SECOND CONSECUTIVE QUARTER OF DECLINES
Dubai, November 3rd 2015 – United Arab Emirates (UAE) consumer confidence decreased one point to a score of 107 from the second quarter—the second consecutive quarter of declines and the lowest score for the country since 2013. 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 61 countries. Consumer confidence levels above and below a baseline of 100 indicate degrees of optimism and pessimism, respectively. The global survey was fielded August10 – September 4, 2015.
“UAE’s economy is showing signs of softening,” said Arslan Ashraf, managing director, Nielsen Arabian Peninsula. “Lower oil prices and weaker macroeconomic fundamentals regionally as well as globally have impacted the sentiments of UAE’s consumer confidence.”
In the UAE, sentiment about job prospects increased three percentage points to 65%, while personal finances sentiment and immediate spending intentions decreased four percentage points to 60% and four percentage points to 43%, respectively, from second-quarter 2015. Recessionary increased to 43%, up from 41% the previous quarter.
UAE discretionary purchase intentions high on the priority shopping list included paying off debts / credit cards / loans (26%), spending on holidays and vacation (26%), new clothes (23%) as well as out-of-home entertainment (20%). Almost half of UAE respondents (44%) planned to save their spare cash, a decrease from 48% in the second quarter. UAE saving intentions, on the other hand, showed a slight decrease of two percentage points for investing in stocks and mutual funds (14%) as well as one percentage point for retirement savings (13%) from second-quarter 2015. 13% of UAE respondents said they had no spare cash, down from 14% the previous quarter.
Regionally, consumer confidence decreased in three of five countries measured in the Middle East/Africa region but increased four points in Saudi Arabia (109) and five points in Egypt (90) in the second quarter. It decreased as before mentioned one point in the United Arab Emirates (107) from the second quarter. Confidence declined five points in South Africa to 82 and one point in Pakistan to 101. Morocco marked its first introduction to the Nielsen’s consumer confidence survey in the third quarter with a score of 85.
ABOUT THE GLOBAL SURVEY OF CONSUMER CONFIDENCE AND SPENDING INTENTIONS
The Nielsen Global Survey of Consumer Confidence and Spending Intentions was conducted Aug. 10 – Sept. 4, 2015 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 includes Internet users who agreed to participate in this survey and has quotas based on age and sex for each country. It is weighted to be representative of Internet consumers by country. Because the sample is based on those who agreed to participate, no estimates of theoretical sampling error can be calculated. However, a probability sample of equivalent size would have a margin of error of ±0.6% at the global level. This Nielsen survey is based only on the behavior of respondents with online access. Internet penetration rates vary by country. Nielsen uses a minimum reporting standard of 60% Internet penetration or an online population of 10 million for survey inclusion. The China Consumer Confidence Index is compiled from a separate mixed methodology survey among 3,500 respondents in China. The sub-Saharan African countries in this study are compiled from a separate mobile methodology survey among 1,600 respondents in Ghana, Kenya and Nigeria. The Nielsen Global Survey, which includes the Global Consumer Confidence Index, was established in 2005.
Nielsen Holdings plc (NYSE: NLSN) is a global performance management company that provides a comprehensive understanding of what consumers Watch and Buy. Nielsen’s Watch segment provides media and advertising clients with Total Audience measurement services across all devices where content—video, audio and text—is consumed. The Buy segment offers consumer packaged goods manufacturers and retailers the industry’s only global view of retail performance measurement. By integrating information from its Watch and Buy segments and other data sources, Nielsen provides its clients with both world-class measurement as well as analytics that help improve performance. Nielsen, an S&P 500 company, has operations in over 100 countries that cover more than 90 percent of the world’s population. For more information, visit www.nielsen.com.