The cost of living crisis: How brands can support consumers now, while also preparing for future prosperity

The cost of living crisis: How brands can support consumers now, while also preparing for future prosperity

Download
Although the Eurozone has slipped into a technical recession, most economists still expect economic output to grow slightly in 2023 and then more strongly in 2024 across the Eurozone.

The short-term prospects for Germany and the UK are slightly less positive, but even in those markets no one is expecting anything close to the falls seen after the financial crisis.

Consumer confidence time lag

Brands need to be careful not to be caught out when confidence returns, as analysis of Mintel consumer confidence data shows that it takes at least six months for changes in GDP to feed through into consumer confidence. 

An economic recovery will inevitably change what consumers want from brands, but timing is crucial. If a change happens too early, brands risk looking insensitive; too late, they’ll miss out on the opportunities that a rising market will inevitably offer.

How winning brands get the balance right – without losing to their rivals

Winning brands are the ones who get the balance right between meeting what consumers want currently, while simultaneously doing the work in the background on innovation, so they’re ready to pivot seamlessly when consumers are confident enough to loosen the purse strings again. 

Brands that get this balance wrong risk losing out to rivals who are better positioned to tap into the improving consumer mindset.

Download Mintel’s new cost of living thought leadership content

Mintel experts provide their latest insights and advice to brands to help them best prepare to get this balance right across the following key categories: 

  • Food and Drink
  • Retail
  • Travel and 
  • Beauty and Personal Care.
The cost of living crisis: How brands can support consumers now, while also preparing for future prosperity