Brand Spur Volume 1, Issue 3 - Third Edition | Page 11

How Brands are responding to the recession When Promasidor began the production of powdered milk in 28g sachets, markets watchers wondered how long this trend will last. Over 20 years down the line virtually all dairy brands have followed the trend – giving consumers the option of purchasing milk in smaller, pocket-friendly units. With the current austere economy compounded by the recession, more and more fast moving consumer goods (FMCG) companies have followed suit. Now almost every household grocery has its minute alternative – from chocolate drinks, to cleaning agents, toiletries, breakfast cereals and the like.A survey of the market revealed that many brands now produce more of their pocket-friendly options as against the regular packs. “We discovered that our Loya milk in small sachets sell faster than the tins. These days, not many people can afford the 400g packs,” said a Promasidor spokesperson. Many breakfast cereals like Cornflakes, Nestlé’s Golden Morn and Quaker Oats now have been repackaged with options of smaller packs. “Part of my child’s food is Golden Morn but since the economic downturn, the normal pack has increased from N450 to N600 while the 900g pack now costs N1,100 instead of N850. I resorted to buying their 50g sachets which serves my daughter just one meal but since it is N100, at least, I can still afford that compared to buying something of N600,” said Mrs. Fatima Yunus, a businesswoman in Lagos. Read more…