How is the economy doing? Look in your underwear drawer
Filed under: Economy, Investing
It looks like 2009 was a bad year for men's underwear. Mintel, a consumer research firm, says that sales of men's skivvies dropped 2.3 percent from 2008. Meanwhile, NPD Group, another firm, argues that the decline was more on the order of 12 percent. Either way, it's a fair bet that many underwear drawers are looking a bit ragged.Some analysts refer to this economic measure as the "underwear index." While seasonal outerwear, flashy luxury clothes, and women's lingerie are often tied to seasons or holidays, men's undies tend to be pretty straightforward. They are replaced as needed, which means that their sales should remain relatively constant.
In this context, 2009's drop in the sales of men's underwear means that many men are walking around with busted elastic, fabric that has worn thin, or a much-reduced stock of spare BVDs. Given the difficulty of getting a few extra months out of a pair of boxers, it suggests that many men are reaching the end of their easily-absorbed cutbacks. After all, while eating out less or taking fewer trips can be a minor annoyance, wearing tired underwear or -- worse yet -- going commando suggests that consumers are truly caught on the horns of a financial dilemma.
While an unusual measure of the economy, the underwear index is reportedly one of Alan Greenspan's favorite statistics to consult. Part of its significance probably lies in the possibility that, for many men, buying underwear is largely unconscious. When asked about the state of his underclothes, one consumer (who chose to remain nameless) stated, "Actually, I'm running out. I don't know how it happened." He went on to note that he has been cutting back on some expenses. As the drop in underwear sales continues, it seems to be shifting from an unconscious to a conscious trend; in the process, it is becoming increasingly significant, as consumers deliberately sacrifice comfort for cash.
The underwear index is a lagging indicator, and the delay between finances and Fruit of the Looms is most likely measured in weeks, not hours. Even so, skivvy sales highlight the links between Wall Street and (the underwear drawer on) Main Street, demonstrating the macro effects of changes in everyday micro spending.
This connection can have unforeseen effects: for example, in addition to delaying underwear purchases, many men seem to be switching from boxers to jockey shorts: According to Mintel, sales of briefs are rising 0.6 percent against sales of boxers. While not particularly large, this number is significant, as underwear preferences are not easily changed. Part of this shift is likely a measure of price: on the Hanes (HBI) website, a seven-pack of BVDs costs the same as a two-pack of boxers. And in my experience, briefs usually last longer than boxers.
If one looks at history, however, a different interpretation emerges. According to the Jockey underwear company, its iconic briefs first hit stores in 1935, during the height of the Great Depression. Despite financial misery, lack of disposable income, and a massive blizzard, Marshall Fields' Chicago store sold out its entire stock before noon on the first day of release. Under the circumstances, one has to wonder if economic uncertainty brings out the daredevil in some consumers. To put it another way, does an empty bank account push consumers to -- as it were -- put it all out there?
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Reader Comments (Page 1 of 1)
9-30-2009 @ 1:38AM
Sandy said...
Could it be that a lot of men are in the military?
If that is the case, the have military issued underwear!!
Reply
9-30-2009 @ 11:03AM
07 Shelby said...
I hate to tell you Sandy but the military doesn't issue underwear after boot camp, it is up to the individual to purchase what he or she wants to wear under their uniform. So the military has nothing to do with this article. It has everything to do with men not wanting to spend money on something they precieved as being an unnecesary waste of money. Let's face it, are you going to spend money on gas to go to work or buy underwear unless you absolutely require it? That is the choices being made!
10-01-2009 @ 9:21AM
Limoman said...
Ah.. Hello? Alot of Men Are NOT in the Military
Only a Very small % are..( what's a couple of Million vs 175 Million? )
And guess what else? Military in the front Lines were Cups for Further Protection.. Steel one's .. Why? The Enemy always tries to shoot us there... as we do them..
You should see their Looks when you Hit them there and/or Kick them in the Nuts..The look of Shock in their face is so funny..
now you know..
;-)
9-30-2009 @ 1:40AM
Kent said...
I remember Robert Krulwich, a business reporter, discussed this back in the early 90s, during the recession that cost the elder George Bush his reelection.
On the other hand, I saw on CNBC today that Spanx, the pantyhose and footless pantyhose that nicely shapes wonen's behinds is doing well despite the recession.
Apparently, women are willing to spend money for better undergarments, while men aren't spending any money on undergarments.
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10-01-2009 @ 11:12AM
B Ry said...
You are sick
9-30-2009 @ 2:29AM
rob said...
I am ready to make an underwear purchase - the economy must be recovering - I have waited until the last moment - your article is spot on! Underwear purchases is an accurate indicator!
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9-30-2009 @ 6:53AM
Bill said...
Why buy underware at all? Let it loose.
LOL
Bill
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9-30-2009 @ 8:25AM
Dan Daily said...
Maybe I'm one of the odd, but I don't wear underwear. Yikes! I find it discusting and unbelievable unconfortable. Who'd want to put that on their bodies?
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9-30-2009 @ 10:38AM
ausvetdiag said...
You missed the whole issue. I have NEVER purchased underwear. My mother passed the task to my first wife who passed it to my second wife, etc. I feel sure that I am by far the most typical example of men in America. Of course womens underwear is resession proof. Uh, let me see do I buy pretty new underwear this trip or Boxers for the guy that did not take out the trash this morning?
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9-30-2009 @ 10:20AM
jdee said...
with the Bush left-over economy it is hard to find extra money these days to buy under wear,,,,,you know I made an average of $98.000.00 a year when Clinton was President. Bush got elected and I was laid off, reduced to unemployment wages,,, how awful..... now Barrack has got me back to work with his election....the point is when there is a democrat in the white house I can buy under wear, if a repo gets elected I dont wear under wear.....
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9-30-2009 @ 10:51AM
kathy said...
are you the dan daily who worked at meijer
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9-30-2009 @ 11:06AM
Vern said...
Could it be less underwear usage is because more Boomers are entering retirement? Being I have entered the retirement years, I rarely wear underwear except maybe going to church. Consequently my latest purchase was more than 6 years ago. Around the house I wear bermudas and cutoff pants with nothing under. Don't need underwear. However, I would be interested in this. Being more boomers are retiring and getting older, could it be the sale of Depends is going up? In other words, "underwear" as needed.
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9-30-2009 @ 12:46PM
bob said...
too much information
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9-30-2009 @ 1:20PM
Mike said...
While I enjoyed the read, I have a hard time taking seriously an article that uses the term "going commando."
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9-30-2009 @ 3:26PM
1Outlaw said...
Sorry to say but who buys Fruit Of The Loom underware as the are the worst on the market. As there are better brands out there. Alan Greenspan probley werars them as so do most goverment employees as they are cheeply made and dont last as long. Most women dont buy this brand as they are made of the wrong material and are not comfertable for them No if i have to then i will go Commando style as it is more comfortable. Whats your OPENION ON THIS. If the goverment dont buy them for our men after boot camp something is wrong with our goverment???????????
Reply
10-01-2009 @ 11:31AM
peter s said...
At the rate that people are losing their pants, it shouldn't be long before money will HAVE to be spent on underwear so as to maintain a least some semblance of dignity.
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10-01-2009 @ 9:01AM
Limoman said...
R U KIDDING ME!
1. yOU HAVE YOUR "MOMMY" /WIFE BUY YOUR UNDERWEAR? DOES SHE ALSO BUY ALL YOUR OTHER CLOTHES FOR YOU TOO?
2. HOW ABOUT US WHO BUY 3-5 YRS OF UNDERWEAR AHEAD OF TIME? SAMS CLUB/COSTCO, ETC.. SAME FOR SOCKS.. AN BUY THEM JUST LIKE YOU BUY STOCKS... BUY THEM BOTH WHEN THEY ARE LOW AND LOAD UP ON THEM TO BEAT INFLATION ON THEIR PRICES..( they are Up over 35% IN THE PAST 10 YRS)
3. GOING COMMMANDO? Yeah Right! Wait until one of your Testicles gets Squeezed when you sit the wrong way and of course, if you didn't wipe your Ass enough, you're leaving TRACKS in your Pants... Of course, Hillbillies wear their Cover-alls and Red necks their Jeans for Weeks..like that..
4. And no wonder women don't want to Do ORAL on you.. Wash after Every Time you open your pants, be it to Urinate or Take a Dump.. and keeping a small bottle of Flavoring handy is a Plus ( her favorite Flavor) and another favorite Flavor spray for Putting On Her Private areas..
it's just Common Sense, that is IF you want to keep your relationship happy..and On going..
and guess what Guys? You don't Wear White! Btwn Urine Stains to Tracks... Wear what they do, Colors.. dummy!
Very Happy Sex Life..and 60 and love it..and so does she.
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10-01-2009 @ 11:43AM
rachel said...
One fella mentioned his wife buys the underwear. I think you might be onto something. Men will buy their underwear only when needed. In the past women used to buy their husbands undies mainly becuase men hate to shop for clothes. I recall my grandmother buying socks and underwear for my brother and father every Christmas. Now that she's gone, they have to buy their own and wish someone would take up grandma's quest. Not going to happen guys.
Now fellas, your wife would buy your underwear for you if they came in cute colors with little farm animals. Needless to say baby and toddler clothing is still a hit. I would gladly buy hubby's undies if he would wear pastels with little cows and sheep in it.
However, since men's underwear is ugly and men don't usually care about how cute their own underwear is...underwear will remain a sold as needed article.
Reply
10-01-2009 @ 1:31PM
tom c said...
so recent data shows briefs are outselling boxers now and the finance shrinks explain that this is a price-point issue...
maybe not... maybe the breeding male is feeling so pinched he is subconsciously using the cheapest birth control method to vastly reduce future expenses... which is...
warming his testicles, thus lowering his sperm count, in the tight fitting groin parka known as marble-bags or nerdballs, aka "briefs"
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