Apr 17

Written by: IRI Blog
4/17/2009 12:50 PM

At IRI, we continuously work to benefit our customers by assessing the market landscape via analytic tools and consumer surveys. Some predict the recession will end during the third quarter of this year, others claim a rebound won’t begin until the end of 2010, and still others claim it will be 3-5 years.

A central question with profound implications to the consumer packaged goods industry (CPG) focuses not on when the recession will end, but how will the current economic climate change shoppers behavior five, 10, 20 years into the future.  

Based on extensive IRI research into shopper behaviors and attitudes, econometric data and collaborative studies, IRI forecasts that today’s shoppers will adopt many of the practices Depression-era shoppers implemented in order to weather the current recession and control their spending long after the recession ends.  IRI has dubbed these shoppers the “Downturn Generation.”

This new generation of American consumers is questioning the fundamental assumptions of the American dream characterized by the staggering statistics and unsettling trends that are reported in the news daily.

As the American shopper re-evaluates the dream, American CPG manufacturers and retailers have to continually reconsider the value proposition they offer to people, who today are motivated primarily by a deal. Shoppers are looking for nutritious and healthy ways to feed families for less money.  

We are releasing a new report next week, detailing the results of our investigation into this evolving trend. The report will entail how CPG manufacturers can meet the needs of the changing consumer, while catering to their own business needs.

We are looking forward to sharing these findings with you soon. Please don’t hesitate to contact me with any concerns or questions, and we’d love to hear your thoughts on what CPG manufacturers can do to keep consumers loyal and inspired.

Best,

Thom Blischok
President, Consulting and Innovation

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