Invest in Canada

The new consumer: Tight-fisted and ‘emotionally fragile’

by investor on 02/01/09 at 1:21 pm

The new year has only just been rung and we are here to reveal what the 12 months ahead look like for the Canadian consumer. In a word: Thrifty. Yes, that sounds like the hallmark of Canadian consumerism.

But this is different.

In a report to be released today, The Boston Consulting Group has found that while the U.S. economy has been put to rout, and while Canadians are in a structurally superior position headed into recession, it is the Canadian consumer who intends a more dramatic pullback in spending.

In a survey of 1,000 Canadian households, the consulting firm found that 62 per cent of respondents intend to cut spending through the course of 2009. By comparison, 58 per cent of U.S consumers plan spending cuts in the 12 months.

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