Survey: Consumer Confidence & Concerns
According to a recent survey from Narrative Research Bermuda, “consumer confidence level has continued to decline” with the Consumer Confidence Index falling nearly ten percentage points since the fourth quarter of 2021.
Consumer Confidence Index
A spokesperson said, “With recent rising prices and inflation, it is unsurprising that Bermuda’s consumer confidence level has continued to decline. Indeed, since the fourth quarter of 2021, the Consumer Confidence Index [CCI] has fallen nearly ten percentage points [69.1; down 9.5 points].
“More than 20 years ago Narrative Research implemented and began tracking the Consumer Confidence Index to measure consumer attitudes with regards to the perceived state of Bermuda’s economy, residents’ household economic situation, and conditions for major purchases. The Index takes into account conditions at the present time as well as future outlooks. When first established, the Index was set at a benchmark of 100 and all subsequent reports have been measured relative to that first measure. Over the past 23 years, the CCI has proven to be sensitive to both national and international events.
“Across demographics, consumers confidence levels vary, although women’s confidence levels have declined more than those of men in the past year [Women: 65.2; down 15.2 points; Men: 73.5; down 3.2 points]. Residents 18-34 have the highest confidence level across age groups [18-34 years old: 86.4; down 4.2 points; 35-54 years old: 63.5; down 11.3 points; 55+ years old: 64.4; down 12.4 points]. In addition, white residents have a much lower confidence rating overall than black residents [58.7 vs. 74.0, respectively]. Across regions, those in the Warwick/Paget Parishes experienced the biggest drop in confidence over the past year [Sandys/Southampton: 70.7; down 9.4 points; Warwick/Paget: 63.0; down 15.4 points; Pembroke/Devonshire: 75.0; down 5.2 points; and Hamilton/Smiths/St. George’s 66.3; down 12.3 points].
“These results are part of Narrative Research Bermuda’s Bermuda Omnibus® Survey conducted with a random sample of 400 adult residents of Bermuda [18 years of age or older]. The results above are not commissioned by a third party, and were collected independently by Narrative Research Bermuda. A sample size of 400 is a well-recognised market research industry standard and provides a representative sampling of Islanders. The survey was conducted by phone between November 21st and December 4th, 2022. A sample size of 400 surveys collected by telephone allows for a statistical margin of error to within ± 4.9 percentage points, 95 out of 100 times.”
Graphic via Narrative Research Bermuda:
Current Financial Concerns
A spokesperson said, “Inflation, supply chain issues and climbing interest rates continue to impact Bermuda’s economy, resulting in a range of household financial concerns across the Island. In order to better understand where people are struggling, we asked residents about their current financial concerns. Six in ten are worried about the ability to save for retirement [60%; up six points from June 2022], while more than one-half are concerned with affording healthy food [54%; up five points]. Indeed, four in ten indicate concern for affording personal health insurance [42%; up three points], while one-third are worried about financially supporting a family member [33%; up six points]. Three in ten mention paying for electricity [31%; down two points], one-quarter are worried about affording education for their child/children [26%; down one point] and two in ten express worry towards paying for their telecommunications needs [19%; up five points]. Of note, only six percent of residents indicate they have no financial concerns at present [6%; down six points].
“Across demographics, women, Bermudians and those with household incomes less than $75k are most likely to have concerns over affording healthy food compared to their respective counterparts. Men are also more likely to be concerned with affording health insurance than women. With regards to financially supporting a family member, concern seems to decrease with age. Bermudians also seem to be more worried about paying for electricity and affording education for their child/children compared to non-Bermudians. Residents with household incomes of less than $75k are more concerned with paying for telecommunications needs than those who have higher incomes, whereas those with incomes over $150k more commonly do not currently have any financial concerns.
“These results reflect opinions of 219 adult Bermuda residents [18 years or age or older], conducted from November 21st to December 6th, 2022. The questions are not commissioned by a third party and were collected independently by Narrative Research Bermuda. The results were collected from Narrative Research Bermuda’s proprietary online panel of adult residents, Bermuda Voice. Per industry standards, a margin of error cannot be ascribed to online survey results.”
Graphic via Narrative Research Bermuda:
