December 20, 2010
With their sights set on spending less than last year, Australian women and Gen Ys plan to take a more cautious approach to their finances this festive season compared with their counterparts, according to the latest research from Mortgage Choice.
The company's annual Consumer Sentiment Survey asked 1,086 Australians: 'In comparison to last year, what are your spending habits for this Christmas and festive season?' The results showed 55% plan to spend about the same and 4% plan to spend more, while 41% intend to spend less.
Mortgage Choice Acting Head of Corporate Affairs Belinda Williamson said, "Our annual Consumer Sentiment Survey found that despite the majority* of Australians struggling to cope financially with rising living costs, more than half of our respondents intend to spend the same amount as they did last year during the Christmas and holiday period and almost one in 20 plan to increase their budget."
"Interestingly, close to two-fifths of Australians intend to spend less this year during Christmas, females more so than males, with the survey finding 45% of women plan to spend less versus 36% of men. The results also showed women were more likely than men to dip into their savings to cover rising living costs."
Delving further into Australians' Christmas spending habits, the generation that had the strongest intent to rein in their spending was Gen Y (42%), followed by Gen X (41%) and Baby Boomers (38%).
"Compared with other generations, Gen Ys - often stereotyped for frivolous spending habits - were most likely to take a penny-wise approach to their budgets this Christmas. They were also most likely to make proactive changes to their financial situation next year and least likely to rely on their savings to cope with rising living costs," said Ms Williamson.
When comparing the spending habits of respondents in each state this Christmas, Western Australians were the most likely to spend less (46%), followed by Queenslanders (43%), Victorians (40%), New South Welshman (39%) and South Australians (36%).
* 55% of survey respondents admitted to dipping into their savings to cope with rising living costs.
For further information or to arrange an interview, please contact:
Mortgage Choice Corporate Affairs
(02) 8907 0472 or 0407 416 124