Amid upcoming Black Friday sales, consumer confidence indicators reveal a positive shift.
- GFK’s Consumer Confidence Index has risen by three points to -18 this November.
- Personal finances, both retrospective and forecasted, show consistent growth from last year.
- The general economic outlook sees improvement, though remains cautious amid fiscal challenges.
- Major purchase intentions have notably increased as Black Friday approaches.
November has seen a rise in the GFK Consumer Confidence Index, which climbed three points to -18. This rise suggests a more optimistic consumer landscape as Black Friday approaches. Despite remaining in negative territory, this improvement marks a stride towards confidence compared to previous months.
The assessment of personal finances over the past year increased by one point, standing at -9, which is seven points higher than in November 2023. This reflects a gradual recovery in consumer financial sentiment. Additionally, forecasts for personal finances in the coming year have climbed to -1, two points above the same period last year.
The general economic situation of the country showed a three-point rise to -39, which is ten points higher than November 2023 figures. However, projections for the coming year’s economic climate remain static compared to a year ago at -26, signalling prevailing uncertainties.
A significant rise is observed in the Major Purchase Index, which has surged by five points to -16. This metric is an essential indicator of consumer spending intentions and its sharp rise suggests a readiness to engage in substantial purchases, possibly driven by anticipated Black Friday deals.
Neil Bellamy, consumer insights director at GfK, noted, “The biggest change this month is in major purchase intentions, an important measure that has jumped five points from -21 to -16 in the run-up to Black Friday next week. While 2025 is just around the corner and the New Year often brings optimism, it is too early to expect significant further improvements in the consumer mood. As recent data shows, inflation has yet to be tamed, people are still feeling acute cost-of-living pressures, and it will take time for the UK’s new government to deliver on its promise of ‘change’.”
The improvement in various consumer confidence measures suggests a cautiously optimistic outlook as consumers prepare for Black Friday.
