Highlights on spending from Mintel

I had the pleasure of attending Mirren’s new business workshop in NY last week. One highlight was the presentation on latest shopping trends from Mintel’s Krista Faron. The prognosis: Encouraging, especially for any products that can be enjoyed at home, and for high-quality, small indulgences.Glimpses of improvement
Krista shared that the Consumer Confidence Index, which is a barometer of the “collective cultural psyche,” is continuing to trend upwards after bottoming out in February. However, unemployment is still high; a full economic rebound won’t happen until unemployment goes down, which is not expected until next year.Mintel has identified an interesting and under-served segment: The “Under-Employed.” Of those 90% of Americans still employed, a third of full-time workers have taken a cut in hours or income, and over 40% of part-timers have lost work hours.There’s no place like home
Despite these conditions, 70% of Americans are spending the same or more on home food than last year, because they’re eating at home more than ever. This means spreading the food budget farther – leading to a more engaged and experimental consumer. With this comes jumps in sales, and loyalty to private label brands as well as basics like Spam and Macaroni and Cheese.This spend-“at-home” phenomenon is also associated with downward trends in eating at restaurants, traveling for vacations, and entertainment outside of the home. It also explains the staggering data that shows 34% of Americans are thinking about buying a flat-screen TV by the end of the year, as well as the positive trends in “simple” home improvement like painting and gardening.Great brand value prevails
Mintel shared some great trend-busting brands that have thrived despite the marketplace, thanks to a focus on a quality product and experience at a great value. Terrific examples are Panera Bread, JetBlue and Old Navy. Good to see the principles of great product at a fair price can still prevail.