Canadian consumer confidence started 2015 with an index score of 96 — a drop of six points from fourth-quarter 2014 and the lowest score since Q2 2012, according to the Nielsen Global Survey of Consumer Confidence and Spending Intentions.
The Nielsen Consumer Confidence Index measures perceptions of local job prospects, personal finances and immediate spending intentions among more than 30,000 respondents with Internet access in 60 countries.
Canada’s score for the first quarter is 11 points lower than the United States.
According to the survey, perceptions of local job prospects has decreased 10 points, with only 38% of Canadians feeling good about prospects, compared to 45% of Americans
Canadians perceptions of personal finances has decreased nine points to 47%, compared to 51% of Americans feeling good about their current situation.
Twenty-four per cent of Canadian respondents report they have no spare cash after essential expenses, up from 18% one year ago.
Canadians biggest concerns over the next six months are debt, the economy, job security and health, according to the survey.
“Consumer confidence is driven by many factors, which still remains volatile and uncertain even though the recession is well behind us. A six point drop in consumer confidence cannot be attributed to one entity. There are a myriad of factors in the Canadian market that are currently fueling the decline in optimism,” according to Carman Allison, VP Consumer Insights.
“A drop in consumer confidence is normal following the holiday spending season when the bills start rolling in. This year Canadians were not only crippled with holiday bills, they were also reeling from the effects of the coldest winter in 25 years and spending more times indoors. Q2 will be a key quarter to determine if this shift in mindset is temporary or will define another challenging year ahead.”
The survey was conducted Feb. 23 – March 13, and polled more than 30,000 online consumers in 60 countries throughout Asia-Pacific, Europe, Latin America, the Middle East/Africa and North America. The sample has quotas based on age and sex for each country based on its Internet users and is weighted to be representative of Internet consumers. It has a margin of error of plus or minus 0.6%.