For most consumers, there’s no question that value is going to be the most important element of the buying decision during the recession time. But it isn’t just the consumer that has this in mind; our entire society is beginning to question the mindless consumerism that created environmental nightmare.
I believe you already see economic bubbles caused many business collapses and leaving many destitute overnight. To create real value in one’s life, slow and steady growth is a way to go, which also the way to prevent one’s business get caught into the bad shape when the downturn occurs. For that, you need products and services, which can last a while and meet a “real” needs, together with offering the reasonably price.
Speaking of what is a real need, for example, the focus in a sustainable economy is to produce items that provide real value to the user or society, oil is the basis of energy economy, there is a whole lot of talk about how to increase and improve the structure of incentives so that green businesses can go into their own. There is a real need for to provide energy that is not dependent on foreign oil, go green alternatively will meet those real needs.
For consumers, a real need can translate into any kind of products or services that have to be purchased. Regardless of the state of the economy, these are food, fuel, shelter, clothing, health care and etc.
For people who are out of a job, retraining them in skills will make education“real” needs. So, basically, anything that is catering to the needs of the marketplace and solving an economic problem is going to be a real need.
Clothing retailers, on the other hand, see people looking for last longer apparel rather than the cheaper stuff, this might mean that fashion or fads are less desirable to them and classics are in. Real fabrics that last longer may be seen as a better value than synthetics or items that need dry cleaning to maintain, because the quality will determine longevity, so retailers are now reducing choice to stock up on high-quality classics where people know they can get good value.
Finally, if you can’t offer something for a reasonable price, then don’t bother to offer it at all. This is especially true for business that targeted group of middle-income level people who were trying to raise their status through buying more designer wear or “image”, example.
Believe it or not, for the most part, price is still a vital concern for many people. But it doesn’t mean you have to completely slash your prices; the things you need to do is to make sure that you provide the best value for buyer’s money and in return you will attract more customers.