In times of recession, consumers eat at home more, but they also splurge on those food purchases for home rather than splurge by eating out, says a food-marketing expert.
Danyel O’Connor, executive vice president of sales and marketing for Good Foods Group, Pleasant Prairie, Wis., discussed in a video interview with The Packer’s Amy Sowder (about 7 minutes in) what longer-term consumer behavior changes produce companies can expect after the COVID-19 pandemic is over. She also detailed the safety measures her company is taking.
“I do think a lot of the activities that are happening right now are putting us into a recession, and when we experience recession in this country, we typically eat at home more often and indulge in grocery items that make us happy more than go out and spend at restaurants,” O’Connor said.
Even after panic buying is long gone, consumer habits won’t return to the way it was before the new coronavirus struck the country and the world.
“We’re going to see increased residual purchase habits or behavior in those areas because people are being forced to eat at home more frequently or they’re feeling less safe out in larger groups of people,” she said.
Good Foods Group is a maker of value-added, produce-centric products such as avocado mash, guacamole, salads, dressings, juices and plant-based dips using high-pressure processing, or cold-pressure pasteurization. Traditional pasteurization uses high heat to remove bacteria but can also reduce the amount of some vitamins. There are no preservatives or artificial ingredients Good Foods products, which are made at facilities in Kenosha-Pleasant Prairie, Wis., as well as Michoacán, Mexico.
The company’s products are useful for entertaining guests and as convenience items, she said.
“People aren’t entertaining right now, except for your family at home, your small, close-knit immediate family, so our messaging has been, how do we help consumers get through this phase? It’s through simple recipe ideas, two or three ingredients, and sharing how other consumers are using the products at home.”
Consumers can experience some monotony when cooking at home for every snack and meal for weeks on end, as much of the U.S. population is under stay-at-home and shelter-in-place mandates, and everyone else is urged to do so unless an essential worker.
“We’re just trying to keep being home and cooking and enjoying good foods fun, as fun as possible and as easy as possible, for those people … juggling kids and work and all those things at home,” she said.
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