Measure of your local economy: A key sales indicator
Surveys that measure consumers' confidence in the economy are a vital benchmark of economic development.
We often see national and local agencies using consumer confidence surveys to measure the population's sentiment in the U.S. as well as local markets. Consumer confidence surveys can also measure consumers' plans for spending. They provide a timely opportunity to advertise and market your business and services.
Consumer confidence is an economic indicator. Consumer confidence, measured by the Consumer Confidence Index (CCI), is defined as the degree of optimism on the state of the economy that consumers are expressing through their activities of saving and spending. It measures how confident consumers are about the overall state of the economy.
It also measures how confident people feel about their financial and income's stability. Their confidence impacts their economic decisions and their spending activity. As a result, consumer confidence is a key indicator for the overall shape of the economy.
Economic indicators such as the unemployment rate, gross domestic product (or GDP), or the inflation rate indicate how well the economy is doing. They also indicate how well the economy is expected to do in the future.
For the most part, consumer confidence adds another indicator to measure a market's well-being. In addition to statistics that measure a market's population, housing and business growth, employment growth, cost of living, retail sales growth, etc., consumer confidence in a market adds another key performance indicator. It provides a look at the attitudes of a market's well-being.
While confidence indicators can help in market and economic development, it can also be a vital measurement for you in your marketing and branding initiatives.
According to Research Director On Demand, by asking a few key questions in a survey about your local economy and consumers' future spending, your survey can be an important resource for your branding and marketing initiatives.
If consumers have high confidence in your products or services as well as your market, your marketing and branding initiatives have more impact. Your customers will welcome research that shows people are confident in the market. If you can show that consumers intend to spend more in coming months, it will also help you advertise and market your products or services.
People in your market or community who plan to spend on high-ticket items, major appliances, services, etc. can reinforce your branding that consumers are confident in your market.
Surveys that measure your local market conditions have many benefits. For example, they provide:
- Insights on local vs. national spending trends.
- Research to help recruit talent and Millennials to your company or agency.
- Insights on consumers' attitudes for future shopping and buying of consumer goods and services.
- Research to help media companies emphasize the importance for their clients to advertise when consumers are ready to spend in their market.
Confidence in the economy spurs consumer spending power. It is a great opportunity to advertise and market your business especially when consumers are ready to spend.
Research Director On Demand has conducted a number of surveys including ones that measure consumer confidence in local markets. If you are interested in learning more about how we can conduct one for your market, feel free to contact us.