Change. This one word has defined the CPG industry for more than a year now. Change is omnipresent: consumer rituals, attitudes, and shopping behaviors have changed more drastically and quickly over the past year than any time in recent history.
Of course, the driver of these changes is the country’s economic climate. Recessionary conditions have left consumers seeking new ways to save money.
For example, trading down has become pervasive. Undoubtedly, value brands have played a key role in helping consumers maintain very tight fiscal budgets.
And, the home has once again become the central hub for daily living. To save money, consumers are dining at home, entertaining at home, preventing and treating ailments at home, and conducting beauty treatments at home with increased frequency. This shift has created pockets of opportunity for CPG marketers.
Adverse economic conditions are expected to linger throughout 2009 and into 2010. But, the CPG industry is well-equipped to survive, or even thrive, despite the downturn.
This report explores the power of value and premium CPG products to drive growth at both ends of the spectrum in recessionary economic conditions.
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