Consumers Plan to Cut Non-Essential Spending and Opt for Discounts Amid Economic Uncertainty

  • 40% of consumers feel less financially secure in 2024 compared to 2023
  • Two-thirds plan to cut non-essential spending, with eating out, takeaways, and clothing being the top targets
  • Increased intention for own brand, promotional, and discount products
  • 40% will use retailer loyalty schemes more in 2024
  • Price as the main purchasing driver for retailers to compete

A recent KPMG UK survey reveals that 41% of consumers feel less financially secure in 2024 compared to the beginning of 2023. Two-thirds plan to cut non-essential spending, with eating out, takeaways, and clothing being the top targets. There’s an increased intention for own brand, promotional, and discount products, as well as using retailer loyalty schemes more in 2024. Price is now the main purchasing driver for retailers to compete.

Factuality Level: 8
Factuality Justification: The article provides accurate information from a reputable source (KPMG UK) and presents it in an objective manner without any significant issues related to digressions, misleading information, sensationalism, redundancy, or personal perspective. The article also includes relevant data and statistics to support its claims.
Noise Level: 3
Noise Justification: The article provides relevant information about consumers’ financial security and spending habits in 2024 based on a survey by KPMG UK. It highlights changes in consumer behavior due to economic challenges and the importance of price in purchasing decisions. However, it could benefit from more analysis or context on why these trends are occurring and their potential impact on businesses.
Financial Relevance: Yes
Financial Markets Impacted: The article discusses the impact on consumer behavior and spending habits due to financial insecurity, which may affect retailers and businesses.
Financial Rating Justification: The article focuses on consumer confidence and their financial security, as well as changes in spending patterns. This can have an impact on various businesses, particularly those in the retail sector.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the article.

Reported publicly: www.retailsector.co.uk