When consumers decide they’ve maxed out the value they can get from the things they typically buy, business leaders tend to view it with alarm — a sign that folks don’t have the money to spend and therefore a recession must be on the horizon. But what if those consumers are just behaving like traders, and finding value elsewhere? On earnings calls in recent weeks, executives have bemoaned the customer “pullback.
And that may reflect some genuine customer pullback, especially among lower-income travelers who may be opting to stay home. At the same time, travelers who recall a time when Airbnbs were reliably cheaper than hotels have been put off by the home rental site’s cleaning and service fees. Hotel chains aren’t seeing quite the same gloom.
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