Saturday, October 30, 2010

Nightmare on Main Street

Yesterday's retail sales data from the CSO confirms what we already know to be the case: Ireland's consumers are spooked and they have shut tight their purses and wallets until there is greater certainty about the future. We saw the same pattern this time last year: the media were full of stories about the impending horrors of the 2010 Budget, with the result that confidence and spending fell in lock-step. Fast forward 12 months and the media are full of stories about the impending horrors of the 2011 Budget...

Only this time there's a war-wariness about consumer sentiment that is more disturbing than a year ago. Three years into recession and the people who played a major part in causing it are still clueless as to how to end it - and even more clueless about how to communicate a convincing explanation of how we're going to get out of it. And a four year plan/budget/set of accounts won't do it.

My company's latest monthly Recovery Indicator tracker (see below) is one measure of the turbulence that has buffeted Irish consumers over the past 18 months. It isn't over yet.

No comments:

Post a Comment

Related Posts Plugin for WordPress, Blogger...