Falling gas prices and an end to tariffs on Chinese imports will affect prices on everything from food to electronics.
This post comes from Josie Rubio at partner site DealNews.
The Great Recession may have technically ended more than five years ago, but that’s probably a surprise to millions of Americans still worrying about their budgets. A modicum of relief is on the way in 2015, as prices fall on some popular goods and services, including a major necessity that affects the price of many others: gasoline.
From cranberry sauce to a Kia sedan, read our predictions for items that will drop in price in the coming year. Peruse the list, then consider also checking out what items are increasing in price in 2015.
1. Gas prices
According to the U.S. Energy Information Administration, gas prices will average about $2.60 per gallon in 2015, lower than the initial November prediction of $2.94 per gallon. In eight states, prices could even slip below $2 per gallon. If it seems to be too good to be true, consider that some gas stations in Texas and Oklahoma were offering gas below $2 per gallon in December.
2. Transatlantic flights
Though fuel prices are falling, most air travel prices are increasing. However, the price of transatlantic flights could decrease because of added flight capacity, according to the American Express Global Business Travel annual forecast.
Several airlines are also offering cheap transatlantic trips, including Norwegian Airlines, which started offering flights between London and New York City for about $255 each way in June, as well as bargain flights from Los Angeles and Fort Lauderdale, Fla. Iceland-based WOW Air recently started offering flights between the U.S. and Europe for as low as $99 each way.
3. TV content packages
Since 2010, the top 40 cable channels have lost more than 3 million viewers because of “cord cutters” quitting cable TV, and “cord nevers,” who have never paid for cable and instead watch shows online. The big news in 2015 is that HBO will start to offer a streaming service for nonsubscribers in April, just in time for the new season of “Game of Thrones.” CBS also is offering a la carte on-demand TV with its CBS All Access service.
Pay-TV providers are increasingly looking to lure the “cord-shaving” crowd, offering cheaper bundles with fewer channels at low prices in the hopes that those customers will eventually upgrade. And some even say that cable bundles might be the better deal in some cases, as a la carte TV options can add up. So weigh your options before embarking on winter binge watching. (Check out our feature on cable-cutting myths.)
4. Cloud storage
Cloud storage companies are continuing to cut prices and increase storage in what’s being called “the race to zero.” Consider the trend this past year: Amazon dropped cloud storage prices by 22 percent, Microsoft did the same the very next day. Across the board, price drops continued throughout the year, and the trend is set to continue.
In fact, Aaron Levie, CEO of cloud company Box, recently predicted “a future when cloud storage is free and infinite.” Amazon is considered to be at the forefront of keeping things competitive, and the company recently added unlimited photo storing services for Prime members. Just consider storing all those nudes photos someplace safe.