The Impact of Consumer Behavior on Big Purchases: Focusing on Pools and Mattresses
As the world continues to navigate the financial hurdles brought on by the challenging global economy, it’s noticeable how consumer behavior has evolved. In the face of economic uncertainty, many consumers are inclined to hold back on making big purchases, more specifically, items like pools and mattresses.
A significant element affecting this change in buying behavior is disposable income and the general decrease in consumer spending power due to the current economic climate. The expenditures that were once considered normative such as purchasing a new mattress or putting in a new pool, are currently deemed as luxury purchases. Buyers are punting these major purchases and focusing instead on their immediate needs.
Ripples in the Pool Market
Private pools, for instance, have always been viewed as a luxurious commodity rather than a necessity. However, their demand has been wavering in recent years. An installation of a permanent built-in pool is a significant investment, costing anywhere from $35,000 to $100,000, based on its size, location, and materials. At the same time, the maintenance costs for a pool can also accumulate over time, further contributing to consumers’ hesitance to make such a concentrated investment amid unstable economic times.
While the desire for recreational family time remains, alternative cost-effective solutions like inflatable pools or community pools have seen a surge in popularity. Consequently, consumers are deferring the pool purchases, either waiting for an improvement in the financial climate to hunker down on this big expense or opting for more viable and affordable options.
Shifting Tides in the Mattress Industry
On the other side of the spectrum, the mattress industry has also been significantly impacted. With mattress prices ranging from $250 to several thousand dollars, many are opting to delay their mattress replacement cycle. Given that the average life cycle of mattresses is typically 7-10 years, consumers rationalize that they can shift their priorities to other more urgent needs in the interim, pushing mattress purchasing lower on their list of immediate expenditures.
Moreover, the mattress industry has seen considerable influence from the rise of bed-in-a-box businesses. These companies offer more affordable and convenient options compared to traditional high-end mattresses. Thus, changing the procurement dynamics and further causing reluctance towards buying premium-priced mattresses.
Influence of Online Shopping on Big-Ticket Expenditure
The rise of online shopping has significantly influenced the shift in big-ticket expenditure trends as well. With the COVID-19 pandemic, many have turned to eCommerce platforms where they can compare prices, reviews, and products at their convenience, increasing the competition in the industry. This trend certainly has an impact on purchase delays as buyers bask in a wider set of options and get tempted to wait for better deals or discounts on big purchases like pools and mattresses.
In summary, it’s no surprise that big-ticket purchases such as pools and mattresses are currently put on hold by consumers. Heightened economic uncertainties coupled with increasing product alternatives and the influence of online shopping have yet led to many restructuring their priorities and expenditure habits, favoring essential needs over luxury or long-life products. It’s a trend that’s likely to maintain its stride, reflecting consumer sentiment and economic realities of the times we are navigating.
