After months of hand-wringing and finger-pointing, the economic crisis is beginning to wear on many Americans. Despite a long road ahead to recovery and stability, market research firm Mintel anticipates many will move on with their lives sooner rather than later.
“On a very basic level, people are feeling credit crunch-ed out,” states Susan Menke, senior financial services analyst at Mintel. “The financial crisis is all we’ve heard about, read about and thought about for weeks. Add that to the fact that many people truly are struggling financially and you’ve got a nation looking for some relief and distraction.”
With the presidential election and holiday season just around the corner, Mintel expects many Americans to let go of fierce financial worries and begin thinking about other issues. The economy’s recent signs of stability and the US government’s bailout plan give people more reasons to feel confident.
When Mintel surveyed adults in June, nearly three-quarters (74%) said they were worried about “the economy in general.” But only 27% were worried about “the effect of the ‘credit crunch’ on my bank” and only 29% about “the effect of the ‘credit crunch’ on my ability to get a loan.”
In September—at the height of consumer uncertainty—Mintel conducted another survey, this time among high net worth individuals. Though 64% said they were investing more conservatively and 58% said they were cutting back on spending because of the economy, over two-thirds (68%) believed that the US economy would improve over the next 5 years. Another 65% felt confident their own financial situation would improve.
Susan Menke believes these survey results offer insight into many Americans’ experience of the credit crunch: “Across the board, people are very concerned about the economy. But at the end of the day, Americans care most about what affects their daily lives directly. For those who haven’t felt a major pinch from the credit crunch, immediate life stressors like work, health and family will begin to take precedence over abstract economic woes.”
About Mintel
Mintel is a leading global supplier of consumer, product and media intelligence. For more than 35 years, Mintel has provided insight into key worldwide trends, offering unique data that directly impacts client success. With offices in Chicago, London, Belfast, Sydney, Shanghai and Tokyo, Mintel has forged a unique reputation as a world-renowned business brand. For more information, please visit www.mintel.com.
Contacts:
Joanna Peot
312-628-7946
jpeot@mintel.com
