Thriving Amidst The Financial Crisis

The financial crisis seems to only get worse following the recent announcement of the Fed's bailout one of the world's largest insurers, AIG. Many consumers' worries growing with this news combined with the mortgage crisis and soaring food and energy costs. Nervous about the security of their investments and feeling the pinch in their wallets, consumers are looking to save money every way they can. This of course means people are going to spend less in general. The effects of consumer demand on the market have been substantial.

That being said, there are some businesses thriving in the current economic situation. Companies offering low-cost, functional items like many as As Seen On TV products are doing quite well in this environment. People seem to be willing to spend a few extra bucks on more practical items that promise to make their lives easier and/or save them money. For example, consumers can save money on dry cleaning with a small clothes steamer, or using super-absorbent cloths that you can reuse in place of wasteful paper towels. These products tend to be in the $10-$40 price range and usually target women. Many Eco-friendly products in this price range are doing very well also.

Just how long the noteworthy successes of these companies will last is hard to predict as the costs of energy drive manufacturing costs up and thus product prices. But for now it appears those trying to save money in are still inclined to spend on practical, everyday products that they find won't break their budget.

Telemundo Expands Further Internationally

Telemundo, the #2 Spanish television network will now be allowing its viewers to access their favorite shows and to interact live with the stars on their mobile phones and over the web. The network has been offering it's content like its popular Novelas for viewing on the Internet, but it was only available in the US and those living abroad were left with just traditional television programming.

Telemundo's latest move is going to provide its viewers with the opportunity to watch their programming through numerous digital mediums such as on their mobile phones and over the Internet. This digital access will be available throughout Latin America in: Spain, Colombia, Ecuador, Costa Rica, Argentina, Nicaragua, and Peru, and in Europe in Lithuania and Romania beginning this week.

This step forward will greatly expand Telemundo's viewer base and advertising reach. In the last few months the number of active viewers of Telemundo's Novelas on the web has jumped significantly to 16.2 million Hispanics. The rise in viewership has not come as a surprise, as many experts in the industry have been predicting that the role of the traditional local television station will become far less important in the future and various digital platforms including mobile phones and Internet will become the standard way in which people view their favorite shows.

Along with this expansion, Telemundo will also participate more in "branded entertainment", an integral and fast-growing part of their business, where the advertisers have a role in actual content development.

British Online Shopping On The Rise

As online shopping now accounts for 20% of British shopping and continues to grow, retail stores are increasingly being forced to alter their business models in order to keep up with the changing market. In the first half of 2008, online shopping sales increased 38% from the previous six months. Should this growth continue as expected, online spending could reach 50% of all British shopping in the next five years.

June was the only month in the six-month period that experienced a decrease in growth of online shopping. However, it is predicted that the economic downfall will only stimulate online shopping as consumers will turn to the internet to shop for the best bargains. Consumers also find online-shopping to be an extremely convenient and easy way to shop around and research about products that may want to purchase. Increased access to the Internet and improved security of personal information have further contributed to the growth in online shopping.

This is a trend that traditional retail-only stores cannot ignore. Online-only stores, also known as "pure-play" online retailers have exploded in the market taking advantage of the fact that many well known stores overlooked the Internet as a source for marketing and sales. These retail shops will need to begin investing more in the online channels to market their products to be able to compete and maintain their customer base.