Beruflich Dokumente
Kultur Dokumente
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Our Take#
The Economy
The Saga Continues
What to Make
How Consumers Answer the Question: Whats for Dinner?
How to Save
Multiple, Creative Savings Strategies Now the Norm
Where to Shop
Its not Just About Women or Any One Format Anymore
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The Economy | Key Trends | Implications# "
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Consumers Continued Their Saving Ways in 2010,# & May Behave This Way for a Long Time to Come# #
Source: Consumers Celebrate Practicality This Holiday Season , Symphony/IRI, Dec 2010!
Even as the rest of the economy improves and consumer attitudes brighten further, people will resist spending much. [the continuing decline in home values is] an ongoing message to households to be conservative about your spending and rebuild your savings because you can't trust the housing market as a wealth-creating machine. ! - Wall Street Journal 2/23/11!
The Economy | Key Trends | Implications# " 5!
With share-of-sales growing at an average annual rate of 0.5 percent between 2005 and 2009.store-brand sales are still growing nearly twice as fast as sales of national brands. !
Source: Nielsen!
As the recession ends, consumer shopping habits and attitudes toward brand consumption are changing. This shift is creating greater overlap in the competencies of retailers and national-brand marketers. !
Brand Amplitude, LLC All Rights Reserved 2011!
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Most People Believe the Recession# has Changed Their Habits and Caused Them to Become More Self-Reliant#
92% of consumers have made some sort of change in their grocery shopping! habits as a result of the recession! Today s consumers... are using tactical tools and capabilities they have to perform better in the marketplace:! ! Coupons, loyalty cards, meal planning, shopping lists, delayed gratication, lowered standards (although not as often as one might think), brand switching, channel switching, store switching, cooking more, eating out less, buying fewer prepared meals, clarifying want versus need, reassessing convenience, larger packages, smaller packages, and more. ! ! Cutting back has made consumers feel smart, not deprived, and they have no intention of returning to old habits even when the economy returns. "
Source: The 2010 American Pantry Study, Deloitte KnowledgeCo LLC and Harrison Group (July 2010)! !
Brand Amplitude, LLC All Rights Reserved 2011!
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More People are Cooking and Eating at Home Largely as a Result of the Recession# "
In 2009, 55% of respondents!
said that they prepared more meals at home in 2009 than they did in 2008! !
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Faced with this Frugality, Consumers Biggest Meal Challenge may be Fighting Boredom#
Since they are eating out less, there is greater pressure on keeping food at home interesting! Consumers are looking for new products avors, ingredients (e.g., different seasonings and spices), small treats (e.g., new juice blends)!
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Cost and Health Pressures are Driving New Ingredient Priorities# "
Overall consumer spending
on groceries grew 8% after ination over past ve years; real growth forecast at 18% over next ten! Expenditures for Fruit, Milk, Cheese, Eggs grew faster than total expenditures from 2005-2009! Expenditures for Bread, Cereals and Vegetables are expected to outpace all other types of food from 20102020! ! !
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The Biggest Change in US Diets is Expected to be a Shift from Animal Proteins & Fats to Grains & Vegetables# "
Spending on Bread and
Cereal expected to surpass spending on Meat in 2015!
Spending on Vegetables
expected to match spending on Milk, Cheese and Eggs by 2020 ! !
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As More Meals Eaten at Home and Ingredients Shift, Cooking Websites and Cookbooks Have Grown in Popularity# "
Allrecipes.com trafc rose from 5 million
UV s month in July 2007 to 7.5 million in July 2010, and is continuing to trend up* ! Over 150 million recipe related searches in Q4 2010! Chicken recipes consistently most searched**! ! *Quantcast **Mintel! !
Cookbook Sales A Bright Spot For Book Industry During the Recession#
2010 total book sales down 4% vs. 2009! Cookbook sales up 5%!
Source: Nielsen, Food: The Social Network of the Ages! November 22, 2010 ! !
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Calories, total fat, sugar, sodium and calories from fat are the top ve items consumers usually look for when they read the Nutrition Facts label. ! NPD National Eating Trends! !
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Taste and Flavor Variety Claims Are Even More Popular Than Health and Wellness#
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"Understanding the meal preparation process prior to grocery shopping, behavior around recipes, impulse purchases, and the use of prepared foods can help manufacturers, food retailers, and marketers design effective strategies for increasing loyalty, trip frequency, and basket sizeThe frequency of meal planning is an indication that many purchase decisions are made prior to grocery shopping. !
Meal Planning Before Grocery Shopping Drives Purchase Decisions, Reports NPD# Chicago, December 1, 2010#
Brand Amplitude, LLC All Rights Reserved 2011!
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" Condent and Anxious Consumers Alike# Use Coupons to Determine Where to Shop#
coupons at least once in 2009, 77% ! said they used them regularly! ! Between 2005 and 2009 the percentage of Condent Consumers who agree that coupons draw them to stores they don't normally shop grew from 27% to 33%. (Experian Simmons NCS)!
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Food and beverage categories alone distributed 118.7 billion coupons in 2009,!
an increase of 6.0%**! Redeemed: 3.3 billion consumer packaged goods coupons were redeemed in 2009,! a 27% increase over the 2.6 billion redeemed in 2008. (Inmar)!
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Price Concerns Increasingly Drive Decisions about Where to Shop and What to Buy# #
Stocking up on family favorites
and bargain hunting are the most popular cost-saving strategies!
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Most Consumers See Different Store Formats as Best for Different Grocery Needs and Shop Accordingly# "
Cross-channel shopping has become a well-entrenched part of the CPG shopping experience; three-quarters of consumers shop in ve or more channels to meet their CPG needs. -SymphonyIRI Times & Trends (August, 2009)!
Nielsen research
found that consumers who shopped in four or more channels spent from 3 to 5x more than single channel shoppers!
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Men Increasingly Important Grocery Shoppers, Particularly for Smaller Basket, Immediate Need Trips# "
Women are still doing the majority of
shopping in all retail channels (except convenience stores), but men have increased trip shares between 2004 and 2010 in all channels except drug stores! !
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Source: MediaPost, January 21, 2011 Only 19% Think National Brands Are Worth The Money
Brand Amplitude, LLC All Rights Reserved 2011!
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Overall, Private Label Penetration 23% of Units in 2010,# Slightly Above Pre-Recession Levels #
Several sources have concluded that the uptick in sales private labels experienced
during the economic downturn will continue, even as prosperity returns.! !
The recent surge in store brands sales is likely to continue as more than 60% of respondents plan to buy more private labels in order to save money. ! ! Approximately two-thirds of those surveyed had switched to less! expensive consumer goods over the previous year, with more than s of switchers agreeing that the less expensive products were as good or better than the more expensive items. !
IRI/Symphony: Store Brands! More Than Just a Safe Harbor in Turbulent Times, June 2010!
Packaged Facts: The Post-Recession Consumer# in the U.S. May 2010!
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Brands Are Training Consumers# to Look for Discounts in FSIs and In-store # #
FSI
s offering coupons on major brands accounted for 89% of coupons distributed and over half of all coupons redeemed in 2009! Food items represent the most active coupon segment! !
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Coupon Divas Are Becoming Inuential by Showing Consumers How to Reap Greater Savings#
Coupon usage is highly concentrated: during the rst half of the year81% of units
purchased with a manufacturer coupon were from just 19% of households !
of deal-hunting sites: GottaDeal, RetailMeNot, Buxr, Hot Coupon World, Newegg.com, WeUseCoupons, and many, many more. !
Known as the
Coupon Diva, Joyce House was featured on NBC s The Today Show last year. Check out her Facebook page for a heads up on local sales.!
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Contact
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www.brandamplitude.com
Carol
Phillips
carol@brandamplitude.com
269-429-6526
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