Mixed signals coming in for summer spending

We've come across two different opinions in the past week as to what Americans are spending on this summer in the face of high gas prices, but the results are all positive.

A survey released by the Pulse of America, a research firm associated with the Scotsman's independent circulation auditor (CVC) showed that business categories involved in home improvement were going to see the biggest commitments in consumer spending this summer. For example, the survey -- taken during the second quarter of this year -- showed that about 32% of those polled were planning major building supply purchases this year and numbers for lawn & garden /landscaping were approaching 50%. Respondents said that high gas prices were translating to less travel this summer and people were going to invest in the home as an alternative to getting away.

Now today we learn from another source that travel is also high on the list of summer plans, this according to a survey released recently by global travel assistance company Mondial Assistance USA and its Access America brand of travel insurance. About 45% of Americans say they’re confident that they’ll take a summer vacation this year, up 5 points from last year, and up 10 points in the last two years. In all, Americans plan to spend $86.4 billion on summer vacations in 2011, and that's a 22% increase over last year.

Bottom line: people apparently plan on spending more this summer than they have the past couple of years. So what does that mean to businesses in CNY? Confidence is increasing, the pool of spendable dollars is getting bigger...but it means nothing if a business chooses not to be more aggressive in attracting additional customers. Even if you maintain your current marketing program, you'll lose share if your competitors go after the increase that's out there.

The Scotsman publications team is equipped with AdMall research to help you get a better feel for what's happening in your industry in the Central New York area. Drop us a line at info@scotsmanmediagroup.com  or call us at 315-472-7825 for assistance.