Due to the Coronavirus pandemic, almost everybody (94%) is at least somewhat concerned that the U.S. will go into a recession (by many accounts the country entered a recession in February), according to new research from Wavemaker.
Those ages 35-54, women, Asians, Hispanics, and those from affluent households are more likely to express the most concern about the economy.
Almost half (48%) of Americans are very to extremely concerned about not being able to provide basics for their family, which is being driven by the youngest demographics, less affluent households, as well as Hispanics and Blacks.
The vast majority (85%) are at least somewhat concerned about drastic changes in lifestyle due to a recession, and three in five (60%) are also at least somewhat concerned about losing a job. Men are more likely than women to fret about their job security (45% vs. 39%). And so are ethnic consumers.
One key surprise for Fran Kennish, Wavemaker’s managing partner, data sciences lead, is seeing the older population (adults over 55) being “less emotionally involved” in the potential impacts of a recession. “It is as if they are almost resigned to stay on the sidelines or being hopeless.”
With this insecurity, the most popular precautionary measures people would personally take would be to postpone unessential purchases, stop splurging on immediate gratification items and to stay healthy in order to keep providing for family.
Wealthier households are more likely than the less affluent to show higher concern regarding not being able to travel or go on vacation (53% vs. 42%).
Nearly half of consumers are concerned about having to cancel important family events. “I’m impressed by the younger consumers,” states Kennish. Those ages 18-34 express more concern that a recession may have on their lives. She is especially touched by seeing their “softer [and] emotional side indicated by their concerns of being limited in their support for parents or grandparents.”