Why did a Consumer Society Develop in Years After the Second World War? Flashcards
Increased Wages
Wage Increases
Average wages doubled (1950s)
Increased 30% between 1970 and 1980
Increased Wages
Why - Unions
MacMillan, Wilson, Heath failed to curb wage demands
Improved standard of living and purchasing power of w/c
W/c wages increased 130% by 1970
Increased Wages
Spending Power
Booms in manufacturing and agricultural sector, so price of food + consumer goods fell
New array of foods + goods
Before inflation, estimated average Briton had 5x spending power by 1970 than 1950
Increased Wages
Analysis
Inability to curtail union power, significant wage increases
Disposable income - working class participation in consumerism
Goods more readily available at lower prices
Availability of Credit
Relaxation of Control
Easier for working class to borrow money or purchase items on credit
More consumerism
Availability of Credit
Churchill
Ended austerity + relaxed borrowing rules, increase in borrowing + credit schemes
1955 - TV ownership rose 10% and many shops sold out
Availability of Credit
MacMillan
MacMillan furthered through cheap money policy
Lowered taxes + interest rates
Increase in consumer spending + people taking out mortgages to buy homes
16% owned car in 1950, increased to 52% by 1970 people able to buy cars ‘on credit’
Availability of Credit
Credit Cards
1966 - First Credit Card
Public able to buy goods and pay them off
Consumer Credit Act (1974) - regulation of money lending, removed restrictions on consumer borrowing
Availability of Credit
Analysis
Greater consumerist engagement for w/c + increased purchase of electrical and luxury goods - boom in consumer spending
Increased opportunities, culture of spending
New Shops and New Goods
Origins of Supermarkets
1950 - First Sainsbury’s in Croydon
End of food rationing (1951 + 1954) gave boost to food sales
Removal of Retail Price Maintenance on groceries (1956 and 1964) allowed supermarkets to slash prices + undercut smaller shops
New Shops and New Goods
Growth of Supermarkets
1959 - 286
1970 - over 3,500
New Shops and New Goods
Car Ownership
Increased car ownership led to out of town shopping
First out of town supermarket in Nottingham, 1964
Larger range of goods + foreign goods
New Shops and New Goods
Impact on Smaller Shops
Over 60,000 local grocers’ shops closed 1960 and 1990 as they could no longer compete
New Shops and New Goods
Analysis
Open market + competition due to end of rationing (Attlee)
Demand increased for goods/food
More choice, fuelled consumerism
Shopping recreational - luxury not necessity
Targetted afffluent customers
Changing Attitudes in Society
Prior Difficulties
Recession (1920s), Depression (1930s), War (1940s), and Rationing
Public wanted to spend
Changing Attitudes in Society
Increased Affluence
Public expectations of good standard of living shifted
Focused on want not need
Changing Attitudes in Society
Energy Consumption
Gas consumption doubled 1950-70
Electricity usage quadrupled - central heating as the norm
1950 - 5% had central heating, 1970 - 45%
8% had refrigirators in 1950, 90% by 1970
Changing Attitudes in Society
Advertising
Companies utilised press, radio, television to advertise goods to wider audiences
Total amount spent on advertising rose by 3 times between 1947 and 1970
Old Spice - 1957 campaign, dramatic shift - before hardly any used, within 10 years half of all men used
Changing Attitudes in Society
Analysis
More affluence post-war means greater spending + freedom
Aggressive marketing strategies exacerbated rate at which consumerism developed