Canadian Consumer Confidence Reached Three-year High in 2013

Dec 30, 2013, 06:15 ET from Investors Group Inc.

WINNIPEG, Dec. 30, 2013 /CNW/ - Consumer confidence in Canada climbed steadily throughout 2013 and reached its highest point since early 2011.

The Investors Group - Harris Decima Index of Consumer Confidence stood at 77.6 in the first quarter of this year, moving to 79.7 in the second quarter, 81.2 in the third, and finally ending the year at 84.4 in the fourth quarter. This improvement is in contrast to 2012 when consumer confidence remained static for the final three quarters of the year. In fact, consumer confidence is at its highest point since the first quarter of 2011.

According to Chairman Allan Gregg; "Consumer confidence rose throughout 2013 in every region of the country. Perhaps as importantly, regional differences in outlook also became less pronounced, suggesting that all parts of the country (although somewhat less so in Quebec) are sensing that the economy is on the rise and that better times are ahead."

"The gradual improvement of consumer confidence in Canada appears to reflect the slow-but-steady growth in the Canadian economy," said Gaetan Ruest, Vice-President, Product and Corporate Research at Investors Group. "This is an encouraging way to wind up 2013 and look forward to a new year."

In Atlantic Canada, consumer confidence began the year on a low note with the index standing at 68.6 in the first quarter. However, it would surge to 80.5 in the second quarter and hold steady the remainder of the year. In the third quarter the index stood at 79.0, and would end the year at 81.5 in November.

In Quebec, the consumer confidence index stood at 77.8 in the first quarter, and would move up to 79.9 in the second quarter. It would dip slightly to 78.8 in the third quarter before ending the year at 80.3.

Consumer confidence in Ontario would stay in line with the national average most of the year. It would begin the year at 78.1 remaining steady in the second quarter when it stood at 78.4. It would move to 80.9 in the third quarter and move upwards to 85.0 in the fourth quarter.

Consumer confidence remained upbeat in Manitoba and Saskatchewan throughout 2013. The index began the year at 85.2 in the first quarter, and would jump to 90.8 in the second quarter. It would drop to 83.9 in the third quarter, before rebounding to 90.7 in the fourth.

Similarly, confidence was strong in Alberta throughout the year. The index began the year at 84.7 in Alberta, before dipping slightly to 81.9 in the second quarter. The index would surge to 91.0 in the third quarter, rising again to 95.0 in November.

Confidence rose throughout 2013 in BC. After beginning the year at 70.5, the index jumped to 77.5 in May. The index would end the year at 79.7 in two consecutive quarters in August and November.

Data was collected using computer assisted telephone interviewing (CATI) via the Harris/Decima teleVox omnibus. Overall, 2,018 completes were collected nationally between November 21 and December 1, 2013. The sample consists of 80% landline and 20% cell phone respondents, with quotas by gender (50/50 split) and by region. The data is weighted in tabulation to replicate actual population distribution by age and gender within region according to the 2011 Census data. This survey is considered accurate to a margin of plus or minus 2.2 per cent, 19 times out of 20.

SOURCE Investors Group Inc.