MarkG Posted February 5, 2006 Share Posted February 5, 2006 Something odd has been happening in the last month or so. All of a sudden I've started to get random junk-mail from retailers that I've never received before addressed to me and my wife (when I'm not married)... two trying to sell me kitchens, and one saying 'as you've recently applied for planning permission, maybe you want to buy an expensive stereo for your new improved house'. Which, of course, my landlord would be a bit surprised by given that I rent. Are retailers starting to get desperate all of a sudden? Quote Link to comment Share on other sites More sharing options...
Pent Vaer Posted February 5, 2006 Share Posted February 5, 2006 Something odd has been happening in the last month or so. All of a sudden I've started to get random junk-mail from retailers that I've never received before addressed to me and my wife (when I'm not married)... two trying to sell me kitchens, and one saying 'as you've recently applied for planning permission, maybe you want to buy an expensive stereo for your new improved house'. Which, of course, my landlord would be a bit surprised by given that I rent. Are retailers starting to get desperate all of a sudden? If the number of cold-call-let-me-pave-your-drive occurences per week around our way is anything to judge by, yes they're desparate. I read a small piece somewhere last week warning retailers that they were getting themselves into a downward deflation spiral with all the competing sales going on. Think there's more than a grain of truth there, I'm starting to get reluctant to buy anything that hasn't been reduced myself, a kind of 'only idiots pay full price' mindset. Pent Quote Link to comment Share on other sites More sharing options...
heresjohnny Posted February 5, 2006 Share Posted February 5, 2006 Took a stroll round Brum the other day - sale of the century from what I could make out. Funnily enough, i've been looking to buy a new laptop for the last couple of months but they seem to get cheaper every couple of weeks. At this rate I'm anticipating getting it in a liquidation sale ;-)). It's making me not buy though - how low can prices get? Quote Link to comment Share on other sites More sharing options...
ʎqɐqɹǝʞɐɥs Posted February 5, 2006 Share Posted February 5, 2006 Took a stroll round Brum the other day - sale of the century from what I could make out. Funnily enough, i've been looking to buy a new laptop for the last couple of months but they seem to get cheaper every couple of weeks. At this rate I'm anticipating getting it in a liquidation sale ;-)). It's making me not buy though - how low can prices get? That not the mind set for a HPC. When Joe Public sees prices really falling why buy when it will be even cheaper in a months time. Quote Link to comment Share on other sites More sharing options...
Guest Charlie The Tramp Posted February 5, 2006 Share Posted February 5, 2006 Are retailers starting to get desperate all of a sudden? They must be when an eight mega pixel digital camera £179 at Christmas is reduced to £99 two weeks ago, so glad I waited. Mind you they have now put it up to £119. Quote Link to comment Share on other sites More sharing options...
jonpo Posted February 5, 2006 Share Posted February 5, 2006 deflation can take place surprisingly quickly. it only takes a hint of lower prices to cause people to hold out. Of course as anyone will tell you prices havnt really gone down scince 1929 when the great deflationary depression happened. does that give you any idea as to what we are heading too! when people switch from purchasing to paying down debts (like huge mortgages) it will take so much money out of the economy I think we could see some deflation. thats why my favorite asset of the moment is cash, cash is king in a kondrateiff Winter. Quote Link to comment Share on other sites More sharing options...
BuyingBear Posted February 5, 2006 Share Posted February 5, 2006 (edited) This is exactly what occured in Japan for over a decade, why bother buying something today when you can just leave the money in the bank and buy it even cheaper next month? Or wait until the new improved model comes out which will also be cheaper. Of course at the moment this only applies to discretionary spending in the UK, we have a weird sort of inflation going on, essential items like utilities, energy, housing, tax are rising in price rapidly all the time (look at the thread for 25% increases for gas), but income growth isn't all that healthy post-tax and MEW is drying up. So obviously money is being directed to essential items which is eating up an ever larger slice of the pie, the deflating discretionary goods coming out of China need ever more discounts to find buyers. Every £10 extra that is wasted filling your car up with petrol is £10 less to spend on imported tat, and the reason energy prices are rising so rapidly? That's because of China, fuel consumption is static in the UK. Edited February 5, 2006 by BuyingBear Quote Link to comment Share on other sites More sharing options...
Jason Posted February 5, 2006 Share Posted February 5, 2006 Something odd has been happening in the last month or so. All of a sudden I've started to get random junk-mail from retailers that I've never received before addressed to me and my wife (when I'm not married)... two trying to sell me kitchens, and one saying 'as you've recently applied for planning permission, maybe you want to buy an expensive stereo for your new improved house'. Which, of course, my landlord would be a bit surprised by given that I rent.Are retailers starting to get desperate all of a sudden? I got a magazine from a Mercedes garage. Nice and glossy it was. But I don't know why they have sent me it? The most expensive car I have ever bought was £5k, so I aint buying a £50k (or whatever silly price new cars go for) e-class! Quote Link to comment Share on other sites More sharing options...
MarkG Posted February 5, 2006 Author Share Posted February 5, 2006 Yep. I've cut my discretionary spending way back and I'm only buying when I get big discounts: the more the cost of essentials increases, the less I'll be spending on anything else. So I entirely agree: the way we're going we'll be seeing inflation in essentials, deflating real wages and deflating prices of non-essentials. Of course the BoE will claim that means inflation is low. Quote Link to comment Share on other sites More sharing options...
homeless Posted February 5, 2006 Share Posted February 5, 2006 Yep. I've cut my discretionary spending way back and I'm only buying when I get big discounts: the more the cost of essentials increases, the less I'll be spending on anything else. So I entirely agree: the way we're going we'll be seeing inflation in essentials, deflating real wages and deflating prices of non-essentials. Of course the BoE will claim that means inflation is low. i dont realy buy anything at all, a bit of food and some clothes from asda thats about it. so they can sell that stuff at any discount or not as i dont buy at any price Quote Link to comment Share on other sites More sharing options...
Realistbear Posted February 5, 2006 Share Posted February 5, 2006 If we could all (FTBs and STRs) carry over the cut back in spending to a full on general strike against buying houses prices will fall dramatically as the market relies on FTBs and returning STRs to move the chains. Quote Link to comment Share on other sites More sharing options...
BuyingBear Posted February 5, 2006 Share Posted February 5, 2006 (edited) If we could all (FTBs and STRs) carry over the cut back in spending to a full on general strike against buying houses prices will fall dramatically as the market relies on FTBs and returning STRs to move the chains. This happens anyway as a function of the market, it doesn't actually require any concerted effort, if wages aren't rising fast enough to support inflated essential items and discretionary spending, and if people are already saddled up with debts and cannot MEW their way of trouble you have 'general strike' by default, whether people like it or not. Edited February 5, 2006 by BuyingBear Quote Link to comment Share on other sites More sharing options...
Elizabeth Posted February 5, 2006 Share Posted February 5, 2006 Of course at the moment this only applies to discretionary spending in the UK, we have a weird sort of inflation going on, essential items like utilities, energy, housing, tax are rising in price rapidly all the time (look at the thread for 25% increases for gas), but income growth isn't all that healthy post-tax and MEW is drying up. So obviously money is being directed to essential items which is eating up an ever larger slice of the pie, the deflating discretionary goods coming out of China need ever more discounts to find buyers. Every £10 extra that is wasted filling your car up with petrol is £10 less to spend on imported tat, and the reason energy prices are rising so rapidly? That's because of China, fuel consumption is static in the UK. Discretionary spending has to a major part been the product of excessive credit and MEW. As more people reach their credit limit or go bankrupt, or refuse to get into further debt (wishful thinking?), and as MEW offers less potential to release funds (and becomes unfashionable - more wishful thinking?). With the flood of credit card offers over the past 7 years I would think that pretty much every irresponsible credit card that could be generated has been already. If not then its not for the want of opportunity. Those people are now having to face the music rather than take another credit card to cover the interest. I think there is a major credit tightening around the corner. Quote Link to comment Share on other sites More sharing options...
devslim Posted February 6, 2006 Share Posted February 6, 2006 i dont realy buy anything at all, a bit of food and some clothes from asda thats about it. I think you may be taking your thriftyness just a little bit too far. Quote Link to comment Share on other sites More sharing options...
BuyingBear Posted February 6, 2006 Share Posted February 6, 2006 I think you may be taking your thriftyness just a little bit too far. You'd prefer them to walk around naked? Think of the gas bill! Quote Link to comment Share on other sites More sharing options...
OzzMosiz Posted February 6, 2006 Share Posted February 6, 2006 I spent about 80 quid on the weekend. £30 on 2 playstation 2 games £50 on 3 books (shares, ecomonics and saving) Keep me entertained and away from spending more money for a while Quote Link to comment Share on other sites More sharing options...
ExeC Posted February 6, 2006 Share Posted February 6, 2006 tell you what went to lillywhites to buy the daughter some trailers. got a nice pair of addidas and a pair of rebok. both came to 28 quid. it was a bargain, cant believe how cheap they are at the moment. early last year 1 pair cost me 35 quid!! Not complaining tho! Quote Link to comment Share on other sites More sharing options...
homeless Posted February 6, 2006 Share Posted February 6, 2006 I think you may be taking your thriftyness just a little bit too far. not at all i just dont need stuff, never have im not telling a lie when i say all i have bought in 2 years other than food/beer or cheap ckithes is a tv for 70 pound a hallogen heater for 20 pound and a freeview box for 24 pounds. thats it, just dont need to run out and spend just becuase i could afford to. Quote Link to comment Share on other sites More sharing options...
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