Changed Consumer Behavior Requires Changed Marketing During Pandemic

Consumers are changing their shopping habits during this pandemic year, and these changes in turn require changes in marketing approaches. According to The Drum:

Confronted with unfamiliar stores and shelves filled with less familiar product choices, there is a much bigger opportunity for them to abandon past favorites.

In other words, this is a very good marketing opportunity to encourage brand switching as consumers approach shopping differently than in prepandemic periods. 

Everyone, please stay safe.

Pandemic and Purpose

The COVID-19 pandemic continues worldwide, with some nations and some U.S. states beginning to reopen their economies even as scientists pursue treatments and vaccines.

Interviewed by Bloomberg BusinessWeek in May of 2020, the CEO of Unilever says:

"Our company is guided by three deeply held beliefs: That brands with purpose grow, companies with purpose last, and people with purpose thrive. And we think that refrain is going to be even more relevant in a post-coronavirus world than in a pre-coronavirus world."

Alan Jope sees trends shaped by the pandemic that include an emphasis on hygiene, on staying safe at home, and on the "distance economy" which he indicates point to more in-home consumption and digital consumption.

Stay safe as this pandemic continues.

U.S. Businesses and Coronavirus

U.S. businesses are concerned about their employees, as well as about the impact that the international coronavirus outbreak may have on supply chains and customer behavior...and, ultimately, sales and profits.

MarketWatch has comments from dozens of these corporations here.

The U.S. Centers for Disease Control provides "interim guidance" for businesses here.

Please stay safe.

Disney Plus Is Growing Fast

Not 90 days after Disney Plus debuted its streaming on-demand service, it has attracted nearly 29 million subscribers.

The service projects it will have more than 60 million subscribers worldwide by 2024.

With so many strong entertainment brands and franchises (Marvel, Pixar, etc.) available on Disney Plus, the streaming service has a powerful consumer appeal.

For more, see the Associated Press article here.

Merger will reshape automotive market

Fiat Chrysler merges with Peugeot

Fiat Chrysler and Peugeot finalized their 50-50 merger this week. The combined company expects to sell nearly 9 million vehicles every year, making it the world's 4th largest automaker by volume and 3rd largest by revenue.

Fiat Chrysler and Peugeot to Merge

If Fiat Chrysler and Peugeot complete their just-announced merger, the resulting firm will be the industry's fourth largest.

Read more about this merger here.

Business Roundtable: Corporations Should Benefit ALL Stakeholders

One of the most influential business groups in America, the Business Roundtable recently announced it supports the concept of redefining a corporation to benefit all stakeholders, not just shareholders.

This is a major shift away from the idea that profiting shareholders takes precedence over consideration of other stakeholders (employees, customers, vendors, and communities).

Read the entire announcement here.

Store Brands Continue Strong Growth

Value-minded consumers are choosing private-label store brands in many cases, cutting into the sales of established manufacturer brands. Not surprisingly, grocery chains such as Kroger are feeding this trend by increasing the breadth and depth of their private-label product mix.

Marketing Plan Glossary

Cannibalization.
Greenwashing.
Multichannel marketing.
Psychographic characteristics.

All these and more terminology for marketing planning can be found on the Marketing Plan Glossary site here.

Airbus Drops A380 Super-Jumbo Jet

In June, 2006, I posted about the different strategies and market forecasts of Airbus vs. Boeing.

Airbus thought passengers would be flying hub to hub in giant jets like the A380. Boeing thought passengers would be flying point to point in smaller jets.

Now, more than 12 years later, Airbus has decided to discontinue its super-jumbo A380. Orders had been dropping off . . . and now Airbus will remove the 380 from its product line.

It turned out, Boeing's vision of how passengers would prefer to travel, coupled with tech advances in jet fuel economy and airline decisions, made a big difference in marketing new commercial jets.