CHARLOTTE — Most American consumers are keeping their pocketbooks tightly zipped – 79% report they have cut their spending – but many are looking forward to cutting loose once the recession eases.

That’s the key finding of a new nationwide study conducted by the Charlotte, NC-based Research Institute for Cooking & Kitchen Intelligence (RICKI), an independent organization of manufacturers, retailers, wholesalers and others whose revenue is derived from sales tied to kitchen-related activities, including remodeling. The study was conducted in partnership with StartSampling, a national online panel company headquartered near Chicago.

A majority of the 1,510 U.S. consumers who participated in the RICKI study described the nation’s economy as “not so good’”(50%) or “poor” (43%). And while half think the economy will improve this year (15%) or next (36%), the other half think the turnaround won’t happen until 2011 or later, RICKI said. Feelings about when the economy will improve do not vary significantly by age, income or other demographic characteristic, the research organization noted.

Despite consumers’ economic concerns, they are positive about their own personal finances, with more than four in 10 describing the current state of their personal finances as “good” (43%) or “excellent”(3%), and only 14% describing it as “poor,” according to RICKI.

Perhaps not surprisingly, the feeling about one’s personal finances is closely associated with their household income level – those with lower incomes (HHI less than $50K) are more likely than their wealthier counterparts to describe their personal finances as “poor.”

The Economic Squeeze

Even though consumers feel their personal finances are in better shape than the national economy, most have felt squeezed as a result of the economic downturn, according to RICKI. Almost a third of survey respondents said the current economy is having a “major impact” on them, and half of them say it has had just “some impact” (see related graph).

Other than the economy in general, consumers are concerned most about health care/health insurance costs (31%), the loss of value of investments (29%) and the cost of groceries (28%), followed closely by the fear of losing a job (25%) and energy costs (23%), RICKI reported. In response to these concerns, half or more are eating out less (61%), shopping less (57%), clipping coupons more (52%) and going out less often for entertainment (49%).

“Clearly, most people are hunkering down for now, even those with money,” says Brenda Bryan, RICKI’s executive director. “Still, there are signs that there is pent-up demand out there and that once the recession ends, some people will be more than ready to spend on certain big-ticket items.

According to the RICKI survey, even in this tough current economic climate, some consumers are still planning to take trips and make large purchases this year. The number-one area for spending plans this year is for a vacation.

Over a quarter of surveyed consumers (28%) say they plan to take a vacation on which they will spend at least three nights in a hotel.

Other spending plans for 2009 include a home improvement project costing $1,000 or more other than kitchen or bath remodel (13%), new furniture costing $500 or more (9%), a new car (8%) and TVs costing $500 or more (8%). Fewer than one in ten plan to remodel a kitchen (4%) or bath (6%) or add an outdoor kitchen (1%) this year.

“For kitchen remodeling specifically, the 4% who are planning to do this project in 2009 equates to about half as many as were completed in 2007,” according to Bryan. “Competition will be intense for this smaller consumer pool in the coming months.”

On the other hand, sizeable numbers had planned expenditures this year, but changed their minds – most for financial reasons, RICKI said. Mentioned most were vacations (22% postponed), new cars (17%) and home improvement projects other than a kitchen remodel (15%), bath remodels (6%) and kitchen remodels (5%).

“This is an indication of pent-up demand for these activities,” Bryan said.

Yet the slowdown in the economy has resulted in a higher level of activity in kitchens in some ways.

Changes in Behavior

Consumers report they are preparing meals at home more these days and using a computer in the kitchen more, for example, according to RICKI. In contrast, there has been a drop off in entertaining in the kitchen, which is associated with a reduction in entertaining in general.

Looking forward, only two in 10 consumers (20%) are completely happy with their kitchens. Eight in 10 (80%) would like to change their kitchens (42% would “change a few” things in their kitchens, 19% would “change a lot,” and 19% would “completely redo” their kitchens).

“So we do see glimmers of good news, including some pent-up demand for a variety of products, including kitchen remodels, Bryan observed. “It’s encouraging to see people still thinking about their kitchens and ways to make them look better and work better for them.”