Consumers to spend less this year

Industry officials and recent reports have indicated that whilst many consumers rushed out to splash money on bargains during the recent sales there is a good chance that most will be cutting back on spending over the course of this year, even though many retailers have slashed prices on many different products by a huge amount.

Shops and retailers are set to face problems over the course of this year, as increasing money problems and worries about job security result in fewer people splashing out this year. All of this will add to the economic gloom and could result in a greater number of retailers and companies going into administration, as a number of big name retailers have already done.

A recent poll was carried out that showed around 86 percent of consumers are looking to cut back on the amount that they spend this year, and many have said that they will not be buying luxuries due to their financial situation. This could include things such as entertainment, household gadgets, furniture, holidays, cars, and more.

Online retailers seem to be faring better than some others, with an official from Amazon stating: ‘We are not recession-proof but as a recession bites, people will still be looking for value and people see the internet as the easiest place to check prices.’