A look at updated search trend data still is showing an across the board decrease in consumer generated searches for debt relief services.
This post will show both historical and twelve months charts.
Unfortunately the consumer demand for debt relief services, as gauged by proactive consumer searching continues to reflect a continued downward trend.
As projected previously, until creditors begin to issue new credit there will be a continued decline in the demand for debt relief services as the pipeline of over-indebted consumers has been cleaned out over the past 24-36 months.
Debt relief providers should anticipate marketing and acquisition costs to remain steady or increase as competition increases for the shrinking pool of consumer eligible for debt relief services.
For companies that are struggling with client acquisition this is probably a very important time to focus on cutting operating cots as much as possible to ride through this valley that I anticipate will last for at least 18 months before consumer demand increases.
The most important marker to watch will be a steady uptick in the Federal Reserve G-19 report. Currently the amount of outstanding revolving consumer debt continues to fall.
A reduction in revolving consumer debt is due to creditors writing off bad debt and the elimination of debt by consumers. The lower the level of consumer debt the less demand there is for debt relief services.
Latest Search Data Still Shows Falling Demand for Debt Relief Services by Steve Rhode
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