Credit markets freeze. Financial institutions implode. Economic benchmarks plummet. Consumer spending plunges. Unemployment skyrockets. Bail out plans are unveiled. Global markets fall like dominoes and consumers tighten their hold on wallets. What are a retailer and manufacturer to do? Read on for strategies on how to manage the economic downturn.

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.  …

According to Nielsen, discretionary shopping trips continued to decline dramatically in November, as consumers shifted purchases online and to value-oriented retailers.
Overall in November, trips to retailers declined by 2.9% from the previous year.
Retail Channel Trends
Toy stores, electronics stores, and department stores saw the most dramatic declines in the number of shopping trips last month vs. a year ago.  Trips to toy stores dropped by 23%, trips to electronics stores were down by 21%, and trips to department stores fell by 17%, Nielsen reported.
Retail channels offering low prices and strong value …

Which charitable causes did American households give donations to during the past year?
According to Scarborough Research, that may depend on which city you live in.  The firm’s research found that the percentage of households contributing to specific types of causes differed from city to city. 
Below, Scarborough ranks the top U.S. cities, by percent of households that contributed to a wide range of organizations — political, religious, arts/cultural, healthcare/medical, and social care/welfare — during the past year.

Nearly one-fourth (24%) of online shoppers have spent more than $500 so far this holiday season, with 22% spending between $100-199 online, Nielsen reported Thursday. 
Most online shoppers surveyed by Nielsen (78%) cited the Web’s round-the-clock convenience as their primary reason for shopping online.
A majority of consumers made purchases from online retailers they already knew and trusted — 62% told Nielsen they ordered products from retailers they had shopped with in the past.  Search engines were also a popular way to find online retailers (38% of respondents), followed by offline catalogs (31% of respondents).  
In …

Third quarter data released Thursday by Nielsen showed a small decline in ad spending from January to September of this year.
Overall ad spending dropped 0.6% in the first nine months of 2008, compared to the same time period in 2007. 
The drop came despite overall growth in TV advertising.  Four of the top-five growing media were TV-based.

Mediaweek reports on a reversing trend in the magazine business: a cooling towards “green” issues. Just a few years ago, magazines were sprouting a multitude of green-themed issues, but the economic downturn has many publishers including Time Inc. (”Sunset”), Conde Nast (”Domino”), and Mariah Media (”Outside”) shelving such plans for 2009.
“Editors insist readers are still interested in green themes, although some said they are evolving coverage in response to green’s maturation. Hachette Filipacchi Media’s Elle—which made a statement by publishing its green issue on recycled paper this year—plans a water-themed …

In the wake of the global financial meltdown, India’s top business school graduates are most eager to work in the Fast Moving Consumer Goods (FMCG) sector, according to Nielsen, which reported the results of its Campus Track B-School Survey on Monday.
Management Consulting (35% of respondents), Software/IT Consulting (23% of respondents), Foreign Banks, and Retailing (both 22% of respondents) rounded out the top five most popular sectors among students. 
“Preferences seem to have shifted in favor of large business conglomerates and the IT sector as a consequence of the current global financial turmoil.  …

Among the top computer and consumer electronics websites for November, computer giants Microsoft and Apple easily drew the largest unique audiences, according to Nielsen Online. 
Visitors to Apple’s site logged the longest average stay-times.

Rank
(by UA, Nov. 2008)
Top 10
Computer & Consumer Electronics
Web Brands:
Nov. 2008
Unique Audience:
Nov. 2008
(in 000s)
Time Per Person (hh:mm:ss)

1
Microsoft
95,543
0:45:44

2
Apple
52,909
1:12:27

3
Adobe
29,472
0:05:19

4
Hewlett Packard
23,435
0:09:58

5
Best Buy
22,138
0:11:28

6
Flickr
19,304
0:09:06

7
CNET
17,935
0:06:23

8
Dell
17,058
0:18:38

9
Circuit City
16,609
0:08:18

10
Mozilla
14,400
0:02:23

Source: Nielsen Online (November 2008 ).

Note: Web properties reported at either the brand or channel market level and can include multiple URL’s.

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 …