The Two Sides of the Consumer Market: Affordability and Expenses

:money_with_wings:There is a growing disparity between consumers who can afford higher prices and those who struggle with affordability.

:shopping_cart:Companies like Walmart and Costco are thriving as consumers prioritize affordability.

:hamburger:Fast-food chains like McDonald's are experiencing a decline in sales as consumers opt for cheaper alternatives.

:chart_with_upwards_trend:Inflation is a major concern for the lower-income consumer, who struggles to keep up with rising prices.

:bank:Some consumers, particularly the wealthy, are not significantly impacted by rising prices and continue to spend.

How is the consumer market divided?

—The consumer market is divided into two segments: those who can afford higher prices and those who struggle with affordability.

Which companies are catering to the budget-conscious consumer?

—Retailers like Walmart and Costco offer affordable options to cater to budget-conscious consumers.

Why are fast-food chains like McDonald's experiencing a decline in sales?

—Consumers are opting for cheaper alternatives, causing a decline in sales for fast-food chains like McDonald's.

What is a major concern for the lower-income consumer?

—Inflation is a major concern for the lower-income consumer, who struggles to keep up with rising prices.

Are all consumers impacted by rising prices?

—Not all consumers are significantly impacted by rising prices. Wealthier consumers can continue to spend without significant constraints.

00:00The consumer market is divided into two segments: those who can afford higher prices and those who struggle with affordability.

03:34Fast-food chains like McDonald's are experiencing a decline in sales as consumers opt for cheaper alternatives.

06:45Companies like Walmart and Costco are thriving as consumers prioritize affordability.