Nielsen has released its Global Online Survey for Q2, 2014 showing that globally, consumer confidence increased 1 pt on the last quarter to 97, while Europe’s score rose 2 pts to 77.
Ireland’s consumer confidence, however, was shown to have decreased 1% to 81 this quarter, which means that Ireland now ranks 25th 'most-pessimistic' out of the countries featured in the study.
When survey respondents across 60 countries were asked if they feel we are 'still in a recession', the number fell again this quarter to 82% (86% in Q1 2014) while 65% believe we will remain in recession for another year (+3%pts).
Dr. Venkatesh Bala, Chief Economist at The Cambridge Group, a part of Nielsen said, “Buoyant increases across confidence metrics in North America and steady gains within parts of Europe strike a positive note with regard to economic recovery in mature markets. The key to continued sustained economic expansion, however, will be further strengthening of the job market, which is vital for increased consumer spending.”
In Ireland, job security remains respondents' biggest concern (-1%pt), followed by debt (+2%pts) and increasing utility bills (-1%pt). Meanwhile, those feeling job prospects are good/excellent increased to 33% (+1%pt) while a significant 39% are optimistic about their personal finances (unchanged).
Irish consumer readiness to spend was seen to have dropped slightly to 32% (-1% pt), with 28% saying they have 'no spare cash' once essential living expenses have been covered (+2% pts). The majority continue to put any spare cash they do have into savings (-3% pts) or holidays (unchanged).
In order to cut back, 71% of Irish consumers have switched to cheaper grocery brands (+3% pts) in the latest quarter (compared to 68% in Q1 2014) while 31% say they have cut down or buy cheaper brands of alcohol (-5% pts). This ranks Ireland as third highest (just behind Greece and Austria). The EU average is 50% (unchanged on the previous quarter).
The Nielsen Global Survey of Consumer Confidence and Spending Intentions was conducted May 12–30, 2014 and polled more than 30,000 online consumers in 60 countries throughout Asia-Pacific, Europe, Latin America, the Middle East/Africa and North America.
© 2014 - Checkout Magazine by Genna Patterson