Gloomy news knocks consumer confidence
September 27, 2021
The gloomy news agenda is knocking consumer confidence for big ticket items like furniture and flooring with a 3-point drop in September, the second fall in two months.
GfKs Major Purchase Index now stands at minus 6. "September sees consumers slamming on the brakes as those already in economic hardship anticipate a potential cost of living crisis," says GfK director Joe Stanton.
"Consumers are clearly worrying about their personal financial situation and the wider economic prospects for the year ahead. The Index records a fall in the major purchase index: depressing news for hard-pressed retailers looking to build sales as they go into a key period," he said.
The Major Purchase Index, which asks consumers if now is the right time to major items like furniture and electrical goods, grew steadily since retail re-opened but has pegged down in August and September. However, its current minus 6 level compares to minus 21 this time last year!
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