It has been stated, over and over, that in good times you prepare for war and in bad times you prepare for peace. Today, THIS IS NONSENSE!
May 30, 2023
Attention All Retailers, Especially Those in The Furniture Industry.
Recently I did a marketing plan for a new client that wants to enter a specific retail category.
Doing my Due-Diligence, I was obligated to "show them the truth" as to what is happening on our economy, TODAY!
It has been stated, over and over, that in good times you prepare for war and in bad times you prepare for peace.
Today, THIS IS NONSENSE! And I’ll tell you why.
Our economy is a mess and the future is very bleak under this administration and its policies. There is no time to prepare for good times, it’s time to get defensive and prepare for war. Here’s why.
JUST THE FACTS
HEADWINDS WE MAY FACE
9,000,000 ADULTS are moving back home. I doubt they can afford furniture or most any retail expenditures other than bare necessities
Recently I did a marketing plan for a new client that wants to enter a specific retail category.
Doing my Due-Diligence, I was obligated to "show them the truth" as to what is happening on our economy, TODAY!
It has been stated, over and over, that in good times you prepare for war and in bad times you prepare for peace.
Today, THIS IS NONSENSE! And I’ll tell you why.
Our economy is a mess and the future is very bleak under this administration and its policies. There is no time to prepare for good times, it’s time to get defensive and prepare for war. Here’s why.
JUST THE FACTS
HEADWINDS WE MAY FACE
9,000,000 ADULTS are moving back home. I doubt they can afford furniture or most any retail expenditures other than bare necessities
PLUS
The most troubling information in the GDP report is the precipitous drop in real disposable income, which fell over $1 trillion in 2022. For context, this is the second-largest percentage drop in real disposable income ever, behind only 1932, the worst year of the Great Depression.
https://www.shtfplan.com/headline-news/an-economic-sign-that-hasnt-happened-since-the-peak-of-the-great-depression-in-1932
PLUS
Forty-five million Americans have student loan debt — that's about one in 7 Americans (13.5%), according to an analysis of January 2022 census data. Those ages 25-to-34 are the most likely to hold student loan debt, but the greatest amount is owed by those 35 to 49 — more than $600 billion, federal data show.
AND… that’s the furniture retailer's sweet spot for demographics.
https://www.shtfplan.com/headline-news/an-economic-sign-that-hasnt-happened-since-the-peak-of-the-great-depression-in-1932
PLUS
Forty-five million Americans have student loan debt — that's about one in 7 Americans (13.5%), according to an analysis of January 2022 census data. Those ages 25-to-34 are the most likely to hold student loan debt, but the greatest amount is owed by those 35 to 49 — more than $600 billion, federal data show.
AND… that’s the furniture retailer's sweet spot for demographics.
- The outstanding federal loan balance is $1.635 trillion and accounts for 93.1% of all student loan debt.
- 43.8 million borrowers have federal student loan debt.
- The average federal student loan debt balance is $37,338 while the total average balance (including private loan debt) may be as high as $40,114.
PLUS
The Evolving Banking Crisis For Small And Regional Banks
Small commercial banks accounted for 57.3% of the $2.752 trillion in mortgage loans and 45.2% of the $2.071 trillion in consumer loans in 2022, according to data from S&P Global Market Intelligence.
The Evolving Banking Crisis For Small And Regional Banks
Small commercial banks accounted for 57.3% of the $2.752 trillion in mortgage loans and 45.2% of the $2.071 trillion in consumer loans in 2022, according to data from S&P Global Market Intelligence.
"There's likely to be less credit expansion as a result of this, banks are going to be a bit stingier, they'll want to see their loans-to-deposit ratio decline and have more cash on hand," Varvares said.
Credit tightening at US regional banks would limit Fed's historic rate push | S&P Global Market Intelligence (spglobal.com)
Where do small and mid-sized retailers get their credit lines from?
Where do 1st time home-buyers get their mortgages from?
AND….IT GETS WORSE.
2023 Credit Card Debt Statistics
Americans Have An Absolute Mountain Of Credit Card Debt — $986 Billion, To Be Exact.
Total Household Debt Charts Biggest Rise in 20 Years.
Total household debt increased by 8.5% in 2022 and now stands at a record $16.9 trillion. That’s $2.75 trillion higher than it was pre-pandemic.
Credit tightening at US regional banks would limit Fed's historic rate push | S&P Global Market Intelligence (spglobal.com)
Where do small and mid-sized retailers get their credit lines from?
Where do 1st time home-buyers get their mortgages from?
AND….IT GETS WORSE.
2023 Credit Card Debt Statistics
Americans Have An Absolute Mountain Of Credit Card Debt — $986 Billion, To Be Exact.
Total Household Debt Charts Biggest Rise in 20 Years.
Total household debt increased by 8.5% in 2022 and now stands at a record $16.9 trillion. That’s $2.75 trillion higher than it was pre-pandemic.
THE BREAKDOWN OF THE DEBT
