According to a recent press release from The Nielsen Company, Schaumburg, IL, some foods are more immune to recession-period sales slumps than others. According to Nielsen’s analysis of macroeconomic variables, historical trends and consumer behavior, products such as seafood, dry pasta and candy are most immune to a recession. Beer and pasta sauces also show some level of immunity to recessionary times. Those products among the most vulnerable or recession-prone include carbonated beverages and eggs, among other non-food items. “Consumers are feeling the squeeze as they are caught between rising costs and lower spending power,” said Eugene Roytburg, managing director, The Nielsen Company. “As a result, many consumers are reprioritizing or altogether changing their spending habits. For CPG manufacturers and retailers, this requires a change in the way you market to consumers, and knowing which of your products are most affected by a recession will help you maintain focus on the right categories and brands in order to succeed.” Knowing how categories are impacted in a recession enables identification of risks and opportunities—information that is then used to guide strategic decision-making with regard to appropriate business actions, such as pricing and promotion and assortment. “For products that are performing strong and showing immunity during a recession, manufacturers and retailers in these industries have the opportunity to increase product exposure even further,” said Roytburg. “For products at the other end of the spectrum, companies would be well-advised to target their marketing efforts to shore up performance and maintain traction during tough times.”
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