to, but this is apparently important to some power users.

--The new year is only a few days old and already the airlines are jacking up fares. In fact, this is the third price hike within a month. The increase on many domestic routes ranges from $4 to $10 per roundtrip ticket. Discount carrier Southwest Airlines appears to be the prime mover behind the latest increases. Rick Seaney, chief exec of FareCompare.com, says after other airlines made modest increases on flights in the Midwest last week, Southwest raised its fares across most of its routes. Other airlines then matched the broader fare increases. And so it goes.

--The contentious world of paper towels has grown even more heated. Procter & Gamble is challenging ads from rival Kimberly-Clark over the latter's Viva and Scott brands making possibly unwarranted claims for absorbency and thickness compared with P&G's Bounty. In one ad, "Sandy" holds up a self-help book that urges her to "Quit the Quilt," referring to Bounty's quilted towels and claiming they have more air, not thickness. She then uses a Viva towel on a spill and is convinced. The National Advertising Division Council of Better Business Bureaus found that the ad communicates "that the use of quilted towels is a bad habit that should be broken by use of Viva towels, which provide more towel for the money." The council says the ad's suggestions that Viva is thicker or absorbs better aren't supported. So there.

-- David Lazarus

 

Consumer Confidential: iPhone alarm woes continue, Facebook rakes in the views and money

Here's your more-the-merrier Monday roundup of consumer news from around the Web:

--If you rely on your iPhone to get you up in the morning, chances are you didn't hit the ground running on Monday. Apple acknowledged over the weekend that some iPhone alarms weren't working properly, but the problem has persisted into the workweek -- despite Apple's assurances that the gadgets would basically fix themselves. A check of Twitter on Monday showed that many people were still living alarm-free lives and weren't pleased that their cherished iPhones were letting them down. The problem reportedly involves alarms set for one-time use, not repeating alarms that are set to sound every weekday. To dodge the problem, the company told users to set all of their alarms as recurring ones during the weekend. We'll see what its next suggestion will be.

--How much is Facebook worth? The latest estimate would be in the range of $50 billion, thanks to a $500- million investment by Goldman Sachs and Russian investment firm Digital Sky Technologies. This means Facebook is now worth more than Time Warner, Yahoo and EBay and is just a few billion shy of being worth more than General Motors. Facebook passed Google last year as the most-visited website in the United States, according to market researcher Experian Hitwise. But even though Goldman Sachs can invest in Facebook, you can't. The company has yet to offer its shares to the public, although there are rumors that this could happen by next year.

-- David Lazarus

Photo: Some iPhone alarms still weren't ringing on Monday.

 

Consumer Confidential: Apple TV catches on, 3-D TV doesn't, Pfizer recalls Lipitor

Here's your two-for-the-road Tuesday roundup of consumer news from around the Web:

--Because Apple just doesn't get enough free publicity, here's the latest: The company says it's on the verge of selling 1 million Apple TV set-top boxes, and expects to hit the milestone sometime this week. In case you don't know, Apple TV is a small box that connects to a television, allowing users to rent high-definition movies for 99 cents each through iTunes. Apple says iTunes users are now renting and purchasing over 400,000 TV episodes and 150,000 movies per day. The device also allows people to stream movies from their computer, iPhone or iPad directly to the TV, watch movies through Netflix's on-demand service, view photos stored on the sharing site Flickr and peruse YouTube videos. Remember when Apple just made computers that relatively few people bought?

--Elsewhere on the tech front, looks like consumers aren't quite ready for 3-D TV. Manufacturers who rolled out state-of-the-art sets in hopes of frothy sales have been left disappointed -- and some are slashing prices by as much as 40% to get the things out of stores. Analysts still expect 3-D TV to make a splash with consumers, but clearly that won't happen at manufacturers' desired price points. Also, I suspect a lot of viewers (like me) aren't enamored of the idea of having to put on a pair of special specs to watch TV. Once that problem is remedied, give me a call.

--Heads up: Pfizer is recalling more bottles of its super-hot cholesterol drug Lipitor because of an "uncharacteristic" odor. This is the fourth such recall since August over similar issues. Pfizer says the bottles were supplied by an outside manufacturer and that health consequences appear to be minimal. The latest recall covers about 19,000 bottles containing 40-milligram tablets. The rank smell has been traced to a chemical in wood pallets used to store the product. Pfizer has now recalled more than 360,000 bottles of Lipitor because of the odor issue, but says this will not result in a shortage.

-- David Lazarus

Photo: Apple says it's about to sell its 1 millionth Apple TV box. Credit: Mark Lennihan / Associated Press

 

Consumer Confidential: Holiday sales up, cyber-sales up, gas prices (yes) up

Here's your magical-mystery Monday roundup of consumer news from around the Web:

-- And the countdown begins. Retailers are pulling out the stops as we near the finish line for the pre-holiday shopping season (not to be confused with the post-holiday shopping season). Analysts say it looks like sales will remain strong, with big discounts luring many people to malls and stores. Michael McNamara of MasterCard Advisors SpendingPulse says apparel sales have risen 9.8%; jewelry sales gained 2.6%; and luxury-sector sales (excluding jewelry) have climbed 2.8%. If you haven't finished your shopping, time to get with the program, huh?

-- Speaking of which, looks like many e-shoppers liked what they saw on Friday's Free Shipping Day. The cyber-event helped produce a 61% boost in online shopping from last year, according to market researcher ComScore. Overall, people have spent $27.46 billion online this holiday season, a 12% increase from last year. Driving much of that growth was computer hardware such as iPads, e-readers and laptops, according to ComScore. Free Shipping Day boasted participation by hundreds of major retailers, including Barnes & Noble, Dell, Overstock.com and TomTom. This year, shoppers spent $942 million on Free Shipping Day. That's a bunch o' e-bucks.

-- And now, some coal for your stocking: Looks like high gas prices will persist into the new year. Drivers in California and a number of other states already pay at least $3 a gallon for regular, and analysts don't expect any relief soon. That's because crude oil has hovered between $83 and $89 a barrel since Thanksgiving. The national average for regular gasoline was $2.98 a gallon Monday, according to AAA. That's about the same as a week ago and more than a dime higher than a month ago. A year ago, the average was $2.59 a gallon. Motorists in Washington, California, Hawaii, Illinois and Maine are among those paying the highest prices — from $3.09 a gallon to $3.61 a gallon. The Rockies, Texas and parts of the Midwest have the cheapest gas, ranging from $2.73 a gallon to $2.82 a gallon.

-- David Lazarus

Photo: Sales are strong, online and off, as shoppers turn out in force. Credit: Lawrence K. Ho

 

Consumer Confidential: Amazon extends free shipping, Best Buy gets healthy

Here's your fists-of-fury Friday roundup of consumer news from around the Web:

--Friday is Free Shipping Day on the Web (although, to be honest, it's pretty much been a free-shipping holiday season among desperate e-merchants). But just in case you still need some incentive to cyber-shop, our friends at Amazon.com are extending their free shipping to midnight Sunday -- and guaranteeing that your giftie arrives by Christmas. The free-shipping offer applies to many purchases of at least $25. Shoppers also can get free two-day shipping on many orders if they belong to Amazon's "Prime" program, which costs $79 a year. Shoppers using Amazon's standard shipping option have until Dec. 20 to buy gifts that will be delivered by Dec. 24.

--For its part, Best Buy doesn't want you to just be a sofa spud, watching TV and playing video games. The electronics giant says it's expanding its health and wellness offerings to 600 stores nationwide. The chain will sell products related to running, walking, swimming and yoga, including heart-rate monitoring watches, pedometers, headphones, yoga mats, scales and blood pressure monitors. Best Buy had been testing the offerings in 40 stores in some markets.

-- David Lazarus

 

 

Consumer Confidential: Gift cards lose shine, P&G says 'tweet,' home movies for the rich

Here's your thanklessly Thursday roundup of consumer news from around the Web:

-- Have gift cards lost their luster? Retail mavens say that with discounts aplenty and lots of inventory on store shelves, it's become easier to find that certain something for that certain someone. And that's making gift cards less attractive because people no longer have to be in the position of saying, "I didn't know what to get you so here's a little plastic card -- get what you want." Retail analyst Marshal Cohen says that with deals so chockablock, "why buy a $100 gift card when you can spend $40 to actually buy a gift -- or a few gifts for a total of $100?"

-- Procter & Gamble is saying sayonara to soap operas. After 77 years of sponsoring daytime sagas, the manufacturer of Ivory soap, Tide and other household products says it will switch instead to hanging out on YouTube, Facebook and Twitter. "The digital media has pretty much exploded," says marketing chief Marc Pritchard. "It's become very integrated with how we operate. It's become part of the way we do marketing." The last P&G-produced soap opera, "As The World Turns," went off the air in September. So I guess we should watch out for "As the Tweet Turns."

-- Good news, movie fans: You can enjoy first-run flicks in the comfort of your own home for the low-low-low price tag of just $20,000 -- plus a mere $500 per film. That's how much a company called Prima Cinema is charging to set up a digital theater in your home and stock it with movies as soon as they hit proper theaters. With a price tag like that, you're probably wondering who could afford such a luxury. But Prima Cinema says it expects to install about 250,000 home theaters within five years. I guess that's what rich people will be doing with their hard-won tax cuts.

-- David Lazarus

Photo: Gift cards aren't as hot this year as in past years. Credit: Michael Conroy / Associated Press



Consumer Confidential: Service sector surges, new car cameras, Best Buy opens early

Here's your finally Friday roundup of consumer news from around the Web:

--The headline on the jobs front might be the 9.8% unemployment figure, but there is a smidge of good news out there. Service industries expanded in November at the fastest pace in six months, according to the Institute for Supply Management. The stat suggests that while the economic recovery remains limited, it's still continuing, especially in the service sector. So if you're looking for work, you might concentrate there. I'm thinking I'd make a fine fry cook if this whole blogging thing doesn't work out.

--Your car might soon learn a new trick. The National Highway Traffic Safety Administration is proposing that rearview cameras be required on all new vehicles by 2014 to prevent drivers from backing over pedestrians. The agency says an average of 292 people die each year from back-over accidents, which primarily kill children and the elderly. But the change wouldn't be cheap: It could cost as much as $2.7 billion to equip new cars with the cameras. The agency admits this is a “substantial” amount, but it also says the change could reduce back-over deaths and injuries by almost half.

--Still jonesing for that new flat-panel TV? Best Buy says it will open an hour earlier -- at 8 a.m. -- every day until Christmas to help gadget-hungry consumers get their fill. The company will also offer free cellphones with two-year activation agreements and expand its no-interest financing deals. Best Buy is among a number of major chains that are going all-out this holiday season to woo shoppers with heavy discounts and promotions. If you've got the cash, this is probably a very good time to splurge on whatever you've been desiring of late.

-- David Lazarus

Photo: The service sector shows a lot of promise. Credit: Disney Enterprises

 

Consumer Confidential: Recovery picks up, Gap tests tech, J&J recalls Mylanta

Here's your that'll-be-the-day Thursday roundup of consumer news from around the Web:

--Further proof that the economy is staggering back into the light: Pending sales of existing houses jumped by a record 10% in October after falling 1.8% a month before, according to the National Assn. of Realtors. Meanwhile, another report shows claims for jobless benefits over the past month dropped to a two-year low. And yet another report shows that chain-store sales topped estimates last month. All of that adds up to something that smells like recovery. Let's hope so, anyway.

--Apple uses a pretty nifty point-of-sale system when you buy stuff at its stores. Sales can get processed via iPods and receipts are printed elsewhere. This allows customers to avoid long lines and frees up salespeople to do what they should be doing -- selling. Now Gap is test-driving the technology at some of its Old Navy stores. I hope the idea catches on. Anything that allows people to avoid lines at the cash register is a plus for consumers and a plus for retailers.

--Remember when it seemed like not a day would go by without another Toyota recall? Now Johnson & Johnson is in the hot seat. The company, which has recalled millions of packages of its products this year, now says it's recalling 12 million bottles of Mylanta after traces of alcohol were found in the popular over-the-counter antacid. The recall was initiated to "update the labeling" of the bottles and not because there is any danger to consumers, the company says. The recall also involves almost 85,000 bottles of another liquid antacid product, Atlernagel.

-- David Lazarus

Photo: The economy is giving people reason to smile.

 

 

 

 

Consumer Confidential: Google readies for literary debut; egg farm back in business

Here's your walloping Wednesday roundup of consumer news from around the Web:

--Google's campaign for world domination continues. Now comes word that the company will unveil an online bookstore within the next few weeks. Google Editions will allow users to read books online and to download desired tomes to the e-book reader of their choice, including, apparently, iPads and smart phones. I'm seeing this as a plus for readers because a big dog like Google has the potential to drive e-prices lower and make digital books more affordable and accessible.

--Good news, egg lovers: Wright County Egg of Galt, Iowa, has been cleared by federal authorities to once again ship eggs to consumers. The company was at the center of a salmonella outbreak that sickened more than 1,820 people during the summer and led to the recall of 550 million eggs. The Food and Drug Administration says Wright can begin shipping shell eggs from two of its 73 henhouses. The company has six egg farms in and around Galt. Since August, it has been under orders from the FDA to sell only to "breaker" facilities, where eggs are broken and processed to eliminate potential pathogens.

-- David Lazarus

Photo: Google has a read on your literary tastes. Credit: Paul Sakuma / Associated Press

 

 

 

 

Consumer Confidential: Food safety up, consumer confidence up, PC shipments down

Here's your titanically Tuesday roundup of consumer news from around the Web:

--The Senate has finally passed a food-safety bill that could significantly beef up (sorry) regulation of what we put in our mouths. The bill, which President Obama supports, still needs to be reconciled with legislation passed by the House in July 2009. Consumer advocates say that if the bills become law, the nation's food-safety rules will receive their first major overhaul in decades. The Food Safety and Modernization Act would require improved planning and record-keeping by food producers, and would give the Food and Drug Administration the power to recall contaminated food under its own authority, instead of relying on industry cooperation. All of these are much-needed changes.

--Maybe it was all those Black Friday deals. Maybe it was Cyber Monday's online discounts. Whatever the reason, consumer confidence has hit its highest level in about half a year. The Conference Board, a private research group, says its index of consumer confidence rose to 54.1 in November, from a revised 49.9 in October. The November reading is the highest since 54.3 in June and was better than the 52.5 expected by economists. Retailers are taking this as an auspicious sign for holiday sales. I'm thinking maybe we're all just sick of being so darned gloomy.

--Looks like iPads are making their presence felt. Worldwide PC shipments are on pace to total 352.4 million units this year, a 14.3% increase from 2009, according to the latest forecast by market researcher Gartner. However, the projections are down from the company's previous PC shipment forecast in September of about 18% growth. Gartner attributes part of the decline to growing demand for iPads and other tablet computers. "Media tablets are expected to displace around 10% of PC units by 2014," said Ranjit Atwal, Gartner's research director. And as such devices get cooler and cheaper, that number will only grow.

-- David Lazarus

Photo: If new legislation becomes law, things we eat should become safer. Credit: Anne Cusack / Los Angeles Times