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ForumsIn my last post about the coming recession, I talked about how the recession doesn’t appear to be effecting computer technicians as much. In fact, most computer technicians I have talked to are seeing increased earnings over the last few months. I looked further into why this was happening and found some interesting information.
According to the American historical statistics, one of the fastest growing jobs during the 1929-1933 depression was “Persons engaged in repair services”.
Here are a few more of the fastest growing jobs during the great depression:
- Persons engaged in gasoline service stations: 34 percent
- Persons engaged in liquor stores: 335 percent
- Persons engaged in second hand stores: 35 percent
Although the economy isn’t currently at a stage where many people are losing their jobs - people are more aware that bad times are ahead and start being mindful with their money in preparation for it. In most cases, repairing a computer is much cheaper than getting a new one and this is why I believe computer repair technicians will have plenty of work through the recession.
However, we won’t get through the recession unscathed. If your core business is selling new computers, you may see a downturn in sales as people begin to scale back their spending. However, it is also possible that this may not happen because as people begin to lose their jobs, they lose access to their work computers and will need a computer at home to look through the job sites and update their resumes. New computer sales could go either way.
There is something I know of that will definitely hurt many of us: Petrol.
If you are a onsite computer technician like myself, I am sure you have noticed that the price of petrol is increasing rapidly.
This is normal for a recession and it explains why the great depression statistics reported “Persons engaged in gasoline service stations” was up 34 percent. We still need petrol for our cars to go onsite so some of us will be feeling pinch there. Technicians with stores that dont go onsite much will be better off with the petrol situation.
As for the “Persons engaged in liquor stores” statistic that I mentioned earlier; and was up 335 percent. We all know why that was is up during the great depression.
Lost your job? no money? Just go drown your sorrows at the bottom of a bottle of liquor.
Gasoline prices will eat into your profits. You might try offering a small discount to potential customers who bring their computers to you for repair rather than traveling to the customers location.
So what this should really tell us, start a secondary business. One that involves liquor.
If not, have a section of your storefront dedicated to some booze. “Computer problems got you down? This’ll make it all better!”
Talking about fuel prices, I live at least 15 miles in any direction from most of my clients. My car gets 30 mpg, but it still adds up. I wouldn’t trade rural living for living back in the city though.
I’m with Justin…
Maybe I should apply for a Liquor License.
I thought prohibition lasted through 1933… How’d liquor stores make money and report it if it was outlawed?
Guess we should all go green and get hybrids! I’ve been thinking about getting a scooter. Sure, I won’t be able to carry as many spare parts, but it could help add to the whole “Geek” persona! LOL!!!
I have read this on a few blogs across the web too. Unfortunately, most of the facts are indeed very flawed.
First off,
yeah, you are right there jim, the powers to be may claim to want to prohibit but are quick enough to take our taxes on alcohol etc
I still think the hype of the recession is overblown. Here in the States, it hasn’t been that bad. Business is still good. Gasoline, on the other hand has become ridiculously expensive. Even though I have a hybrid I still feel the pinch. About the only way to combat the expense it seems is to either have a minimum charge for a trip or add in a mileage calculation on the final bill.
I can really appreciate the article. I’ve always kept a side-occupation handy “just in case.” I would like to note that many people here in the US appear to be lacking a dictionary or even a basic understanding of economics (which would explain the debt problems here). Whether we are in a recession is not up to individual interpretation, it is an actual defined state of the economy. By definition:
A recession is defined to be a period of two quarters of negative GDP growth.
-http://economics.about.com/od/economicsglossary/g/recession.htm
I can’t speak on behalf of international economies, so forgive my ignorance on that. It seems the same people that tell me we are in a recession now, were laughing at me ten years ago when I refused to take out a car loan or get a credit card.
“the recession doesn’t appear to be effecting computer technicians”
It’s “affecting”…
The recession that we are starting to see right now HAS affected our computer business. we currently have 5 computer businesses, were we are located at and we have been very slow. Some days, the phone does not even ring and other days maybe 2-3 times.
I’ve heard before that liquor stores did well during the Great Depression, and all this time it didn’t even occur to me that those “stores” would have been illegal. Who started that statistic? Thanks for the history refresher!
Ok, bought a scooter. 80-100 mpg? We’ll see! Now where are my thick framed glasses?
your right the sale of pcs could go anyway. Lets hope its in our favour.
I totally agree. Gas prices will be a pincher for profits of onsite techs. Have you thought about charging a small traveling fee? Most customers understand that the economy is tight, and being in business for your self can be extremely rough, and they probably don;t want to see you go out of business either, as for the fear of finding a new geek is just as scary.