The recession has had limited impact on the spending habits of young urban Canadians 18 to 34, according to a survey conducted by Newad Media and TNS Canadian Facts.
Nearly nine in 10 respondents (87%) believe that their financial status will remain stable over the next year, and that Canada’s economy will also improve (75%).
When it comes to spending, 84% of those surveyed said they are spending the same amount, or more, on groceries this year. Similar numbers were reported for purchases of beauty products (75%), video games and DVD movies (72%), and fitness centre memberships (71%).
“These results are completely in line with what we are currently seeing in the youth market,” said Michael Reha, president of Newad, in a release. “A number of people are inclined to believe that an economic situation such as this one affects every age bracket in the population, but the findings for young urban Canadians tell a different story.”
Young urban Canadians are optimists, as well as spenders, according to the study. Even for the next six months, respondents will continue to spend despite the recession.
Those surveyed said they will spend just as much, if not more, on Internet services (92%) cellular services and phones (86%), cable services (85%), and clothing and fashion accessories (73%).
Though the consumption habits of young urban Canadians remain relatively unchanged, 79% believe that media coverage is excessive and 81% see the current situation as stressful.
“While purchasing behaviours in this segment are only slightly influenced by the state of the economy, the importance the news has taken on in society does strike a chord with them,” said Reha.
