In the second quarter of 2013, consumer confidence in Canada edged upwards. It currently stands at 79.7, up from 77.6 in February. A year ago, in May 2012, the index stood at 79.0.
According to Chairman Allan Gregg; “While we are detecting an uptick in our aggregate measure of consumer confidence, our Q2 findings suggest that there is still a fair amount of uncertainty in the market place. Specifically, while more consumers believe "now is a good time to make a major purchase" there has been no corresponding improvement in the number of Canadians who believe the economy will be better off in year's time. The situation is far brighter when Canadians contemplate the state of the economy five years from now, but for the time being consumer enthusiasm seems to be held back by a lack of personal financial growth."
“Stronger consumer confidence is a good sign for everyone,” said Gaetan Ruest, Assistant Vice-President, Product and Corporate Research at Investors Group. “Increased confidence in both the near term and the longer term outlook is a positive development as we move into the second half of the year.”
Almost half (45%) feel the next five years will bring good times to the Canadian economy, while 40% feel the next five years will be a time of unemployment and recession. In February, this split was 43%-41%. A majority of men and those in Manitoba and Saskatchewan feel the next five years will bring good times to the Canadian economy.
Nearly half (48%) feel now is a good time to make a major purchase, while 32% feel it is a bad time to buy. In February, this split was 44%-38%. Men, those in urban areas of the country, and those with incomes exceeding $40k/year are most likely to feel now is a good time to make a major purchase.
Canadians are relatively split on where they stand financially compared to a year ago. While 18% feel they are better off than they were a year ago, 20% feel they are worse off. In February, this split was 17%-19%. Residents of Atlantic Canada, and Manitoba and Saskatchewan are most likely to say they are better off than a year ago.
Roughly one in four (23%) say they will be better off financially a year from now. Just over one in ten (13%) say they will be worse off. In February, this split was 25%-13%, suggesting little change has occurred on this question since the first quarter. Those under the age of 65, and those with household incomes exceeding $40k are most likely to feel they’ll be better off a year from now.
One in ten Canadians (12%) say the next year will bring good times financially for the Canadian economy. Less than one in five (16%) feel the next twelve months will bring bad times financially for the Canadian economy. In February, this split was 13%-20%. Residents of the Prairies are most likely to feel the next year will see good times for the Canadian economy
These data were gathered through teleVox, the company’s national telephone omnibus survey for two weeks from May 16 2013 and May 28, 2013 for just over 2,000 completes. A sample of the same size has a margin of error of 2.2%, 19 times out of 20.