University of Michigan

Marketing the end of a recession is a lot like marketing during a recession

The current state of the economy brings both good news and bad news for retailers. Consumers are becoming more optimistic about their finances. But they are likely to drop buying habits they picked up during the recession.

The Reuters/University of Michigan consumer sentiment index rose to
70.2 in September, compared to 65.7 last month, which is its first gain in the
last three months. Economists only expected the index to reach 68. The news is good for American retailers, but there’s no evidence that consumer purchase intentions will change with their confidence levels. 

US Census Bureau: ecommerce slumped in Q4 2008

We all know the 4th quarter was a tough one for retailers. Despite the holidays, the global economic crisis had consumers pinching pennies and retailers were forced to discount heavily in an effort to entice them to spend.

Some online retailers such as Amazon.com reported ‘record‘ holidays but many weren’t quick to quantify what those ‘records‘ meant to the bottom line and according to new numbers, Q4 2008 online sales in the United States were disappointing.