Robbie Blinkoff is a consumer anthropologist and co-founder of Baltimore?s Context-Based Research Group. Blinkoff and Context track cultural trends and model them for businesses. Blinkoff spoke to The Examiner about buyer sentiment at a time when gas, food and energy prices are draining consumer budgets.
How have consumer spending habits changed in recent years?
Consumers have really become cautious in the last five, six years, where they?re really saying, “OK, what do I need and what can I do without?” They?re much smarter than they?ve ever been.
Rather than people getting really rattled and freaking out [during a time when costs are high], they?re thinking about their situation and making smarter decisions. They?re buying less and they?re being smart about what they buy.
What types of purchases are they giving up?
There is a sense that people will have to pull back and say, “If I can get it for less, I have to get it for less.”
It?ll be interesting to see if we have this movement from people who shopat Target now shop at Wal-Mart, and people who shop at Wal-Mart now shop at Family Dollar. It might be too soon to figure that out.
What about discretionary spending?
We live in an economic system that tells people to make use of credit. As long as people have access to credit, then they?ll buy things and will continue to because we?ve set up that system. It?ll keep happening.
What effect will gas prices have on consumers?
It depends what you?re doing with your car. I think they?ll still continue to travel, because trips and vacations are important to people. I could see people foregoing other activities because of the cost of gas, but it will be interesting to see what the tipping point is.
