Blog: Dean BestBe prepared – for frugality

Dean Best | 16 June 2009

As well as the debate over green shoots, there has been a lot of discussion on how consumers will behave when the recovery finally comes.

Some, like Aldi UK and Ireland boss Paul Foley and Poundland chief Jim McCarthy, reckon this recession has changed consumer behaviour for good.

Others believe that some UK consumers could revert back to something approaching a 21st century Loadsamoney.

Now, there is an element of bullishness in statement from the discounters that some of the changes to the way consumers perceive value will be “sticky”. After the growth of the last 12 months, the discounters will be keeping everything crossed that shoppers will still like a bargain.

Industry watches Rabobank certainly think so. In a new podcast, Rabobank ponders whether the way consumer habits have changed will be “secular”  – i.e. permanent – or cyclical.

Rabobank's Stephen Rannekleiv has put his chips on the former. “An economic recovery would help loosen up consumer purse strings, and improve some of the consumer confidence levels.

“But many of the pre-recession spending trends were  somewhat unsustainable. I think consumers have changed. "Food and beverage companies need to be prepared for more frugality from consumers.”

The question is: are you?


BLOG

Barilla puts sustainability centre stage

Barilla's 2016 results statement, published last week, makes interesting reading, not because of the Italian food group's commercial performance, but for the emphasis placed on sustainability achievem...

BLOG

UK M&A deal volumes slide in early months of 2017

Fresh data from Grant Thornton indicates the number of mergers and acquisitions in the UK food and drink sector fell to the lowest level for over two years in the first quarter of in 2017 - but the ac...

BLOG

Food policy returns to focus in Westminster

Amid the political turmoil in the UK caused by the EU Referendum, the resignation of a Prime Minister, subsequent burning debates over the Brexit “divorce” settlement and now by the surprise announcem...

BLOG

Danone closes WhiteWave, who will acquire Stonyfield?

Danone completed its US$12.5bn acquisition of WhiteWave Foods this week. The move will roughly double Danone's presence in North America, where WhiteWave is a top four dairy player. ...

just-food homepage



Forgot your password?