The Change of Consumer Behavior in Economic Downturn
Written by Ardy on October 10th, 2008Economy crisis can cause evolution or revolution of consumer behavior. This condition should be anticipated soon especially for small business players. There are some conditions in global economy issue and common business situation that influence consumers before purchasing the products.
Those urgent conditions are:
1. The increasing of material prices: fuel, this will cause other material prices increasing.
2. The coming of new competitors
3. Information velocity by TV, newspaper, magazine and internet media which can create image of the product and can change mindset of consumers slowly or fastly.
4. Government regulation.
Many small business players often failed because of ignoring those situations. During the business in high market demand, small business players should allocate their time, some money and energy for anticipating condition mentioned in above.
How to allocate our time, money and energy?
As many teachers in business class taught: plan strategy and tactic!
Although the purchasing power of consumers today is decreasing, but consumers are often easily tempted by media. They are often unrealistic when they face to face with the advertising on media.
Advertising takes important role in persuading consumers. And communication with consumers is one of ultimate strategies to win the market, doing market research by interviewing prospects or other methods to communicate with the market prospects before creating the product and launching an advertising to public.
Although global economy condition is in downturn, there must be a chance to make profit in business.
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Tags: global economy issue, how to face economy crisis, how to make profit in business, strategy to win the market, surviving in economic crisis
October 21st, 2008 at 1:40 am
Nice article. Thanks.
Eugene
October 26th, 2008 at 11:27 pm
Hi Eugene,
Thanks for your visit!
January 27th, 2009 at 10:09 am
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February 16th, 2009 at 8:12 am
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April 8th, 2009 at 9:39 pm
I would suggest using social media sites to advertise your company or promote traffic. places like facebook, twitter and myspace can greatly increase the consumer’s likely hood to buy.
June 15th, 2009 at 8:03 am
[...] post special info, as well as to answer questions from the customers. In economy downturn, the approach to consumers is a powerful strategy to know the changes on consumer needs. Dell successfully invited consumers to visit the official [...]
February 4th, 2010 at 1:35 am
the last quarter of 2009 seems promising as we have seen lots of signs of economic recovery against the massive economic recession. i hope that in 2010 all our economies would be back on track. recession really sucks.