Singapore consumer confidence climbs five points in Q3

Over half are spending on holidays and vacations, whilst placing emphasis on savings.

The Singapore consumer confidence index for Q3 climbed from 89 points to 94 points, according to the latest Nielsen Global Survey of Consumer Confidence and Spending report.

Based on their survey, the major concerns that were top of mind for locals were job security at 30% and the economy at 29%. Significantly, signs of apprehension over the economy have continued easing at 42%, compared to 51% last quarter.

The survey results have also registered a positive improvement over excellent/good job prospects in the next 12 months.

Nielsen Singapore managing director Johan Vrancken said, “Accounting for two-thirds of Singapore’s economy, robust expansions in the manufacturing and service sectors have led to a rebound in Singapore’s economy in this quarter. The rising consumer confidence is also reflected in the local job prospects in the next 12 months at 41%. However, locals continue to be mindful on the economic outlook and their job security.”

With spending on big-ticket items, half, or 53%, of Singaporeans would spend on holidays and vacations, ranking them first in the world.

There was also an increase in other self-indulgence expenses as compared to Q2 2017 with one in three spending on new clothes, one in five on new technology products, and out of home entertainment.

On the flip side, locals were also seen to be planning ahead for their golden years, with 67% of them depositing their spare cash into savings, placing them fourth in the world in comparison.

Respondents were also seen to be stretching their dollar by placing them into retirement funds at 26%, investing in shares of stock/mutual funds at 24%, and their medical insurance premiums at 20%.