The Discount Economic Indicator

As I mentioned in an early post (and as is obvious to most everyone) retailers have been using sales/discounted items to try and entice customers to keep buying during these rather tough economic times. Walking through a mall it is tough to get a look into a store because of all the discount/sale signs cluttering the front windows. You can practically see the invisible hand lunging out and grabbing at people's wallets as they walk buy.

But, according to my freshly developed economic measuring tool - The Discount Economic Indicator, we may be starting an upward turn. Now my tool is not something Al Einstein would be proud of, and really when you think about it, its just me taking notice of one thing. In fact maybe I should call it the Banana Republic Economic Indicator, because it is based off of the email flyers they send me. Here's a breakdown of how it works:

• The higher the discount they offer me, the worse off we are economically

Simple eh?

So here's what i've seen so far:
1. First signed up: 10% discount and let me know when new items arrived
2. Last fall: 20% discount flyer
3. Christmas: 30% off flyer
4. Christmas: 40% off flyer
5. End of winter: 35% off flyer
6. Spring: 30% off flyer
7. Today: 20% off flyer

Now i'm sure everyone will want to pat me on the back, call me a genius, and give me an honorary doctorate, but it is interesting to see how their sales have pretty much followed the economic outlook for Canadians. Plus, good work by the marketing team at Banana Republic to continually offer sales to their best customers (the ones that gave them their email) encouraging them to buy.

Although I stand by my Discount Economic Indicator, i'm not quite as optimistic about the economy rebounding this quickly and I think we have some more downtime ahead, but this appears to be a good sign.