Sales in the British grocery sector picked up over the holidays, but were largely negated by weak sales at the beginning of December, Nielsen reported last week.
Growth (by value) of British food sales for the four-week period ending December 27 was up by 2.6% year-over-year overall and by 4.5% year-over-year for grocery multiples.
“The consumer was much more cautious this year, and it was a back to basics Christmas,” Mike Watkins, senior manager, retailer services, Nielsen, noted.  “Sales of packaged grocery (+11%), frozen (+10%), and confectionery (+8%) were buoyant, while sales of …

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 …

If 2008 is any indicator, 2009 should be a stellar year for 3-D — with Hollywood studios, movie theaters, and Video On Demand poised to reap the rewards.
Despite ticket prices of up to $25, audiences flocked to 3-D premium offerings in 2008. Several blockbusters, like “The Dark Knight,” also benefited from the premium pricing associated with Imax viewing. 3-D offerings also fared well in complimentary areas; preliminary numbers indicate the “Hannah Montana and Miley Cyrus: Best of Both Worlds” 3-D video-on-demand concert on STARZ On Demand has already garnered hundreds of …

Baby boomer households represented more than 50% of sales in 98 of 122 consumer packaged goods (CPG) product categories analyzed in a recent study by Nielsen and the Hallmark Channel.  That adds up to almost $200 billion in total sales in those categories. 
But despite the evident buying power of boomers, many advertisers — intent of wooing loyal lifetime customers — continue to focus their advertising on younger consumers.
Writing in the January issue of Nielsen’s “Consumer Insight” online newsletter, Howard Shimmel, Senior Vice President, Consumer Insights, Nielsen, and Jess D. Aguirre, …

The column below, by Tom Pirovano, Nielsen, was recently published in Nielsen’s “Consumer Insight” online newsletter.
1. Take higher margins in less price-sensitive categories
Ranking categories based on purchase frequency is a fast and inexpensive way of identifying categories that are least sensitive to higher pricing.  Shoppers are less likely to remember pricing on products purchased only once or twice per year. For higher-priced products, however, shoppers are more likely to shop around for the best deal.
2. Lower the thermostat in stores this winter
Your customers will be wearing coats anyway.  This will …

As the economy worsened in 2008, U.S. consumers cut discretionary spending — and shifted basic purchases to value-oriented brands and retailers.  Dollar stores and private label brands saw gains — but many other retailers and manufacturers suffered through dramatic declines.
Is the outlook any brighter for the new year?  Food marketing expert Phil Lempert, of SupermarketGuru.com, offers his take on what consumers and retailers can expect in 2009.
Nielsen Wire: How did consumer habits change in 2008 — and how should retailers adjust?
Phil Lempert:
In 2008 shoppers used more coupons, bought more store …

Nielsen retail industry experts Jonathan Banks, Todd Hale, Tom Pirovano, James Russo, and Jean-Jacques Vandenheede review the key trends that defined the U.S. retail sector in 2008 – and offer their predictions for the new year.
2008: Staying In Is The New Going Out
Americans are spending more time in front of their computers and televisions. The reach and frequency of TV, Internet, and time shifted TV use increased notably in 2008, as consumers on tight budgets opted to save money by staying home. 
2008: Economizing Strategies Go Digital
In 2008, 20% of consumer discussions online referenced strategies for managing grocery budgets.  …

With curtailed consumer spending widely forecast this holiday season, retailers might be expected to concentrate their TV ads on hard-hitting sale messaging aimed at price-conscious viewers.
But according to an analysis of the most effective holiday retail TV ads, released Tuesday by Nielsen IAG, retailers did not appear to increase the proportion of promotional ads in the mix this year. 
About half of all TV ads so far this holiday season (Nov. 17 – Dec. 14) have been brand-focused, while the other half have been devoted to sales/price-focused messages — as was the case during the 2007 …

The launch of Zyrtec OTC and its private label equivalent, Private Label Cetirizine, in early 2008 triggered strong incremental growth in the over-the-counter (OTC) allergy medication market in the U.S., a new analysis by NielsenHealth and Wolters Kluwer Health reports.
According to Nielsen and Wolters Kluwer, the OTC oral/nasal allergy market grew by about 30% in the first half of 2008, compared with same period in 2007.
Like Zyrtec OTC, PL Cetirizine had rapid uptake, accounting for approximately one-third of the OTC cetirizine market’s patient volume during the spring 2008 allergy season.  Zyrtec …

When it comes to holiday baking, consumers in the northern U.S. reach for baking supplies — like readymade frosting, cake decorations, chocolate chips, and food coloring, while southerners prefer to stick to the basics: flour and sugar.
Last November and December, supermarket shoppers in northern markets like Hartford and New Haven, Conn. and Buffalo and Rochester, N.Y. spent almost one-third more, percentage-wise, on baking supplies than average American consumers, Nielsen reports.
During the same period, shoppers in southern markets like Birmingham, Ala. and Memphis dominated sales of flour, spending 106% and 78% more, respectively, than average Americans.
Consumers in Memphis and Birmingham also dominated sales …