I am, after all, one of the 64% of American adults who currently consume coffee every day. I probably consumed a quart of coffee writing this script and another while editing the video. But you can always sell the little air freshening trees that hang on rearview mirrors, or in-car trash bags to hold crushed soda cans and discarded snack bags. But repairing your 2002 Honda Civic becomes much more attractive!ĭuring recessions, people are a lot less likely to treat their beloved cars and trucks as disposable, which is good news for mechanics and part manufacturers.Īnd sure, it may not be realistic for you to sell alternators, batteries, and transmissions. When your 401(k) gets clobbered and your pay gets cut, the idea of buying a brand new Lexus is off the table. When times are good, people are more likely to buy new cars. And for many people in the US, that requires a working vehicle. No matter what the S&P 500 says, people still need to go to work, the store, and the doctor. Makes sense, too, with all the travel restrictions put in place for the COVID-19 pandemic! 3. The same article notes that fishing and camping permits went up by 10% between 20 and that canning jars and Rawlings sporting goods posted 12% higher revenue in 2009 than 2007.ĭata from the 2020 recession is still coming in, but we know for sure that people Googled “camping” more in 2020 than at any point in the last five years. In an article written by US News in 2009, Coleman posted higher sales of tents, coolers, stoves, sleeping bags, and fishing gear. Yet the need to “get away from it all” doesn’t go away when the economy is bad. Lavish vacations to distant lands are not as attractive during recessions. That’s why these items are called consumer staples and they come in six categories: beverages, food and staples retailing, food products, household products, personal products, and tobacco.īecause consumers’ need for these products doesn’t fluctuate, businesses that sell them will continue to see stable revenue, and perhaps even some steady growth. Your customers will always need detergent, toothpaste, napkins, tissues, bottled water, and canned goods no matter what. There are some items that you need no matter what the stock market is doing. And best of all – many of them are genuinely helpful! 1. That means a recession actually opens up a ton of new business opportunities, if you know where to look. Repairing a car is cheaper than buying a new one. Camping is cheaper than a lavish vacation. A Big Mac is a lot cheaper than dinner night at a fancy sit-down restaurant. Think about it: if you sell something inexpensive, such as Hershey’s Kiss chocolates, you might benefit from the economic downturn. But it’s worth saying because it helps us understand some important second-order effects. But it’s not: and there’s a simple principle at work behind the changes in consumer behavior during a recession.Ĭheaper products perform better in a recession. This may sound like bad news since many consumer products sold online are luxuries purchased with discretionary income. In short, necessities and vices don’t suffer when recessions come. Consumer staple companies like Kimberly-Clark, Colgate-Palmolive, Procter & Gamble, and Johnson & Johnson do well. Tobacco, alcohol, fast food, and soft drinks do well. Think about the kind of companies that perform well in recessions. Otherwise, listen up, because understanding this might really help your business. Skip forward to this time stamp if you want to get to the list. Link in the description.Īlright, back to the show! What makes a product recession-proof? If you use the tips in this video and you wind up making more sales than you can handle, go to /open to request a quote today. In this video, we’re going to talk about 15 recession-proof products that will keep money rolling in even when the economy isn’t doing so hot.īut before we get to that, a quick note. A much better idea? Always have room in your inventory for products that sell well in a recession. Trying to guess when a recession is going to happen is a fool’s errand. What we do know is that recessions will happen from time to time. No one knows why the market does what it does. We all know the economy swings up and down wildly.
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