As an agency that specializes in products found on the shelves of drug and superstores, consumer response to the current economic climate is something we need to follow closely.
I don’t know anyone who hasn’t become more conscious of their spending habits over the past year, and during a recent webinar presented by the National Association of Chain Drugstores (NACDS) and Information Resources, Inc. (IRI), the presenters described a new “Lens of Affordability” through which consumers are viewing the health products marketplace.
According to IRI data, overall consumption is down 6 to 10 percent, and consumers are adopting new shopping “rituals.” These rituals involve weighing purchase decisions more heavily than before, reconsidering brand loyalties, and assessing not only the price, but the big-picture value of the health and personal care products purchased. To me, this shows that many of us are employing some of “value-based healthcare” concepts being discussed and debated at the government level in our personal spending, and IRI estimates that 83 percent of purchasing decisions are made at home – before the shopper even enters the store.
As consumers in a shaky economy, we can definitely relate to this. As PR professionals, it means realizing that it is no longer enough to communicate the benefits of a product, however superior those benefits may be. We need to help communicate how and why the product fits into a consumer’s value-based decision, and provide useful information that aids in the decision-making process.
In addition to communicating brand messages to a mass audience, we need to also need to identify smaller niche audiences and tailor messaging in a way that’s relevant to those audiences – something that can only be done effectively by incorporating social media tactics, as people seek not only media reports, but peer recommendations, as well.
While all of this presents a more challenging media relations landscape, it also presents new opportunities for brands. Whether it’s a cosmetics “junkie” who is now being forced to consider drugstore brands, or someone looking for a natural way to prevent colds and flu, people are open to new information.