Current Events in November 2013

As the holiday season swings into gear so does competitive shopping with consumers scoping out merchandise in physical stores and then comparison shopping for the lowest price on their mobile device or computer, dubbed “showrooming” In an effort to combat or “embrace” this phenomenon some retailers led by Best Buy have implemented strategies including price matching to convert more shoppers into buyers. Nobody is winning in this new game, manufacturers, retailers or the customer.

While I applaud retailers’ recognition that mobile technology is here to stay and for building a strategy they can use to their advantage, they are embracing short term solutions at best. Just as Ebenezer Scrooge clung to his tight-fisted and greedy ways before he was enlightened, retailers and manufacturers need to embrace new methodologies and practices to combat “showrooming” as price matching may have a negative impact on everyone in the purchase stream, not just the retailer.

What’s the Scrooge-factor for retailers? Sadly, retailers may find themselves matching prices with unauthorized, fly-by-night retailers that have a few units. While the rogue sellers have very little inventory they can impact price matching generated by algorithmic price dropping which results in margin pressure on everybody. As bricks and mortars begin to match the price with online retailers they will have less money available to promote sales in their stores, maintain the requisite levels of employees needed for great customer service and will drop lines that are no longer profitable.

Bah, humbug effect

Ebenezer has a “bah, humbug” effect on manufacturers as retailers responding to the ever decreasing prices below minimum advertised prices or suggested retail prices often look to the manufacturers for financial compensation. This compensation can come in the form of deductions from invoices being paid, demands for other discounts or other benefits to help subsidize the retailers’ marketing decision to match the lower online price.

The manufacturers’ sales force need to spend quality time promoting the benefits of their products to retailers to ensure the consumer becomes a satisfied purchaser. The price gauging turns the sales team attention to why one retailer is getting a lower price than another. Ultimately, manufacturers may be forced to only work with retailers who sell their products for the value the manufacturer attaches to the product.

The money that the manufacturer is forced to spend on compensating retailers, monitoring price issues and dedicating resources to detail with the resulting customer service issues has to come from somewhere. , It may result in the loss of jobs, reduced marketing and research and development budgets.

The Ghost of Christmas Yet to Come has negative consequences for the “showrooming”-addicted consumer as well. While the consumer will have short term gains with reduced prices, the long term forecast will likely result in fewer choices, less innovation and reduced quality as the manufacturers seeks to eke out acceptable margins.

As an industry, we must continue to look for ways to promote products that protect reasonable margins for the retailer and manufacturer while still providing value for the consumer. As the number of smart phones and comparison shopping tools increase, the impact of “showrooming” will continue to mushroom and everyone but a select few will lose.

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Jeff Mariola is CEO of DigitalBrandWorks, a digital consultancy which specializes in representing manufacturers in the digital marketplaces and ensuring proper overall representation of product's pricing and content online. Previously, Mariola served as President of Ambius, the premier creator of ambience for businesses and a division of Rentokil Initial plc., (LSE: RTO) a publicly traded international business-to-business service organization based in the UK, where he led the company’s European and North American businesses.

Single-serve coffee makers made mornings much more pleasant for singles and for all consumers who want a cup of coffee at sometime during the day and don't want to make a full pot. They're especially popular in offices.

Keurig single-serve coffee makers, a wholy-owned subsidiary of Green Mountain Coffee, has been one of the more popular brands, with prices starting at around $100.

But using the Keurig and many of its competitors can be a bit pricy, since you're required to use disposable "Kcups" of premeasured coffee. While they are highly convenient – you just snap them in place, pour in a cup of water and brew – a box of eight Kcups can run $7 or $8.

Of course, you don't have to buy the prepackaged coffee. With a Keurig you can use an optional refillable cup instead, but we have found that on some models it's hard to keep grounds from clogging up the waterway.

Hamilton Beach is ffering a potential solution -- The Scoop, a single-serve coffee maker that does not use disposable Kcups. Instead, it has an easy-to-use refillable filter compartment where you put a scoop of your favorite coffee. Best of all, it retails for only $60. Watch a demonstration below.

The coffee maker appears to be fairly popular among environmentally conscious consumers who like the fact that everything is fully recyclable.

“Main reason I like this model is brewed coffee goes in me; grounds go in garden; and nothing goes to landfill, not even a paper filter, a consumer named CeeCee posted at Amazon.com.

For best results, all single-serve coffee makers should be cleaned regularly. Hamilton Beach says The Scoop should be cleaned at least once a month – once a week in areas with hard water.

A new and unfortunate trned is emerging in some parts of the country: parents are refusing to allow their newborns to receive a vitamin K injection at birth.

The Centers for Disease Control and Prevention (CDC) says the trend was apparently a factor in a cluster of newborns in Tennessee who developed late vitamin K deficiency bleeding (VKDB) -- a serious but preventable bleeding disorder that can cause bleeding in the brain.

In each of the Tennessee cases, the newborn’s parents declined vitamin K injection at birth, mainly because they were unaware of the health benefits of the injection.

“Not giving vitamin K at birth is an emerging trend that can have devastating outcomes for infants and their families,” said CDC Director Tom Frieden, M.D., M.P.H. “Ensuring that every newborn receives a Vitamin K injection at birth is critical to protect infants.”

Between February and September, 2013, four cases of late VKDB were diagnosed at a hospital in Nashville, Tennessee. Three of the infants had bleeding within the brain and the fourth had gastrointestinal bleeding. None of the infants received a vitamin K injection at birth.

“Fortunately all of the infants survived,” said Lauren Marcewicz, MD, of CDC’s National Center on Birth Defects and Developmental Disabilities.  “It is important for health professionals to educate parents about the health benefits of vitamin K at birth.”

Standard practice

In the United States, a vitamin K injection at birth has been a standard practice since it was first recommended by the American Academy of Pediatrics in 1961. A dose of vitamin K at birth prevents VKDB.

The late form of VKDB can develop in infants two weeks to 6 months of age who did not receive the vitamin K injection at birth and do not have enough vitamin K dependent proteins in their bodies to allow normal blood clotting.  Untreated, this can cause bleeding in the brain, which may lead to neurological problems and can even be fatal.

The risk for developing late VKDB has been estimated at 81 times greater among infants who do not receive a vitamin K injection at birth than in infants who do receive it.

The Tennessee findings were published today in the Morbidity and Mortality Weekly Report (MMWR).

If more customers took the attitude “We’d sooner not fly at all than fly under these conditions,” traveling through American airspace would be far less infuriating. But it happened Wednesday night in Philadelphia, after passengers walked off a US Airways plane to protest what they say was a flight attendant’s unfair treatment of a blind man and his guide dog.

Alfred Rizzi, a legally blind man aided by a guide dog, tried taking a US Airways flight from Philadelphia to Long Island on Wednesday night, but a flight attendant ordered him off the plane, claiming that his dog was “out of control.”

Rizzi’s fellow passengers begged to differ. As ABC news reported:

The passengers say the flight attendant would not let the plane leave without the guide dog going under the plane's seat, which they helped him do. But after waiting on the tarmac for more than an hour and a half, the dog began to get restless.

That's when the flight attendant kicked the man and his dog off the flight.

The outraged passengers said Rizzi did nothing wrong and the flight attendant was being unreasonable; a US Airways spokesman later claimed that Rizzi was being “verbally abusive” to the flight attendant. Regardless of which is accurate, the passengers undeniably all walked off the flight, and US Airways ended up sending everybody to Long Island by bus.

It’s worth pointing out that, even if there hadn’t been any difficulty with Rizzi, his dog and the flight attendant, the passengers on that “express” flight still had to spend over 90 minutes sitting on the tarmac, in addition to however early they had to arrive at the airport to be scanned, searched, and/or prodded by the Transportation Security Administration.

Meanwhile, Google Maps shows that it takes roughly two and a half hours to drive from Philly to Long Island. Not that this matters for a man who is legally blind, but the rest of Rizzi’s fellow passengers might find that next time, driving is not only quicker, but also frees you from involvement with TSA agents, flight attendants, and other people with the authority to make traveling even harder than it is already.   

Being a pipe is one thing but being a publisher adds a lot of value to a brand. That's why you see Netflix and Amazon producing their own movies and series. HBO and other premium channels did the same thing back in the early days of cable, establishing themselves as something more than just a distribution system.

Now Roku -- one of the early players in the streaming-video business -- is teaming up with AOL to produce a news channel that will be distributed through Roku's set-top boxes.

The companies said the news channel will include news videos from eight categories, including business, entertainment and technology. More than 1,000 premium publishers will also be contributing content, including the Wall Street Journal, BBCNews, HuffPost Live, The Associated Press and Reuters.

The integrated news service will be available free of charge in the U.S. on the new Roku LT, Roku 1 and Roku 2 players. It is slated to automatically roll out as a free software update in the coming weeks to all current-generation Roku devices.

"News is among the fastest growing categories on the Roku platform and this parntership pwith AOL makes it even easier for customers to find and starat watching a variety of news videos," said Steve Shannon, general manager of content for Roku. "This is the first ingrated news service on a TV streaming platform."

Southwest Airlines is officially joining the Transportation Security Administration's "Pre-Check" program, joining American, Delta, United, US Airways and Hawaiian Airlines, effective today.

The program is also being extended to all U.S. Armed Forces service members, including those serving in the U.S. Coast Guard, Reserves and National Guard. As a result of the agreement, these individuals will be able to enjoy the benefits of the program at the 100 participating airports across the country, beginning Dec. 20.

The program allows pre-screened travelers to go through special security lanes at airports around the country. It's intended to make life a little easier for frequent flyers and business travelers, who must go through an initial security check and pay $100. 

Travelers cleared into the program are generally not required to remove belts, outerwear and shoes or to take liquids out of suitcases when passing through TSA security checkpoints at airports, although they remain subject to random checks. 

Participants get a "Known Traveler Number" which they must enter when making their travel reservations. The numbers are also issued to United States citizens who become members of several U.S. Customs and Border Protection trusted traveler programs, including Global Entry, Nexus and Sentri. Elite members of airlines' frequent traveler programs also may use "Pre-Check," according to a TSA spokeswoman.

Roger Dow, president and CEO of the U.S. Travel Association, said the addition of Southwest is good news for travelers.

“The recent trend in federal aviation policy has been decidedly pro-traveler, and the more people travel, the better it is for U.S. economic and job growth. Pre-Check is a prime example of the innovative policies — Global Entry, Visa Waiver and Automated Passport Control are others — that are making travel easier for the public while still maintaining the optimum security standards that always need to be our top priority."

Consumers remain understandably nervous about battery-powered electric cars, fearing it will be inconvenient to recharge the batteries and that their car's range won't live up to the manufacturer's promises.

But what if your car could recharge its batteries wirelessly -- the same way your smartphone collects texts and emails and your EZ-Pass pays tolls? That's what researchers at North Carolina State University have been working on.

They say they've developed new technology and techniques for transmitting power wirelessly from a stationary source to a mobile receiver – moving engineers closer to their goal of creating highway “stations” that can recharge electric vehicles wirelessly as the vehicles drive by.

“We’ve made changes to both the receiver and the transmitter in order to make wireless energy transfer safer and more efficient,” says Dr. Srdjan Lukic, an assistant professor of electrical engineering at NC State and senior author of a paper on the research.

The researchers modified the receiver so that when it comes into range and couples with a transmitter coil, that specific transmitter coil automatically increases its current – boosting its magnetic field strength and the related transfer of energy by 400 percent.

The transmitter coil’s current returns to normal levels when the receiver passes out of the range of the transmitter.The researchers developed a series of segmented transmitter coils, each of which broadcasts a low-level electromagnetic field. The researchers also created a receiver coil that is the same size as each of the transmitter coils, and which can be placed in a car or other mobile platform. The size of the coils is important, because coils of the same size transfer energy more efficiently.

Improves on previous versions

These modifications improve on previous mobile, wireless power transfer techniques.

One previous approach was to use large transmitter coils. But this approach created a powerful and imprecise field that could couple to the frame of a car or other metal objects passing through the field. Because of the magnetic field’s strength, which is required to transfer sufficient power to the receiver, these electromagnetic field “leaks” raised safety concerns and reduced system efficiency.

Another previous approach used smaller transmitter coils, which addressed safety and efficiency concerns. But this approach would require a very large number of transmitters to effectively “cover” a section of the roadway, adding substantial cost and complexity to the system, and requiring very precise vehicle position detection technology.

“We tried to take the best from both of those approaches,” Lukic says.

Lukic and his team have developed a small, functional prototype of their system, and are now working to both scale it up and increase the power of the system.

Currently, at peak efficiency, the new system can transmit energy at a rate of 0.5 kilowatts (kW). “Our goal is to move from 0.5 kW into the 50 kW range,” Lukic says. “That would make it more practical.”

The paper, “Reflexive Field Containment in Dynamic Inductive Power Transfer Systems,” is published online in IEEE Transactions on Power Electronics. 

A stronger-than-expected October employment rate helped push rates on fixed rate mortgages (FRMs) higher during the week ending November 14,

Freddie Mac reports the average rate for the 30-year FRM rose to 4.35% from 4.16%, putting the rate at its highest level since September 19, 2013, when it averaged 4.50%. A year ago at this time, the 30-year FRM averaged 3.34%.

The 15-year FRM averaged 3.35%, up 8 basis points from last week's averaged of 3.27%. The 15-year FRM averaged 2.65% a year earlier.

The average for the 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) was 3.01% this week , compared with 2.96% last week. Last year, the 5-year ARM averaged 2.74%.

One-year Treasury-indexed ARMs were unchanged this week, averaging 2.61% and up 6 basis points from 2.55% at this time last year.

Stronger than expected economic data releases were responsible for this week's increase in rates. “Nonfarm payrolls increased by 204,000 in October, above the consensus forecast,” noted Freddie Mac Vice President and Chief Economist Frank Nothaft. “In addition, revisions added 60,000 additional jobs to the prior two month releases,he said, adding, “preliminary estimates indicate Real GDP growth in the third quarter was 2.8% -- also above consensus."

Jobless claims

Separately, the government reports first-time applications for state unemployment benefits fell by 2,000

in the week ending November 9 to 339,000. Economists surveyed by Briefing.com had forecast a total of 330,000. The previous week's figure was revised higher by 5,000 to 341,000.

Analysts note that the Labor Department (DOL) had to estimate the initial claims levels for 5 states because of the Veterans Day holiday, but point out that these estimates are usually robust and should not result in a major revision in next week's data.

The 4-week moving average, which is less volatile and considered a more accurate barometer of the labor market, was down 5,750, from the previous week -- to 344,000.

The complete report is vailable on the DOL website.

Say what you will about the economy, consumer confidence and all the rest. The National Retail Federation’s (NRF) holiday consumer spending survey finds 53.8% of shoppers say they have already started their holiday shopping

According to the NRF survey, conducted by Prosper Insights & Analytics, just 46.2% say they have yet to start -- the smallest percent in the survey’s history.

"Shopping early has become a very real trend with consumers today as they look for ways to spread out their budget, and retailers have answered their call with attractive holiday offerings as early as October,” said NRF President and CEO Matthew Shay. “Holiday shoppers will have ample opportunities to find the perfect gift; whether online using free shipping or in store on Thanksgiving or Black Friday, given the competitive nature of the season, consumers will be the clear winners this year.”

Clothing is king

With plans to spend slightly less than last year, consumers will shop for both value and price when checking items off their holiday lists. The most popular choice: clothing and clothing accessories. According to the survey, nearly six in 10 (60.7%) consumers will splurge on fashion and apparel items and other accessories.

Granting their loved ones' wishes, 59.2% of holiday shoppers will also splurge on gift cards, which have come in as the most-requested gift item for seven years in a row. Additionally, 44.3% of people say they will buy toys, 23.3% will buy jewelry items, and 19.0% will buy sporting goods and leisure items.

New tablets and even smart watches will drive more people to give the gift of electronics this year: one-third (33.0%) will buy electronics and/or computer items and accessories, compared with 31.8% last year and the highest percent seen since 2006.

Watching the wallet

“Even with smaller budgets this year, consumers will still splurge on popular discretionary-type gifts for their friends and family, but will shop around and compare prices as they’ve done for years,” said Prosper’s Consumer Insights Director Pam Goodfellow. “Looking for inspiration online and on their social media channels, many budget-conscious shoppers will also look for ways to surprise their loved ones with homemade and personal gifts.”

The survey also found shoppers prefer to use money they already have or have saved up to purchase holiday gifts, consistent with results seen over past three years. More than four in 10 (43.7%) will rely on debit cards as their primary form of payment. An additional 25.4% will use cash and 2.4% will use a check. Nearly three in 10 (28.5%) will charge their gifts.

When it comes to looking for inspiration for holiday gifts, traditional search methods will prevail, but tips from social media will be popular as well. According to the survey, 47.9% of consumers said they will look for holiday gift ideas online and 36.0% will check out retailers’ advertising circulars. Two in 10 (22.2%) will peruse magazines for ideas, 21.5% will look into email advertisements and 14.0% will use Facebook. Proving they are still seen as a value to shoppers, more than one-third (33.7%) of consumers say they will seek ideas from catalogs. Additionally, 10.1% will use retailers’ apps, versus 8.7% last year, and 7.2 percent will use Pinterest, up 2.4% from last year.

Dream on Me of South Plainfield, N.J., is recalling about 700 Lullaby Cradle Gliders

The mattress support board can fall out or slide out of the bottom of the cradle glider posing a risk that babies can fall out and suffer injuries.

There have been reports of two incidents while infants were asleep inside the cradle. A one-month old infant fell to the floor when the mattress support board partially fell out, but the child was uninjured. A second report involved a four-month old infant who did not fall out of the cradle after the mattress support board became partially disengaged.

This recall involves the Lullaby Cradle Glider manufactured by Dream On Me Inc. The cradle is made of solid pine with slats on all four sides and a base that has a gliding side-to-side motion. The inner dimensions of the cradle measure 34.5 inches by 20.5 inches and includes a mattress pad and four wheels for easy movement. The cradle is sold in one design, four colors 640-C, cherry; 640-W,white; 640-E, espresso; and 640-N, natural. A label identifying the date of manufacture as October 2011 is located on the mattress support board.

The crade gliders, manufactured in China, were sold online only through K-Mart, Kohl’s, Sears, Toys R Us and Walmart from October 2011, through June 2013, for about $130.

Consumers should immediately stop using the recalled cradles and contact Dream On Me to obtain a free repair kit. Instructions for assembly will be included in the repair kit.

Consumers may contact Dream On Me toll-free at (877) 201-4312 from 9 a.m. to 5 p.m. ET Monday through Thursday and 8 a.m. to 4 p.m. Friday.

The Step2 Company of Streetsboro, Ohio, is recalling about 14,000 Whisper Ride Touring Wagons.

The removable blue seat backs can detach and allow the child in the wagon to fall out.

The company has received 29 reports of the seat back detaching, 28 of which resulted in children falling out of the wagon. Fourteen of these resulted in bumped heads and nine resulted in bruises, scratches or lacerations.

This recall involves Step2 Whisper Ride Touring Wagons. The two-seat plastic wagon is 25-inches wide by 41.25-inches long by 20-inches high with blue seats, a tan wagon base and a red canopy. The Step2 logo appears on the canopy and on the side of the wagon base.

The wagons, manufactured in the U.S., were sold exclusively at Toys R Us stores nationwide and online at ToysRUs.com from February 2013, to August 2013, for about $130.

Consumers should immediately stop using the wagon and inspect it to determine if the seat belt is attached to the removable blue seat back. If so, the wagon is included in this recall. Consumers with the recalled wagons should contact Step2 to obtain a free repair kit.

Consumers may contact Step2 toll-free at (866) 860-1887 between 8 a.m. and 5 p.m. ET Monday through Friday.

Fran's Fryers of Milford, Texas, is recalling approximately 251 pounds of various raw poultry products because they were produced without the benefit of federal inspection. There have been no reports of illness due to consumption of these products.

The following products are subject to recall:

• 2-lb. packages of "Boneless Dark 2# Chicken Leg Meat"
• 2-lb. and 5-lb. packages of "Chicken Breast Tenders"
• 3-lb. and 5-lb. packages of "Chicken Bone In Breast"
• 5-lb. package of "Ground Turkey 5#"
• 5-lb. packages of "Cut Up Fryer"
• 5-lb. packages of "Whole Fryers"

Each package bears the establishment number "P 20784" inside the USDA mark of inspection. The products were produced on November 11, 2013, and shipped to retail establishments in Texas.

Consumers with questions about the recall can contact the plant manager, Brady Sweet, at (972) 493-5305.

Whole Foods Market’s Northern California region is recalling ready-to-eat Artichoke Wheatberry Salad and Southwest SooFoo Salad in response to a recall issued by Glass Onion Catering.

The salads have the potential to be contaminated with E. coli O157:h7.

To date, 26 illnesses have been reported; however, none of the illnesses are linked to products specifically sold at Whole Foods Market.

Customers may have purchased the products from the fresh deli case, salad bar and/or in pre-packed pint or half-pint containers in the Prepared Foods department. Both products have been pulled from all venues and carry an expiration date between Nov. 9 and Nov. 13.

Four PLUs are associated with these salads:

• 28563300000- Artichoke Wheatberry Salad
• 28563400000- Artichoke Wheatberry Salad
• 28563700000- Southwest SooFoo Salad
• 28563800000- Southwest SooFoo Salad

The recalled salads were sold in the following 10 Northern California stores:

• Capitola, 1710 41st Ave, Capitola, CA 95010
• Fremont, 3111 Mowry Ave., Fremont, CA 94538
• Oakland, 230 Bay Place, Oakland, CA 94612
• Lafayette, 3502 Mt. Diablo Blvd, Lafayette, CA 94549
• Los Gatos, 15980 Los Gatos Blvd, Los Gatos, CA 94032
• Napa, 3682 Bel Aire Plaza, Napa, CA 94558
• Noe Valley, 3950 24th St, San Francisco, CA 94114
• Redwood City, 1250 Jefferson Ave, Redwood City, CA 94062
• San Mateo, 1010 Park Pl, San Mateo, CA 94403
• Walnut Creek, 1333 Newell Ave, Walnut Creek, CA 94596

Customers who have purchased these products should discard them, and may bring in a receipt to any of the above stores for a full refund.

Consumers with questions about the recall may call 512-477-5566, ext. 20060, Monday-Friday from 8 a.m. to 5 p.m. CST.

The problems with the government's roll-out of the Affordable Care Act have been well-documented. The Department of Health and Human Services' (HHS) national sign-up website, Healthcare.gov, has been a disaster. Some state sites have also had issues.

But technical issues aside, consumers – especially those who have never had health benefits – may face even bigger challenges in the new healthcare marketplace. A study by Washington University School of Medicine in St. Louis finds the whole process, even under the best of conditions, is not exactly a walk in the park.

“Selecting the best health insurance option can be confusing, even for people who have gone through the process for many years,” said Mary Politi, an assistant professor of surgery and the study’s lead author. “We need to do a better job communicating information about health insurance to help people make the choices that work best for them.”

Conducted before the roll-out

The study was conducted just before the Oct. 1 launch of Healthcare.gov and did not anticipate the problems that would occur with the website. However, it did identify difficulties that appear to be common among consumers lacking health coverage.

Most people who have never been insured, the researchers say, are going to be unfamiliar with the language of health benefits, such as “coinsurance” and “deductible,” that are necessary to compare and choose among available health plans.

Even individuals who have had previous experience with health insurance confused the meaning of similar terms, such as urgent care and emergency care or co-insurance and co-payment.

The conclusion that researchers have drawn from all of this is that uninsured consumers are going to be heavily dependent on navigators, individuals and groups hired under the new law to help guide consumers in their local communities through the process.

The researchers say navigators can simplify details, use visuals and provide context for unfamiliar terms to help people better understand their health insurance choices. How that plays out is yet to be seen.

Missed deadline

In northwest Ohio the Toledo Blade reports the Neighborhood Health Association and CareNet, two community groups receiving thousands of dollars in grant money from HHS to train health care navigators has yet to get started, missing a Nov. 1 deadline.

Republican opponents of the health care law have been quick to highlight problems with navigators, which supporters of the law contend is unfair and misleading. They suggest that states with GOP-controlled legislatures have thrown up bureaucratic obstacles for the community groups who are trying to get navigators on the job. Officials in those states say the extra regulators are needed to protect consumers and their personal information.

Success stories

Despite problems, some regions of the country report navigators are in place and signing people up. ACR Health, a community group in Syracuse, N.Y., reports problems are few and far between and it has a number of success stories to report.

Community organizations around the country are receiving $67 million under the ACA to train and deploy navigators who help consumers choose a health benefits package and get enrolled. The researchers say they may be able to help.

Based on their findings, they are testing ways to improve communication about health insurance and the newly created state and federal health insurance exchanges.

“This effort is especially important for individuals with limited health literacy and math skills, given the complex information required to understand plan differences,” Politi said.

Kevin Trudeau is a persuasive guy but he wasn't able to persuade a Chicago jury of his innocence. The jury took just 45 minutes yesterday to find Trudeau guilty of criminal contempt and Chicago U.S. District Judge Ronald Guzman ordered the pitchman hauled off to prison for the third time in recent weeks.

There is no defined sentence for contempt, so Trudeau, 50, could wind up spending a long time in the lock-up when he is sentenced in February.  He was jailed twice in recent weeks for allegedly refusing to reveal the whereabouts of his financial assets to pay off a $37 million fine levied by the Federal Trade Commission back in 2009.

The fine was imposed on Trudeau for violating a 2004 stipulated order by misrepresenting the content of his book, “The Weight Loss Cure ‘They’ Don’t Want You to Know About.”

In 2008, Judge Robert W. Gettleman of the U.S. District Court for the Northern District of Illinois ordered Trudeau to pay more than $5 million and banned him, for three years, from producing or publishing infomercials for products in which he has an interest. The ruling confirmed an earlier contempt finding.

"Secrets" revealed

Trudeau has made millions hawking everything from financial advice to weight-loss solutions, using the theme that there are "secrets" known only to few highly placed insiders. But many consumers, like Rae of Canon, Ga., have found little of value in the books, tapes and DVDs.

"I saw the FREE MONEY telemarketing Infomercial late one night. At the time, my family and I were on the brink of bankruptcy so it appeared to be a gift from God (It was in fact a curse from the DEVIL ...). I really wish I had checked with this site before I called and ordered FREE MONEY!" Rae said in a ConsumerAffairs review in September.

Some consumers, on the other hand, think they got their money's worth.

"I managed to buy 'Your Wish is Your Command.' I got it at a special discount for only $20. I didn't even get upsold. I thought it was the best ever and literally listened to it over 100 times. I joined Global Information Network for $1000 + $150 monthly dues. I thought it was a bit of overpriced but overall I really liked it and felt I was getting something out of it," said "J" of Saskatoon. "I went to a few events, thought they were pretty good. I got his books. I felt some of his natural cures worked. I tried his diet book, didn't think it was that good but there was some good information in there."

Many of Trudeau's fans followed him into court yesterday and left looking dejected after Trudeau was packed off to prison when Judge Guzman expressed concern that Trudeau posed a flight risk, after prosecutors alleged that Trudeau has millions of dollars stashed overseas. 

News flash for weight-conscious office workers: eating at your desk makes you more likely to gain weight than leaving your desk for an official lunch break — though not for the reasons you might think.

According to an unspecified “survey” mentioned in the British Daily Mail tabloid, eating “al desko” (their pun, not ours) leads to increased weight gain, not just from the inactivity of sitting at your desk all day, but mainly because desk-eaters are more likely to, for example, wash down chocolate and potato chips with a Coke, in lieu of eating healthier, more nutritious food.

Psychologically, it appears, when people can’t take a break from their workday routine and get the chance to recharge their batteries (so to speak), it makes us more likely to “reward” ourselves in other way — like eating tasty but unhealthy junk food.

The survey focused exclusively on British workers and unhealthy British meals (where the average American is concerned, it doesn’t matter how many grams of fat are to be found in a carrot-chutney-with-Wensleydale sandwich from London’s Marks and Spencer) but people in both countries share similar pressures to juggle evermore-hectic work schedules.

Yet blaming office work for expanding waistlines might not tell the whole story. Last May, a Gallup-Healthways survey of American workers found that the jobs with the highest employee-obesity rates weren’t desk jobs, but the transportation, maintenance, repair and service industries, whereas the lowest obesity rates were to be found among doctors, teachers, business owners and other professionals. In other words: the lower the average educational level in a given field, the greater the risk of obesity among its workers.

The poverty connection

And in both America and Britain, there appears to be a strong correlation between obesity and poverty, since high-fat, high-calorie processed foods tend to be cheaper than healthier, less-fattening alternatives.

So: being an educated professional with a desk job might make you fat. Being an uneducated worker with a service or retail job might make you fat. Exposure to modern environmental pollutants might do the trick; after all, it’s not just modern people getting fatter, but modern animals, too.

Indeed, our own evolutionary history conspires to make us gain weight — though we all live in a modern technological society where food is abundantly available, we still have the bodies of cavemen hunter-gatherers wired to crave fat and sugar — which are very rare in wild plants and animals, but extremely common in modern processed food.

Since we’re not willing to drop out of modern society and live in some remote wilderness, what can we do to offset all these fat-making factors? There’s no simple, easy answer (if we had one, we could sell it and get rich), but we know of a good start: if you must eat at your desk every day, at least put down the junk food and replace it with some fruit.

Usually, when we read about a new advertising campaign aimed at selling things to “women” or “girls” (as opposed to ordinary, gender-neutral “customers”), the results are downright wince-inducing because the marketing industry still appears dominated by people who think “Color it pink, raise the price and the ladies’ll all rush to buy it.”

But, thankfully, it looks like the people at Doe-Anderson know better than that. Doe-Anderson is the ad agency behind a new campaign for Mercy Academy, a girls’ Catholic high school in Louisville, Kentucky.

Rebecca Cullers, writing for AdWeek’s AdFreak blog, first called attention to Mercy’s new “You’re not a princess” campaign, aimed at counteracting the Disney-princess-fairytale mentality that suffuses so much modern “young-girl” American culture.

The campaign features such slogans as “Life’s not a fairytale. Prepare for real life,” “You’re not a princess” and “Don’t wait for a prince. Be able to rescue yourself,” always coupled with the tagline “Prepare for real life,” and the ads even use a color scheme closer to blue than the ubiquitous pink.   

As consumer journalists, we’re not usually in the habit of praising advertising agencies, but Doe-Anderson and Mercy Academy deserve kudos; this campaign hit the ball right out of the park.

In any conversation about distracted driving – especially texting behind the wheel – it is almost always in the context of youthful drivers. After all, they're the ones addicted to their smartphones, right?

Not so fast. Increasingly it appears that a growing number of those heads glancing down at smartphone screens behind the wheel have gray hair. Older drivers are quickly catching up with young drivers when it comes to staying connected while driving.

And it's not just texting. A July 2013 survey by State Farm Insurance found a big jump in the percentage of drivers who own smartphones, particularly among drivers age thirty and older. At the same time the percentage of drivers who access the Internet on their phone while driving has nearly doubled over the past five years, going up from 13% in 2009 to 24% in 2013.

More hands-free talking

The survey results also showed the use of hands-free cell phones while driving has increased, while the percentage of people talking on a hand-held cell phone or texting while driving has become stagnant over the past three years.

This may be due, in part, to the growing number of new cars that have a Bluetooth connection. With this system, a driver may answer a call and carry on a conversation simply by pushing a button on the steering wheel, without removing the phone from a pocket or a purse.

While there has been research that suggests talking on a hands-free phone is also distracting, the same could be said for a driver conversing with passengers. It's all a matter of degree. But it's the growing presence of electronic gadgets among drivers that keeps insurance agents up at night.

Multiple distractions

"As smart phone ownership increases for all age groups, the safety community must ensure we are keeping pace with our understanding of the types of distractions drivers face," said Chris Mullen, Director of Technology Research at State Farm. "Much attention is paid toward reducing texting while driving, but we must also be concerned about addressing the growing use of multiple mobile web services while driving."

While 86% of drivers age 18-29 have smartphones, the new data shows 64% of drivers age 50 to 64 do as well, a 20% jump in two years. Even 39% of drivers 65 and older now have smartphones, the survey found.

Distracted driving is a major concern for the insurance industry, which profits when there are fewer accidents. But while most concede that texting while driving is very dangerous, it's less clear that simply talking and driving is.

Questioning conventional wisdom

Another study from Carnegie Mellon University and the London School of Economics and Political Science, also conducted this year, finds that talking on a phone while driving does not increase the risk of a crash. 

For the study, Carnegie Mellon's Saurabh Bhargava and the London School of Economics and Political Science's Vikram S. Pathania examined calling and crash data from 2002 to 2005, a period when most cell phone carriers offered pricing plans with free calls on weekdays after 9 p.m. They compared data from mobile network operators and accident reports and found that there was no direct correlation between the number of phone calls made during a certain time period and the number of crashes during the same time.

"Using a cell phone while driving may be distracting, but it does not lead to higher crash risk in the setting we examined," said Bhargava, who is an assistant professor of social and decision sciences at CMU. "While our findings may strike many as counterintuitive, our results are precise enough to statistically call into question the effects typically found in the academic literature. Our study differs from most prior work in that it leverages a naturally occurring experiment in a real-world context."

For its part, State Farm is encouraging government agencies to continue their high profile campaign against distracted driving, which specifically targets electronic gadgets.

"State Farm continues to support a multi-pronged approach to encouraging more engaged driving," Mullen said. "Legislation, enforcement, education and technology all have a role to play in making our roads safer for all who share them."