Consumer Mindset - January 2024
This report is informed by the Credit Union Consumer Sentiment Index,
in partnership with Core Research.
The start of 2024 has been marked by many events which have given people living in Ireland moments to reflect on their world. Road deaths, natural disasters and war in other regions have all resulted in people expressing compassion towards those facing insurmountable challenges.
While the cost-of-living continues to impact many households in Ireland, there is a growing sense that it can be managed, and the inflation crisis may be easing. People may be framing the personal challenges they face with the uncertainty many people around the world are facing.
IS COST-OF-LIVING STILL A CONCERN?
While we did see a slight rise in the proportion (56%) of people “very” or “extremely concerned” about the cost-of-living in December, this has fallen again to 50% in January 2024, more in line with the concern levels of November, before the financial pressures of Christmas. January’s cost-of-living concern is the second lowest level since June 2022, and maybe reflecting the declining inflation rate within the economy.
Time will tell if this reduce in public concern continues, but it could be an indicator of less public anxiety about inflation.
DESPITE JANUARY BLUES, PEOPLE ARE MOST HAPPY.
In January, nearly one in two people (48%) declared they experienced happiness, and 35% said they experienced joy. Despite the weather, and media narrative, half of adults experienced positive emotions.
Adults under 35-year-olds are more likely to state they are happy and unsurprisingly those on a higher income, however those renting are less likely to state they are happy.
With the rise of happiness experienced by the public, we are also seeing a decline frustration, and worry and stress are not rising any further year-on-year. Happier people are also more likely to be optimistic that Ireland will overcome the cost-of-living challenge, (36% vs. 28%) and therefore more likely to plan for the future.
NEW YEAR AND NEW PLANS
The last section of this month’s report focuses on public intentions for the year ahead. People who are happier are more likely to have made plans including researching and booking holidays.
54% of people said they have researched a holiday for 2024, and 27% of adults have booked a holiday. 31% of people who say they are happy have booked a holiday. Happy people are also more likely to have started a fitness plan. 33% of this group have done so, compared to 25% of the general population.
These plans and expectations for the year ahead will influence consumer demand across various categories and are part of our wider research report, PREDICT 24. This annual report looks at the consumer, human and cultural behaviours which will influence markets and commerce in the years to come.
To learn more about PREDICT 24, visits onecore.ie/predict24