MEDIA RELEASE: August 19 2021: Lightspeed, an online research, data collection and panel specialist, found that consumers are mostly optimistic about their short-term finances and expect their spending habits to remain unchanged over the next month. However, when looking at consumers who expect their spending habits to change, they expect their discretionary spend to decrease. For instance, when asked about their expected spend on ‘clothing and footwear’, 31% of consumers expect to spend less on these items over the next month whilst 11% expect to spend more. ‘Clothing and footwear’ had the highest proportion of consumers who expect to spend less on these items, followed by alcohol and ‘eating out, takeaway and food delivery’, with proportions of 26% and 21% respectively.
These expectations tie in with the Westpac-Melbourne Institute Consumer Sentiment Index, which was down from 108.8 to 104.1 between July and August. As the index is over 100, it indicates that overall consumer sentiment is still positive, with optimists outweighing pessimists. However, this is the lowest the Index has been in 2021, suggesting that consumer confidence has taken a hit due to the current coronavirus outbreaks.
Other findings from the Lightspeed survey include:
- 82% of consumers expect their spend on streaming services to remain the same over the next month
- Consumers aged 55 and over are the most likely to believe that they would spend less on clothing and footwear (37% of consumers aged 55 and cover)
- 26% of consumers expect to spend less on alcohol and 10% expect to spend more.
- 13% of NSW residents expect to spend more on alcohol over the next month. This was the highest proportion among the states and territories.
- Consumers aged between 18 and 34 are the most likely to expect on spending less for ‘eating out, takeaway and food delivery’. However, they also had the highest proportion stating that they would spend more.
About the study
2,000 permission-based respondents from Lightspeed’s Panel were interviewed between 27th and 30th of July 2021.
Photo by Melissa Walker Horn on Unsplash