Trendwatching.com just released, “Half a Dozen Consumer Trends for 2009.” Number 3 on the list is “Feedback 3.0″ which is all about companies getting fully involved in and even initiating online conversations in an effort to better manage their brands. The idea of Feedback 3.0 is that transparency is going to another level. Companies can’t hide anything, so if they can’t beat ‘em, they’ll have to join ‘em.

Considering this trend consumer goods companies should go beyond just sharing information to making it part and parcel of their marketing campaigns. For instance, reveries.com reported that General Mills is working very hard to find all sorts of ways to cut costs and save margins without affecting the quality of their product. Wouldn’t consumers appreciate knowing that? They’re calling it “holistic margin management.” They shrank the size of cereal boxes while keeping the same serving size. They got rid of multicolored yogurt lids and consolidated purchasing of ingredients. Their efforts saved a reported $12 million a year. At a time when consumers are searching for ways to save money, incorporating this type of information into shopper communications makes a brand feel more human. Consumers will feel like General Mills understands what they’re going through and connect with them on an emotional level. Not to mention the ecological benefits of smaller cardboard cereal boxes or using fewer dyes in producing yogurt lids. These are the types of initiatives that, properly communicated, can engender consumer loyalty to a brand…and it’s not like they won’t find out anyway.

Bryson listed Kraft, Kellogg and General Mills among companies that see value in continuing to pump monies into their advertising budgets. At that time, the manufacturers found that upping their marketing spending allowed them to pass on price hikes without losing the customer. That idea might be a harder sell this week. Things have changed and manufacturers will need marketing more than ever to stay competitive with value focused private labels. But how do you continue marketing, compete with private label pricing and stay profitable? The answer is value engineering.

It is imperative that manufacturers get the most out of their marketing dollars — particularly for marketing in the store where brands are placed alongside private labels. Partnering with a display and fixturing company that is strong in value engineering, has capabilities in multiple materials (sheet metal, wire, wood and plastic) as well as in house engineering can stretch those dollars. Creating modular design elements that allow multiple configurations, making use of fixtures engineered for easy installation and graphic change out without additional hardware requirements are all solutions that maximize in store marketing investments. Another solution is international sourcing. Just be sure you have a partner that has many years of international experience and employees on the ground inspecting factory production processes to ensure you get a high quality product. 

In Bryson’s article, Larry Light, former global CMO of McDonald’s, articulates the value of marketing in today’s economy. “Investing in brands during a rough economy can not only fend off share loss but also boost the brand’s trajectory when things improve.” Light’s research classified companies who spent more on advertising and marketing during a recession as “winners” and those who cut spending as “losers.”

According to Light, “Losers cut marketing in a recession, and the result is they simply accelerated their loss in market share after the recession.” Value engineering keeps your brand in the game.