Things are looking up. For the first time in 2012, Canadians’ confidence in the economy and their personal finances is on the rise, according to the latest Consumerology report released Thursday by Bensimon Byrne.
When asked to describe the current state of the economy, 59% of respondents said they believe Canada is in a period of strong growth – the highest portion who believe the economy is growing since July 2011. Bensimon Byrne president Jack Bensimon said this is good news for marketers, who can expect an uptick in spending as confidence rises.
“These new Consumerology findings reverse three quarters of decline in consumer confidence,” Bensimon said. “That’s fantastic news for marketers and retailers as we head into the zenith of holiday shopping. Young consumers and high earners are feeling confident about their finances and that bodes well for point of sale activity.”
Young Canadians are faring best in the current economy, with 71% of those aged 18-24 reporting they are doing better financially than they were this time last year. Similarly, 62% of those 25-34 report a year-over-year improvement in their personal finances.
The report’s data suggests marketers will have a harder time reaching older consumers, as most respondents over 45 said their finances are getting worse. Senior citizens have been hit especially hard, with 50% reporting their personal finances are “a little worse” or “much worse” than they were a year ago. Overall, 55% of Canadians reported that their personal finances are better than this time last year.
The report also stated that Canadians are more likely to feel confident about the national economy than the economy of their home province. Prairie residents showed the greatest faith in their local economy, with 79% believing their provincial economy is growing. Those in Quebec, however, are the least confident with two-thirds of residents saying they believe their provincial economy is in decline. The majority of respondents (62%) said the national economy was in a period of “moderate” or “strong” growth.
The Consumerology survey was conducted by The Gandalf Group between Nov. 6 and 21. The group conducted the survey with 1,500 Canadians in both French and English.
