Many economists predict 2024 will be the time shoppers tighten their belts. That doesn't mean people will stop spending, say retail (零售) analysts. But it will change what they choose to buy. With a slowing job market, global consumers are likely to move away from more high-priced purchases and focus instead on smaller, less expensive treats.
The economic uncertainty means that consumers are becoming more discriminating about their purchases, says Ethan Chermofsky, senior vice president of marketing at intelligence platform Placer. ai. "There are the things we decide are necessary, and then there's another category of things that aren't necessary but that we consider affordable luxuries, he says. This desire for these "affordable luxuries" is common in difficult economic times. Some economists refer to the phenomenon as the "lipstick index": a small economic increase led by budget-minded consumers seeking out relatively affordable splurges (挥霍), like small cosmetics (化妆品).
Analysts at Deloitte say consumers will spend on little luxuries like specialty coffees and snacks as well. Additionally, stressed-out shoppers are prioritizing small splurge purchases for wellness and personal care.
As retailers see shoppers turning to little luxuries, they're offering more and more of them. Target, for example, has staked a flag in what they refer to as "affordable joy", which includes a selection of self-care and cosmetic products, along with wellness-centric beauty products. Beyond diversifying their offerings, stores are also bringing in luxury-feeling products at lower price points to appeal to more consumers.
Ethan says not every shopper will shift their spending to little luxuries-but even those who are still longing for the "must-haves" of social media will also look to get a deal. They want the feeling of purchasing lower-priced affordable treats. To get these goods, shoppers are likely to tap into the re-sale market for designer items at a more reasonable price. They want things that make them feel good about themselves-they just want to do it without breaking the bank.