Irish consumers have been forced to cut back on spending across many categories. But if the recession was over and jobs were secure, what would people’s spending priorities be once…
Our latest AIB-Amárach Recovery Indicator for August 2010 shows year-on-year improvements on most measures, but signs of some slippage on recent months:
It’s still tough out there for Irish consumers. Our latest omnibus has found that nearly one in four adults are finding that their household income is simply not sufficient to…
Irish consumers have been forced to cut back on spending across many categories. But if the recession was over and jobs were secure, what would people’s spending priorities be once recovery was under way? Our latest omnibus survey in August gives us an insight into the likely winners from a return to consumer spending growth. Whenever it comes.
Take a break: a holiday is the main priority for Irish consumers in the event of the recession ending – nearly half (48%) of all adults say it would be among their top priorities for spending. 35-44 year olds are keenest on a holiday (50%) as are people in Dublin (53%).
Fashion passion: a close second for consumers is clothing – some 47% of all adults would start spending money on clothing if the recession was over. Women are somewhat more enthusiastic aboutthis priority than men (50% vs. 44%), and 16-24s are ahead of all other age groups (63%).
Small treats: it’s not just about ‘big ticket’ items – a third of adults would start spending more money on groceries if they had the option, especially those with young families (mainly in the 25-34 age group).
New wheels: perhaps not surprising, but a large minority (28%) of adults would have a new (or newer) car on their list of priorities for when recovery comes – men as well as women, and 16-24 year olds in particular (35%).
Big Night: at a similar level to that of cars, again 28% of adults would like to do more eating out when the economy and incomes permit – more men than women (31% vs 25%) and stuck-at-home 35-44 year olds (35%).
Home Interiors: just like cars, a lot of people have hung on to their furniture longer than they otherwise would have preferred – one in five adults (19%) would prioritise new furniture in the event of recovery (especially women – at 22% – and 35-44s again – at 25%).
And it’s worth noting that only 12% of consumers didn’t have a category of spending they wanted to prioritise when recovery comes. Which suggests a lot of pent up demand!
Our latest AIB-Amárach Recovery Indicator for August 2010 shows year-on-year improvements on most measures, but signs of some slippage on recent months:
It’s still tough out there for Irish consumers. Our latest omnibus has found that nearly one in four adults are finding that their household income is simply not sufficient to meet household expenses at the moment. The good news is that six in ten have incomes that are just about sufficient, while fewer than one in five (17%) say their household income is more than sufficient. As always, it is Ireland’s ‘caught in the middle’ 45-54 year olds that are feeling the pinch most right now.
The Department of Agriculture, Fisheries and Food is to be congratulated on its Food Harvest 2020 report. We especially like its focus on the consumer – as captured in the framework opposite.
And we like these thoughts on research:
To benefit fully from these emerging consumer trends, the Irish food and drink industry requires access to ongoing research both domestically and internationally as well as investment in innovation to ensure it can offer the range and quality of products required by consumer.
One thing the recession doesn’t appear to have impacted: Irish consumers’ fondness for gaming. Our latest research points to the extraordinary strength and depth of the gaming market in Ireland:
Consumer confidence (as measured by the ESRI) has been on a positive track in Ireland for the past two years (albeit from an historically low point). This is good news for Irish retailers as Amárach Research analysis shows a strong correlation between the level of consumer confidence and the year-on-year trend in retail sales volumes (seasonally adjusted):
But not all retail sectors are equally influenced by consumer confidence. The table below ranks the historical correlation between consumer confidence and sales volumes in a range of retail sectors, ranked highest to lowest:
Those sectors at the top will gain most soonest from the continuing improvement in consumer confidence. But don’t worry if you are in one of the other sectors – the correlations with confidence may be weaker but they are nevertheless significant. Improving confidence is a tide that should raise most retailers’ boats…
Facebook in Ireland has almost 1.5 million unique users – twice what it was a year ago. That’s big. Marketers are still trying to figure out what it means for their brands and their businesses.
Here is one, excellent guide from Webtrends on what Facebook means for big brands:
