Nick Lake is VP, Group Client Director, The Nielsen Company
Summer’s coming. Beer season. And as grocery retailers develop strategies to help maximize their sales during the 2009 summer selling season, it’s clear there are a number of unanswered questions about the economy that could impact your business: Have job losses begun to stabilize? Which way will the stock market go today? Have we hit rock bottom yet?
If we had a crystal ball, it would be easy to determine the answers to those and other questions about our economy. But it’s …

While emerging markets experience the largest declines in consumer confidence to date, signs of recovery are imminent as the U.S. shows a glimmer of hope posting no significant declines from six months ago.

Global consumer confidence has reached an all-time low, according to the Nielsen Global Consumer Confidence Index [download]. Thrifty habits being formed during the downturn will carry over into the recovery.
In the past six months, the index has plummeted to a record low 77 points from 84 points. The catalyst: Latin America, Russia and other emerging nations are now feeling the full effects of a recession that began in the United States, officially, in December.
Though consumer anxieties about the economy take many forms, the most widespread fear centers on job loss. …

While the economic downturn is affecting everyone, not all consumers respond in the same ways. Finding opportunities are not impossible—but knowing where to look is key to success.

Ken Cassar, Nielsen Online
For our March 11 webinar, “Retail Recession Realities,” I’ll be recommending coping strategies for retailers dealing with the ongoing economic crisis. The news has gone from bad to worse in the past six months, but there are approaches retailers can take to survive the lean times and even come out ahead when (dare I say it?) the economy recovers.
The Web offers opportunities for growth like no other channel. Quick case in point – readership of traditional offline newspapers has declined significantly of late, and with it, the …

Marketers across industries are being charged with cutting back their marketing schedules to fit leaner budgets. However the dilemma for most is deciding what media hits the cutting room floor. Nielsen’s recession analysis demonstrates how a marketer at a movie studio or any industry can offset much of the potential reach/effective reach declines that would be caused by declining marketing budgets due to the recession.

Ken Cassar
I’ve been preparing for our upcoming Webinar on Retail Coping Strategies, where we will provide constructive advice to retailers on how they can best cope with the challenging retail environment that we’re in. This has led me to think about companies that are holding up well through the recession.
There are three companies that I’m particularly interested in: Walmart, Amazon, and Hyundai. Walmart’s US sales grew by 6.7 percent, profits by 11 percent in the fourth quarter of 2008. Amazon just announced that Q4 2008 sales were …

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 …

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 …

In October, as global financial markets plunged amid multiple bank bailouts, U.S. consumers showed marked caution at the cash register, focusing their purchases at food, drug, and mass merchandiser stores on basic necessities: food, medicines, and other household items.
Edible essentials, like bread, milk, cheese, and fresh produce, were among the top retail categories for October, according to Nielsen. 
Discretionary items like carbonated beverages, candy, and snacks were also among the top sellers in October — but most of these categories showed year-over-year unit and dollar sales declines.
Top Categories: October 2008 (Dollar Sales: Food/Drug/Mass Merchandiser Sales)

Rank
(by 2008 Dollar Sales)
Top Food/Drug/Mass Merchandiser Sales Categories
(October 2008)
Dollar Sales:
4 …