Leisure Media Issue 3 2009 - Leisure Opportunities

RESEARCHconsumer cautions the countryresponds tovastly changedA economic conditions,latest research fromMintel reveals an interestingand enlighteningpicture of how consumersare reacting – and moreimportantly, adjusting theirbehaviour. The recentlypublished ‘British Lifestyles’, Mintel’sflagship research report, has revealedhow fear of the recession is driving consumerbehaviour more than an actualchange in circumstances. The researchreveals more than two in five adults nowclaim to have been personally impactedby the recession. Moreover, another 39per cent know someone who has beenaffected. Clearly, the effects of the currentdownturn are already widespread.SCALING BACKContrary to the belief that lack of spendingis the full result of lack of funds, theresearch finds around a third of adults (30per cent) in Britain admitting they havecut back on spending mainly through fearA new Mintel report showsthat it’s recession fears, notlack of funds, that currentlyhas consumers curbing theirspending. Sian Brenchley reportsof what may happen to their personalfinancial situation. What’s more, whileless than half of adults (43 per cent) claimto have been personally affected by therecession, as many as three quarters (71per cent) of consumers have cut down onspending as a result of the economic situation.Only 13 per cent said they didn’tknow anyone who’d been affected.Although most consumers are worriedabout their own personal situation,more are worried about the state of theeconomy as a whole. Around seventyper cent of consumers in Britain are concernedabout the state of the economy,compared with 59 per cent who are concernedabout their own personal financialsituation. Interestingly, even fewer (37FIGURE 1THE ITEMS ADULTS ARE CUTTING BACK ON IN THE RECESSION, FEB 2009Base: 1,440 adults aged 16+ who have cut their expenditure in the recessionClothingRestaurantsSnacks (crisps, biscuits etc)Drinking out (i.e. at the pub)Weekly groceriesCDs, DVDsCoffee bars, sandwich shops, etc.HaircutsCinemaLive entertainment (eg. theatre, ballet)Computer gamesNewspapers, magazinesBooksToiletries (eg. shampoo, skincare)Charity donationsGym, exercise classDrinking at homePetrolSmokingOther everyday itemsChildren’s pocket money4542373534333332262622151490 206663595854547440 60 80% respondentsper cent) are worried about their job oremployment prospects. However, it’simportant to remember that many consumersare cutting back not becausethey have to, but because it’s seen asthe right thing to do. Nobody wants tobe seen as being too flash in a troubledeconomy. Many consumers are unsurewhen recovery will come, and withoutthis confidence, they’re unlikely to startmaking long-term plans again.The British Lifestyles research alsoindicates fears over Britain's troubledeconomy are eclipsing major personalconcerns such as health and crime.When asked about key concerns, theeconomy ranked as the nation's numberone issue, at 71 per cent. Meanwhile,other personal concerns such as crimeand health are causing considerably lessworry. Indeed, today less than half ofthe nation is worried about crime (46 percent) and the state of their health (43 percent), compared to a year ago when theyranked as the top consumer concerns.BIG TICKET ITEMSIt seems big ticket items will bear thebrunt of these attitudes. Over a third (35per cent) of us admit that the recessionhas prevented us from booking a mainholiday in the next six months. The samenumber say that the recession has preventedthem from putting more moneyinto savings. When asked which itemsconsumers would cut back on in therecession, as many as three-quarters (74per cent) of Britons said they would cutback spend on clothing and two-thirds(66 per cent) would spend less on restaurants.However, just a quarter (26 percent) said they would cut back on spendingon drinking at home.The research also reveals how consumersin Britain are shunning drinking atthe pub, with 59 per cent saying they arecutting back in this area, instead choosingto splash out large sums of money34 Read Leisure Management online leisuremanagement.co.uk/digitalISSUE 3 2009 © cybertrek 2009