NOVEMBER 13, 2008

Back To Basics

I’ve always been fascinated by the habits of shoppers in the United States.  What we buy, and how we buy, tells us a lot more than the latest fashion trends; it gives us a glimpse into what we value and how we prioritize.  However, lately, it seems as if Americans have been forced to take a “back to basics” approach, buying only what is needed and not necessarily what is wanted.  We are no longer living with the mindset that we can simply “charge it” and worry about it later. Instead, we have been forced to live in the moment and buy only what we can afford, or suffer the consequences. 

I was shocked to read an article in USA Today last month about the massive shift in buying habits at Wal-Mart stores in the U.S.  According to the October 22 article, Wal-Mart has noticed that there has been an increase in sales at the beginning and middle of the months (paydays), which they’ve never noticed before.  The double-digit decline in credit card usage among consumers also reveals that consumers are maxing out their credit cards and are now being forced to resort to “living within their means” - a concept that many Americans have departed from over the years.  Now I’ve never had to live through a recession, but wonder whether our tough economic times will be a good wake-up call to consumers about the importance of living within their means. Will we, as a society, ressurect old habits and start a “back to basics” trend?