Consumer Confidence at Two-Year High
Consumer confidence is at a two-year high, according to the latest KBC Bank Ireland consumer sentiment index.
While the monthly reading of 87.2 for June is only marginally higher than the May figure of 85.8, the increase was enough to push confidence to a 24-month high.
The reading for this month pushes the sentiment index back in line with the 25-year average of 86.8.
“It could be argued that sentiment has now normalised,” said KBC Ireland’s chief economist Austin Hughes.
Mr Hughes said these results suggest that Irish consumers are becoming less concerned about their current circumstances and less fearful about the future.
“This is further suggested by the fact that June marks the fifth successive monthly increase in the KBC Bank consumer sentiment index-the first time that has happened since the beginning of 2007,” he pointed out.
Elsewhere the latest RED C Mood Monitor reports that consumer confidence has continued to rebound with the ongoing rollout of the Covid-19 vaccination programme, and the gradual easing of restrictions. The June edition records a significant upsurge in consumer confidence in the Irish economy, rebounding from a low point in late 2020, the lowest level recorded since the global financial crash.
Now some 37% of Irish adults expect the Irish economy to improve in the next six months, while 52% overall believe that it will improve or at least stay the same. Spending is predicted to increase dramatically as restrictions are lifted, with household savings at an all-time high, and research showing a significant surge in the number of people expecting to increase their discretionary spending across holidays, entertainment and consumer goods.
Research reveals Ireland’s appetite for eating and drinking out after long lockdown
Consumers across the island of Ireland are keen to make up for lost time in pubs, bars and restaurants, new research from leading business insight consultancy CGA Strategy reveals.
A major survey for CGA’s ‘Consumer Insights’ report shows more than half (53%) of adults in Ireland plan to go out to eat and drink more often than they did before COVID-19, while a third (32%) say they will spend more than they usually do over the next 12 months.
The figures are revealed as hospitality venues in Ireland settle into new trading, having reopened for outside service from 7 June. Indoor service is scheduled to return on 5 July. In Northern Ireland, indoor hospitality resumed on 24 May.
CGA’s research highlights the value of outdoor space to the confidence and spending of consumers in Ireland. Three in five (59%) say they feel confident about visiting venues with outdoor areas—17 percentage points higher than the number feeling confident about eating and drinking out in general (42%). Well over a quarter (28%) of consumers think outlets’ outdoor spaces are now more important than they were before the pandemic.
All Retail has Seen Year on Year Demand Growth
In its latest Consumer Mindset tracker Core Research has found that consumers are more confident in visiting retail stores, with clothing/shoe shops and DIY shops having experienced more than the majority of the population visiting them in the past few weeks.
Given the season, garden centres remain popular with 43% of adults saying they have visited one, while we continue to invest in our homes, with 38% of people saying they have visited a home and furniture shop.
Compared to last year, nearly twice as many people (24%) have returned to a sports shop and twice as many (22%) have returned to a book shop.