Consumers Find Ways to Spend Less and Find Happiness

Amid weak job and housing markets, consumers are saving more and spending less than they have in decades, and industry professionals expect that trend to continue

New York Times, August 9, 2010 — If consumers end up sticking with their newfound spending habits, some tactics that retailers and marketers began deploying during the recession could become lasting business strategies. Among those strategies are proffering merchandise that makes being at home more entertaining and trying to make consumers feel special by giving them access to exclusive events and more personal customer service.

Stuck-in-middle Walmart Starts to Lose Share†

Recession-Resistant Retailer Squeezed by Deep Discounters and Higher-End Stores, Calling Some Strategies Into Doubt

Advertising Age, March 8, 2010 — Recessionary darling Walmart saw the first down sales quarter in its history and a surprisingly weak top-line over the holidays as aggressively expanding dollar stores and hard discounters swiped at its positioning. Additionally, last year it lost modest market share in package-goods sales for the first time since Information Resources Inc. began tracking the data — while supermarkets, dollar and club stores all gained.

Burger King revamps coffee, eyes menu rehab

Burger King plans to launch a massive new coffee line as it tries to overhaul its breakfast menu and boost its slumping business.

Associated Press, February 17, 2010 — The nation's No. 2 burger chain will add Starbucks Corp.'s Seattle's Best Coffee to all its U.S. restaurants in a phased roll-out that begins this summer, executives told The Associated Press on Tuesday.

The move takes a page from rival McDonald's Corp.'s success with its McCafe line of coffee drinks, which have been credited with boosting its performance. The deal also adds a new wrinkle to the coffee wars, because McDonald's coffee campaign has been seen as taking aim at Starbucks.

Stronger Brands Recover From Recession Faster

The world's most valued brands are recovering from the recession faster than the Standard & Poor's 500 as a whole

Marketing Profs, February 11, 2010 — Companies waiting for a return to normality following the recession may be disappointed to find that their customers have tried cheaper products––and actually like them, according to separate research from McKinsey & Company.

U.S. Economy Grew at Fastest Pace in 6 Years Last Quarter

The United States economy grew at its fastest pace in over six years at the end of 2009, but a sluggish job market is still souring economists on the sustainability of the recovery.

New York Times, January 29, 2010 — The strong growth in the fourth quarter capped a year of the biggest contraction since 1946, when the country was still cooling off from World War II.

The Obama administration seized the news as an opportunity to push its proposed tax credit for companies that hire more employees.

How the recession has changed US consumer behavior

Companies waiting for a return to normality following the recession may be disappointed. Their customers have tried cheaper products—and actually like them.

McKinsey Quarterly, December 1, 2009 — While the downturn has certainly changed the economic landscape, it may also have fundamentally altered the behavior of numerous US consumers, who are now learning to live without expensive products. Many companies with strong premium brands are anticipating a rapid rebound in consumer behavior—a return to normality, as after previous recessions. They are likely to be disappointed.

Marketer of the Year: Hyundai†

The Carmaker Won Handily in Our Reader Poll, Besting Walmart, McDonald's, Lego and Amazon

Advertising Age, November 9, 2009 — Consider the state of affairs when viewers tuned into the Super Bowl in February: Banks had failed, a stimulus package still hadn't been announced, and unemployment was surging toward 8%, up from 4.8% the year before. Escapism was the order of the day, and most advertisers played right along, with brands like Coke and Pepsi offering saccharine happy-happy joy-joy visions that jarred with the bleak reality.

8 Guaranteed Ways To Kill Your Brand

MediaPost Publications, October 27, 2009 — Throughout the recession, many marketers have relied on so-called "recession-survival" lessons to drive their strategies. Unfortunately, these aren't always lessons as much as they are myths. We thought we would help dispel some of them and share a few tips to spur positive momentum

A Few Good Things to Come Out of the Recession†

Five Accelerating Trends That Will Reshape Marketing

Advertising Age, August 26, 2009 — I'm sure I'm not the first one to tell you: We're in a recession.

The doom has advertisers hanging signs along the lines of "Will Work For Food" on their agency walls, and marketers continue to face facts and figures like these, from Forrester's 2009 Global CMO Recession Survey: 71% of marketing budgets have been reduced this year, and more than half reported reductions greater than 20%.

Now here comes the curveball: I think this might be the best thing that has happened to our industry in decades.

Tide Turns 'Basic' for P&G in Slump†

Wall Street Journal, August 6, 2009 — Procter & Gamble Co., under assault by penny-pinching consumers, has quietly rolled out a version of Tide detergent that the company freely admits isn't "new and improved."

The product, Tide Basic, is currently for sale in about 100 stores throughout the South. It lacks some of the cleaning capabilities of the iconic brand — and costs about 20% less. Its very existence is one of the most telling signs to date of how the sour U.S. economy is forcing mass marketers to shift course.