By Claire West
Consumer confidence levels amongst young people in the emerging or growth markets are nearly four times higher than in the UK whilst optimism levels about the future are five times higher according to the latest report from leading mobile research company On Device Research.
On Device’s “Young People’s Consumer Confidence” surveyed over 5,600 16-34 year olds across six countries and reveals stark differences about how confident 16-34 year old Britons are about the economy, personal finances, employment prospects and purchase intentions compared to their counterparts in the growth markets.
Young Chinese consumers have the overall highest confidence levels, indexing at 39, closely followed by Brazil (38), Nigeria (37) then India (32). In comparison, Britons index at just 10 and the US at 16.
Future employment and economic outlook
Overall, young British consumers are five times less optimistic about the future than the four growth markets as a whole. Britons are 15 times less confident than the growth markets (4 vs. 57) about how the general economic situation will change in their own country over the next year. They are also three times less confident (21 vs. 64) about their employment prospects over that time (see Chart 1).
Brazilians are the most confident about both the future economic situation (72) and employment (76) followed by Nigerians (68 and 73, respectively). Young Brazilian and Nigerian consumers are six times more confident about the future than their British counterparts.
On Device’s Managing Director, Alistair Hill: “The doom and gloom amongst the UK’s ‘lost generation’ about their job prospects and the economy is in stark contrast to the unbridled optimism in the growth markets. Take Brazil, where this optimism could be shaped by the impact on the country’s infrastructure of hosting the world’s two biggest sporting events in the next four years — the World Cup and Olympics.
Consequently, there’s a real danger for the UK that this cauldron of optimism fosters innovation and a drive to succeed that results in these markets overtaking ours as a place to be for investment and that their economy grows to bright new levels as ours sinks back in the festering gloom.”