TORONTO, June 18, 2009 – The latest results from TNS Canadian Facts’ Consumer Confidence Index show economic confidence easing up slightly after posting gains in April and May. The overall Consumer Confidence Index now stands at 92.0, down 2.1 points from 94.1 recorded last month.
“In light of the new batch of negative economic news this past month, it seems that Canadians are taking a wait-and-see approach when it comes to their overall confidence in the state of the economy. Still, it says something that Canadians’ confidence didn’t fall off a cliff like it did last December when it hit rock bottom,” said Dr. Michael Antecol, vice-president of TNS Canadian Facts and director of the marketing research firm’s monthly tracking study.
Two of the three other indices are down slightly too. The Present Situation Index, which captures evaluations of the overall state of the current economic and employment situations, fell from 78.9 in May to 74.2 in June.
Likewise, the Buy Index, which gauges the degree to which people think the current period is a good time to make major purchases, which last month was at its highest point since July 2005, dropped 2.5 points – from 107.0 to 104.5 – perhaps reflecting recent increases in fixed-term mortgage rates.
In contrast the Expectations Index, which measures consumers’ estimation of the economy, household income and employment in the next six months, continued to rise for the sixth straight month and now stands at 103.3 – up 1.9 points, or two per cent, from May to June.
“An economic recovery needs confidence and confidence requires positive expectations. Since Canadians still expect the economy to improve going forward – barring any unforeseen economic calamity – the ingredients are still there for an economic recovery. Put another way, all the data point to Canadians still being in gear – they’re just waiting a bit before they hit the gas,” added Dr. Antecol.
Consumer Confidence Index tracks Canadians’ attitudes about the economy each month and is part of a global study conducted by TNS in 18 countries. Three indices are produced each month to show how confidence in the economy is changing: Present Situation Index; an Expectations Index; and a Buy Index. The Canadian fieldwork is conducted using the firm’s national bi-weekly telephone omnibus service, TNS Express Telephone. A total of 1,015 nationally representative Canadian adults were interviewed between June 8 and 11, 2009. For a survey sample this size, the margin of sampling error is plus or minus 3.1 percentage points, 19 times out of 20.
TNS Canadian Facts (www.tns-cf.com) is one of Canada's most prestigious full-service marketing, opinion and social research organizations.
About TNS
TNS, who recently merged with Research International, is the world’s largest custom research agency delivering actionable insights and research-based business advice to its clients so they can make more effective business decisions. TNS offers comprehensive industry knowledge within the Consumer, Technology, Finance, Automotive and Political & Social sectors, supported by a unique product offering that stretches across the entire range of marketing and business issues, specializing in product development & innovation, brand & communication, stakeholder management, retail & shopper, and qualitative research. Delivering best-in-class service across more than 70 countries, TNS is part of Kantar, the world’s largest research, insight and consultancy network. Please visit www.tnsglobal.com for more information.
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Media Contacts:
Dr. Michael Antecol
Vice President
Tel: (604) 668-3306
e-mail: michael.antecol@tns-global.com
David Stark
Vice President, Public Affairs
Tel: (416) 924-5751 x238
e-mail: david.stark@tns-global.com
