07.20.12
Global consumer confidence declined three index points to 91 in Q2 2012 amid a worsening euro zone crisis, lackluster U.S. job growth and China’s downward GDP revision for 2012, according to consumer confidence findings from Nielsen.
Intended discretionary spending and saving decreased globally in Q2 across all sectors reviewed, said the research firm. The biggest declines were reported for new technology products, out-of-home entertainment and holidays/vacations.
Saving intentions also waned among global respondents, dropping to 47% from 50% in Q1.
In the latest round of the survey, conducted between May 4 and May 21, 2012, consumer confidence declined three points to 100 in Asia-Pacific, four points to 88 in North America, and two points to 96 in Latin America. An increase of one point each in Middle East/Africa (98) and Europe (73) was reported. Overall, consumer confidence rose in 41 percent of global markets measured by Nielsen in Q2, compared to a 68 percent increase in the previous quarter. Confidence declined in 26 of 56 markets, increased in 23, and remained flat in seven.
Specifically, US consumer confidence declined five index points in Q2 to 87 after a nine point increase in Q1,according to Nielsen.
Nielsen's data showed that 59% of Americans were pessimistic about jobprospects over the next 12 months, and 63% indicated spending will be restrained and 30% reported to have no spare cash.
Some 78% of Americans still believe they are currently in a recession and in the wake of renewed global volatility, they are keeping their spending levels in check, according to Nielsen's findings.
“Consumer packaged goods unit sales declined 1.3% in the latest quarter ended May 12, 2012, but as inflationary pressures eased, the quarterly 2.9% dollar sales growth was off from the 3.9% growth level for the 52-week period ending May 12, 2012,” noted Todd Hale, senior VP, consumer and shopper insights at Nielsen US.
Intended discretionary spending and saving decreased globally in Q2 across all sectors reviewed, said the research firm. The biggest declines were reported for new technology products, out-of-home entertainment and holidays/vacations.
Saving intentions also waned among global respondents, dropping to 47% from 50% in Q1.
“Consumers are clearly proceeding with caution in relation to their spending intentions,” said Dr. Venkatesh Bala, chief economist at The Cambridge Group, a part of Nielsen. “Consumer confidence lost momentum in the second quarter as global events, including a worsening euro zone crisis coupled with slowing growth rates in China and India, impacted financial markets and consumer sentiment in many parts of the world. As renewed volatility entered global markets, consumers reacted by reining in spending and consumption intentions.”
In the latest round of the survey, conducted between May 4 and May 21, 2012, consumer confidence declined three points to 100 in Asia-Pacific, four points to 88 in North America, and two points to 96 in Latin America. An increase of one point each in Middle East/Africa (98) and Europe (73) was reported. Overall, consumer confidence rose in 41 percent of global markets measured by Nielsen in Q2, compared to a 68 percent increase in the previous quarter. Confidence declined in 26 of 56 markets, increased in 23, and remained flat in seven.
Specifically, US consumer confidence declined five index points in Q2 to 87 after a nine point increase in Q1,according to Nielsen.
Nielsen's data showed that 59% of Americans were pessimistic about jobprospects over the next 12 months, and 63% indicated spending will be restrained and 30% reported to have no spare cash.
Some 78% of Americans still believe they are currently in a recession and in the wake of renewed global volatility, they are keeping their spending levels in check, according to Nielsen's findings.
“Consumer packaged goods unit sales declined 1.3% in the latest quarter ended May 12, 2012, but as inflationary pressures eased, the quarterly 2.9% dollar sales growth was off from the 3.9% growth level for the 52-week period ending May 12, 2012,” noted Todd Hale, senior VP, consumer and shopper insights at Nielsen US.