Get Off My Back, Put Me Back on My Feet

It’s me, the Consumer. I’m back and I have some things to say.

It has been seven years since the last time Dr. Karrh agreed to step aside and let me write one of these columns in his stead. Back then (January 2003), I became annoyed when a Little Rock retailer closed its doors and then in a press release blamed area consumers for “not supporting their entire facility.” I felt like I had to remind a few business people about who is responsible to whom in this whole marketing thing. My message then was simple: It isn’t the consumer’s responsibility to support your business if you aren’t listening to me and serving my needs.

The seven years that have passed seem like a generation, don’t they? Since 2003, I have dealt with war, substantial political and governmental changes and the deepest economic recession in 70 years. I have to admit that all of this has taken a toll on me.

When it comes to those who are supposed to be looking out for my interests, my opinion has shifted from near ambivalence to basic distrust. In 2004, according to CBS surveys, 47 percent of Americans trusted the federal government to do the right thing most or all of the time. By last fall, according to the same poll, trust in government had dropped by half – to 23 percent. I don’t believe lawmakers or bureaucrats have my back.

My hopes for the future have taken a hit, too. Seven out of 10 Americans say it’s harder to accumulate wealth today than in the past. That compares to 1999, when only 38 percent of Americans said the same thing (surveys conducted by Princeton Survey Research Associates on behalf of Bankrate.com). At the same time that building wealth is more difficult, the government is planning to take a much bigger chunk for itself. When in recent history has it appeared more difficult to build a legacy?

I would snicker at government attempts to micro-manage my behavior if those attempts didn’t wind up costing me. As an example, recall the Cash for Clunkers program. Nearly 690,000 vehicles were sold during the time the program was in place. Sounds like Washington flipped a switch and made magic happen, right?

Analysts at Edmunds.com compared historical sales trends and figured out the real story: About 565,000 of those sales would have happened even without the program. The Edmunds study divided the $3 billion program cost by its estimate of 125,000 incremental vehicle sales and concluded that taxpayers shelled out $24,000 for each vehicle actually sold because of the program.   

I don’t need a convoluted program to begin spending again; I just want an environment where I can spend and save with confidence. Considering that consumer spending drives about two-thirds of the U.S. economy, our state and national leaders should feel a strong interest in creating that environment.

But if you want me back on my feet then you will first need to get off my back.

I have a history of demonstrating optimism and resilience. I’ve come back strong after other wars, market crashes and recessions.  

Still, things feel different today. I have had to fundamentally adjust my spending priorities. I worry about deficits, the value of my home, higher taxes, looming inflation, aging parents and the availability of health care down the road. I am facing the real possibility that the next generation of Consumers will have fewer opportunities than I have had.

So please listen, all of you policymakers and pundits. Serve my needs and I can serve yours. If you will simplify the system, allow me to plan for the long (or even the medium) term and perhaps let me keep most of my earnings, then I might be able to spend, invest and pull that economic load as I have in the past.

Just remember that the Consumer, as an average American, is also getting older. My back ain’t what it used to be. 

Jim Karrh of Little Rock is a marketing consultant, speaker and trainer. E-mail him at [email protected].