Most of my clients are looking for signs of a turnaround in the economy. Something that will give them the signal that it is ok to move ahead with expansion plans. The signs have come and they aren’t good. The new ‘abnormal’ will continue for the immediate future. In a couple of articles in both Bloomberg and CNN there are continuing signs that we will not be getting out of this downturn soon. The signs? The big issue is that consumers, those who really drive our economy, are still not spending. Why? Income is not growing, and in fact, has not grown for years. The bubble burst in 2007, and the bubble is not filling up again, and may not for years.
The CNN article focuses on the Consumer Confidence Index which fell to 48.5 in September – its lowest level in 7 months. Not a great trend. The biggest factor from consumer interviews – jobs. The CCI is based on a survey of 5000 U.S. households and is important since two-thirds of our economy is based on consumer spending.
What does this mean for your business? Probably more slogging, and more activity to drive results. Now is a great time to be laying down your ‘pipe’ for future purchases. Market like hell, but know the results won’t happen tomorrow, but they will happen. When the buyers decide to open their wallets they will already have an idea of where to go and what to buy. Catch them now while they are ‘just lookin.’