With inflation hitting decades old highs, Consumer Confidence in Canada is deteriorating. Ipsos’ new Consumer Confidence metrics show that as of June 10, Overall Confidence stands at –3% (versus what it “normally” is – the norm), down a full 6 percentage points over the last month.
While confidence in all 4 pillars of Consumer Confidence is now net negative, Economy Confidence (the “macro”) trails Personal Confidence (the “micro”) and Current and Future Confidence are the same. All 4 pillars have declined sharply over the last month.
These data, along with the other tracking in Ipsos’ regular Canada in Context research suggest that the country is entering very challenging economic waters in the next couple of months. This means almost inevitable disruptive consumer behaviour in the near-to-medium-term (not only in spending but also in socio-political stability). The key for communicators, marketers and policy-makers will be identifying movement when it happens and leading/responding accordingly.
Ipsos tracks consumer confidence each month, exploring:
- Personal Confidence: How people feel about their personal finances – both today and for the future.
- Economy Confidence: How people feel about the broader economic situation in Canada – both today and in the future
- Current Confidence – a combination of how Canadians feel about both their personal finances and the country’s broader economic situation today.
- Future Confidence – a combination of how Canadians feel about both their personal finances and Canada’s broader economic situation in the future
- Overall Confidence reflects all metrics combined.