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

Hain Celestial's Orchard House deal waved through

The UK's competition regulator has given the all-clear to Hain Celestial's bid to buy UK food and beverage group Orchard House Foods, nine months after the US group announced the deal....

BLOG

Hershey's unusual move to share sales data

Hershey made an unusual announcement today (20 September), sharing its own sales data for the last four weeks to assuage any possible investor concern over figures released by Nielsen....

BLOG

Are EU nations using Brexit to revisit country of origin labeling?

As the UK starts to ponder what kind of a relationship it wants with the European Union post-Brexit, EU leaders have been lining up to warn that Britain will not be allowed to "cherry pick" deals and ...

BLOG

UK food prices buck Brexit inflation fears

Low food prices continue to hold back inflation rates in the UK as the supermarket price war continues in the face of rising import costs. ...

just-food homepage



Forgot your password?