Various studies and commentaries we’ve been seeing through these troubled economic times have suggested that the biggest squeeze on consumer products and services has been in the middle. Rich people can still afford luxury items, and poor people remain in the discount market, but more and more in the middle move down to the discount realm. Now the New York Times reports luxury sales taking a sudden turn to the south. And a noticeable loss in advertising sales has come with the drop-off.
RBR/TVBR observation: Broadcasting is mass media, and while it’s targetable, it is still in the business of amassing large groups of consumers. The medium said to be taking a hit on the loss of luxury sales are the magazines that cater to the well-to-do. One thing about this economic downturn – it is really spreading the pain around.