Demographic and economic shifts over the next ten years will dramatically reshape the growth of consumer packaged goods (CPG), according to new research from Nielsen which was presented today at the Consumer 360 conference in Orlando.
Categories that are likely to experience solid growth include ethnic health and beauty products, flour/shortening/sugar/yeast/eggs, and a variety of health-related goods such as vitamins and medications/remedies.  The slowest growth categories are expected to be toys and sporting goods, breakfast foods, baby care and pet products.
In just ten years time, the face of America will change: fewer households will have …

Tom Pirovano, Director, Industry Insights
Sales of store brands, or private label products, began to spike in 2007 just as we were seeing the first signs of an economic downturn. At first, these private label sales were driven by higher commodity prices, but volume growth began to catch up with dollar growth in mid-2008. As the economy continues to struggle, more and more consumers are replacing their branded products with private label equivalents. Store brands are up 10% to $84.4 billion in annual sales across categories …

Todd Hale, Senior Vice President, Consumer & Shopper Insights, Nielsen U.S., Jonathan Banks, Director Retail Insights, Nielsen Europe, James Russo, Vice President of Marketing, Nielsen U.S., Jean-Jacques Vandenheede, Director Retail Insights, Nielsen Europe

CI SUMMARY: A shift from nice-to-have to need-to-have assortment and retailing is a common thread across the U.S. and abroad. An interview with Nielsen’s top industry thought leaders reveals how shopping patterns across the world have been affected by the economic downturn, how consumer packaged goods manufacturers and retailers are coping and what lies ahead for the rest …

It’s no secret that consumers nationwide have been forced to alter their behavior and spending patterns due to the weak economy in 2008. But, specifically, just how are they coping?
Based on its extensive research in the Consumer Packaged Goods and Entertainment categories, The Nielsen Company has some answers.
The New Mantra: If You Can’t Eat It… You Don’t Need It

Consumers are relying more and more on food staples and “value” items such as rice, noodles, and pasta, which dominated Nielsen’s list of the fastest-growing categories in 2008.
Dollar sales vs. a year …

Change is quietly shaking up rural America — both the traditional economic base (farming) and the ethnic composition (strongly skewed to non-Hispanic whites) are rapidly diversifying.
With roughly one-third of the total U.S. population and at least three-quarters of the country’s land area, rural America is a diverse and important marketplace for marketers of consumer products, Doug Anderson, EVP, Research & Development, Nielsen, argues in the January issue of Nielsen’s “Consumer Insight” online newsletter.
Marketers intent on reaching rural Americans should pay attention to marked differences in media usage and consumer preferences that …

More than half of U.S. consumers (58%) are “very concerned” about rising food prices, according to a survey of more than 48,000 households conducted by Nielsen in October.
So are consumer packaged goods (CPG) manufacturers and retailers, who have struggled in recent months to balance consumer demand for low prices and high value with abnormally high raw materials and transportation costs.
Rather than raising prices, some food manufacturers have reduced the size of their products.  Such strategies may minimize sticker shock at the grocery store, but are unpopular with U.S. consumers.
Instead, according …

Baby boomers are beginning to retire from the U.S. workforce, but according to Nielsen, their buying power remains strong.
Households with baby boomer members — born between 1946 and 1964 – account for nearly $230 billion in sales of consumer packaged goods (CPG) products and represent 55% of total CPG sales, a new study by Nielsen and Hallmark Channel reports.
The research, which examined the CPG spending power and brand loyalty of baby boomer households, found that baby boomer households’ share of sales is 5 points higher than their share of population, according to …

Why do consumers buy the same baby diapers again and again, but switch between different brands of shampoo and toothpaste?
Such buying decisions can be influenced by a consumer’s mindset — or “shopping mode,” a new study released Thursday by Nielsen reports.
The study examined consumer shopping behavior across 22 home and personal care categories and found that shoppers’ mindsets vary according to the kinds of products they seek to purchase. 

Although this year’s holiday season comes on the heels of exceptional economic turmoil, U.S. consumers are expected to spend $98 billion during November and December — a 4.7% gain in dollar sales over the 2007 holiday retail season, according to Nielsen.
NielsenWire recently spoke with the co-author of Nielsen’s holiday retail forecast, James Russo, Vice President of Food Sector Marketing, Nielsen.
NielsenWire: What is the forecast for 2008 holiday shopping season*?
James Russo:
All consumer, economic, and trade indications point to a flat-to-declining holiday selling season across the core consumer packaged goods (CPG) categories …

Nielsen announced Monday it will combine consumer personality profiles from Mindset Media with Nielsen Homescan consumer panel data.  The personality profiles will help consumer packaged goods (CPG) manufacturers and retailers identify specific personality traits that drive consumer purchasing behavior and brand affinity.
For example, the new data might inform a marketer of tooth whitening products that people who are considered “Carefulness 5” in Mindset Media parlance — those who avoid haste and impulse — are 56% more likely to purchase tooth whitening strips than other consumers.  The company could then use that data …