Recession finally hits online travel bookings

SHERMAN, Conn. (AP)

It was inevitable, we knew the day was coming sooner or later. The day the recession took a toll on online travel bookings. It has taken a toll on everything else so why not online travel bookings? According to the article, "PhoCusWright said the value of online leisure and unmanaged business travel bookings would drop 3% this year to $93 billion. The company said it was the first time since PhoCusWright began tracking the marketplace in 1998 that online travel has fallen year over year." Obviously online travel bookings has been affected by the downturn of the economy, but recently they have really taken a hit by it all. Although it is being hit right now, they say it is only going to get worse,"the company predicts an overall decline in all travel of 11% in 2009 to approximately $241 billion." It is evident that people are reducing their traveling because of the bad economy. People can no longer afford to take leisurely trips do to the hardships they are facing. I will be one of those persons wanting to take leisurely trips when I move to Georgia after graduation in June. I am currently trying to save money so that I can travel home to visit family and friends on the Holidays next year. It is important to me that I have the money so that I can fly home when I need to and I know in order for that to happen I need to start saving now. Yes, the recession is taking a toll on all of our lives. However, I believe that if we save money then we can take things into our own hands and do what we please with the money we have accumulated.  

T.G.I. Friday's joins the bargain dining $5-meal club

By Bruce Horovitz, USA TODAY

Who does not want a cheap meal? I know being a college student,  I appreciate an inexpensive meal as much as possible! With the recession today, this statement is not only true for college students. T.G.I. Friday's has come to the realization that in order to please the economy today they need to reduce their prices for the month of May. Just like the many other casual-dining chain, T.G.I. Fridays has suffered from the recession and is doing something to beat these hardships. According to Malcolm Knapp, a researcher who tracks casual-dining industry says $5 is a "magic number." He could not be any more right. When I hear $5, I think to myself, yes I am getting a deal! Subway's $5 campaign definitely caught my attention and I made it a point to stop in there and get my favorite sub because it was incredibly cheap. With that said, I plan to make it into T.G.I. Friday's for a $5 meal because one reason alone...how could you pass that up!?

Economic indicators and survey show recession easing

WASHINGTON (Reuters)

   In USAToday.com, an economist at the Conference Board,  Ken Goldstein, said the following promising comment regarding the economy's future "The recession may continue through the summer, but the intensity will ease." Is Goldstein giving us false hope? According to the National Association for Business Economics (NABE), Goldstein seems to be on the right track with his statement. Not only does Goldstein believe this to be true, but the lead analyst on the survey and an economist at IHS Global Insight, Sara Johnson, also agrees with him. She believes the recession is dwindling and the she believes this to be true because of the following statement she made "key indicators--industry demand, employment, capital spending, and profitability--are still declining, but the breadth of decline is narrowing."  With this being said, I believe it is appropriate to say that the light at the end of the tunnel may be a lot closer than I thought. After reading this article, I got excited because I am starting to believe there is hope for our economy again. In addition to this, I am optimistic for the job market as well especially since I am about to be a college graduate and am currently seeking employment. I have been going back and forth about whether to relocate to Atlanta, Georgia because I knew there would be a lot more job opportunities down there rather than in Ohio. After reading this article, I am not only hopeful for the economy, but also for the job market for myself and the rest of the people throughout the country seeking employment as well.  

Extreme cheapskates: Tightwads revel in frugality

By Anne D'Innocenzio, AP Retail Writer

 

  In USAToday.com, Jodi Furman, the mother of three from Lake Worth, Florida sums up this article in a nice manner with the following statement. "It you can't make more money, then you can spend less--and that's the equivalent of making more money.” Furman has the answer, the key to trounce this recession is to save, save, save! It is far easier to say than follow through with the action of going to the store and reducing what we spend. With the economy today, I strive to save; however, it is not an easy task. After reading this article, I have learned several different ways to spend less and make do with what you already have. Though, there is one certain approach that I intend on integrating into my lifestyle. The author of The Ultimate Cheapskate's Roadmap to True Riches, Jeff Yeager has made it a point to only dip into his bank account when absolutely necessary. He refuses to buy new clothes until he can no longer wear his old clothes. I could learn a thing or two from him because I have a problem with spontaneous shopping. For example, when grocery shopping in the infamous Wally World (Wal-Mart), I feel the need to pick up other items such as a shirt here and there. Unfortunately we all know ten dollars here and twenty dollars there adds up eventually, thus, making it very difficult to set aside money that I could make use of later down the road. Making this simple change in my life could indeed change the look of my savings account and therefore change the look of my future!

My thoughts on reference price

This past weekend I had the opportunity of going shopping with my sister at Easton Town Center in Columbus, Ohio.  My sister, Tabitha, and I enjoy taking trips there from time to time and we realized a trip to Easton was long past due! On the journey there we always tell ourselves we are going to only spend so much. Although, once I step foot into my favorite store, Forever 21, all those responsible thoughts seem to float away. I have come to the realization that this happens because of a very simple reason, the clothing there is cheaper than anywhere else. Not only does that factor play a vital part in my consumer behavior, but the wide variety of clothing and accessories Forever 21 provides to their customers does as well. From the time spent in the dressing room, to the minute I am standing infront of the cash register, I am debating with myself if I truly need or if I want the items in my hand. I am honest with myself most of the time and admit I do not need the clothing I am holding. However, the minute I decide that, my mind reminds me of the deals I am getting by purchasing these items at this time. I look down at the price tag and remind myself how much I am saving becacuse this particular item is indeed on sale! At this time in the purchasing process, I am taking into consideration the reference price.  Nontheless, if the item was still at its original price, I would not feel the need to purchase it. Nevertheless, before I know it, I am out the door and just another consumer buying into the sale prices...literally. 

Gas prices are budget busters for many

By Barbara Hagenbaugh

From USAToday.com: Barbara interviewed Esther Guzman and how the gas prices are affecting her and her family specificly. These insane prices not only have an affect on Esther, but because she drives her three children around to their jobs and school activities, it also takes a toll on the rest of her family as well. Esther makes it a point to provide gas money for these particular necessary activities, however, she has unfortunately had to cut back on the luxury activities such as: eating out as a family, going to the movies, and on top of it all she had to cut back visiting her very ill seventy-six year old father. It is one thing to reduce those additional activities; although, it is rather sad that because of the gas prices Esther feels she can no longer afford to make the trips to visit her dying father. It is heartening to know Esther has to have a priority list when it comes to how she utilizes her gasoline. However, it is incredibly sad that she cannot even put her sick father on her list because of the high prices of gasoline. In general it is preposterous that gasoline prices can fluctuate such a great amount in a matter of days, sometimes even hours, and the worst part is, Esther along with the rest of us Americans cannot do or say anything to change it. 

Cutting Ad Spending in Recession Hurts Brands Long Term

Following Boom/Bust Cycle Flirts With Danger

By Jack Neff

From AdAge.com: Neff expresses his thoughts on personal care. He believed that it was “recession-resistant” however, last year altered his stance on this specific topic. The personal care market contrary to Neff's first position on the issue; cut its ad spending more rapidly than the general market. Companies and brands that went along with the economy cut-backs concerning the ad spending were not as successful as those companies did not fluctuate according to the troubles of the economy and longer term. Needless to say the moral of this story would be it is not always the best thing to follow the economic trends, rather it is important to be brave and have confidence in your decisions and believe they will lead to success.  

Five Brands Doing It Right, Doing It Wrong

From Bounty to Wendy's, We Looked at 10 Case Studies to Offer Marketers ThesDos and Don'ts

By Natalie Zmuda 

The title says it all!  However, the title does not disclose the important part of the story.  The article described in detail the wide variety of goods that are being marketed in the recession today. The main idea of the article is stating what corporations are exemplifying the dos and the don'ts of the industry. Oddly enough, Zmuda identifies the different companies in alphabetical order. It would have been more beneficial for her readers to have had her put them in the order of who is making it work best to those who need a do-over.  For instance, Hyundai would have been at the top of my list.  During this recession, Hyundai Motor America came up with an inimitable Assurance program to assist with their sales. Their Assurance program has led to sales increasing 5% in January and February. This campaign has facilitated the fact that Hyundai is flourishing while other automobile industries are failing.