Discretionary?

There are alot of great questions being tossed around today. None more important than this one - "What is discretionary in spending today?" By definition, discretionary refers to things that are "unnecessary" or "non-essential". In commentary, it would be more about things we "want" as opposed to things we "need". I do not believe it is an overstatement to say that everyone in this country is rethinking their wants and needs.

It seems to me that we are facing a new normal in our life experience where things that are truly discretionary will be looking to qualify for endangered species protection. There are many companies, and maybe even industries, that are in complete denial about this 21st century development. I think it is time to come out of denial before it is too late, if it is not already.

To begin with, there is every reason to believe that our future, economically speaking, will not be as positive as our past. One author recently has suggested that one day in our future as a nation we will be looking back to '07-'09 as being the "good ol' days". Now, I hope he is wrong. However, I am a positive realist. I believe we can deal positively with whatever we have before us. I do tend to agree, however, that the unprecedented abundance I have experienced as a boomer will not be the experience of my great grandchildren and maybe not even of my children and grandchildren. Normal is being redefined, fast.

I believe it is vital to our future for there to be a response to this reality. Companies need to reshape their corporate expectations to reflect true change, strategically speaking. It is not good enough to simply downsize, although for many that change was overdue. Nor, will it be good enough to have people working harder and expecting greater results. New focus must be made upon this matter of "discretionary" spending. Products and services need to become strategically focused upon meeting the needs of the consumer public both corporate and personal. Companies and industries choosing to stay focused on appealing to the "discretionary" wants of the people and companies they serve should at least prepare for a shrinkng market. I personally believe they need to adjust their focus to serve the demanding needs of the people they call customers.

I think the future is going to be bright for those who answer this question creatively. I believe truly professional relationships will be grown, if not birthed, for the first time. Denial is a bad strategy. Responsiveness with a spirit of urgency is the professional way. I believe we have good things to look forward to if we are fit to respond. Check out my book this week, The Power of Purposed Performance, and focus on the distinction between being a leader and being a victim. Choose well, my friends!