Brands on the Brink: Marketing in a Down Economy

From Knowledge@Wharton: What does a down economy do to consumer behavior? Most obvi­ously, it makes people less eager to open up their wallets. According to Janelle James, vice pres­ident for global marketing at adver­tising agency Leo Burnett Worldwide, recent research shows that 80% to 90% of people are willing to trade off or trade down when it comes to shopping. Moreover, said Chris Kuenne, CEO of inde­pendent inter­active agency Rosetta, many of those customers might not bounce back with the economy. He likened the effect to “a one-way membrane — it’s not like everyone’s going to go back to work [when the recession ends] and become much less value-sensitive.” · Go to Brands on the Brink: Marketing in a Down Economy →