Marketing Forecast from Ad-ology

Consumers changed the way they shop for groceries and other essentials during the recession. Small, immediate need trips dropped slightly at grocery stores but increased at super centers, indicating that consumers may be trying to save money. For many, these new shopping patterns may endure. As a result, marketers may need to change their marketing strategies to influence shoppers.

As more millennials reach the legal age to purchase beer, wine and spirits, producers must determine which products should be marketed to the group. These consumers are at an age where they’re likely forming long-term preferences. Beverage marketers who earn a customer now can look forward to a long and profitable association.

Restaurant operators are still struggling to recover from steep drops in business as a result of the recession. After the National Restaurant Association’s Restaurant Performance Index (RPI) rose above 100 in summer of 2010, it fell again during the fall. However, operators remain optimistic for the next 6 months. And casual-dining operators, in particular, will turn to specific marketing techniques to boost business.

Craft beer, a category that has exploded in popularity in the past 2 decades, is continuing to grab market share. This expanded market may be coming at the expense of imported beers. Small breweries are taking advantage of consumer interest in their products and they’re appealing to broader demographic groups by borrowing marketing techniques that have become standard practice by another segment in the adult beverage industry, wineries.

Rates of childhood and adolescent obesity continue to soar in the U.S. Parents, medical professionals and policy wonks point to a host of causes when discussing the problem. In particular, the availability of nutrient poor food has come under increasing scrutiny. A new report from the U.S. Department of Agriculture (USDA) outlines the efforts that will be made going forward to improve the school lunch program. At the same time, watchdog groups are calling on food marketers to change the focus of TV ads that target children.

The market for frozen convenience foods will grow 2% by year-end to reach sales of $17 billion in 2010, fueled by a trio of strong performing categories that have offered products able to compete on the basis of freshness and quality with fresh convenience food, according to new research by Packaged Facts. These three categories – frozen pizza, handheld breakfast food, and prepared vegetables – ”have infused the otherwise ambivalent market with the potential to increase 10% and approach $19 billion in retail sales by 2015. Packaged Facts predicts the sales of frozen foods will thrive as marketers in other categories adopt similar strategies to compete with the parallel fresh convenience food market, restaurant takeout, and meals prepared from scratch by consumers.