|Christmas economy project,|
Economic confidence among South African consumers rose to a two-year high in the last quarter of the year, suggesting retailers can expect good sales in the final days before Christmas, TNS Research Surveys said on Tuesday.
“The overall ECI (economic confidence index) has risen to 137, up from 133 in the third quarter of 2010, remaining at levels not seen for two years -- since before the load-shedding of 2008.
“More detailed analysis also shows that, compared with August, there is improved confidence in the economy amongst both the more wealthy as well as the less wealthy.
“Further, there has been a marked improvement overall and especially amongst the more wealthy compared with November 2009, suggesting that retailers can expect good sales in this final week before Christmas, especially at the upper end of the market.”
TNS said the survey was conducted among metropolitan adults in the first week of November.
The marketing and social research company said the index tracks both how people feel about the state of the economy currently and their expectations for the next six months.
It said both components had returned to a 'pre-recession normal' position.
It attributed this to consumer price inflation remaining at the lower end of its target range, and interest rates dropping to their lowest level in 30 years in November.