Sunday, January 17, 2010

How the recession has changed U.S. Consumer Behavior?

Guys, bad times are definitely problematic but they teach people many useful and important lessons which they may never would have learnt in normal times. All of us know that the American economy has been in a recession for the past couple of years. This recession has been extremely damaging for the American economy, but this same recession taught American consumers a useful lesson. This is an extract from the article which I read:

"McKinsey research found that, in any given category, an average of 18 percent of consumer-packaged-goods consumers bought lower-priced brands in the past two years. Of the consumers who switched to cheaper products, 46 percent said they performed better than expected, and the large majority of these consumers said the performance of such products was much better than expected. As a result, 34 percent of the switchers said they no longer preferred higher-priced products, and an additional 41 percent said that while they preferred the premium brand, it “was not worth the money" ".
The important thing is that American consumers now believe that even times change, they won't waste their money on expensive products because they are not worth it. So, guys check out this complete article as to how the economic environment can affect the consumer buyer behavior.