TORONTO, Jan. 20 /CNW/ - Canadians are expressing glimmers of optimism
on the economy as we head into the New Year. TNS Canada's Monthly Consumer Confidence Index showed a slight but significant gain of 2.3 points in January, beginning
the year at 98.4. Canadians also feel slightly better about the
present economic situation, as well as their economic prospects for the
next six months. Only the Buy Index, which measures consumers' intent to purchase "big ticket items" showed
an ever-so-slight post-holiday decline.
"Consumers are teasing us" said Norman Baillie-David, Vice President of
TNS Canada and Director of the Marketing and Social Research firm's
monthly tracking study. "Canadians haven't been able to decide whether
or not to invest their emotional capital into trusting the economy on a
sustained basis. Confidence has been jumping up and down for the last
six months. January's numbers are up, but it's too early to tell
whether or not they'll be up again as we progress into the year.
Canadians are looking for some signal that will make us able to trust
in the economy on a sustained basis."
The Present Situation Index, which captures evaluations of the overall state of the current economic
and employment situation, has also rebounded after a marked drop in
December. After falling 4.5 points to end the year at 89.0, the index
gained 3.6 points to 92.6 in January.
The Expectations Index, which measures consumers' outlook for the economy, household income
and employment in the next six months, saw a 3.2 point increase to open
the year at 107.8 - the highest the index has been since May 2010; and
another reason to be hopeful that the confidence is here to stay.
The Buy Index, which gauges the degree to which people think the current period is a
good time to make major purchases, saw a slight decrease to open 2011,
which is not uncommon in January. "It's also interesting to note the
slight decline of 0.3 points in the Buy Index as Canadian consumers ratchet back some of their spending plans in the
wake of January bills. While normally a decrease in the Buy Index would represent bad news, this slight decline - even if only temporary -
at least shows that some Canadian consumers are heeding the message to
watch their debt. We'll see in February whether or not that message
sticks." This is also borne out by the fact that Canadians say they
actually spent a tad less this past holiday season, with an average of
$1,008, compared to last year's average or $1,024.
Consumer Confidence Index tracks Canadians' attitudes about the economy each month and is part of
a global study conducted by TNS in 18 countries. Three indices are
produced each month to show how confidence in the economy is changing: Present Situation Index; an Expectations Index; and a Buy Index. The Canadian fieldwork is conducted using the firm's national
bi-weekly telephone omnibus service, TNS Express Telephone. A total of
1,015 nationally representative Canadian adults were interviewed
between January 10 and 13, 2011. For a survey sample of this size, the
margin of sampling error is plus or minus 3.1 percentage points, 19
times out of 20.
TNS Canada (www.tns-cf.com) is one of Canada's most prestigious full-service marketing, opinion
and social research organizations.
TNS is the world's largest custom research agency delivering actionable
insights and research-based business advice to its clients so they can
make more effective business decisions. TNS offers comprehensive
industry knowledge within the Consumer, Technology, Finance, Automotive
and Political & Social sectors, supported by a unique product offering
that stretches across the entire range of marketing and business
issues, specializing in product development & innovation, brand &
communication, stakeholder management, retail & shopper, and
qualitative research. Delivering best-in-class service across more
than 70 countries, TNS is part of the Kantar Group. Please visit www.tnsglobal.com for more information.
Kantar is one of the world's largest insight, information and
consultancy networks. By uniting the diverse talents of its 13
specialist companies, the group aims to become the pre-eminent provider
of compelling and inspirational insights for the global business
community. Its 26,500 employees work across 95 countries and across the
whole spectrum of research and consultancy disciplines, enabling the
group to offer clients business insights at each and every point of the
consumer cycle. The group's services are employed by over half of the
Fortune Top 500 companies.
SOURCE TNS Canadian Facts
For further information:
Vice President and Director of Public Opinion Research
Tel: (613) 230-4408 x101