Sales figures for most small fashion businesses experienced a continuous slide over the last few years. But something is happening now that points to a big improvement in business ahead–not in the distant future, but starting right now. Falling gas prices are putting a big chunk of money back in consumers’ pockets. Market Watch uses Goldman Sachs research to predict households will save $1,100 a year with gas prices at $2.80 in 2015. Prices are already hitting $2.00 per gallon in Louisiana, which means the savings to the average household will be far greater than $1,100.
In addition, lower fuel prices can also translate to reduced prices in utilities, manufactured goods, groceries, and any other consumer goods that move by truck. The flip side is some loss of jobs because of cutbacks in the oil industry. This is regrettable. But if oil is at $65 per barrel, most companies can continue to operate profitably and consumers can benefit from savings. Quartz.com reports that every time oil prices fell in modern times, it spurred the economy. A robust economy grows more jobs, more paychecks, and more consumer spending. .
So with a rosy outlook for the economy, what do we need to have in the showcases now? The answer is the subject of this newsletter.
You can view the entire January 2015 Newsletter Here