In the United States, economic sentiment still remains low, as consumers continue to express pessimism about the housing market and making major purchases right now. Ongoing doubts about the future of the U.S. economy are also persisting.
Inflation and rising prices are likely contributing to poor economic sentiment and consumer confidence as well. Currently, nearly 90% of all U.S. adults report feeling concerned about inflation in the United States.
Alongside talks of rapidly rising inflation rates are conversations around pay and salary. While many working Americans have experienced an increase in their income in the last year (41%), more than 2-in-5 of those who received a raise are still not satisfied with it.
Unsurprisingly, inflation concerns are probably at play here. Those who report being dissatisfied with their raise are more likely than those who are happy with theirs to be concerned about inflation. Whatever raise they were given may not be enough to make up for how drastically prices have risen.
This same group of people (those who are dissatisfied with their raises received in the last year) are also most likely to consider now a bad time to make major purchases, again suggesting that rising incomes are not keeping up with rising prices.
Want to learn more about how inflation is affecting consumers? Join CivicScience CEO John Dick to see up-to-the-minute data on how rising inflation, supply chain problems, and other economic factors will affect consumer spending now and into 2022. We’ll look at how different industries and brands are likely to be impacted and what marketers can do to get ahead of the trend. Register here.