The New Frugality (by the numbers)

[doom&gloom]

It's gonna be hard to jump-start the economy again with numbers like these...

July 15, 2010

Full-Fledged Disciples of the New Frugality

Deloitte KnowledgeCo LLC and Harrison Group are out with a new report, "The 2010 American Pantry Study," detailing the results of a recent poll of U.S. consumers. Contrary to the expectations of Wall Street traders and ivory tower economists, it doesn't look like average Joes (and Janes) will be returning to their old ways anytime soon. According to Deloitte/Harrison,

over 40 percent of all American consumers in our survey have been directly affected by the recession – lost jobs, pay cuts or reduced hours. Furthermore, it seems as if everybody in America knows several other people who have been affected directly. The effect of these events over the 28 months of the Great Recession have bit deep into the American psyche.

In fact, if the following key findings are any guide, it appears that a sizable majority of Americans are now full-fledged disciples of the new frugality:

• 93% expect to continue spending cautiously even when the economy improves
• 92% have made some kind of change in their pantry-related shopping habits
• 89% feel they have become more resourceful because of the economy
• 84% have become a lot more precise in what they buy
• 81% find it fun to see how much they can save with coupons or loyalty cards
• 55% of those cutting back suffered no decline in income, but simply felt they “should be” cutting back

http://www.financialarmageddon.com/2...disciples.html

[cjppjc]

Re: The New Frugality (by the numbers)

I heard a WALL Street "Economist" with regards to the bad consumer numbers today on the radio during the financial 2 minutes saying "The American consumer will buy things on his death bed. Laying in his hospital bed he will say, get me a lap top I have to buy something." Shook my head that this is what passes for informing the public. Is the guy that thick? or his job maybe depends on this kind of bs. Can't remember who he was. Not 1010 Wins finest hour.

[Anon21456]

Re: The New Frugality (by the numbers)

I have a friedn who holds a major position with a major retailer. He used to tell me the same thing. I told him we would see the day the consumer snapped their wallet shut -- and we did. Now his company has changed up their product mix, lowered some quality, and still been able to do -k, but it ain;t what it was. I tell him the day will come again, and it will come even harder. he does not believe me, just as he did not the first time. Oh well.

Same story here. People don't want to hear negative stories. In fact, they will go very far to hide any negative fact. Friends so superficial aren't really my friends but that's really annoying.

[Anon21456]

Re: The New Frugality (by the numbers)

I have a friedn who holds a major position with a major retailer. He used to tell me the same thing. I told him we would see the day the consumer snapped their wallet shut -- and we did. Now his company has changed up their product mix, lowered some quality, and still been able to do -k, but it ain;t what it was. I tell him the day will come again, and it will come even harder. he does not believe me, just as he did not the first time. Oh well.

Same story here. People don't want to hear negative stories. In fact, they will go very far to hide any negative fact. Friends so superficial aren't really my friends but that's really annoying.

[doom&gloom]

Re: The New Frugality (by the numbers)

I have a friedn who holds a major position with a major retailer. He used to tell me the same thing. I told him we would see the day the consumer snapped their wallet shut -- and we did. Now his company has changed up their product mix, lowered some quality, and still been able to do -k, but it ain;t what it was. I tell him the day will come again, and it will come even harder. he does not believe me, just as he did not the first time. Oh well.

[jacobdcoates]

Re: The New Frugality (by the numbers)

I have experienced the same things, even in my own house(Girlfriend). It has left me to prepare for the difficult times as best I could on my own and cost me a few friends. Maybe it is my approach(I have a difficult time with tactfulness). I will the first to admit that I am not sure how it will play out, but the numbers seem to indicate that it will be bad.
I feel compelled to tell the people I care for about it, So at least to give them a chance to prepare, but they steadfastly refuse to hear, let alone listen. I had friends tell me they are too worried about planning soccer camp trip to worry about what to do about their economic/personal futures. Soccer camp trips for Christ sakes!!!!

I view the future with a growing sense of dread and worry about how we will take care of our daughter.

[doom&gloom]

Re: The New Frugality (by the numbers)

I have experienced the same things, even in my own house(Girlfriend). It has left me to prepare for the difficult times as best I could on my own and cost me a few friends. Maybe it is my approach(I have a difficult time with tactfulness). I will the first to admit that I am not sure how it will play out, but the numbers seem to indicate that it will be bad.
I feel compelled to tell the people I care for about it, So at least to give them a chance to prepare, but they steadfastly refuse to hear, let alone listen. I had friends tell me they are too worried about planning soccer camp trip to worry about what to do about their economic/personal futures. Soccer camp trips for Christ sakes!!!!

I view the future with a growing sense of dread and worry about how we will take care of our daughter.

tell "the honey" that you may be right, and you may be wrong. If you save money now, and you are wrong, she gets to decide how to spend it in half a dozen years. If you save money and are right, you get to decide. Either way, the saving happens if she is rational. Maybe dangle a new house or a car out there for her -- you can always retract it later.