I don’t need any numbers from DC to tell me that the economy isn’t improving as well as they say it is... Of course, I’m in Wisconsin, so thankfully we are doing a little better than some other states, but it’s definitely not back to what it should be.
Anecdotal evidence: Our “city” is the last “big” population area on your way North. We get a LOT of people driving a fair way to visit our Wal-mart, Sears, Fleet Farm, JCP, etc... When we moved here about 7 years ago there was NEVER anything even halfway decent that stayed in stock long enough to make it to any clearance racks. If you wanted a bathing suit, for example, you HAD to buy one in April to have any size options at all and if you wait till JUNE? LOL - good luck finding anything!
The last couple of years, that has changed a bit. More things make it to the clearance racks now, but as soon as the markdowns hit 50-70% watch out... THEN the racks will be picked over like crazy!
When “GOOD” inventory actually makes it to an 80-90% markdown you know something is wrong with the economy, and it doesn’t take an economist to see it. Yes, my experience looking at all of this comes from “field work” - years in retail and retail management, and as a consumer (mother of four - family of 6).
Don’t even get me started on grocery inflation - which DC tells us is “non-existant”.
The economy is getting better? Maybe in some ways, but it will take much longer for anything to “trickle down” where we actually see a change in consumer mindset - seems like EVERYONE is turning into a “bargain shopper” now. Even the Goodwill’s prices have inflated, and there are at least twice as many people shopping there than in past years (I’m a “regular” thrift store junkie and good brands, and quality merchandise just isn’t being donated as much - or is being snatched up right away when they are).
Anyway, thanks for the post. I think most people who don’t take the media and talking head prognostications as gospel truth are aware that there is a big disconnect between what we are being told, and the reality in the marketplace.
Over at the Target, the story was a huge open area in the back of the store with nothing, nothing in it at all. The Target was using a neat trick to hide empty shelves: they would put out boxes that would take up the space of two or more rows of shampoo for instance. The boxes were printed with ads for a certain shampoo, but they clearly took up shelf space, making the shelf look full with less shampoo.
Both Wal Mart and Target had devoted much less space to 'seasonal' than previous years. For three years now, I have been observing how much space is devoted to each season's merchandise. The year Obama was elected there were two whole aisles devoted to Halloween candy, for instance. Now there is less than a half of one side. Valentine's Day shows a similar drop off. And I haven't even touched the story at the Mall.