David Kohler, CEO of Kohler Co., told another St. Norbert CEO breakfast these points:
• The last recession, also a “jobless recovery,” took 49 months to get its job loss back. We’re now 27 months into this one, and just beginning to add jobs. This will be much slower to emerge.
• The New Consumer Mindset, based on recent surveys: 1) 45% have stopped buying from companies they feel operate unethically. 2) 69% have become more environmentally responsible within their homes. 3) 71% will stick to its cost-cutting tactics even as the economy and their household income improves. 4) More are moving towards a “more balanced lifestyle.”
• The Internet interactive communications techniques must be at the center of any consumer business’ stratgegies. Especially with Generation X and Millenials.
• On Sustainability: 1) By 2013, 26 states will have signifricant water shortages that the state must deal with. 2) COs concentration is 35% higher than before the industrial revolution. 3) Innovation is not about massive tradeoffs. We can make it work for all stakeholders. 4) Healthy product sales are increasing fast.
• Global: Kohler is now in 630 stores in China, it’s fastest growing , most profitable market. Right behind: India. They are where the people are.