New York (CNN) — American households want the biggest bang for their buck right now when they pull their wallets out to shop. That doesn’t mean they want something cheap all the time. They’ve been paying more for goods and services for a while because of higher inflation that stubbornly stuck around.
What’s also occurred concurrently is that higher interest rates have made it more expensive for shoppers to borrow money – on credit cards for example – for buying things or paying off necessities such as monthly bills. But even as consumers push through these pressures, they’re still shopping, and seeking deals. Bargain retailers like Walmart and Costco have benefitted, as shown by the retailing industry’s recent slew of first-quarter earnings releases.
Discount behemoth Walmart ’s business was buzzing as thrifty shoppers flocked to its big-box stores last quarter to bag deals on groceries and everyday necessities like shampoo, toothpaste, paper towels and toilet paper. Sales at its stores open at least a year increased 3.8% in the quarter from the same time last year.
Other discount purveyors such as Ollie’s Bargain Outlet and Costco also enjoyed a jump in their same-store sales in their latest quarter. At the same time, there’s a different kind of deal-seeking happening, too. Perhaps a bit counterintuitively, a bunch of stores that are known for more expensive products that aren’t exactly necessities are also seeing a boom.
Which means that Americans ar.