New Interactive Nielsen Data Tool Reveals 9 Years of Historical Consumer Confidence Trends
EGYPT; 6 AUGUST 2014 – The Egyptian consumer is experiencing the lowest level of confidence over the last year (Q3 2013 – Q2 2014), with a steep six points drop from the last quarter, reaching an index of 81 points on the Nielsen consumer confidence index. Confidence declined over the previous quarter in the overall Middle East/Africa region (93), decreasing one point. Among the region, South Africa posted the only regional confidence increase, climbing three points to 85, and confidence held steady in Saudi Arabia (102) and Pakistan (99), and a slight decline was witnessed in the UAE (109).
“Consumer confidence returned to 2013 levels after an amazing 11 point increase in the first quarter,” said Tamer El Araby, Managing Director, Nielsen Egypt & Levant. “While perceptions of local job prospects have improved in comparison to the same time last year, the cost of living has increased, consequently impacting purchase intent and sense of stability of personal finances. Proof of that is that more people feel that they will have no spare cash after paying for living essentials.”
In conjunction with the second-quarter index release, Nielsen is unveiling a new interactive data visualization tool based on nine years of historical global consumer confidence data, which spans 60 countries and represents a global online population of some 2 billion consumers. The Nielsen Global Consumer Confidence Trend Tracker allows users to select a variety of different data points related to consumer economic sentiment to create dynamic visualizations by region, country, issue, and time period.
The Nielsen Global Survey of Consumer Confidence and Spending Intentions, established in 2005, measures consumer confidence, major concerns, and spending intentions among more than 30,000 respondents with Internet access in 60 countries. Consumer confidence levels above and below a baseline of 100 indicate degrees of optimism and pessimism.
Perceptions of the Egyptian economy’s future are on the decline, as 88percent of the respondents feel that the country is currently in recession, and only 28 percent have a positive sentiment that the situation will improve over the next 12 months.
As a result more people are actively changing their spending habits, cutting down on luxuries such as out-of-home entertainment, in order to be more efficient and save more money.
“While spending is affected, it is interesting to see how people also perceive the concept of savings,” continued El Araby. “Some banks have already noticed the rise in the interest to save and are focusing on encouraging the public to opt for their range of solutions.”
AROUND THE REGION
Positive perceptions about local job prospects over the next 12 months increased in the second quarter in the Middle East/Africa region by 2 percentage points up to 42 percent. More than half (56%) of Middle East/ Africa respondents viewed their personal finances in a positive light which held steady from the first quarter. Recessionary sentiment improved in the Middle East / Africa region, where the percentage of respondents who believed they were in recession dropped from 73 percent in the first quarter 2014 to 71 percent.
About the Nielsen Global Survey
The Nielsen Global Survey of Consumer Confidence and Spending Intentions was conducted May 12-30, 2014, 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, is weighted to be representative of Internet consumers and has a maximum margin of error of ±0.6%. This Nielsen survey is based on the behavior of respondents with online access only. Internet penetration rates vary by country. Nielsen uses a minimum reporting standard of 60-percent Internet penetration or 10M online population for survey inclusion. The China Consumer Confidence Index is compiled from a separate mixed methodology survey among 3,500 respondents in China. The Nielsen Global Survey, which includes the Global Consumer Confidence Index, was established in 2005.
Nielsen (NYSE: NLSN) is a global information and measurement company with leading market positions in marketing and consumer information, television and other media measurement, online intelligence and mobile measurement. Nielsen has a presence in approximately 100 countries, with headquarters in New York, USA, and Diemen, the Netherlands. For more information, visit www.nielsen.com.
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 While an online survey methodology allows for tremendous scale and global reach, it provides a perspective on the habits of existing Internet users, not total populations. In developing markets where online penetration has not reached majority potential, audiences may be younger and more affluent than the general population of that country. Additionally, survey responses are based on claimed behavior, rather than actual metered data.