As summer heats up, consumers are getting ready to kick-start their activities, family gatherings and vacations. However, many plan to scale back and spend less than they did last year, on purchases ranging from vacations to home improvement projects this summer. According to the annual Valpak Consumer Savings Report, only 50% of consumers plan to spend the same or more than 2011 compared to 70% in 2010.
Valpak, the 44-year direct and digital savings leader, conducted the report to analyze how consumer spending is evolving year to year. Notable trends found from the report include:
Pain at the Pump: Rising gas prices are affecting consumer spending behaviors.
- 40% of consumers plan to buy more items to avoid extra trips out (compared to 28% in 2011)
- 34% continue to search for deals and coupons before leaving the house
- 30% buy generic brands instead of name brand products they’re used to
Fewer Bon Voyages This Year: Families are cutting back on travel and vacations, yet admit they know they could be saving more
- 58% of consumers plan to make travel or vacations plans this season
- However, 24% admit they aren’t saving money on travel and vacations, but know they could.
Entertaining on the Cheap: Half of consumers are planning to entertain at home and most plan to keep the spending modest.
- Majority of respondents (76%) plan to concentrate on grocery items for their guests rather than on the dÃ©cor.
Investing in the Home: Fewer consumers are investing in DIY improvements and professional home services.
- 20% will partake in cheaper DIY fixes around the house
- Only 7% of consumers plan to hire a professional for any home repairs or lawn services
Missed Opportunities in Purchase Behavior: Consumers continue to seek out deals when making purchases, but many aren’t saving even if they know they could.
- 26% splurge on groceries
- 25% on dining
- 24% on family activities
- 23% on home improvement
- 22% on personal beauty
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