Consumers to Continue Food, Beverage Thriftiness

CHICAGOAfter two years of cutting corners, consumers have learned to get by with less and say they will continue to practice thriftiness at least for the next six to 12 months and perhaps well beyond that, according to a food and beverage market research report from the NPD Group.

The The Whats Next on the Road to Recovery report, which explores how consumers habits related to food and beverage purchasing and usage have been affected by the recession, finds that nearly one in five consumers expect to be worse off 12 months from now than they are today, and half of all consumers expect their financial situation to be the same as it is today. Looking ahead nine out of 10 consumers say they will plan and watch their spending on food and beverages outside the home.

Among the thriftier behaviors consumers say they will do more often than now over the next six months are decreasing spending on groceries, especially those with household incomes under $35,000; using coupons for food and beverage items from newspapers or magazines; stocking up on foods and beverages when they are on sale; searching store circulars for low prices on food or beverages that are on sale; buying less expensive brands of foods and beverages, and searching for manufacturer coupons online.

As food and beverage manufacturers and retailers begin to rethink their marketing communication programs as they start their recovery planning, its important that they understand their consumers mindset, said Dori Hickey, director of product development at NPD and author of the report. Consumers lost personal wealth in this Recession and theyre skeptical that things will go back to the way they were. In their minds, it appears the road to recovery will be a long one.