01-26-2021 01:13 PM
Read a sobering article on the issues with the Long Beach, CA port - 700 out with confirmed COVID, a few hundred out for COVID-related concerns. Although that is horrible news, what was interesting is that H2 2020 container receipts were up by 50%. That is a sign that people are buying more "stuff." We not going out to eat as much, not going on as many vacations, etc., so we're just buying more retail goods. Even with the horrible state of many pockets of the economy, retail spending is pretty good.
01-26-2021 03:05 PM
And I'm afraid that a lot of these people are spending way to much money for frivolous things and not making their rent payments, because they know their landlords cannot evict them during this pandemic.
This 2nd wave of relief money has now started to appear in debit card form ( got it today) and ordering on-line will probably increase as well. Scammers from all walks of life will be out in full force and now they are texting and e-mailing pretending to be the IRS. Careful everyone!
01-26-2021 03:49 PM
Just curious whether the stuff coming in to port is sitting in warehouses somewhere, sitting on store shelves because of consumer financial difficulties or is actually being sold.
01-26-2021 04:40 PM
I certainly don't know, but the strong supposition is that inventory isn't piling up. Amazon/eBay/really, all e-commerce is up. Companies are paying huge dollars for ocean containers - there is so much demand, companies are paying through the nose to be able to ship. That wouldn't be happening without a demand pull.
I've even seen a lot of people at the mall - lines out the door at a lot of locations. Some locations are dead - Brooks Brothers reopened, and no one is shopping there.
01-26-2021 07:47 PM - edited 01-26-2021 07:51 PM
Perhaps some of that increase may be because goods are being purchased in quantity & warehoused to avoid expected price increases resulting from devaluation of the us dollar.
I predict we may see more inflation ahead of us.
01-27-2021 06:26 AM - edited 01-27-2021 06:27 AM
Let's not forget that masks, gowns, syringes, and thousands of tons of other much needed medical supplies are coming into that port.
01-27-2021 06:32 AM
Like any business; to look good they sometimes adjust and alter how the receipts are added up...
01-27-2021 07:19 AM
There's a pent up demand for "hard goods"...........big appliances/furniture.....which "weren't" manufactured during covid as much as "essentials"...... I've seen articles that, in the summer/fall, there was 6 month wait for some refrigerators/freezers........ and those weren't the "top of the line" types.........
01-27-2021 07:22 AM
Sounds like the port has been hit with a double whammy----more stuff than ever to unload, fewer people than ever to do the unloading---all basically due to the pandemic. As an aside, I suspect there are companies right now working on replacing even more longshoremen with robotics, which is likely to be another consequence of the pandemic----accelerated adoption of robotics in the business place. But, I digress....
Your conclusion---that despite the pandemic, retail spending is still pretty good, seems to be correct. There is less retail spending in the B&M world, but an increase in online retail spending. And some categories have seen a marked increase, while others have seen a decrease. But overall, we do seem to be in what is called a K pattern: Many people are (financially) doing as well or even better than before the pandemic, while many other people are in bad shape.
My ebay business relies heavily on the people in the first group----I'm not selling stuff people need, I'm selling stuff people with sufficient disposable income might want. I suspect many of us here fall into that same position. As long as that first group has disposable income and the confidence to spend it, we'll likely continue to sell.
01-27-2021 07:40 AM
The truth is I’m just really only buying essentials. Staying still inside 100% most of the time...
But then again I’m old, 76.
I desperately needed rain boots so I researched them online & did go way downtown by subway to the store here in nyc to actually try them on & buy them.
Other than those galoshes haven’t bought a thing I can remember since March & our Lockdown.
01-27-2021 11:55 AM
@b86fiero wrote:Just curious whether the stuff coming in to port is sitting in warehouses somewhere, sitting on store shelves because of consumer financial difficulties or is actually being sold.
Stuff is absolutely moving at my B&M job. There are certain types of items we can't keep in stock.
01-27-2021 02:38 PM
Didn't you hear, 76 is the new 56? Hope you can splash in some puddles in your new galoshes!😊
01-27-2021 02:45 PM
Most of my spending is in 'experiences' rather than hard goods - needless to say, there are few places to spend it. So I have chosen to spend it on home renos ::sigh::
01-27-2021 03:22 PM - edited 01-27-2021 03:24 PM