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New Zealand Consumer Confidence Hits Nine Year High in Fourth Quarter of 2016
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New Zealand Consumer Confidence Hits Nine Year High in Fourth Quarter of 2016

New Zealand consumer confidence index reached 103 in the fourth quarter of 2016 – the highest score in nine years (since Q3 2007 where it reached 115), according to findings from Nielsen, a leading global provider of information and insights into what consumers watch and buy. The index represents a two point increase from Q3 2016 and a four point increase on a year ago (Q4 2015).

In the latest online survey, conducted October 31 – November 18, 2016, two key drivers of New Zealand’s confidence – perceptions of local job prospects and state of personal finances – all increased from the previous quarter; while immediate spending intentions remained stable.

Positive perceptions about local job prospects over the next 12 months increased in the fourth quarter of the year. More than half of New Zealand respondents (56%) believed the job market would be good or excellent in the upcoming year, an increase of seven percentage points on Q4 2015.

Almost six-in-10 (59%) New Zealand respondents regarded their personal finances positively, an increase of two percentage points from the previous quarter and the previous year; while Kiwis’ propensity to spend remained stable at 48% in the fourth quarter of 2016 – a five percentage point increase on Q4 2015.

Nick Tuffley, ASB Bank’s Chief Economist, said, “New Zealand’s economic growth picked up a little more momentum over 2016, bringing healthy jobs growth with it, which respondents have picked up on.  It is also encouraging to see that people have a more upbeat view of their future personal finances, and showed a greater preparedness in the second half of 2016 to spend cash windfalls on holidays and home renovations.  This sort of big-ticket spending tends to reflect respondents’ greater confidence in their financial situation.”e New Zealand consumer confidence index reached 101 in Q3 2016 – the highest score since Q1 2015. The index represents a five point increase from Q2 2016 and a seven point increase from a year ago (Q3 2015).

For more detail and insight, download Nielsen’s Q4 2016 Global Consumer Confidence Report. If you would like more detailed country-level data from this survey, it is available for sale in the Nielsen Store.

ABOUT THE NIELSEN GLOBAL SURVEY OF CONSUMER CONFIDENCE AND SPENDING INTENTIONS

The Nielsen Global Survey of Consumer Confidence and Spending Intentions was conducted Oct. 31–Nov. 18, 2016, and polled more than 30,000 online consumers in 63 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 behaviour 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 survey methodology among 1,600 respondents in Ghana, Kenya and Nigeria. The Nielsen Global Survey, which includes the Global Consumer Confidence Index, was established in 2005.