A couple weeks ago, I was having some computer network problems and had to call my tech guy. While he was here we were talking about the economy, gas prices, etc. He mentioned a term that stuck with me – reset button. His point was that, during the Great Recession, he “reset” his life.
I took his comment as loyalties were reset to zero. He re-evaluated what things were important to him and consequently, what he was willing to spend money on. We came to the conclusion that a lot of people probably did the same.
I’ve been thinking about this reset button concept since then. It’s so true. Mr. Bartender and I did some resetting during the Great Recession as well. But I believe it goes beyond individuals and their home life.
Consumers have reset what they spend money on. They have reassessed the term “value”. Companies are having to respond to customers with reset expectations. They’re finding that they have to win customer loyalty all over again.
As such, companies are resetting for customers. The strategies that worked 5 years ago might not work today. Organizations are trying to figure out the profile of their new customer.
Employees have reset their wants and needs too. They are making decisions about the kind of organization they want to work for, identifying negotiable and non-negotiable benefits, and how much time they will devote to work. What value is their work relationship bringing to them professionally and personally?
And companies are also having to reset for employees. Organizations are establishing a new employer-employee arrangement. And I think it looks different than before the Great Recession.
So I’m curious, have you seen this reset too? Is it just a temporary phase we’re going through and we expect to fall back to our old ways and former allegiances? Or is this a sign of real change? Share your thoughts in the comments.
Image courtesy of RobCampbell
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RMSmithJr.SPHR says
The great recession was a reset event. With or without deliberate thinking, many have done the three-fingered Ctl-Alt-Del on their expectations. Perhaps even disk error checks, defragmentation, scanned for viruses and a backup.
The Baby Boom Bubble is Bursting and this alone is lessening the much heralded consumer spending stimulus needed for economic recovery. I have enough. Many others feel the same way. What else is there left to have?
Then again, I have always purchased for longterm value not short term frugality. A Scout is Thrifty.
Consumer credit is entering a phase defined by the term, ‘well-qualified.’ My debt free son had to change banks to get a credit card for his own travels – hotel room reservations et al. I don’t see the good old days coming back. That being said, I’m not sure what the tomorrows will bring.
Dorothy Dalton says
Great post! The term “re-setting” resonated with me. I think we are living in “re-setting” times when the old ways of doing things are being re-evaluated.
Dave Kinnear says
Your “tech guy” is right on track with most of the folks I speak to and business leaders with whom I work. As luck would have it, back in July of 2009, I posted (http://ow.ly/9J6UL) “An Economy Driven Sales Reset” which pretty much predicted exactly what we’re seeing. A permanent change to consumer activity. The question remains, how will we adjust our business models to this new economy. That seems to be where the struggle is today.
Ginger says
I used to shop at a particular clothing store quite a bit. I liked their clothes as they were really affordable and as long as I could keep “these mirrors are trick mirrors – this will not look the same when you get it home” in my head, I was usually really satisfied with everything I purchased.
I noticed when the recession hit that their clothes were SO much more affordable; they had a lot more sales and special promotions. I thought they had realized that people were spending less and they were adjusting accordingly. And then I washed my clothes. And then I washed them again. And one more time. And then I realized they had started to make what I refer to as “disposable clothing.”
Disposable clothing: clothes that are inexpensive and poor quality. So much so, that when you wash them a few times they look like garbage (twisted seams, tiny holes, fuzzy fabric, faded colors, etc.).
I HATE disposable clothing. I still shop there on occasion when I am in a rush to find something (precisely 24-48 hours before any work trip). I keep hoping that they will go back to quality clothing even if it does mean an increased cost. It hasn’t happened yet.
In this instance, market reset = poor planning.
Sharlyn Lauby says
@RMS – Thanks for the comment. I like your Ctl-Alt-Del reference.
@Dorothy – Good point about old ways of doing things. There are no more sacred cows. Thanks for the comment!
@Dave – Thanks for sharing the article.
@Ginger – Mr. Bartender has been joking around about how things don’t last forever anymore. It’s so true. Thanks for commenting!
Collaboratrix says
I must say that as I read your blog post this evening, I had a moment. The “concept”of resetting just totally resonated with me as well. I have recently reset my world for the better. It was as I continued reading that I then I smiled. This is the section that brought out my smile.
“Employees have reset their wants and needs too. They are making decisions about the kind of organization they want to work for, identifying negotiable and non-negotiable benefits, and how much time they will devote to work. What value is their work relationship bringing to them professionally and personally?”
Sharlyn Lauby says
Thanks so much for the comment!