Looking over some posts myself and others have posted in the last few weeks, I see a common topic of conversation. A large amount of the Leadpile blog consists of some good postings from my peers about what is going on with the economy. The sad part about the troubling economy is it is affecting so many people in the world in a BAD way. However, did you ever think about the people that this struggling economy is benefiting? I mean really… one person’s failure is another person’s gain. So, who is gaining in this credit crunch and declining market?

1. Honda- the auto maker has struggled like all other auto makers with producing newly desired hybrid models. Honda will be rolling out 1 more hybrid variations in addition to it’s 2 models that are currently at Honda dealerships. However, consumers are looking for smaller more economical cars VS trucks and SUVs. Them not being a car maker that had been highly focused on trucks, has allowed them to be the only car maker to increase their sales numbers, and that was only 1%.

2. Public transportation- more and more people are now taking public transportation and now cities are even adding new routes to take care of all the additional people. Cities have wanted this for years- save the environment, cute down on pollution etc. Now they have what they wished for!

3. Credit repair and debt settlement companies- these companies could have seen some slower times with everyone going the refinance route. Loan officers were advising consumers to do a refinance to consolidate their debt, amongst other things, with the new found equity in their homes. The credit repair companies are now seeing consumers coming to them because they have no other options.

4. Payday loan industry-consumers have an ability to take out a payday cash advance loan as a last resort for a really hard time. However, are there now more consumers that normally are not taking out a payday loan, having to consider it to pay that next mortgage payment or other outstanding bill?
How about car warranty providers, gas companies, loan modification companies, bankruptcy attorneys, and home buyers looking for a good deal? All these types of companies should be feeling an increase in business.
There are some more that are benefiting from this downturn in the economy, and we really have to say hats off to them. Some of these companies like Toyota have been in the shadow of other auto makers and now it is their turn to shine!
With regards to lead generation companies and lead exchanges, how are we going to adjust to this change, and satisfy any new demand for different products and services? Why not look at the economy in a positive light, that there are some out there that are not going through any economic hardship? Glass half full VS half empty: YOUR choice.

There seems to be an increase in the amount of traffic that is coming to a certain type of website.  Recent studies show that coupon websites are dealing with a large increase (sometimes almost double) in the amount of traffic because of people’s need for saving money.  Consumers are frequenting websites that offer coupons to print out, listings of stores and what they all have on sale, and other websites that provide the best deals in your area.

If consumers are going to these types of websites more often now, wouldn’t this be a good place to do some lead generation?  I took a look at some of these types of websites like coupons.com, eversave.com, couponmountain.com and coolsavings.com, and all but one of them had some sort of advertising/affiliate links on them.  These sites are attracting more consumers that might not have previously been surfing the net, like they are now.  

Therefore, should lead generation companies look at maybe generating leads from these sorts of sites?  I would say yes because if these consumers are looking for ways to save money, they might be a good candidate for someone who is interested in things like debt consolidation, debt settlement, a payday loan or other services. Is it wrong to look at this as an opportunity to generate leads?  These money saving sites are a great place to capture that targeted audience that that is obviously looking to save money.  We are all trying come up with ways to generate business, but at the same time help those that TRUELY need it.  I think it is time to go take a look at those sites and see what type of affiliate program they have.

Debt is becoming a big space in the lead industry.  Look at gas prices. The average state is paying $4 plus per gallon.  How does this affect consumers?  Simple, they are paying for gas with their credit cards.  According to an article read today Bankrate reported an average credit card interest rate at 13.42%. This mean that consumers are not only paying for the high priced gas but also interest on it.  

You see how this relates in the debt space.  Consumers are falling behind on their credit card payments as the economic headache is affecting their everyday lifestyle.  

Debt Settlement and Debt Consolidation companies more now than ever are in urge of helping these consumers with their debt.  Meaning, they are buying more leads.  The demand for leads in the Debt space is high as the consumers are becoming more buried with debt.

Good time to start spending marketing revenue on this lead type!

What is the difference between Debt Settlement and Debt Consolidation?  They both need help to clear their debt, right?  How are these companies helping the consumers?

Debt Settlement occurs when a creditor is agreeing to settle a debt for a dollar amount that is lower than the initial total amount owed.  It is an agreement that will reduced the actual payoff amount.  For the most part consumers will pay the debt settlement companies an amount that they can afford.  The debt settlement companies saves the debtors money until they have reached an amount that they can settle their unsecured debt with the creditors. 

Debt Consolidation means taking out one loan to payoff several other loans and or accounts.  The borrower may then have one lower monthly payment that extends over a period of time verus several seperate monthly payments.  The loan taken out is normally secured on property, a house or car for example.

Even though both of these companies are slightly different they are also a lot alike.  They both work to help the client clear the debt owed, in addition they can only help clients with unsecured debts.  Both these companies prefer to work with unsecured debt amounts of 7k and higher.

Unsecured debt is anything that you do not have to put up any material as security for debt.  Some examples are:

• credit cards
• medical bills
• unsecured personal loans
• legal bills

Examples of secured debt are:

• mortgage (house payment)
• car payment
• utility bills

So is there much of a difference between the two?

As more and more consumers are increasingly finding themselves in the unfortunate situation of dealing with higher interest rates and other fees as credit card companies respond to delinquencies, there will be an even bigger opportunity for Debt Consolidation and Debt Settlement Companies to gain market share. This past January, the average debt on credit accounts and fixed-payment accounts such as auto loans climbed to $16,600, up from $15,500 last April, according to the credit reporting agency Experian. Over the same period, the average number of accounts per individual that are overdue by one payment has increased. As gas prices continue to increase, and more people go delinquent, the demand for assistance with debt will increase. Good time to be in the debt consolidation business!

According to a study released by Bankrate, Inc. in February 2008, 66% of Americans say debt is often the result of unfortunate circumstances beyond a person’s control, while 60% say it is usually the result of bad decisions. In addition, 64% of the people polled who carry debt admitted that debt is a cause of worry for them. While there is a difference between bad debt, and good debt, people have more debt than ever before. A combination of bad debt, and increasingly higher debt loads means more people will need of a debt consolidation or settlement solution than ever before. There is currently an open corridor opportunity for the debt consolidation or debt settlement company who can position themselves as the market leader.