To identify industries consumers prioritize during periods of recession (otherwise known as recession-proof industries).
Various industries respond to periods of recession in various ways. Below are some of the top industries that enjoy consistent or continued patronage in periods of recession:
- Investopedia, a top investing and financial education resource, identifies the following industries as recession-proof industries: (1) alcoholic beverage manufacturing (2) cosmetics, (3) death and funeral services, (4) grocery stores and discount retailers, and (5) consumer staples.
- Asides from those five industries that show resistance to low patronage during periods of recession, discount retailers, repair and upgrade services, and "sin industries" such as alcohol and cigarette manufacturers have been known to actually thrive and flourish during recession, a period in which they declare record-high earnings in profit.
Alcoholic Beverage Manufacturing
- According to the Investopedia article, consumers tend to consume more alcohol during periods of recession to deal with the stress of their financial woes.
- A research on alcohol use during the last recession titled "Alcohol Use During the Great Recession of 2008–2009," concluded that there was an increase in abstention from alcohol generally. However, there was a rise in frequent binging. In other words, a fewer number of people consumed alcohol during the recession, but those who did actually did so in significantly increased portions.
- A second independent research also appears to agree with the first research cited above. According to the research titled "The Great Recession and Employee Alcohol Use: A U.S. Population Study," the proportion of drinkers increased among middle-aged employees but not among younger employees. Also, the research suggests that periods of recession lead to more frequent heavy drinking and intoxication.
PROPRIETARY DATABASE SEARCH RESULTS
In addition to this public search, we scanned our proprietary research database of over 1 million sources and were unable to find any specific research reports that address your goals.
Proposed next steps:
You need to be the project owner to select a next step.