The recession may be winding down but companies that cater to consumers believe people are digging in for a long, frugal winter, according to a story in the Wall Street Journal, which says marketers are reacting by holding the line on price increases.
Clorox, Campbell’s Soup and other big marketers are avoiding price increases this year, convinced consumers are hunkered down and feeling frugal, even as the recession officially ends, according to a story in the Wall Street Journal.
Written by Julie Jargon, Pui-Wing Tam and Ellen Byron, the story says that with unemployment at 10.2 percent, consumers remain in bargain-hunting mode.
Consumer confidence fell nearly six points in October, the story says, even as the retail picture is improving haltingly and the Federal Reserve said household spending appears to be expanding but remains constrained due to job losses, slugging income growth, lower housing wealth and tight credit.
WSJ Online subscribers may read the full story here.