August 7, 2020

Nearly a third of Americans’ financial health negatively impacted by COVID-19

Author:
Amit Sahni, Senior Consultant, Americas
Those who have been lucky enough to remain financially stable during this period may be the saving grace of the economy as it begins to reopen

Our new data shows that the pandemic has resulted in financial woes for many in the US


The coronavirus pandemic has impacted every corner of America. Whole industries have been plunged into turmoil as consumers were forced to stay at home, and many businesses have had to make cuts to their workforce and salaries.

The situation has caused more than one third (35%) of American consumers to feel that their own personal financial health has been negatively impacted over the course of the past few months.

When it comes to job security, four in ten (39%) say that they feel less secure compared to the same time last year. Almost half say that they are afraid of losing their money or having a decline in their income, and 53% say that they are taking far less risk with their money in the current circumstances.

The pandemic could have a drastic impact on many people across the country. Indeed, almost a quarter (23%) of Americans say they are already going further into debt as a result.

Almost half (46%) say that they are concerned about their ability to pay their current bills and loans – particularly credit card bills (40%), utility bills (40%), mobile bills (38%) and rent payments (36%).

US consumers have had to prioritize their spending over the last few months. The areas in which people were most likely to defer their planned purchases include vacations and buying a new car or a new home.

Could lesser impacted consumers be the saving grace of the US economy?

The financial impact of coronavirus has seen all eyes on the stock market, and the financial sector is likely to feel concerned. Indeed, a third (34%) of respondents say they have invested less compared to the same time last year.

Looking on the bright side, those who have been lucky enough to remain financially stable during this period may be the saving grace of the economy as it begins to reopen. Almost half (45%) say that they have actually been able to save more money than normal as they have had fewer places to spend it throughout lockdown – leaving hope that they will want to spend throughout the second half of the year.

Some say that they would like to use the opportunity to save further and feel personally secure for longer, but a third (33%) see this as an opportunity to invest in the stock market – which could stimulate recovery.

Bi- Weekly US Consumer Coronavirus Data Tracker

Our Bi-weekly survey and tracker offers the opportunity to ask a range of questions directly. With 1,000 respondents each week, the tracker provides brands and businesses with the audience needed to inform even the most challenging questions that our current environment presents.

If you would like to know more, access additional data analysis or would like to ask your own questions, click here.


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