Neil here.
It’s no secret that Americans are ready to return to their favorite shops, restaurants, and travel destinations, but we know better than to believe that those industries will ever look the same again.
The U.S. has undertaken an intense paradigm shift. Everyday activities that we never gave a second thought – like taking public transportation or browsing clothes on a store rack – are now ones that we’ve been advised to avoid.
But now that the world is beginning to open its doors once again, we’re seeing a new trend hit the stage.
It’s called revenge spending – a new phenomenon that experts are predicting will rule the markets this year, as the economic spaces formerly shut down by the pandemic begin to open up again.
The idea is that consumers were starved of their favorite leisure activities during the quarantine period, so are now overcompensating by going on more spending sprees … and this trend is going to pour cash into startup companies.
Think about it: Americans spent a full year under strict instruction to stay home, isolate themselves, and bolster their savings in case of emergencies. Economists now estimate that the collective stockpile adds up into the realm of $1.7 trillion, giving revenge spenders more than enough to get started with come this summer.
We’re already seen an uptick in consumer spending this year compared to 2020, especially in the retail and travel sectors. Retail spending jumped 9.8% between February and March, and total sales in the sector for Q1 were up 14.3% year over year. The travel industry also kicked off the year on a good note, with Southwest Airlines reporting a $116 million profit.
Regardless of this intense spending, we’re still seeing new, COVID-inspired versions of our favorite leisure activities… and that’s where the money is.
These changes were designed by the founders who had the foresight to know that airlines, restaurants, and brick and mortar stores were going to need a full makeover with cleaner, healthier operations.
And their companies are going to make a killing in the economic rebound… making angel investors the ones with the most to gain from revenge spending in the years to come.
Here are a couple of examples…
“Contactless” was the theme of public interactions in 2020, and the concept certainly isn’t going anywhere in the near future. There’s a new wave of tech startups hitting the travel space, for example, that are streamlining normal travel processes while keeping people safely distanced.
One UK company is working to make touchless identification ubiquitous in airports, using facial recognition and biometrics to reduce the number of times passengers’ I.D. exchange hands, and it’s raised around $16 million in funding so far. Another startup is targeting the shift toward remote guided tours. Through the platform, travelers will be able to book virtual tours to destinations around the world, and speak with real guides via live video calls.
In the retail space, we’re seeing startups producing technology to reduce contact between customers and employees, as well as between customers and products. Many retailers are eyeing cashierless checkout options, where customers can scan and pay for their items through a mobile app.
One startup is introducing a system of two-way QR codes that produce a curated list of products directly on the customer’s phone, allowing them to browse items virtually before physically picking them up.
And these companies are just the tip of the iceberg for retail and travel. Virtual fitting rooms, online events, automated processing… all technologies that I believe will soon become the standard for these industries.
And they’re only set to grow through the rest of the year, with about 69% of people around the world planning to travel within the next six months, and retail sales expected to grow up to 8.2%.
With these projections, angel investors are in the best position to benefit from the revenge spending trend that’s likely to take consumer spending to record highs by the end of this year.
Founders and consumers alike are emerging from COVID-19 ready to dive straight back into these long-forgotten industries, but this time, they’re coming armed with brand new strategies and ways to make money.
One of the best we’ve seen? It has to be crypto.
Cryptocurrencies are currently riding a high like we’ve never seen before… even the meme crypto Dogecoin continued to surprise us this week when it hit its new all-time high.
There’s plenty of traction for the big names in crypto, but I’m also talking about some smaller, lesser-known coins that are outperforming Ethereum and Bitcoin right now. Some of them are even looking at a potential 2000 percent increase by the end of 2021… and I know an expert who’s dishing out all the details right now.
Now, crypto is a relatively young industry, but its popularity is rising at a record pace. This means that the opportunity to see substantial returns in this space is too promising to ignore.
I want you to get all of this information first, so don’t miss your chance to dive into the crypto world right now.
That’s all I have for you today. I’ll be back to update you soon.
Until next time,
Neil Patel
It’s no secret that Americans are ready to return to their favorite shops, restaurants, and travel destinations, but we know better than to believe that those industries will ever look the same again.
The U.S. has undertaken an intense paradigm shift. Everyday activities that we never gave a second thought – like taking public transportation or browsing clothes on a store rack – are now ones that we’ve been advised to avoid.
But now that the world is beginning to open its doors once again, we’re seeing a new trend hit the stage.
It’s called revenge spending – a new phenomenon that experts are predicting will rule the markets this year, as the economic spaces formerly shut down by the pandemic begin to open up again.
The idea is that consumers were starved of their favorite leisure activities during the quarantine period, so are now overcompensating by going on more spending sprees … and this trend is going to pour cash into startup companies.
Think about it: Americans spent a full year under strict instruction to stay home, isolate themselves, and bolster their savings in case of emergencies. Economists now estimate that the collective stockpile adds up into the realm of $1.7 trillion, giving revenge spenders more than enough to get started with come this summer.
We’re already seen an uptick in consumer spending this year compared to 2020, especially in the retail and travel sectors. Retail spending jumped 9.8% between February and March, and total sales in the sector for Q1 were up 14.3% year over year. The travel industry also kicked off the year on a good note, with Southwest Airlines reporting a $116 million profit.
Regardless of this intense spending, we’re still seeing new, COVID-inspired versions of our favorite leisure activities… and that’s where the money is.
These changes were designed by the founders who had the foresight to know that airlines, restaurants, and brick and mortar stores were going to need a full makeover with cleaner, healthier operations.
And their companies are going to make a killing in the economic rebound… making angel investors the ones with the most to gain from revenge spending in the years to come.
Here are a couple of examples…
“Contactless” was the theme of public interactions in 2020, and the concept certainly isn’t going anywhere in the near future. There’s a new wave of tech startups hitting the travel space, for example, that are streamlining normal travel processes while keeping people safely distanced.
One UK company is working to make touchless identification ubiquitous in airports, using facial recognition and biometrics to reduce the number of times passengers’ I.D. exchange hands, and it’s raised around $16 million in funding so far. Another startup is targeting the shift toward remote guided tours. Through the platform, travelers will be able to book virtual tours to destinations around the world, and speak with real guides via live video calls.
In the retail space, we’re seeing startups producing technology to reduce contact between customers and employees, as well as between customers and products. Many retailers are eyeing cashierless checkout options, where customers can scan and pay for their items through a mobile app.
One startup is introducing a system of two-way QR codes that produce a curated list of products directly on the customer’s phone, allowing them to browse items virtually before physically picking them up.
And these companies are just the tip of the iceberg for retail and travel. Virtual fitting rooms, online events, automated processing… all technologies that I believe will soon become the standard for these industries.
And they’re only set to grow through the rest of the year, with about 69% of people around the world planning to travel within the next six months, and retail sales expected to grow up to 8.2%.
With these projections, angel investors are in the best position to benefit from the revenge spending trend that’s likely to take consumer spending to record highs by the end of this year.
Founders and consumers alike are emerging from COVID-19 ready to dive straight back into these long-forgotten industries, but this time, they’re coming armed with brand new strategies and ways to make money.
One of the best we’ve seen? It has to be crypto.
Cryptocurrencies are currently riding a high like we’ve never seen before… even the meme crypto Dogecoin continued to surprise us this week when it hit its new all-time high.
There’s plenty of traction for the big names in crypto, but I’m also talking about some smaller, lesser-known coins that are outperforming Ethereum and Bitcoin right now. Some of them are even looking at a potential 2000 percent increase by the end of 2021… and I know an expert who’s dishing out all the details right now.
Now, crypto is a relatively young industry, but its popularity is rising at a record pace. This means that the opportunity to see substantial returns in this space is too promising to ignore.
I want you to get all of this information first, so don’t miss your chance to dive into the crypto world right now.
That’s all I have for you today. I’ll be back to update you soon.
Until next time,
Neil Patel
Follow @angelsandentrepreneurs
Awesome information Neil! Thank you