The Economy, Anyone Worried?

[manstar375]

Hi all,
I'm sure many of you have heard about what's going on with the stockmarket, housing market, etc etc. Heard today on NPR we are officially in a recession.

A friend of mine who puts marble into the homes of the moderate to affluent told me he has no new jobs scheduled, which is a first. His business has this far netted him a handsome living.

So, how do you think this is going to affect us? Will you adjust your rates if things get slower due to an economic downturn? Massage is part of my life, my self care, but for many people massage may be one of those things they will do without.

 

[debabrata h]

Im not too worried. I suppose I should be, but my workload has not decreased any. I dont plan on reducing my rates, though, Id just be setting myself up for people to say "well, you did it b4, why not NOW?" I dont have a bad feeling about the recession. Most of my clients are not ones who are already on a shoestring budget. Wont stop me from pryaing that things dont get bad, though!

 

[oden13]

I'm a little worried with the changes in the market and the "recession" and Massage Envy just opened a few miles from me. Both my husband and I are independents so if we both slow down (he's in flooring installation) it gets very tight.

 

[Baby Gurl]

Frankly, I could use a little bit of a break. I've reduced my schedule (for my own mental health,) and am scheduled out quite a bit. I think those of use who do pain and injury tend to be a little less affected by stuff like this. But my own self-care gets reduced, since retirement funds and other stuff takes a beating during recession.

 

[dkomarovska]

If I remember correctly, the last "recession" we had was is the early 90's. That recession did wonders for my business. People were stressed out. What to do? Get a massage. Now that being said, gas was not at 3 dollars and the housing market was going well.
I believe the media has a lot to play in our view of a recession. A year ago, gas was near 3 and the housing market had slowed but I heard nothing of a recession.

 

[durgapremee]

i'm not so worried about business, as we're actually doing better than we were over the summer. that being said... we're about to enter month 9 of double house notes (waiting for the other to sell) and the business has A LOT of room for improvement. we won't be reducing rates, i really don't want to get into that, but i guess you do what you have to when you have to do it.

...i do wish things were financially less-stressful.


ETA: alabama

 

[NaTuReS BeAuTy]

The Economy, Anyone Worried?

Heard today on NPR we are officially in a recession.

Another reason to dislike the media. Nice fear-mongering, totally lacking in facts.

Can't have a recession without 2 consecutive quarters of negative GDP growth. Just closed the book on one quarter, good of them to jump the gun by 3 months.

Both of our businesses are up over last year -- even throughout last quarter when the rest of the economy was going backwards. Prices going up, if anything.

 

[Kreerk]

My business has suffered. I live in eastern Ohio, where the steel industry was the main employer, they are shuting down. Community is mainly senior citizens on fixed income. The young people are moving out of the area. Gas prices are a big concern, everthing seems to be going up. I have to deal with massage practioneres in the area which have no training, are not licenesed by the state of Ohio and are regulated in no way. They charge anywhere from $20 to $40 per hour. I will not drop to their rate, I am licensed in Ohio, WV and nationally certified. Average income in area is $36,000. The doctors in the area do not and will not refer to massage therapy. My only saving grace is that I am retired myself with nice retirement check, otherwise I would have to hang it up. Boy, does this sound negative!

ANY SUGGESTIONS!

 

[lowgurl]

I was wondering about this myself. As a student, I wonder how things will be when I graduate. Will people have enough disposable income to get massaged? Might depend on your area. I noticed at Christmas time with my candle business, I had alot of sales, but people were definitely watching how much they spent. My customers that would usually spend over $100 per order were placing orders for $40-$50. Hopefully things will get better out there and we won't have to worry.

 

[awesomegirl]

I have noticed a change too. I live out of town, as do many of my clients, I fill up my gas tank twice a week (sometimes 3 times!) Not to mention everything else has gone up - It costs me almost double to heat my house this year then when I moved in a few years ago - so I know its the same for my clients too. Just like I am pairing down my costs and struggling with the monthly costs and increases - so are my clients.

I am pretty much relying on my regulars and my pain and injury clients at this point. Lately, I only see the relaxation type of clients come from Gift Certificates. Its more and more difficult to get people to part with their money so I have bumped up my business a bit, I have added a few add ons and some simple luxuries. I downsized my office to one that costs a fourth of what I was paying, that has helped A LOT. I am glad I have made these changes, it feels like I was getting a little too comfortable and needed the jolt of competition for their spending money.

I dont plan on lowering my prices, I dont see that helping enough to justify lowering my take home pay. I will have to be more aggressive in my advertising so people dont forget about me, and I think the add-ons have been a good move, and I'm going to look into more public awareness methods (public speaking and whatnot). We'll see. Id be fibbing if I said I wasnt looking for a way out already, the stability of being an employee is looking better and better, but untill then I'm just going to be the best MT I can be, and offer my clients as much as I can - and pray that my work will speak for itself.

**EDIT**
Good point george. Rural ND, Avg. household income is $34,700 pop 1,766 (with several very small communities within 30 miles or so.)

 

[Hailey]

I'm not seeing any signs of slowing down, much less a reason to panic. December was my best month ever, and usually I die out every December-February. This month I've already beaten December, and we have nearly a week to go.

 

[Ashley]

Would it be possible when you respond to this post that you indicate what part of the country you are from. BIG CITY, little city, state, average income for the area, etc
Thanks

 

[Dogshowfreak]

Our office is par for the course, so I would say things haven't been affected to much with us.

BIG CITY, Texas, average income varies a lot, Population: Millions.

 

[Pompal 09.]

I don't see it hurting my small practice in a large city at this time. Things are still okay here economy wise. Just about everyone I know is still working, making house payments and planning vacations. I do know some of the bigger spas have been down compared to last year even thru the holidays. I would not consider lowering my prices. I would rather just be slow if it comes to that. I can always go back to one of the 50 other things I have done in my life to make ends meet. So see there is an up side to being wishy washy and not sticking to anything! Loads of other skills. Seriously, I just can't see at the price point I am at that it would make a big impact coming down $10.00. Hang in there everybody. What goes down must come back up right?

 

[CF_]

the last time Tax Rebates were issued -- after 2001 -- over 70% of middle and lower income recipient SPENT theirs, instead of paying down debt/saving.

This proposed rebate is twice of the last one

Look for a mid-summer spending spree...

 

[Linda C]

the last time Tax Rebates were issued -- after 2001 -- over 70% of middle and lower income recipient SPENT theirs, instead of paying down debt/saving.

This proposed rebate is twice of the last one

Look for a mid-summer spending spree...

I can't wait to totally blow that money
I'm so not responsible sometimes ...

 

[Tiki-Man Jenkins]

In general I'm concerned about the direction our country is taking with finances and civil liberties, etc ... while I don't condone the fear-mongering that's going on in the mainstream media, I DO think there are serious problems in our economy, and I have to say I'm concerned about what the future holds. I haven't been in the business of massage long enough to personally comment on a trend, up or down.

 

[Oliver]

the last time Tax Rebates were issued -- after 2001 -- over 70% of middle and lower income recipient SPENT theirs, instead of paying down debt/saving.

This proposed rebate is twice of the last one

Look for a mid-summer spending spree...

Isn't spending to stimulate the economy *exactly* what this administration wants us to do with the money? In 2001, wasn't consumption of material goods exemplify the ultimate in patriotism?

(Obviously a fiscal policy I don't support.)

And I completely agree with the hyper-negative media. "The sky is falling, the sky is falling!"

 

[sandhillkar]

the last time Tax Rebates were issued -- after 2001 -- over 70% of middle and lower income recipient SPENT theirs, instead of paying down debt/saving.

This proposed rebate is twice of the last one

Look for a mid-summer spending spree...

Isn't spending to stimulate the economy *exactly* what this administration wants us to do with the money?

Yes. The idea is to boost the economy.

I don't like getting into the long drawn outs of it, so here's a simplified news ticker. http://news.yahoo.com/s/ap/20080118/ap_on_go_pr_wh/economy_stimulus

 

[Casey B]

Thank you all for your insightful responses.

Here in central NJ, where we are somewhat insulated by downturns in the economy due to our location and job infrastructure, people really are holding onto their money. I've asked those who really have money, and I mean really big money, and they said they are cautious and not spending and those they know are doing the same.

I don't mean to be an alarmist, but I think if trend this continues, it will effect us. People will spend the money to get a good haircut, but not a massage, is what I'm hearing round these parts. I want to be ready in case this should happen.