The “Peanut Butter and Pasta” Economy

In a new poll released this morning, Americans across ALL income brackets are just buying the basics. The area that is getting hurt the most: vacations. But surprisingly, the grocery store is being affected as well. More Americans are shopping at discount grocery stores like Wal-Mart. Check out these numbers:

43% are cutting back on groceries
68% are dining out less often

What does this show? According to CNBC’s Senior Economics Reporter Steve Liesman, “a stunning loss of confidence in the economy.” And for the first time, wealthy Americans are starting to pinch pennies with the rest of the country’s population. What are some of the changes seen in the market?

Trading in pricey cuts of steak for cheaper chicken and buying beer instead of hard alcohol. Use of coupons has also reached an all-time high.

73% of Americans are driving less (really? I don’t see this happening - ANYWHERE - especially in Atlanta where traffic is always bumper to bumper)
68% are reducing their travel plans

What caused the issue? Experts point to $4.00 a gallon gas prices. I see that as just an excuse. Economic woes are never due to simply the price of fuel. Sorry, but I’m going to get a little rough here. If the price of fuel was such an issue for Americans, you’d see more bikes being ridden, fewer errands to the “corner store”, more car pooling, better tuned engines, heck, even the proper air pressure in tires being done.

But no, none of that is happening? Why? Because the average American is just too damn lazy and doesn’t want to be a part of the solution, they’d just rather bitch about the problem. Want proof? Tomorrow morning when you drive to work, pay attention to the parking lots at the 2-3 gyms you pass. They’re probably packed, right? Hello?!?!?! You’re going to the gym to work out. How about you JOG or ride your bike there?!?! But you’re going to drive?!?! That makes for a classic line:

“You know, I use to jog five miles a day until I realized I could do it a lot faster in my car.” - Anon

Soon I will write about “entitlement” and how it has ruined the American economy, not the fuel prices, and until that is changed, America will continue to struggle and experts will still be clueless as to why. In the meantime, with the trust and confidence weak, it is up to you to review your offers and promote your services effectively. Even in a down economy you can make your offer irresistible.