Poll reveals a comeback in Hispanic consumer confidence

IMG_0919.JPG

Hispanic consumer confidence has rebounded as the nation comes into the holiday season, rising to 81.3, up from 73.4 in October, and its highest level since August when the Florida Atlantic University Business and Economic Polling Initiative (FAU BEPI) started calculating the index. The gain was due to improved personal finances and a more favorable outlook for businesses and the country as a whole.

The Current Conditions Index was 80.8 in November, up from 74.6 in October. The entire gain was due to more favorable buying plans for big ticket items such as furniture, refrigerators, ovens or televisions by Hispanic consumers. The gains in buying plans were due to large gains among younger and higher income Hispanics.

“This is good news for manufacturers, retailers and the economy as a whole as the nation enters the holiday shopping season,” said Monica Escaleras, director of FAU BEPI.

The Expectations Index also rose to 81.6 in November from 72.9 one month ago. When asked about perceptions of personal finances a year from now, 61.6 percent of Hispanics surveyed expect better personal financial situation in 2015, up from 57 percent in October.

Republican Hispanics are feeling good after the election with 58 percent saying they are better off financially than a year ago, compared to 47 percent of Democrats. Both groups have similar positive expectations for the future.

Regional locations appear to affect consumer sentiment with Hispanics in the midwest (74 percent) and west (75 percent) reporting they are better off than a year ago compared with Hispanics in the south (55 percent) and the northeast (33 percent). The northeast also has the lowest consumer expectation for the future with a score of 59.7 compared with the other three regions (midwest 91.5, south 79.5 and west 87.6).

“A possible explanation for the pessimism in the Northeast is that cost of living is higher in this region relative to the other regions in the country, and the lower educated Hispanics could be feeling the effect of the higher cost,” Escaleras said.

Hispanic consumer confidence has rebounded as the nation comes into the holiday season, rising to 81.3, up from 73.4 in October, and its highest level since August when the Florida Atlantic University Business and Economic Polling Initiative (FAU BEPI) started calculating the index. The gain was due to improved personal finances and a more favorable outlook for businesses and the country as a whole.

The Current Conditions Index was 80.8 in November, up from 74.6 in October. The entire gain was due to more favorable buying plans for big ticket items such as furniture, refrigerators, ovens or televisions by Hispanic consumers. The gains in buying plans were due to large gains among younger and higher income Hispanics.

“This is good news for manufacturers, retailers and the economy as a whole as the nation enters the holiday shopping season,” said Monica Escaleras, director of FAU BEPI.

The Expectations Index also rose to 81.6 in November from 72.9 one month ago. When asked about perceptions of personal finances a year from now, 61.6 percent of Hispanics surveyed expect better personal financial situation in 2015, up from 57 percent in October.

Republican Hispanics are feeling good after the election with 58 percent saying they are better off financially than a year ago, compared to 47 percent of Democrats. Both groups have similar positive expectations for the future.

Regional locations appear to affect consumer sentiment with Hispanics in the midwest (74 percent) and west (75 percent) reporting they are better off than a year ago compared with Hispanics in the south (55 percent) and the northeast (33 percent). The northeast also has the lowest consumer expectation for the future with a score of 59.7 compared with the other three regions (midwest 91.5, south 79.5 and west 87.6).

“A possible explanation for the pessimism in the Northeast is that cost of living is higher in this region relative to the other regions in the country, and the lower educated Hispanics could be feeling the effect of the higher cost,” Escaleras said.