Recession has created a permanent scar in our psyche. That is what businesses and marketing Gurus believe. There has been recession in the past and the economy had come back. However, this time around marketers are not sure how the psychology of the consumer would pan out. This recession has a much more prolonged affect than the previous ones. The consumers might not be able to go back to a state of free spending. The 2nd quarter of 2009 is showing that pattern in the US and around the world.
Lost Faith
The biggest challenge that a country faces is the growing skepticism towards investment banks. With giants like Lehman Brother failing, consumers might not venture into fancy financial products. The trading volume indicates signs of recovery but we have a long way to go.
Value products
With recession came hundreds of businesses that began marketing “value” products. People were looking for bargains during the initial phase of the recession. Consumers are now looking for value products, products that are worth every penny that they spend.
Socially Responsible
The one big plus from recession is the change in attitude of consumers towards hot topics like “Global warming”. The internet was flooded with conspiracy theories - on how Al Gore would benefit from setting up green businesses around the world. The rumors have died. Countries are now talking about carbon credits, which I believe is an excellent incentive to keep the carbon footprint at a lower level.
Empathy Marketing
The ad messages began to change with recession. More and more adverts began to focus on family, on saving money and on the new buzzword - “value”. I hope this is not a trend and before thinking about profits, businesses continue to create value for consumers.
New Media
The emergence of twitter has made it easier for consumers to get reviews at real time on products ranging from mascara to the latest I-phones. As an experiment, tweet for “Planning to buy I- phone 3GS” and see the response. If you have more than 50 followers, you can expect immediate response.
New Media has created a new channel for real time review.
Manual Search Engine - http://www.mahalo.com/
Carbon Credits - http://en.wikipedia.org/wiki/Carbon_credit
Twitter - http://twitter.com
Buying Happiness - http://www.psychologytoday.com/articles/200401/buying-happiness
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