May 19, 2009 9:00 am US/Eastern
Necco Wafers Doing Fine In Sour Economy
BOSTON (WBZ) ―
Just because we're in tough economic times, it doesn't mean you have to give up all the nicer things in life.
There are some consumer products that are finding new customers even as others suffer from declining sales.
For instance, sales of fancy clothes are way off, but lipstick is selling well.
And then there's the sweet story right in our backyard of a product that's doing just fine in this sour economy.
"The consumers today are depriving themselves of a lot of things, a lot of the bigger purchases, maybe that dinner out, maybe that expensive bottle of wine," Richard Krause told WBZ.
Krause is the CEO of the 162-year-old
New England Confectionary Company – better known as Necco - now based in Revere.
But if you think the down economy means self-deprivation is king, think again.
Wine sales in restaurants are down, but consumers are buying more to take home, seeking out cheaper brands.
Comfort foods like canned chili and mac and cheese are selling well.
And then, there's the
Necco wafer, a comforting, inexpensive luxury of sorts that's thriving at a time when other consumer frills are starving for business.
"Maybe right now they can't do their $30 bottle of wine, but they can have their Necco wafers, they can have their
Sweethearts on Valentines Day, they can have their
Clark bar," said Krause.
He says business is booming in part out of nostalgia for happier times.
"Some of it is 'I had these as a kid, I'm gonna start eating them again because it takes me back to a time when things weren't so pressure-packed and maybe a little more innocent.'"
"It really kind of makes them feel like they've treated themselves a little bit, without breaking the bank, it's really guiltless indulgence right now in this economic time."
And truth be told, isn't it nice to know that you can have a Clark bar, but Bernie Madoff can't?
Other examples: expensive vacations aren't moving, but home-tanning products are.
Car sales are way off, but auto parts are selling briskly as folks do it themselves.
This recession will end, hopefully soon -- in the meantime, please pass the Necco wafers.
Add your own observations to our list of what's selling well these days by commenting on Jon's blog.
(© MMIX, CBS Broadcasting Inc. All Rights Reserved.)
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