Marketing Forecast from Ad-ology

During the recession, consumers engaged in a variety of behaviors to save money while purchasing food. Sales of store branded-items, use of coupons and endless searching for the lowest prices were popular strategies. A new study released by Market Force Information reveals that grocers should emphasize factors other than price in their marketing now that the recession is fading.

As the U.S. focuses on improved nutrition, the Department of Agriculture has identified food deserts, areas where consumers have little access to quality meat and produce. The next step in this process has been to establish food hubs, a new business model which allows small and midsize producers a way to bring their products into local markets. The model has been established in over 100 U.S. cities and towns to date and new marketing initiatives are playing a key role in raising awareness of these efforts.

Today’s retailers have little margin for error as they compete in multiple channels. Consumers have plenty of power packed into their smart phones and can easily take their business elsewhere if they don’t like the price they see in the store. McKinsey analysts argue that merchants can deliberately sway consumer emotions and position themselves as value operators in all channels by emphasizing details in their marketing that extend beyond price.

Ad-ology Research recently updated their Industry Marketing Insights report for Metal Fabricators. The following are the predicted Top 3 Opportunities/Challenges from the report for this industry for the upcoming 12 months:

One long-held notion has been that a recession ends when women begin spending again on cosmetics and toiletries. Based on rising sales of these products in the past year, the recession may well be behind us. But marketers in some categories are faring better than others and this situation may result in promotional shifts.

After emerging from one of the most difficult economic periods in U.S. automotive history, industry executives should have a positive outlook. Sales of domestic brands are up. Companies who accepted bailouts are paying back the government. And corporate restructuring has whittled down the number of brands and dealerships competing for business. Instead of feeling optimistic about the future, many executives have significant concerns – all of which will impact marketing over the next several years.