Shoppers shifting priorities in recession
The U.S. auto sector, driven largely by the Cash for Clunkers program -- where buyers were given rebates of up to $4,500 to trade in older vehicles and purchase new, more fuel-efficient cars -- gave retail sales numbers a brief boost last month. But can it continue?
Despite the fact that much of America is on sale, most of us continue to keep our hands in our pockets. The more shoppers expect prices to fall, the less they buy until prices drop, it seems.
Still, not all retailers are faring worse than they did a few years ago, reports the New York Times.
Against a baseline of spending levels in 2003, sales in computer stores have continued to rise. Restaurant and liquor-store sales are at much higher levels, and purchases at warehouse stores are up nearly 50 per cent.
More shoppers also seem to be buying their staple products at discount stores and then the remaining groceries at open markets or specialist food outlets like butcher shops and bakeries.
With so many buyers hunkering down, some unlucky companies face the task of peddling their products to people who simply don't want to spend money. Who's lagging? Home furnishings and clothing. Sales have dropped off the map and are now below their levels of 2003, the Times reports.
The big winners in this ailing retail landscape seem to price-led players. For example, consumers increasingly shop at IKEA, rather than traditional furniture stores even though there may be a quality tradeoff.
Tell us: Have your shopping patterns changed significantly over the past year?
By Gordon Powers, MSN Money
Posted by: L | Oct 5, 2021 8:17:31 AM
I simply don't shop anymore unless there is an item the family needs. Then, I write that item down and don't walk out of a store with more than I came to get. The exception will be Christmas. Every family member (4) will be allowed to get ONE item that they want and don't need. (This reminds me of the way my father was raised and that was the 30's.)
Posted by: John Voyde | Oct 6, 2021 8:13:48 PM
I agree with the previous comment. Also growing up in old Toronto during the 50s we were so poor that municipal taxes put us out of our house. Everything costs money now, then, everyone worked. Grandpa walked to work on the railway while grandma worked in a downtown hotel. Mom was waiting on tables in a downtown restaurant and dad was somewhere on the highway driving transport trucks. While my brother and I were occupied with junior public school the world was coming out of post war technology. There were some horse stables and even dairies around the inner city. Meanwhile the nearby GE plant was busy loading little aluminum pellets filled with Uranium to fuel the latest fission reactors of the day. The cost of living here has always been tough for me.
Posted by: R K | Oct 6, 2021 10:33:21 PM
We have definitely changed our habits. All we are doing is working to pay off debt. The only thing we buy is absolute necessities like food and housekeeping supplies. I don't even go into the stores any longer withthe mindset of no temptation. I used to shop like mad before but now I fear for my job so much that I can't even think about wasting a dime. Has anyone noticed the increasing costs of utilities, phone, cable, etc. Jobs are paying 10 to 13 dollars an hour..how do they expect us to get there with the cost of gas and car repair? Things have definitely changed. Maybe our kids will finally understand the value of a dollar and how hard it is to earn it.
Posted by: nicholas satschko | Oct 7, 2021 3:26:22 AM
So what is new! Parents said: If you don't go to school, you will be sorry. Well the ones who didn't listen are! What is the big deal. This world needs morons.
Posted by: Andrea | Oct 7, 2021 2:35:29 PM
Do politicians read these comments??? I don't think so. I went to school and I am still looking for work. Parents over 45 can't give their kids the necessities. The goverment is telling the parents to go back to school. I like to know: When parents and children are all in school, then who is going to provide or pay the rent?
On the other hand the new canadian(not yet canadians) are sent to school and jobs are been hold for them. If you been in Canada less than 5 years you automaticly qualified for goverment help. Yes, we all have a background, but then were many jobs available and parents worked to support them selfs and their kids. Companies had benefits available to emplyees, taxes and housing were all according to the cost of living.
Computers took over many jobs....never mind taking over human conduct. We all talk to the machines. etc.etc....
Posted by: chachee | Oct 13, 2021 2:56:58 PM
Even if you do have the schooling that jobs these days require, that still isn't a guarantee that you will be safe in the job field. I have seen many top dog VIP's get put out of jobs because of the recession. Schooling has nothing to do with it. Unless you are in a valued field of work such as health care or Emergency Services, you're not safe.
Mind you, even with Health care since the new Stephen Duckett took over, the jobs are non-existent!