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post recession trends Posts
Another post recession trend; Monday to Friday lodgers.
December 20th, 2009
It started when a friend told me down the pub about a great way to earn some extra income without a big hassle. She had taken on a lodger.
So, what’s so different about that, you may ask?
This is a ‘Monday to Friday’ lodger, who only stays with you during the working week. So the weekends revert back to normal.
My interest was tweaked.
Monday to Friday (www.mondaytofriday.com) have been going for a while, but have come into their own during this recession. And it makes sense all round.
Many professionals work in London from other parts of the UK and beyond but can’t afford (or don’t want) to rent a flat for the full month. Plus there are many employees who have to pay for expensive hotels each week for consultants to work in the capital.
Monday to Friday theoretically makes sense.
So I took the plunge.
We now have a Monday to Friday lodger who’s from Dublin but has to be in London each week. She spends 3 nights a week with us – her company are ‘over the moon’ because we are much cheaper than a hotel and our lodger has her own room and bathroom and tells us it’s ‘home from home’.
Monday to Friday are on a growth surge and so they should. Like ZipCar, it’s a simple idea that makes sense.
Another successful post recession trend.
China coming out of recession – the numbers are mind-numbing…
December 8th, 2009
I suppose it’s as if we’ve been cowering in our bunkers for the past year whilst the recession rages around us; banks collapsing, mass unemployment, consumer fear.
We’ve become used to recession.
Poor figures. Bad news.
Agreed –the past few months have shown an improvement but we all know that any recovery is fragile.
So it was with some interest that I arrived in China recently. I had heard of mass redundancies there too – millions losing jobs as factory after factory closed.
What I found was an amazing ‘can do’ attitude by everyone. Yes – the recession had been tough but it was the fault of the US and UK, not Asia, it was explained to me.
In one meeting I had, I was told that the company, a major power in retailing globally, had decided to turn its attention away from the West and to China, which is where the future lay.
Open the South China Morning Post and the numbers are mind-numbing; it stated that growth in mainland China’s industrial and retail output accelerated last month. Industrial production, which accounts for over 40% of China’s economic output, rose 16.1% in October, up from September’s 13.3%. Annual growth would meet the 8% target.
Gordon Brown would be a permanent fixed grin if that was the case in the UK.
Retail sales were up over 16% too, in a sign that the Chinese are shopping again. Looking at the shopping malls and restaurants in Shanghai and Beijing, they certainly are.
Cynics would say that the numbers are massaged. Maybe that’s the case, but I have no doubt that this country is growing rapidly once more. Vehicle sales were up 72% on 2008, with sales of 1.22 million units for October alone. 30 years ago only senior government employees or the very rich owned a car at all.
This is the market of tomorrow. And if there is a wider post recession trend, then it is the rise and rise of Asia.
I for one will be spending more time developing this massive potential over the coming year.
Gosh! Strawberry bonbons! It’s like the tuck shop all over again…
November 5th, 2009
Childhood.
My prep school was a Harry Potter-type place – it was great fun. It was a boarding school in the depths of Yorkshire where I was sent for months on end.
At the age of 8, my parents took me up to London to Kings Cross station at the beginning of each term to catch the school train. Grey shorts, shirt and tie with flannel jacket, with a cap on my head – trunk and tuck box in tow.
We caused havoc all the way to Yorkshire on our ‘Hogwarts Express’, throwing fireworks out of the window as we passed each station.
And my parents thought they were giving us the best education possible…. I loved it!
On a Sunday afternoon we were allowed down to the tuck shop where big jars of sweets were stacked along shelves. Sherbet dib dabs, strawberry bonbons, chocolate mice, sheets of toffee and home made fudge, each weighed out and put into little paper bags as we spent our precious pocket money. This was Billy Bunter stuff.
And it’s back! It seems that the recession has prompted a fit of nostalgia in old fashioned tuck-shop treats.
The downturn has fuelled a demand in comfort foods (Tesco report a 200% rise in demand for sirloin steak). M+S has reported a 350% surge in demand for sugary confectionary – wine gums, fizzy cola bottles and rhubarb creams are now all the rage.
The demise of Woolworths ‘pick and mix’ in the UK plus the recession has led to a 9% growth in the sector, set to be worth £2bn in 2010.
So get down to M+S or House of Fraser for your tuck!
But don’t buy liquorice. Liquorice was for losers.
Well that’s official then – I’m Gastrosexual
September 22nd, 2009
OK – I enjoy cooking. In fact I love it.
Being in the kitchen, conjuring up a new dish is my idea of heaven. Going to North End Road market (or when feeling flash, Borough market), seeing what’s available that day and whisking up a meal from scratch.
Yes – I’m the new Jamie Oliver and Gordon Ramsey of West London rolled into one. At least in my head I think I am anyway….
It seems that I am by no means alone.
There’s a new breed of male that has been identified by researchers as ‘Gastrosexual’, according to Future Foundation, the future trends research company. And we’re not talking about being the ‘Barbeque King’ either.
It seems that men are confidently claiming the kitchen as their own, which has historically been the woman’s domain. Gastrosexuals are masculine, upwardly mobile men, aged 25-45, who are passionate about cooking and the rewards that it might bring.
These men are all around us it seems. 52% of men say they see cooking as a hobby and not a choice, and 53% claim to cook from separate ingredients almost every day. Women seem to love it too – 43% saying they see it as being perfectly normal for their partner to be the main cook, and 34% saying that men were much better at cooking anyway.
So why the change from traditional stereotype?
It seems that there are three main reasons for the trend:
1. Cooking for passion. Men who have a real interest in different cultures and cuisines. Those who have travelled a lot and are happy to use their knowledge to re-create what they have experienced. These men get a real buzz out of cooking.
2. Cooking for praise. The Gastrosexual is at the forefront of the new dinner party and cooking at home has become a strong emerging trend during this recession. These men will be cooking to impress.
3. Cooking for seduction. We now live in a singleton society (at least we do in the UK), By 2006 only 26% of homes in England consisted of couples living with children (as opposed to 51% in 1961). These guys cook to seduce. And it seems to work.
For full details on the report, follow this link http://www.futurefoundation.net/
Consumer recession strategies – will these become post recession trends?
September 11th, 2009
TNS, the research giant now owned by WPP, has come out with a study that makes very interesting reading. The study indentifies six core recession strategies used by consumers. Will these become post-recession trends after the current downturn?
Firstly, not everyone is suffering in this recession. There is no universal response.
Secondly, consumers are driven by far more than rational needs.
We’ve all become used to so many brands offering us generic recession response: everyone is suffering so it makes sense to focus on price and product and offer us all a better deal. But is it working and is it good for the brand?
TNS have come up with six core strategies used by consumers:
1. Fight and Exploit – you’re looking for something extremely cheap that allows you to exploit the recession rather than fall victim to it. If you can beat the odds by taking advantage of a ‘50% off’ you feel you have got one over on the situation.
2. Compete and Win – you’re looking for enduring value. You are looking for quality of course, so it’s not about the deals but something that’s going to last over time.
3. Strategise and Plan – you want to make a smart choice and so take a long term focus; the initial cost may be lower but the longer-term value is higher.
4. Retreat and Defend – you have to see it as saving money; you like to feel the company is sacrificing something so even small discounts are OK; and you want your loyalty rewarded with discounts.
5. Collaborate and Accept – you’re not going to buy it just because it’s cheap; you’re happy to get a discount on something that really demonstrates its practical value.
6. Avoid and Indulge – you’re looking for something for nothing; it might be the chance to win something or just a fun experience; as long a s it gives you the opportunity to indulge.
The research found that individual consumers can embrace different strategies, embracing several responses across different categories. It’s possible to Strategise and Plan when it’s time to replace a car, perhaps being wary of ‘deals’. The same person might want to Avoid and Indulge when buying a mobile phone, opting for a price plan that allows then to call their ‘mates’ as often as they like, Yet with weekly food shopping the Collaborate and Accept strategy might emerge, with a tendency to make small cutbacks across the range.
Consumers adopting a Fight and Exploit approach will respond well to a ‘Rebel Brand’ enabling them to make the most out of a recession. Virgin has had a good recession because it’s a Rebel Brand, appealing to those who are prepared to take advantage of good deals.
Strong brands understand the language of archetypes. Finding and working with the right archetypes lets you connect emotionally with your customers and provides a powerful platform for brand building.
The Breaking of Generation Y. The post recession landscape.
September 3rd, 2009
“My parents told me to save. They also told me not to go to bed with a guy on a first date and not to pop E’s. I ignored all of it”…… (woman, 28, California)
The credit crunch has squeezed the incomes of the retired. It has forced those in their 50’s and 60’s to delay retiring by years.
But the biggest impact of the credit crunch is likely to be amongst people in the 25 to 35 age group.
• This was the generation who bought housing at the top of the market in 2006-2007, and who have seen the biggest collapse in their home’s value. Having only saved for a small deposit, or taking out a 100% or even a 125% mortgage, they are now holding nothing but negative equity.
• This was the generation of easy credit, who discovered that a credit card was better than cash, because if you played it right, you never had to pay the money back. NOW IT’S PAYBACK TIME.
• This is a generation who never learned to save and therefore don’t have a cushion of money to fall on. Older adults always try to have an ‘emergency fund’ of £20,000 / Euros / Dollars to fall back on in hard times. Young adults never saw the point of saving. NOW IT’S TOO LATE.
• Younger business leaders have never seen how banks operate – offering long credit lines in the good times and withdrawing it when it gets tough. Many are in shock with what is happening to their businesses.
Recessions impact younger consumers hard because they cannot believe how easy it is to lose all their money.
Innovation of the year! Is this a post recession trend?
August 24th, 2009
It all started when I was handed a flyer when rushing for the Tube (subway, metro) near to where I live in West London. Some guys were strategically standing in my path (the same way as ‘chuggers’ do) giving out flyers. My first reaction was, as always, to avoid them and (in a very London way) to keep my eyes down, avoid any eye contact whatsover and get to the Tube by the shortest possible route.
I could’t avoid the flyer though and just pushed it in my pocket. I short while later, when looking for something else, I found the (offending) flyer. Zipcar.
Hmmm.
Later that evening I rushed past the same guys still handing out flyers, again doing my best at avoiding them and making eye contact. On my walk home I passed a smart VW Golf with a small sign next to it which said simply ‘ZipCars live here’.
My interest was tweaked, so I got online to find out more.
Well, the net result is that I no longer have my gleaming Beamer but have chosen to use ZipCar instead. It’s brilliant. And I am sure that this recession will lead to a lot more people doing the same as me. I save a fortune AND I become a carbon footprint saint….
Just think – you find a car very near to where you live using the Zipcar website, access the car using a credit card type devise, find the key, use it by the hour, day or longer and just return it to where you left it. No insurance, no lease, no congestion charge to pay, no tax disc or residents permit. No searching for a parking space late at night. AND just think of the environment!
So when I realised how much I was paying for NOT using my car, ZipCar made complete sense.
I think it’s a great innovation that can only be a winner – in fact everyone seems to win. Obviously it’s of no use to someone living out in the country or miles from anywhere, but for city dweller it’s perfect.
I see this as a very real post recession trend. I wonder if it’s taking off elsewhere. It deserves to.